For the second quarter of 2026, analysts expect CPS Technologies to report consensus revenue of $8.24 million and earnings per share of $0.01, with the stock currently trading at $3.98 against a $6.00 average price target.
Investors are primarily focused on the recovery of gross margins, which plummeted to a disappointing 9% in the previous quarter due to customer order timing and increased facility costs.
The company recently secured a strategic $4 million hermetic packaging contract and is in the process of moving to a larger manufacturing facility to bolster future capacity. While Q1 performance missed expectations by 19% on the top line, management’s outlook remains optimistic regarding a production ramp-up for key defense and semiconductor customers through the end of the fiscal year.