Track Group (TRCK) AI Stock Analysis

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Track Group

(Other OTC:TRCK)

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Rating:56Neutral

Price Target:$0.43▼(-0.69% Downside)

Action:reiterated

Date:09/10/26

The overall score is constrained by significant core business weakness, including declining revenue and near-zero operating profitability, despite a recent net income surge. Bearish technical trends and a lack of positive earnings call or corporate catalysts further weigh on the outlook. Solid cash flow generation provides some support.

Positive Factors

Positive cash generationTTM operating cash flow of approximately $5.7M and free cash flow of $4.4M show the business is currently converting operations into cash. This provides internal funding for device support, software delivery and contract execution, improving resilience versus earlier periods with negative free cash flow.

Negative Factors

Thin core profitabilityCore profitability remains fragile despite the headline net-income rebound. Revenue declined about 1.7% and EBIT margin stayed below 1%, while losses in 2022–2025 indicate that earnings have not yet demonstrated consistent operating durability. This limits dependable reinvestment and lowers resilience if contract growth slows.

Track Group (TRCK) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $19.01M
Dividend Yield: ―
Average Volume (3M): 23.31K
Price to Earnings (P/E): 0.8
Beta (1Y): 1.61
Revenue Growth: 1.10%
EPS Growth: ―
Country: US
Employees: 91
Sector: Technology
Sector Strength: 61
Industry: Hardware, Equipment & Parts

Track Group Business Overview & Revenue Model

Company Description

Track Group, Inc., along with its subsidiaries, specializes in the development, production, and global distribution of advanced location tracking devices. Its diverse product portfolio encompasses hardware solutions like the ReliAlert XC4, a GPS moni...

How the Company Makes Money

Track Group primarily makes money by selling and servicing electronic monitoring programs for government and justice-system customers. Revenue is generally generated through (a) fees for monitoring services (often priced per enrolled/monitored indivi...

Track Group Financial Statement Overview

Summary

Financial performance is mixed. A dramatic TTM net income turnaround and solid cash flow generation are offset by declining revenues and razor-thin operating margins, indicating the core business is barely profitable.

Income Statement

65Positive

Balance Sheet

55Neutral

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	36.25M	35.22M	36.89M	34.48M	36.97M	39.66M
Gross Profit	16.32M	16.80M	16.60M	15.30M	17.35M	21.11M
EBITDA	4.41M	4.43M	2.88M	4.02M	780.13K	10.65M
Net Income	21.46M	-1.88M	-3.08M	-3.39M	-7.39M	3.44M
Balance Sheet
Total Assets	42.88M	40.30M	37.67M	40.24M	44.68M	53.52M
Cash, Cash Equivalents and Short-Term Investments	8.39M	4.10M	3.57M	4.06M	5.31M	8.42M
Total Debt	18.91M	43.45M	42.95M	43.51M	44.01M	44.14M
Total Liabilities	26.49M	51.85M	49.28M	48.74M	49.74M	51.15M
Stockholders Equity	16.40M	-11.54M	-11.61M	-8.49M	-5.05M	2.37M
Cash Flow
Free Cash Flow	4.36M	1.38M	3.09M	-687.40K	-2.26M	314.49K
Operating Cash Flow	5.71M	4.27M	4.91M	3.88M	802.96K	4.82M
Investing Cash Flow	-5.38M	-4.38M	-3.84M	-4.56M	-3.06M	-4.51M
Financing Cash Flow	3.18M	-11.40K	-365.07K	-511.47K	-515.50K	1.38M

Track Group Technical Analysis

Technical Analysis SentimentNegative

Last Price0.44

Price Trends

50DMA0.50Negative

100DMA0.58Negative

200DMA0.54Negative

Market Momentum

MACD-0.01Negative

RSI37.44Neutral

STOCH38.52Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRCK, the sentiment is Negative. The current price of 0.44 is below the 20-day moving average (MA) of 0.47, below the 50-day MA of 0.50, and below the 200-day MA of 0.54, indicating a bearish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 37.44 is Neutral, neither overbought nor oversold. The STOCH value of 38.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRCK.

Track Group Risk Analysis

Track Group disclosed 31 risk factors in its most recent earnings report. Track Group 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

Track Group Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

TRCK against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TRCK	56Neutral	$18.64M	0.76	-446.20%	―	1.10%	―
WATT	40Underperform	$47.31M	-2.84	-29.36%	―	430.52%	90.43%
SOBR	39Underperform	$231.65K	-0.04	-310.87%	―	17.67%	92.17%

* Technology Sector Average

Performance Comparison

TRCK and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TRCK	Track Group	0.44	0.17	62.08%
WATT	Energous Corp.	8.14	0.74	10.00%
IMTE	Integrated Media Technology	0.33	-0.54	-62.44%
SOBR	Sobr Safe, Inc.	0.04	-2.79	-98.48%
OST	Ostin Technology Group Co., Ltd.	1.70	0.00	0.00%

Track Group Corporate Events

Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance

Track Group Forms New Holding Subsidiary for Financing

Positive

Aug 24, 2026

On August 18, 2026, Track Group, Inc. formed Track Group Holdings, LLC as a wholly owned subsidiary and contributed all of its equity interests in Track Group Americas, Track Group Analytics, Track Group – Puerto Rico, and Emerge Monitoring to...

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: Sep 10, 2026

Track Group AI Stock Analysis