OSI Systems has a strong earnings beat streak and 35% analyst upside, but weak growth, very low free cash flow conversion at 24% of net income, high short interest of 17%, and an overall score of 4.8 place it in a cautious hold position with limited upside conviction.
Thesis pillars
- Weak Free Cash Flow Quality→Stable
- Earnings Beat Streak↑Improving
- Analyst Upside 35pct↑Improving
- +1 more pillar — see the Why tab for full reasoning
OSI Systems, Inc. (OSIS) Stock Analysis
Recovery setup
Technology · Electronic Components
Sell if holding. At $234.15, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 1.2): -0.5; Earnings in 5 days (event risk).
We sell our products and provide related services in diversified markets, including homeland security, healthcare, defense and aerospace. Our company is incorporated in the State of Delaware and our principal office is located at 12525 Chadron Avenue, Hawthorne, California 90250.
Sell if holding. At $234.15, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 1.2): -0.5; Earnings in 5 days (event risk). Chart setup: Death cross but MACD improving, RSI 62. Score 4.7/10, moderate confidence.
Passes 5/9 gates (positive momentum, clean insider activity, no SEC red flags, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and death cross (50MA < 200MA) and earnings proximity 5d<=7d. Suitability: aggressive.
Recent developments
updated 2026-08-15Recent Developments — OSI Systems, Inc.
Latest news
- NEWS M&T Bank Corp Acquires New Holdings in OSI Systems, Inc. $OSIS - MarketBeat — MarketBeat positive
- NEWS OSI Systems Earnings: What To Look For From OSIS - StockStory — StockStory neutral
- NEWS OSI Systems (OSIS) earnings expected to grow: What to know ahead of next week's release - MSN — MSN positive
- NEWS OSI Systems (OSIS) Earnings Expected to Grow: What to Know Ahead of Next Week's Release - Yahoo Finance — Yahoo Finance positive
- NEWS OSI Systems (OSIS) Expected to Announce Quarterly Earnings on Monday - MarketBeat — MarketBeat positive
Generated 2026-08-15T15:32:07Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $234.15, A.R:R 1.4:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Leverage penalty (D/E 1.2): -0.5; Earnings in 5 days (event risk). Chart setup: Death cross but MACD improving, RSI 62. Prior stop was $213.95. Score 4.7/10, moderate confidence.
Take-profit target: $259.38 (+13.6% upside). Prior stop was $213.95. Stop-loss: $213.95.
Leverage penalty (D/E 1.2): -0.5; Earnings in 5 days (event risk); Weak overall score: 4.7/10.
OSI Systems, Inc. trades at a P/E of 26.1 (forward 20.0). TrendMatrix value score: 5.5/10. Verdict: Sell.
14 analysts cover OSIS with a consensus score of 4.3/5. Average price target: $298.
What does OSI Systems, Inc. do?We sell our products and provide related services in diversified markets, including homeland security, healthcare,...
We sell our products and provide related services in diversified markets, including homeland security, healthcare, defense and aerospace. Our company is incorporated in the State of Delaware and our principal office is located at 12525 Chadron Avenue, Hawthorne, California 90250.