Kopin (NASDAQ:KOPN) Releases Quarterly Earnings Results, Misses Expectations By $0.01 EPS

Kopin (NASDAQ:KOPN) posted its earnings results on Tuesday. The company reported ($0.02) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.01) by ($0.01), FiscalAI reports. Kopin had a net margin of 18.26% and a return on equity of 14.79%. The company had revenue of $18.19 million during the quarter, compared to the consensus estimate of $15.96 million. During the same quarter in the prior year, the business earned $0.02 EPS.

Here are the key takeaways from Kopin’s conference call:

• Positive sentiment: Revenue rose 52% year over year to $18.2 million, and the operating loss narrowed by $3 million sequentially to $0.5 million; operations generated $2.4 million in cash. Management said fourth-quarter GAAP profitability remains achievable, though it cautioned that some of the quarter’s product-cost improvement came from nonrecurring benefits.
• Positive sentiment: Kopin received an additional $18.6 million sole-source award for color MicroLED work, bringing total IBAS funding to $34 million, and demonstrated its Soldier Borne Mission Command display ahead of schedule. The company is targeting MicroLED manufacturing in mid-2027 and reported initial prototype orders from program primes.
• Positive sentiment: Neural I/O development with Fabric.AI is progressing toward CES and Photonics West demonstrations in early 2027, with production silicon and a goal of commercial revenue in 2028. Kopin cited modeled potential data-center throughput gains, but these are not yet demonstrated commercial results.
• Positive sentiment: Defense opportunities include new European OLED business and expanding customer interest across thermal sights, aviation displays, and other programs; management said about 50% of expected 2027 revenue is already in backlog. Kopin also expects its domestic OLED deposition line to come online in early 2027.
• Negative sentiment: Drone Dominance Program purchasing has moved more slowly than expected after an additional evaluation phase delayed FPV headset volumes. Kopin nevertheless maintained its expectation of roughly $10 million in drone-goggle revenue in 2027.

Kopin Stock Down 1.8%

Kopin stock traded down $0.06 during midday trading on Tuesday, hitting $3.32. 3,016,708 shares of the stock were exchanged, compared to its average volume of 5,017,642. Kopin has a 52-week low of $1.81 and a 52-week high of $6.61. The business’s 50-day moving average price is $4.16 and its 200-day moving average price is $3.78. The stock has a market capitalization of $617.09 million, a price-to-earnings ratio of 83.02 and a beta of 3.72.

Analysts Set New Price Targets

Several brokerages recently issued reports on KOPN. Canaccord Genuity Group lifted their target price on Kopin from $6.25 to $6.50 and gave the company a “buy” rating in a research report on Friday, August 14th. Oppenheimer assumed coverage on Kopin in a research report on Thursday, September 17th. They issued an “outperform” rating and a $7.00 price target for the company. Weiss Ratings cut Kopin from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, October 23rd. Stifel Nicolaus set a $6.50 price objective on Kopin in a research note on Friday, September 25th. Finally, Wall Street Zen raised shares of Kopin from a “sell” rating to a “hold” rating in a report on Saturday, August 15th. Six investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $7.17.

Kopin Company Profile

Kopin Corporation develops and supplies microdisplays, optical components and wearable display systems. Its technologies include active-matrix liquid-crystal, liquid-crystal-on-silicon and OLED displays, along with related optics and electronics used to create compact, high-resolution viewing systems. The company’s products serve defense, enterprise, medical and other markets. Applications include helmet-mounted displays, night-vision and thermal-imaging systems, industrial and training equipment, and medical devices.