NAPCO SECURITY TECHNOLOGIES, INC (NSSC) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does NAPCO SECURITY TECHNOLOGIES, INC Do?
Napco Security Technologies, Inc. develops, manufactures, and sells electronic security products in the United States and internationally. The company offers access control systems, door-locking products, intrusion and fire alarm systems, and video surveillance systems for commercial, residential, institutional, industrial, and governmental applications. Its access control systems include various types of identification readers, control panels, PC-based computers, and electronically activated door-locking devices; and door locking devices comprise microprocessor-based electronic door locks with push button, card readers and bio-metric operation, door alarms, mechanical door locks, and simple dead bolt locks. The company's alarm systems include automatic communicators, cellular communication devices, control panels, combination control panels/digital communicators and digital keypad systems, fire alarm control panels, and area detectors; and video surveillance systems comprise video cameras, control panels, video monitors, or PCs. It also buys and resells various identification readers, video cameras, PC-based computers, and peripheral equipment for access control and video surveillance systems; offers school security products; and markets peripheral and related equipment manufactured by other companies. The company markets and sells its products primarily to independent distributors, dealers, and installers of security equipment. Napco Security Technologies, Inc. was founded in 1969 and is headquartered in Amityville, New York. NAPCO SECURITY TECHNOLOGIES, INC (NSSC) is classified as a small-cap stock in the Technology sector, specifically within the Electronic Equipment industry. The company is led by CEO Richard L. Soloway and employs approximately 1,150 people, headquartered in AMITYVILLE, New York. With a market capitalization of $1.4B, NSSC is one of the notable companies in the Technology sector.
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) Stock Rating — Reduce (April 2026)
As of April 2026, NAPCO SECURITY TECHNOLOGIES, INC receives a Reduce rating with a composite score of 46.3/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.NSSC ranks #2,334 out of 4,446 stocks in our coverage universe. Within the Technology sector, NAPCO SECURITY TECHNOLOGIES, INC ranks #251 of 584 stocks, placing it in the upper half of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
NSSC Stock Price and 52-Week Range
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) currently trades at $42.75. The stock gained $0.67 (1.6%) in the most recent trading session. The 52-week high for NSSC is $48.12, which means the stock is currently trading -11.2% from its annual peak. The 52-week low is $19.00, putting the stock 125.0% above its annual trough. Recent trading volume was 313K shares, suggesting relatively thin trading activity.
Is NSSC Overvalued or Undervalued? — Valuation Analysis
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) carries a value factor score of 42/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 32.00x, compared to the Technology sector average of 45.27x — a discount of 29%. The price-to-book ratio stands at 8.01x, versus the sector average of 3.16x. The price-to-sales ratio is 8.04x, compared to 1.06x for the average Technology stock. On an enterprise value basis, NSSC trades at 29.19x EV/EBITDA, versus 12.79x for the sector.
Overall, NSSC's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
NAPCO SECURITY TECHNOLOGIES, INC Profitability — ROE, Margins, and Quality Score
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 25.0%, compared to the Technology sector average of -1.4%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 21.7% versus the sector average of -1.0%.
On a margin basis, NAPCO SECURITY TECHNOLOGIES, INC reports gross margins of 57.4%, compared to 50.9% for the sector. The operating margin is 27.4% (sector: -0.5%). Net profit margin stands at 25.0%, versus -1.5% for the average Technology stock. Revenue growth is running at 9.5% on a trailing basis, compared to 14.2% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
NSSC Debt, Balance Sheet, and Financial Health
NAPCO SECURITY TECHNOLOGIES, INC has a debt-to-equity ratio of 15.0%, compared to the Technology sector average of 43.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 7.99x, indicating strong short-term liquidity.
NSSC has a beta of 1.11, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for NAPCO SECURITY TECHNOLOGIES, INC is 60/100, reflecting average volatility within the normal range for its sector.
NAPCO SECURITY TECHNOLOGIES, INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, NAPCO SECURITY TECHNOLOGIES, INC reported revenue of $184M and earnings per share (EPS) of $0.38. Net income for the quarter was $46M. Gross margin was 57.4%. Operating income came in at $51M.
In Q2 2026, NAPCO SECURITY TECHNOLOGIES, INC reported revenue of $48M and earnings per share (EPS) of $0.38. Net income for the quarter was $14M. Gross margin was 58.6%. Revenue grew 12.2% year-over-year compared to Q2 2025. Operating income came in at $15M.
In Q1 2026, NAPCO SECURITY TECHNOLOGIES, INC reported revenue of $49M and earnings per share (EPS) of $0.34. Net income for the quarter was $12M. Gross margin was 56.6%. Revenue grew 11.7% year-over-year compared to Q1 2025. Operating income came in at $14M.
In FY 2025, NAPCO SECURITY TECHNOLOGIES, INC reported revenue of $182M and earnings per share (EPS) of $1.20. Net income for the quarter was $43M. Gross margin was 55.6%. Revenue grew -3.8% year-over-year compared to FY 2024. Operating income came in at $46M.
Over the past 8 quarters, NAPCO SECURITY TECHNOLOGIES, INC has experienced revenue contraction from $189M to $184M. Investors analyzing NSSC stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
NSSC Dividend Yield and Income Analysis
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) currently pays a dividend yield of 1.3%. At this yield, a $10,000 investment in NSSC stock would generate approximately $$131.00 in annual dividend income. With a net margin of 25.0%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.
NSSC Momentum and Technical Analysis Profile
NAPCO SECURITY TECHNOLOGIES, INC (NSSC) has a momentum factor score of 57/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 29/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 18/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
NSSC vs Competitors — Technology Sector Ranking and Peer Comparison
Within the Technology sector, NAPCO SECURITY TECHNOLOGIES, INC (NSSC) ranks #251 out of 584 stocks based on the Blank Capital composite score. This places NSSC in the upper half of all Technology stocks in our coverage universe. Key competitors and sector peers include IHS Holding Ltd (IHS) with a score of 55.0/100, VERISIGN INC/CA (VRSN) with a score of 56.0/100, ESCO TECHNOLOGIES INC (ESE) with a score of 51.7/100, CareCloud, Inc. (CCLD) with a score of 46.9/100, and MMTec, Inc. (MTC) with a score of 47.4/100.
Comparing NSSC against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full NSSC vs S&P 500 (SPY) comparison to assess how NAPCO SECURITY TECHNOLOGIES, INC stacks up against the broader market across all factor dimensions.
NSSC Next Earnings Date
No upcoming earnings date has been announced for NAPCO SECURITY TECHNOLOGIES, INC (NSSC) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy NSSC? — Investment Thesis Summary
The quantitative profile for NAPCO SECURITY TECHNOLOGIES, INC suggests caution. Low volatility (stability score 60/100) reduces downside risk.
In summary, NAPCO SECURITY TECHNOLOGIES, INC (NSSC) earns a Reduce rating with a composite score of 46.3/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on NSSC stock.
Related Resources for NSSC Investors
Explore more research and tools: NSSC vs S&P 500 comparison, top Technology stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare NSSC head-to-head with peers: NSSC vs IHS, NSSC vs VRSN, NSSC vs ESE.