Kopin (KOPN) AI Stock Analysis

• Market Cap: $437.95M
• Dividend Yield: N/A
• Average Volume (3M): 4.03M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.99
• Revenue Growth: 13.03%
• EPS Growth: 77.68%
• Country: US
• Employees: 181
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.03
• Shares Outstanding: 162,805,850
• 10 Day Avg. Volume: 6,420,938
• 30 Day Avg. Volume: 4,029,467
• PEG Ratio: -0.05
• Price to Book (P/B): <0.01
• Price to Sales (P/S): 3.67
• P/FCF Ratio: -12.28
• Enterprise Value/Market Cap: 0.53
• Enterprise Value/Revenue: 4.94
• Enterprise Value/Gross Profit: 0.17
• Enterprise Value/Ebitda: -0.02
• 1Y Price Target: $3.00
• Price Target Upside: 10.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 52 Neutral
• Price Target: $2.50 ▼(-7.75% Downside)

Kopin's overall stock score reflects significant financial challenges, with negative profitability and cash flows being major concerns. While technical indicators show some positive momentum, and strategic partnerships suggest potential future growth, the current financial situation and valuation issues weigh heavily on the score.

Positive Factors

Strategic Partnership

The strategic partnership with Theon International is expected to enhance Kopin's revenue and market share, leveraging Theon's expertise and Kopin's technology in key regions, which could drive long-term growth and competitive positioning.

Government Contracts

The new government contract supports the development of advanced MicroLED displays, reinforcing Kopin's position in defense applications and providing a stable revenue stream, which is crucial for long-term financial health and innovation.

Technological Advancements

The development of AI-enabled display technologies positions Kopin at the forefront of innovation in AR/VR markets, potentially opening new revenue streams and enhancing competitive advantage in high-growth sectors.

Negative Factors

Revenue Decline

The significant revenue decline indicates challenges in maintaining sales momentum, potentially impacting long-term growth prospects and necessitating strategic adjustments to stabilize and grow revenue streams.

High Cost of Revenues

High costs relative to revenues suggest inefficiencies in production or pricing strategies, which could pressure margins and profitability, requiring operational improvements to ensure sustainable financial performance.

Negative Cash Flow

Persistent negative cash flow highlights difficulties in covering operational costs and capital expenditures, posing risks to financial sustainability and necessitating reliance on external financing, which may not be viable long-term.

Kopin Business Overview & Revenue Model

Company Description

Kopin Corporation, together with its subsidiaries, invents, develops, manufactures, and sells microdisplays, subassemblies, head-mounted and hand-held systems, and related components for defense, enterprise, industrial, and consumer products in the United States, the Asia-Pacific, Europe, and internationally. It offers miniature active-matrix liquid crystal displays, liquid crystal on silicon displays/spatial light modulators, organic light emitting diode displays, application specific integrated circuits, backlights, and optical lenses; and headset systems. The company's products are used in soldier, avionic, armored vehicle and training, and simulation defense applications; industrial, public safety, and medical headsets; 3D optical inspection systems; and consumer augmented reality and virtual reality wearable headsets systems. Kopin Corporation was incorporated in 1984 and is headquartered in Westborough, Massachusetts.

How the Company Makes Money

Kopin generates revenue primarily through the sale of its microdisplay products and related technologies to a diverse customer base, including manufacturers in the defense, medical, and consumer electronics sectors. Key revenue streams include direct sales of display modules, licensing agreements for its proprietary technologies, and partnerships with major tech companies that integrate Kopin's displays into their products. The company also benefits from government contracts and collaborations in defense-related projects, which can provide a stable income source. Additionally, Kopin invests in research and development to innovate and expand its product offerings, positioning itself to capitalize on growth opportunities in the AR and VR markets.

Kopin Financial Statement Overview

Summary

Kopin faces significant financial hurdles with negative net income, EBIT, and cash flows, indicating operational challenges. The balance sheet shows some stability with a reasonable equity base and cash reserves, but ongoing operating losses and reliance on external financing raise concerns about long-term viability.

Income Statement

Kopin shows a concerning financial trajectory with negative net income and EBIT for the latest year, indicating ongoing operational challenges. Revenue growth is inconsistent, and profit margins are negative, highlighting difficulties in achieving profitability. The significant negative EBITDA suggests operational inefficiencies or high costs that are not covered by revenue.

Balance Sheet

The balance sheet reveals a moderate financial structure with a manageable debt-to-equity ratio, indicating reliance on equity over debt financing. A strong cash position relative to debt provides a buffer, but consistent liabilities growth could pose future risks. The company maintains positive stockholders' equity, suggesting a stable capital base, though profitability challenges might strain this stability.

Cash Flow

Kopin's cash flow situation is critical, with negative operating and free cash flows, indicating challenges in generating cash from core activities. The substantial negative free cash flow suggests an inability to cover capital expenditures without financing, posing a risk to financial sustainability. Positive financing cash flow indicates reliance on external funding, which may not be sustainable long-term.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.96M	50.34M	40.39M	47.40M	45.67M	40.13M
Gross Profit	1.40B	14.17M	15.44M	4.56M	20.61M	18.73M
EBITDA	-9.37B	-17.67M	-16.57M	-21.07M	-13.11M	-4.11M
Net Income	-8.29B	-43.88M	-19.75M	-19.33M	-13.43M	-4.41M
Balance Sheet
Total Assets	61.18B	70.77M	49.31M	43.75M	62.71M	47.55M
Cash, Cash Equivalents and Short-Term Investments	26.79B	35.58M	17.40M	12.65M	29.30M	20.75M
Total Debt	765.56M	2.12M	2.48M	3.36M	3.81M	1.80M
Total Liabilities	45.14B	47.48M	19.80M	19.76M	23.38M	19.25M
Stockholders Equity	16.04B	23.28B	29.51M	24.16M	39.80M	28.44M
Cash Flow
Free Cash Flow	-8.82B	-15.04M	-16.21M	-18.52M	-11.78M	-4.96M
Operating Cash Flow	-7.58B	-14.23M	-15.26M	-17.69M	-10.75M	-4.42M
Investing Cash Flow	17.85B	-10.29M	-8.14M	-3.31M	53.67K	11.80M
Financing Cash Flow	-63.38M	33.52M	21.34M	2.66M	20.45M	3.69M

Kopin Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.71
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KOPN, the sentiment is Positive. The current price of 2.71 is above the 20-day moving average (MA) of 2.23, above the 50-day MA of 2.04, and above the 200-day MA of 1.54, indicating a bullish trend. The MACD of 0.17 indicates Negative momentum. The RSI at 67.07 is Neutral, neither overbought nor oversold. The STOCH value of 78.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KOPN.

Kopin Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPTI	78 Outperform	157.72M	20.49	24.42%	―	16.52%	50.29%
MEI	59 Neutral	284.20M	-5.25	-7.93%	6.07%	-4.91%	61.77%
KOPN	52 Neutral	$437.95M	―	-173.01%	―	13.03%	77.68%
LPTH	47 Neutral	298.58M	-27.40	0.00%	―	2.59%	-48.02%
NEON	47 Neutral	69.65M	-10.98	-39.33%	―	-41.25%	47.09%
MVIS	45 Neutral	385.24M	-3.26	-116.31%	―	-71.30%	17.62%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Kopin Corporate Events

Kopin Appoints New CFO with Stock Incentives

On September 2, 2025, Erich Manz joined Kopin Corporation as the new Chief Financial Officer. In connection with his appointment, the company granted him 400,000 restricted shares of Kopin common stock as a material inducement to employment. The restricted stock award, approved by the Compensation Committee of Kopin’s Board of Directors on July 30, 2025, will vest 25% annually starting December 10, 2026, contingent upon Mr. Manz’s continued employment. This move aligns with Nasdaq Listing Rule 5635(c)(4) and reflects Kopin’s strategic efforts to strengthen its leadership team.

The most recent analyst rating on (KOPN) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Kopin stock, see the KOPN Stock Forecast page.

Kopin Secures $15M Investment for Defense Innovation

On August 11, 2025, Kopin Corporation announced a $15 million strategic investment agreement with Theon International Plc to enhance global defense innovation. This partnership grants Kopin significant access to European and NATO defense markets, accelerates technology development, and strengthens its financial position. Theon will invest $8 million in Kopin’s Scottish subsidiary, gaining a 49% equity interest, and purchase $7 million in preferred shares convertible to common stock. This collaboration is expected to drive innovation, expand market reach, and reinforce Kopin’s role in delivering critical optical technologies to allied defense forces worldwide.

The most recent analyst rating on (KOPN) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on Kopin stock, see the KOPN Stock Forecast page.