Update shared on 15 Dec 2025
Fair value Decreased 33%Narrative Update on Knightscope Analyst Price Target
Analysts have reduced their fair value estimate for Knightscope from 12.00 dollars to 8.00 dollars as they factor in slightly higher discount rates, more moderate revenue growth expectations, and marginally lower projected profit margins and future valuation multiples.
What's in the News
- Unveiled the K7 Autonomous Security Robot designed for 24/7 perimeter patrol in large outdoor environments, targeting critical infrastructure, logistics yards, industrial complexes, and defense installations (Key Developments).
- Highlighted the K7's combination of light-duty off road capability with AI powered detection, deterrence, and reporting technologies to extend security coverage beyond traditional cameras and human guards (Key Developments).
- Provided earnings guidance for the fourth quarter of 2025, expecting continued strong demand across autonomous security and emergency communication product lines and improved revenue momentum as production efficiency increases (Key Developments).
- Announced achieving another 1 million dollars milestone in new contracts and client renewals, reflecting ongoing demand for its security and emergency communication solutions (Key Developments).
- Reported over 60 new Emergency Communication Device sales and hundreds of renewals across higher education, healthcare, local governments, utilities, and residential communities, alongside 8 new and 7 renewed Autonomous Security Robot subscriptions that support recurring revenue growth (Key Developments).
Valuation Changes
- Fair Value: reduced materially from $12.00 to $8.00 per share, reflecting a more conservative outlook on future performance.
- Discount Rate: increased slightly from 7.05 percent to about 7.15 percent, modestly raising the required return and lowering present value estimates.
- Revenue Growth: trimmed from roughly 23.25 percent to about 20.94 percent, indicating slightly more cautious expectations for top line expansion.
- Net Profit Margin: edged down from approximately 7.16 percent to about 6.95 percent, signaling a modestly less optimistic view on long term profitability.
- Future P/E: decreased notably from about 119.6x to roughly 96.5x, implying a lower valuation multiple applied to projected earnings.
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