The severe EPS miss and widening losses despite 57% revenue growth signal deteriorating unit economics and operational execution issues. Watch the May 12 conference call for Q2 guidance and any update on backlog conversion. The $4.2M New Hampshire project win is a positive but insufficient to offset the broader weakness. Consider short-term bearish positioning given the magnitude of the miss and negative operating cash flow trend.
Price Chart
Executive Summary
Star Equity Holdings reported Q1 2026 revenue of $50.1M (+57.1% YoY), but net loss attributable to common shareholders widened to -$4.4M (-$1.17/diluted share) vs -$1.8M (-$0.59/diluted share) a year ago, missing the $0.05 EPS consensus by a wide margin. The Building Solutions and Business Services divisions underperformed due to project delays and macro headwinds, while Energy Services showed momentum. The stock is likely to trade down on the severe EPS miss and worsening losses despite the revenue growth.
Key Financial Metrics
Key Facts
- Q1 2026 revenue $50.1M, up 57.1% YoY from $31.9M
- GAAP net loss attributable to common shareholders -$4.4M (-$1.17/diluted share) vs -$1.8M (-$0.59/diluted share) in Q1 2025
- Adjusted net loss per diluted share (non-GAAP) -$0.99 vs -$0.38 in Q1 2025
- EPS of -$1.17 missed consensus estimate of $0.05 by 2,440% (a $1.22 miss)
- Adjusted EBITDA loss widened to -$1.6M from -$0.7M in Q1 2025
- Building Solutions revenue $11.6M, adjusted EBITDA loss -$0.9M; backlog $8.0M, book-to-bill 0.72
- Business Services revenue $35.0M (+9.8% YoY), but adjusted EBITDA swung to -$0.3M from +$0.2M
- Energy Services revenue $3.5M, adjusted EBITDA +$1.0M (positive)
- Cash and restricted cash $10.3M at quarter end; operating cash flow -$1.4M vs -$0.8M in Q1 2025
- Company repurchased 70,424 shares for ~$0.7M in Q1; $1.8M remaining under $3M buyback program
Financial Impact
EPS miss of $1.22 vs consensus; net loss widened by $2.6M YoY; adjusted EBITDA loss doubled to -$1.6M
Risk Factors
- Continued project delays and macro headwinds in Building Solutions and Business Services
- Negative operating cash flow may pressure liquidity ($10.3M cash burn rate)
- Potential need for additional capital if losses persist
- Low trading volume and micro-cap volatility could amplify price moves
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3292416 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 26, 2026 today | Press Release | $10.04 | awaiting T+1 | — | $9.89 (−1.49%) |
Oct 19, 2026 7d ago | S-4 | $9.94 $9.79 | ▼ −1.51% | ▼ −2.03% | $9.89 (−0.50%) |
Oct 14, 2026 12d ago | 8-K | $9.99 $9.81 | ▼ −1.80% | ▼ −0.70% | $9.89 (−1.00%) |
Sep 22, 2026 4w ago | 8-K | $10.33 $10.17 | ▼ −1.50% | ▼ −1.42% | $9.89 (−4.21%) |
Aug 14, 2026 10w ago | 8-K | $9.80 $9.82 | ▼ −0.20% | ▼ −0.68% | $9.89 (−0.92%) |
Aug 7, 2026 11w ago | Press Release | $11.30 $11.30 | ▲ +0.01% | ▲ +0.04% | $9.89 (−12.48%) |
Jun 29, 2026 17w ago | 8-K | $10.66 $10.73 | ▲ +0.66% | ▲ +0.79% | $9.89 (−7.22%) |
Jun 15, 2026 19w ago | Insider Cluster | $11.05 $11.08 | ▲ +0.27% | ▲ +1.52% | $9.89 (−10.50%) |
Jun 12, 2026 19w ago | Insider Cluster | $11.02 $11.05 | ▲ +0.27% | ▲ +0.87% | $9.89 (−10.25%) |
Jun 12, 2026 19w ago | Insider Cluster | $11.02 $11.05 | ▲ +0.27% | ▲ +0.87% | $9.89 (−10.25%) |
US Market Status
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