2 models fit TSS Inc. Common Stock and they disagree: 0 of 2 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Large premium(i)
Valued as a cyclical company: P/E comparison, EV/EBITDA comparison, Discounted cash flow, and Graham number.
ACCE opinionTSS Inc. Common Stock (TSSI)
Fair value (2 models)
$3.84
ACCE price target
$8.80
Rating
Overvalued
Horizon
12 months
Fair value published on 24 Oct 2026, 17:04 CEST; previously $4.15 since 17 Oct 2026, 00:00 CEST.
ACCE price target published on 15 Oct 2026, 00:00 CEST.
Rating published on 24 Oct 2026, 17:04 CEST.
Price used: $6.93 at the close on 23 Oct 2026, 22:00 CEST.
Models: P/E comparison and EV/EBITDA comparison.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
80.6% above
-44.6% to fair value
ACCE score
36
out of 100
Analysts
100% buy
2 covering
P/E
13.3x
forward 17.0x
1-year return
-59.4%
Dividend yield
0.00%
TSS Inc. Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
TSS Inc. runs data center facilities services, including integration, deployment and maintenance of server and networking equipment for hyperscale and enterprise operators, plus some managed IT work. Its edge is operational rather than proprietary: a small, specialised services footprint that can be pulled into large data center build-outs without the overhead of a larger integrator. Revenue fell 20.1% over the period, so the growth case rests on a rebound in data center project volume, which we have not yet seen in the reported numbers. The stock trades at 13.6 times trailing earnings and 17.0 times forward earnings, a forward multiple above the trailing one that implies the market expects earnings to decline, and a 6.1% operating margin on a 19.0% gross margin leaves little room for further top-line erosion. The 32.0% return on equity looks strong but reflects a small equity base and needs checking against margin trends before it is taken at face value. Given a 37/100 score and no index membership, this is a name for a deeper look at backlog and customer concentration, not a conclusion.
⚠ Investor warnings · 4 flagsAI-assisted·How I use AI
high
Revenue shrinking sharply
Revenue is down 20.1% year over year and 9.1% quarter on quarter, while earnings fell 16.7%. The five-year growth record of 40.4% a year no longer describes the current trend.
high
Heavy insider selling
Insiders disclosed $8.71M of sales across the last 10 filings and no purchases. That is a one-directional signal from people with the most information.
moderate
Elevated short interest
Short interest sits at 19.1% of shares. Holders betting against the stock are a large group, and a sharp move either way can be violent.
moderate
Thin free cash flow
Free cash flow is $2M against a $196M market cap, and operating margin is only 6.1%. Earnings quality and cash generation give little cushion if revenue keeps falling.
AI research notes
AI-assisted·How I use AIWritten Oct 24, 2026 · figures from 2026-06-30 · prices to Oct 23, 2026
Why it could do well
The stock trades at 13.3x trailing earnings, well below the sector median forward P/E of 28.8x.
Return on equity of 32.0% and a 0.54 debt to equity ratio show a profitable business without heavy borrowing.
Why it could disappoint
Revenue fell 20.1% year over year, reversing a 5-year average growth rate of +40.4% per year.
The stock trades 80.6% above the model fair value of $3.84, and only 2 of 4 valuation models are in the consensus.
Latest earnings per share missed expectations by 37.5%, with 0.05 reported against 0.08 expected.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.
Next results
Nov 12, 2026
We update the fair value about 2 days after the results, once the new figures are filed.Add to calendarGoogle
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Valuation
INVESTOR
Where TSSI's valuation models land
Price
$6.93
Model fair value
$3.84
Model range
$1.92 to $5.76
Fair value $3.84
Price $6.93
The price is above the whole model range.
Model
Fair value
Upside
Discounted cash flow
EV/EBITDA comparison
Graham number
P/E comparison
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Quality
INVESTOR
Quality and conviction INVESTOR FEATURE
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+Conviction breakdown and growth / value / quality / momentum scores