ReposiTrak, Inc. (TRAK) Market Cap
ReposiTrak, Inc. has a market capitalization of $148.2M.
Financials based on reported quarter end 2025-12-31
Price: $8.14
▲ 0.29 (3.69%)
Market Cap: 148.18M
NYSE · time unavailable
CEO: Randall K. Fields
Sector: Technology
Industry: Software - Application
IPO Date: 1999-10-27
Website: https://repositrak.com
ReposiTrak, Inc. (TRAK) - Company Information
Market Cap: 148.18M · Sector: Technology
ReposiTrak, Inc., a software-as-a-service provider, designs, develops, and markets proprietary software products in North America. The company offers ReposiTrak MarketPlace, a supplier discovery and B2B e-commerce solution; ReposiTrak Compliance and Food Safety solutions, which reduces potential regulatory and legal risk from their supply chain partners; and ReposiTrak Supply Chain solutions that enables customers to manage relationships with suppliers. It also provides ScoreTracker, Vendor Managed Inventory, Store Level Ordering and Replenishment, Enterprise Supply Chain Planning, Fresh Market Manager, Audit Management, and ActionManager supply chain solutions to manage inventory, product mix, and labor. In addition, the company offers business-consulting services to suppliers and retailers in the grocery, convenience store, and specialty retail industries, as well as professional consulting services. It primarily serves multi-store retail chains, wholesalers and distributors, and their suppliers. The company was formerly known as Park City Group, Inc. and changed its name to ReposiTrak, Inc. in December 2023. ReposiTrak, Inc. is headquartered in Murray, Utah.
Analyst Sentiment
Based on 1 ratings
Analyst 1Y Forecast: $0.00
Average target (based on 1 sources)
Consensus Price Target
Low
$24
Median
$24
High
$24
Average
$24
Potential Upside: 194.8%
Price & Moving Averages
Related Companies in Technology
Fundamentals Overview
📊 AI Financial Analysis
Powered by StockMarketInfo"TRAK reported revenue of $5.9M and net income of $1.7M for the year ending December 31, 2025. The company's EPS stands at $0.09. With total assets of approximately $56.3M and total liabilities of about $6.6M, TRAK shows a solid balance sheet, highlighted by negative net debt of approximately $28.3M, indicating strong cash reserves relative to liabilities. Operating cash flow is reported at $2.2M, with free cash flow slightly higher at $2.2M, though capital expenditures remain at $0. TRAK has been paying dividends, with a recent payout amounting to $0.02 per share. However, market performance has been challenging, experiencing a significant decrease of 63.06% over the past year, and shares are currently priced at $7.58. This decline raises concerns over the company's growth prospects and market sentiment. Overall, while TRAK has a good foundation with strong cash flow and a solid balance sheet, the performance in its stock price and substantial decline raises questions about future growth and investor confidence."
Revenue Growth
Revenue growth should be monitored closely as current figures are modest.
Profitability
The company is profitable with a notable net income margin.
Cash Flow Quality
Strong operating and free cash flow indicates healthy cash management.
Leverage & Balance Sheet
A strong balance sheet with negative net debt provides financial stability.
Shareholder Returns
Declining share price and performance misalign current returns on investment.
Analyst Sentiment & Valuation
Market performance suggests a lack of confidence from analysts considering the drop in stock price.
Disclaimer:This analysis is AI-generated for informational purposes only. Accuracy is not guaranteed and this does not constitute financial advice.
Management is clearly upbeat on profitable growth and the RTN “moat,” emphasizing that the real lever is AI-based traceability that detects and autocorrects supplier data errors (vs competitors’ EDI-only/scan-heavy approaches). The numbers back the upbeat tone: Q2 revenue +7% to $5.9M, operating income +34% to $1.8M, and GAAP EPS $0.09 (+13% YoY), with a stated ~20% effective tax rate going forward after the NOL benefit period ended. However, the Q&A adds operational realism: supplier data accuracy is disclosed at ~50%–70% initially, and the key demand inflection is timing around the FDA deadline—management expects a “summer or early fall” acceleration as the industry realizes the runway is shrinking to ~18 months. That creates a setup for growth, but also highlights the dependency on customer readiness cycles. Analyst pressure is mostly on “how AI helps” and macro/food inflation; management’s answers are confident but effectively reinforce that readiness and data quality are the bottlenecks.
Growth Catalysts
- Touchless Traceability / ReposiTrak Traceability Network (RTN) momentum as onboarding accelerates with FDA deadline approaching
- Cross-sell traction across supply chain/compliance offerings due to common data-gathering platform
- AI-driven detect-and-correct for supplier data errors (autocorrect vs manual fix) improving tracking accuracy and lowering customer operating costs
Business Development
- RTN network effect continues to build: queue to join RTN larger than current installed base (new suppliers/distributors/retailers expected to strengthen network)
- Cross-selling initiatives in the supply chain business (no specific named customer partner disclosed in transcript)
Financial Highlights
- Q2 revenue: +7% YoY to $5.9M (from $5.5M)
- Total operating expenses: -2% YoY (while including RTN/Wizard onboarding tools, cybersecurity costs, database license fees, and other development-related direct costs)
- SG&A: +5% YoY due to higher commissions/direct costs tied to higher revenue, higher insurance premiums, and increased employee benefit costs
- Income from operations: +34% YoY to $1.8M (from $1.4M)
- GAAP net income: +9% YoY to $1.7M (from $1.6M)
- GAAP net income to common shareholders: +13% YoY to $1.6M (from $1.5M)
- EPS: $0.09 basic & diluted; +13% YoY (despite higher income taxes)
- Tax guidance/assumption: at end of utilized/expiring NOL benefit period; management assumes ~20% effective tax rate going forward
- Year-to-date (fiscal 2026 through Q2): revenue +8% to $11.8M (from $10.9M); operating expenses essentially flat at $8.1M vs prior year; operating income $3.7M vs $2.8M (+31%)
Capital Funding
- Common stock buyback: ~80,000 shares repurchased in Q2 for ~$1.1M at avg $13.75/share; total inception: 2.22M shares repurchased & canceled for $14.5M at avg $6.52/share
- Remaining authorization: ~$6.7M left of the $21M authorization as of 12/31/2025
- Preferred stock redemption: redeemed 70,000 preferred shares at $10.70 for $750k in Q2; total redeemed since inception: ~642,000 for $6.9M; remaining 196,000 for $2.1M
- Cash/balance sheet: total cash $28.7M (up from $28.6M); 0 bank debt
- Planned preferred redemption run-rate: $750k per quarter; goal to redeem all remaining preferred shares on or before December 2026 (if not earlier)
Strategy & Ops
- Operational hurdle addressed: supplier data accuracy error rate stated at ~50% to 70% initially from suppliers (especially small suppliers), requiring detection and large-scale correction of errors
- Process/invention: AI-based detect-and-correct with 500+ air detection algorithms; aims for near real-time correction of most errors without burdening the supplier
- Investment approach: AI/modernized features added to core software stack without expecting a meaningful increase in cash expenses or capex
- Automation/efficiency point: management claims incremental revenue requires no significant incremental expenses to support growth (incremental margin expansion)
- Short-term headwind: patent protection process needed to begin before initiating sales (management called this a short-term headwind)
Market Outlook
- FDA timing as demand catalyst: FDA deadline referenced as getting very close by year-end; Q&A frames the runway ending around an '18-month mark' by end of this year
- Management view on readiness window: expects it takes ~2+ years for customers with hundreds of suppliers to become fully ready; believes many will only act later (summer/early fall wake-up leading to acceleration in interest/onboarding)
Risks & Headwinds
- Traceability operational constraint: consistent accuracy of supplier data is the core problem; initial supplier data error rate ~50% to 70%
- Manual correction infeasibility: management describes that if errors must be manually fixed, it would require hundreds/thousands of fixes daily across supply chain—cost prohibitive for small growers, large distributors, and retailers
- Competitor approaches risk: reliance on EDI alone assumed not to validate accuracy (EDI checks format/structure only) and a warehouse scanning approach is economically nonstarter
- Short-term headwind: patent protection process initiated before sales (timing constraint)
- Macro risk mentioned: food inflation could indirectly hurt business if supermarkets cannot pass through costs and face margin squeeze; management said it has not seen it 'over the very short term' but it could emerge
Sentiment: MIXED
Note: This summary was synthesized by AI from the TRAK Q2 2026 earnings transcript. Financial data is complex; please verify all metrics against official SEC filings before making investment decisions.