Data Storage Corp (DTST) Stock Analysis
Verdict: AVOID
Artificial net profit masks a 75% revenue collapse and severe operating losses; insider selling and analyst downgrades confirm a value trap.
Investment score: 38/100
Analysis as of
Is Data Storage Corp stock worth reviewing? The TradeMates thesis
DTST displays extreme fundamental red flags including a 75% revenue contraction and significant insider selling. Despite a 'cheap' P/E, operational cash burn and negative forward estimates suggest the business is in distress.
7-factor investment score
- Valuation: 45/100 (weight 20%)
- Financial Health: 30/100 (weight 15%)
- Technical Momentum: 25/100 (weight 15%)
- Earnings Quality: 50/100 (weight 15%)
- Insider Sentiment: 20/100 (weight 10%)
- Analyst Consensus: 35/100 (weight 10%)
- Risk-Adjusted Return: 40/100 (weight 15%)
Data Storage Corp opportunities and risks
What speaks for DTST
- Niche IBM i Specialization
What speaks against DTST
- Terminal Revenue Decline
Peers and competitors
- AIB
- CSAI
- PSCO
- LTCP
- CMFV
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| DTST | 1.3x | 3.3x | n/a | 49.0% | 295.1% | -18.5% |
| AIB | n/a | 22.1x | n/a | 13.0% | -29.1% | 1.4% |
| CSAI | n/a | 1.2x | 0.3x | 29.4% | -166.3% | -115.1% |
| PSCO | n/a | 0.0x | n/a | 0.0% | 0.0% | 0.0% |
| LTCP | n/a | 0.0x | n/a | 0.0% | 0.0% | 0.0% |
| CMFV | n/a | 0.0x | n/a | 77.4% | -73.2% | -5114.2% |
| Peer median | n/a | 0.0x | n/a | 13.0% | -29.1% | 0.0% |
Frequently asked questions about Data Storage Corp (DTST)
Is DTST stock a good investment?
The TradeMates model rates Data Storage Corp as AVOID with an investment score of 38/100. DTST displays extreme fundamental red flags including a 75% revenue contraction and significant insider selling. Despite a 'cheap' P/E, operational cash burn and negative forward estimates suggest the business is in distress. This is algorithmic model output, not personal investment advice.
Is DTST stock a buy?
The TradeMates model verdict for DTST is AVOID with an investment score of 38/100. Treat this as a model signal to review, not a personal buy recommendation.