NSSC

Napco Security Technologies, Inc

Technology · Communications Equipment, Nec
$37.54+2.07% today
AI Take · AlgoThesis

NSSC trades at a lofty 36.2x earnings despite sitting 41.6 on the RSI—neither overbought nor oversold territory—suggesting the market prices in substantial future growth expectations. With an $1.3B market cap and only 8.3% short interest, there's minimal squeeze potential or deep skepticism embedded in the setup. The valuation premium relative to typical tech hardware manufacturers implies either exceptional margins and growth trajectories in security systems, or meaningful valuation risk if execution falters. The stock's distance from its 52-week high leaves room to either prove itself or correct downward, depending on whether earnings growth can justify that multiple.

Snapshot

Market cap
$1.3B
P/E
36.2
Forward P/E
30.5
EPS (TTM)
$1.03
Dividend yield
1.63%
Net margin
18.7%
ROE
20.9%
RSI (14)
42
Beta
1.37
Short % of float
8.3%
Days to cover
7.7
52w high
No

Peers in Communications Equipment, Nec

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NSSC — Napco Security Technologies, Inc · 8.3% short · P/E 36.2 · AlgoThesis