Kopin Corporation (KOPN, Financial) is poised to become part of the Russell 2000 Index, according to the preliminary list released by FTSE Russell on May 23. This inclusion is scheduled to take effect after the U.S. market opens on June 27, following the completion of the 2025 Russell indexes reconstitution. The addition to this broad-market index is a significant milestone for Kopin, reflecting its growth and potential within the market. Investors are keeping a close watch on how this development may influence the company's performance and visibility among market participants.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 4 analysts, the average target price for Kopin Corp (KOPN, Financial) is $2.44 with a high estimate of $3.00 and a low estimate of $2.00. The average target implies an upside of 77.92% from the current price of $1.37. More detailed estimate data can be found on the Kopin Corp (KOPN) Forecast page.
Based on the consensus recommendation from 4 brokerage firms, Kopin Corp's (KOPN, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Kopin Corp (KOPN, Financial) in one year is $0.95, suggesting a downside of 30.66% from the current price of $1.37. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Kopin Corp (KOPN) Summary page.
KOPN Key Business Developments
Release Date: May 13, 2025
- Total Revenue: $10.5 million, a 5% increase year-over-year.
- Product Revenue: $9.2 million, essentially flat compared to the previous year.
- Funded R&D Revenue: Increased 37% to $1.2 million from $900,000 in the prior year.
- Cost of Product Revenue: $7.6 million or 83% of net product revenues, down from 95% in the previous year.
- R&D Expenses: $2.1 million, a slight increase of $15,000 from the previous year.
- SG&A Expenses: $4.7 million, down from $7.2 million due to decreased legal fees.
- Net Loss: $3.1 million or $0.02 per share, compared to a net loss of $32.5 million or $0.27 per share in the previous year.
- Net Cash Used in Operating Activities: $3.4 million, with approximately half due to changes in working capital items.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Kopin Corp (KOPN, Financial) reported a 5% year-over-year increase in total revenues for Q1 2025, reaching $10.5 million.
- The company has invented a new type of microdisplay called NeuralDisplay, which optimizes display performance and is gaining traction.
- Kopin Corp (KOPN) secured approximately $28 million in new contract wins and awards in Q1 2025, with a strong book-to-bill ratio of 2.8:1.
- The company is focusing on AI-assisted factory and process automation to improve manufacturing efficiencies and reduce costs.
- Kopin Corp (KOPN) is strategically positioned to capitalize on increased global defense budgets, with significant opportunities in Europe, Korea, and Japan.
Negative Points
- Product revenues for Q1 2025 were essentially flat compared to the previous year, indicating limited growth in this area.
- The company reported a net loss of $3.1 million for Q1 2025, although this was an improvement from the previous year's loss.
- Kopin Corp (KOPN) has reduced its revenue guidance for 2025 due to geopolitical trade issues and tariff uncertainties.
- Gross margins remain volatile, and the company is working to stabilize them through automation and process improvements.
- There is uncertainty regarding the timing of converting the pipeline of opportunities into actual revenue, particularly in international markets.
