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Multisensor AI Holdings (MSAI)
NASDAQ:MSAI
US Market
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Multisensor AI Holdings (MSAI) AI Stock Analysis

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MSAI

Multisensor AI Holdings

(NASDAQ:MSAI)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
$5.00
▲(3.31% Upside)
Action:Reiterated
Date:08/17/26
The score is held down primarily by heavy ongoing losses and negative free cash flow despite healthy gross margins and an improved, debt-free balance sheet. Technical indicators are mostly neutral but the stock remains below longer-term moving averages, and valuation support is limited due to negative earnings and no dividend. Offsetting these risks, recent corporate updates point to improving growth and narrowing losses, but fundamentals still need meaningful progress toward profitability.
Positive Factors
Recurring Software Growth
Recurring software growth can improve revenue quality and scalability: Q2 software revenue rose 85% while total revenue grew 19%. Continued subscription adoption would support more predictable revenue and better operating leverage over the next several quarters.
Negative Factors
Persistent Deep Losses
The company remains far from sustainable profitability despite narrowing losses. Net losses exceeding revenue indicate that substantial growth, further cost reductions, or both are required before the business can support itself without continued external funding.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring Software Growth
Recurring software growth can improve revenue quality and scalability: Q2 software revenue rose 85% while total revenue grew 19%. Continued subscription adoption would support more predictable revenue and better operating leverage over the next several quarters.
Read all positive factors

Multisensor AI Holdings (MSAI) vs. SPDR S&P 500 ETF (SPY)

Multisensor AI Holdings Business Overview & Revenue Model

Company Description
MultiSensor AI Holdings, Inc. develops and supplies sophisticated multi-sensor systems, primarily for thermal imaging (thermography) and various other industrial uses, both domestically within the United States and across international markets. Th...
How the Company Makes Money
null...

Multisensor AI Holdings Financial Statement Overview

Summary
Mixed fundamentals: healthy gross margin (~57%) and a meaningfully improved capital structure (no debt; equity ~$28.5M). However, profitability and cash generation remain very weak with a ~-142% net margin (TTM net loss ~$8.9M on ~$6.3M revenue) and continued cash burn (TTM operating cash flow -$8.1M; free cash flow -$9.2M).
Income Statement
22
Negative
Balance Sheet
58
Neutral
Cash Flow
28
Negative
BreakdownTTMDec 2025Dec 2024Mar 2024Dec 2022Dec 2021
Income Statement
Total Revenue6.27M5.55M7.40M5.43M7.27M28.79M
Gross Profit3.57M2.91M4.82M3.13M2.30M18.50M
EBITDA-7.52M-10.45M-20.76M-21.09M-11.41M4.06M
Net Income-8.89M-11.71M-21.50M-22.27M-13.29M2.31M
Balance Sheet
Total Assets33.35M35.47M15.48M16.37M17.46M24.70M
Cash, Cash Equivalents and Short-Term Investments21.00M24.36M4.36M1.16M654.00K3.37M
Total Debt0.000.00310.00K7.23M20.62M18.39M
Total Liabilities4.86M3.44M3.19M16.64M25.67M20.27M
Stockholders Equity28.49M32.03M12.29M-268.00K-8.21M4.44M
Cash Flow
Free Cash Flow-9.19M-9.65M-18.23M-6.09M-4.77M3.00M
Operating Cash Flow-8.12M-8.02M-15.57M-4.55M-3.17M4.41M
Investing Cash Flow-1.05M-1.61M-2.67M-1.51M-1.60M-1.41M
Financing Cash Flow26.89M29.58M21.59M6.56M2.05M-4.04M

Multisensor AI Holdings Risk Analysis

Multisensor AI Holdings disclosed 78 risk factors in its most recent earnings report. Multisensor AI Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Multisensor AI Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
48
Neutral
$11.98M-0.63-48.87%12.16%78.89%
44
Neutral
$19.85M-1.44-129.84%-15.22%34.74%
44
Neutral
$93.38M-4.91-0.25%706.94%68.10%
43
Neutral
$84.85M-1.97-88.73%250.00%35.86%
41
Neutral
$7.52M-1.95-88.69%20.31%90.57%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MSAI
Multisensor AI Holdings
5.37
-21.73
-80.18%
DTSS
Datasea
0.70
-1.47
-67.57%
INTZ
Intrusion
0.79
-0.89
-52.74%
ARBE
Arbe Robotics
0.66
-0.60
-47.60%
BNAI
Brand Engagement Network
12.61
9.59
317.55%

Multisensor AI Holdings Corporate Events

Business Operations and StrategyFinancial Disclosures
Multisensor AI Posts Strong Q2 Growth and Narrower Loss
Positive
Aug 13, 2026
On August 13, 2026, MultiSensor AI reported second-quarter 2026 results showing 19% year-over-year revenue growth to $1.7 million, driven by an 85% surge in software revenue to $0.7 million as the company leans further into recurring subscription ...
Business Operations and StrategyExecutive/Board Changes
Multisensor AI Updates Executive Equity Compensation Framework
Positive
Jul 20, 2026
Effective July 16, 2026, Multisensor AI Holdings’ board approved new grants of restricted stock units and performance-based stock units to CEO Asim Akram and CFO Robert Nadolny, tied to multi‑year vesting schedules and revenue targets ...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Multisensor AI Shareholders Back Board and Incentive Plan
Positive
Jun 18, 2026
Multisensor AI Holdings held its Annual Meeting on June 12, 2026, with approximately 64.7% of outstanding common stock represented. Shareholders elected directors Margaret Chu, Stuart (“Trip”) V. Flavin III, Daniel Friedberg, David Gow...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 17, 2026