Mariana Perez Mora, an analyst from Bank of America Securities, reiterated the Buy rating on OSI Systems. The associated price target was raised to $265.00.
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Mariana Perez Mora’s rating is based on OSI Systems’ potential to capitalize on increased global security spending. The company is expected to benefit significantly from the One Big Beautiful Bill, which secures funding for border security modernization. This initiative, along with anticipated upgrades by Customs and Border Protection, is likely to sustain strong demand for OSI Systems’ products through the end of the decade.
Furthermore, despite concerns about a slowdown in security revenues from Mexico, OSI Systems has demonstrated robust growth in security revenue outside of Mexico, with a notable increase of over 50%. The company is well-positioned to benefit from additional security spending related to major upcoming events like the 2026 FIFA World Cup and the 2028 Winter Olympics. Additionally, improved collections and free cash flow generation are expected to enhance financial performance, supporting the Buy rating with a raised price objective.
Based on the recent corporate insider activity of 87 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of OSIS in relation to earlier this year.