Rekor Systems Inc. Common Stock (REKR)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At the close on 2026-10-13, Rekor traded at $0.36 with a $49.1 million market cap. FairStock’s calculations show a negative P/E of -2.23, a P/B of 1.43, ROE of -62.82%, ROCE of -14.97%, and a trailing free cash flow yield of -26.5%. Those are not the numbers of a business earning a satisfactory return on capital. The filed figures confirm why: in fiscal FY2025, the year ended 2025-12-31, revenue was $48.5 million and net income was -$31.5 million. In fiscal FY2024, revenue was $46.0 million and net income was -$61.4 million; in fiscal FY2023, revenue was $34.9 million and net income was -$45.7 million. The company has lost money in each of the last four years, so FairStock’s Lynch category is none. There is a flicker of improvement: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $12.7 million and net loss was only $551,000, versus a fiscal Q2 2025 net loss of $8.7 million. But fiscal Q1 2026, ended 2026-03-31, still lost $9.4 million. Cash generation remains negative—trailing free cash flow was -$13.0 million—and the Altman Z-Score of -4.99 and Piotroski F-Score of 4/9 suggest financial fragility. Rekor sells roadway intelligence software to public-safety and transportation markets, but I see no proven moat in the numbers provided. A P/B of 1.43 gives some asset support, but not enough for a Graham-style bargain when cash is burning and profits are unproven. Until the near-breakeven quarter becomes a trend and cash flow turns positive, this remains speculative.

In plain English: Rekor Systems sells software that uses cameras and AI to help police, cities, and transportation agencies monitor roads and vehicles. The business has been losing money for years and burns cash, though losses narrowed in the latest reported quarter. At 36 cents a share and a $49.1 million market value, the price looks speculative rather than clearly cheap because there are no profits and only modest accounting value behind the shares.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer