Data I/O (NASDAQ:DAIO) Posts Earnings Results, Misses Estimates By $0.18 EPS

Data I/O (NASDAQ:DAIO) announced its quarterly earnings results on Thursday. The electronics maker reported ($0.34) EPS for the quarter, missing analysts’ consensus estimates of ($0.16) by ($0.18), Zacks reports. Data I/O had a negative net margin of 41.85% and a negative return on equity of 49.87%. The firm had revenue of $3.25 million for the quarter, compared to the consensus estimate of $4.00 million.

Here are the key takeaways from Data I/O’s conference call:

• Data I/O reported Q1 2026 net sales of $3.3 million, down from $6.2 million a year ago, as the company experienced a slower-than-expected start to the year and softer revenue coming out of Q4.
• Management said bookings improved sequentially to $4.2 million in Q1, with strong late-quarter momentum, better traction in Europe, and several new customer logos added.
• The company raised Q2 revenue guidance to $5.0 million-$5.4 million, implying at least 20% sequential growth, and said the core business is entering the quarter with stronger demand and improved visibility.
• Data I/O outlined a major strategic shift toward Programming as a Service and recurring revenue, with management saying it is in active discussions with multiple customers and expects initial contracts to begin closing later this year.
• The company announced a $9 million direct investment and a planned $23 million transformational acquisition, which management said will nearly double annual revenue, expand manufacturing capacity, and be accretive to earnings and cash flow.

Data I/O Stock Performance

Shares of DAIO opened at $3.20 on Friday. The stock has a 50-day moving average of $2.59 and a two-hundred day moving average of $2.85. Data I/O has a one year low of $2.16 and a one year high of $3.57. The stock has a market cap of $30.06 million, a P/E ratio of -3.81 and a beta of 1.09.

Wall Street Analyst Weigh In

Several analysts have issued reports on DAIO shares. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Data I/O in a research report on Monday, April 20th. LADENBURG THALM/SH SH raised Data I/O to a “strong-buy” rating in a research report on Wednesday, May 6th. Finally, Zacks Research raised Data I/O from a “strong sell” rating to a “hold” rating in a research report on Friday, May 8th. Two investment analysts have rated the stock with a Strong Buy rating, one has given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $5.11.

Hedge Funds Weigh In On Data I/O

A number of institutional investors have recently modified their holdings of DAIO. DRW Securities LLC purchased a new position in shares of Data I/O during the 4th quarter valued at about $37,000. NewEdge Advisors LLC raised its stake in shares of Data I/O by 45.4% during the 2nd quarter. NewEdge Advisors LLC now owns 22,402 shares of the electronics maker’s stock valued at $69,000 after buying an additional 7,000 shares during the last quarter. Steward Partners Investment Advisory LLC raised its stake in shares of Data I/O by 24.5% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 43,472 shares of the electronics maker’s stock valued at $138,000 after buying an additional 8,555 shares during the last quarter. Finally, Kovack Advisors Inc. raised its stake in shares of Data I/O by 2.2% during the 4th quarter. Kovack Advisors Inc. now owns 268,906 shares of the electronics maker’s stock valued at $852,000 after buying an additional 5,675 shares during the last quarter. Hedge funds and other institutional investors own 36.95% of the company’s stock.

Data I/O Company Profile

Data I/O Corporation is a provider of device programming solutions for semiconductor and microcontroller manufacturers, test houses, contract manufacturers and electronics design engineers. The company’s product portfolio includes universal and site-specific programmers, automated programming systems and software tools that enable high-volume production, development and field programming of non-volatile memories and microcontrollers. Data I/O’s solutions are designed to support a wide range of programmable devices, including Flash, EPROM, EEPROM, PLDs, FPGAs and automotive-grade microcontrollers.

The company’s flagship technologies include its high-speed FlashCORE III programming engines and the SB-OS-A automated handling system, which together streamline production workflows by providing scalable, multi-site programming capabilities.