TSS Inc. Common Stock (TSSI)

FairStock Score: 61/100 — STEADY

Key Financials

Strengths

• Strong Piotroski F-Score of 8/9 indicating robust financial health across profitability, leverage, and efficiency metrics
• High return on equity of 36.1% demonstrating efficient capital deployment
• Revenue growth of 21.8% demonstrates strong top-line momentum

Concerns

• Trades significantly above Graham Number ($6) with negative 158% margin of safety—limited downside protection

AI Analysis

TSS Inc. Common Stock is a micro-cap technology company valued at $441 million. The business generates $246 million in annual revenue with a 4.9% net margin. From a quality standpoint, TSS shows near-perfect Piotroski F-Score of 8/9 indicating exceptional financial health and Altman Z-Score of 2.8 in the grey zone. On valuation, the stock is trading at a premium 28.2x earnings, with trades far above its Graham Number ($6) with no margin of safety. Growth dynamics show revenue growing at 21.8% and profit growth of 535.6%. Our composite FairStock Score of 61/100 reflects above-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

TSS's 22% revenue growth trajectory could accelerate as it captures additional market share in the technology sector. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the technology space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer