BK Technologies Corporation (BKTI)
Valuation Overview•Is BK Technologies Corporation Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
High-quality fundamentals with a strong composite quality score of 85/100, backed by robust profitability and solvency.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Elite compounder with fortress-level fundamentals across every core pillar.
Wall Street sentiment is generally neutral. However, capital return yields remain modest, driven predominantly by aggressive share repurchases.
BKTI exhibits elite business quality, driven by exceptional capital efficiency and highly lucrative margins (highlighted by a massive 50.5% ROIC). This is backed by a fortress balance sheet, holding significant net cash ($21M) and minimal debt risk.
The company is driving exceptional top-line expansion (19.1% 3Y CAGR) paired with stable bottom-line earnings. The company maintains healthy operational efficiency with a 18.5% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $21.3M | +12.5% | +19.1% | +14.3% | +11.2% | |
| EBITDA | $4.0M | — | — | — | — | |
| Net Income | $2.8M | +61.9% | — | — | +29.2% | |
| EPS (Diluted) | $0.69 | +52.9% | — | +113.7% | +24.6% | |
| Free Cash Flow | $6.4M | +80.3% | — | +39.4% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 49.9% | 38.9% | 34.4% | 35.0% |
| Operating Margin | 18.5% | 9.2% | 0.7% | -0.5% |
| Net Margin | 16.0% | 7.9% | -0.6% | -1.3% |
| FCF Margin | 25.9% | 11.4% | -1.2% | 0.8% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.77 | $0.88 | +14.3% | ||
| Q1'26 | $0.70 | $1.17 | +67.1% | ||
| Q4'25 | $0.70 | $1.27 | +81.4% | ||
| Q3'25 | $0.74 | $1.30 | +75.7% | ||
| Q2'25 | $0.44 | $0.68 | +54.5% | ||
| Q1'25 | $0.35 | $0.61 | +74.3% | ||
| Q4'24 | — | $0.71 | — | ||
| Q3'24 | — | $0.47 | — |
Total return is +48.9% (1Y), outperforming the benchmark by +28.1%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +8.2% | +0.9% | — |
| 1Y | +48.9% | +28.1% | — |
| 3YCAGR | +73.5% | +49.1% | — |
| 5YCAGR | +41.0% | +29.4% | +5.4% |
| 10YCAGR | +12.7% | -1.4% | — |
The S&P 500 is at 30.6x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about BK Technologies Corporation (BKTI) valuation, health, and returns.
Based on peer relative multiples, BK Technologies Corporation appears Limited: Cheap versus peers compared to industry peers.
BK Technologies Corporation has multiple valuation anchors: Peer Relative Fair Value: $99.63. A convergence of these signals offers higher conviction.
BK Technologies Corporation displays excellent financial health with a composite quality score of 85/100, supported by a Altman Z-Score of 12.4 (safe zone), Piotroski F-Score of 7/9, Return on Invested Capital (ROIC) of 50.5%.
BK Technologies Corporation does not return material capital to shareholders via dividends or share repurchases, electing to retain earnings to fund internal growth.
BK Technologies Corporation's current growth trajectory is Decelerating. The company achieved +12.5% 1Y revenue growth and +52.9% 1Y EPS growth, compared to its 3Y revenue CAGR of +19.1%.
Wall Street consensus is Buy based on 1 analysts, beating EPS expectations in 88% of recent quarters with a 7-quarter streak. The consensus price target represents a N/A change from current levels.
Investment risks for BK Technologies Corporation include: -32.8% 1-year max drawdown. Volatility risk is characterized by a beta of 1.25x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.