PowerFleet (NASDAQ:AIOT) Stock Price Down 5.8% Following Weak Earnings

PowerFleet, Inc. (NASDAQ:AIOT)’s stock price dropped 5.8% during trading on Tuesday after the company announced weaker than expected quarterly earnings. The company traded as low as $4.29 and last traded at $4.5030. Approximately 578,161 shares changed hands during trading, a decline of 49% from the average daily volume of 1,136,447 shares. The stock had previously closed at $4.78.

The company reported $0.02 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.02). The company had revenue of $113.49 million for the quarter, compared to analyst estimates of $111.69 million. PowerFleet had a negative return on equity of 5.31% and a negative net margin of 7.00%.

Key Headlines Impacting PowerFleet

Here are the key news stories impacting PowerFleet this week:

• Positive Sentiment: Won a large public‑sector contract in South Africa covering more than 100,000 government vehicles — a material customer win that could meaningfully expand recurring services revenue and long‑term visibility for the business. Read More.
• Positive Sentiment: Recurring revenue and margins showed tangible improvement: total revenue rose 7% YoY to a record $113.5M, services revenue was up 11% YoY, operating profit turned positive ($6.3M vs. loss a year ago), and Adjusted EBITDA increased 26% — all supportive of sustainable cash generation. Read More.
• Positive Sentiment: Revenue beat consensus for the quarter ($113.49M vs. ~$111.7M), indicating underlying demand resilience in the quarter. Read More.
• Neutral Sentiment: The company hosted an earnings call and posted the slide deck and transcripts; these provide management’s color on drivers, backlog, and the cadence for FY guidance — useful for assessing whether the guide reflects temporary timing vs. structural weakness. Read More.
• Negative Sentiment: Reported EPS of $0.02 missed the Street consensus (~$0.04), which combined with other headline items likely pressured sentiment. Read More.
• Negative Sentiment: Full‑year FY2026 revenue guidance was set at $440–$445M, below consensus (~$456.8M). The guide shortfall is the most direct explanation for the stock decline as it signals slower topline visibility than analysts expected. Read More.

Analyst Ratings Changes

A number of equities research analysts have issued reports on AIOT shares. William Blair reiterated an “outperform” rating on shares of PowerFleet in a research note on Tuesday, November 11th. Weiss Ratings reiterated a “sell (d-)” rating on shares of PowerFleet in a research report on Wednesday, January 21st. Barrington Research reissued an “outperform” rating and issued a $15.00 price objective on shares of PowerFleet in a research note on Friday, February 6th. Finally, Wall Street Zen upgraded PowerFleet from a “sell” rating to a “hold” rating in a research note on Saturday, December 13th. Four analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $10.33.

Institutional Trading of PowerFleet

Hedge funds have recently added to or reduced their stakes in the stock. Private Capital Management LLC increased its holdings in shares of PowerFleet by 9.1% during the third quarter. Private Capital Management LLC now owns 7,354,073 shares of the company’s stock worth $38,535,000 after buying an additional 610,660 shares in the last quarter. Voss Capital LP grew its position in PowerFleet by 4.3% during the 3rd quarter. Voss Capital LP now owns 5,800,000 shares of the company’s stock worth $30,392,000 after acquiring an additional 240,509 shares during the last quarter. Private Management Group Inc. increased its holdings in PowerFleet by 6.6% in the 3rd quarter. Private Management Group Inc. now owns 5,208,278 shares of the company’s stock worth $27,291,000 after purchasing an additional 324,127 shares in the last quarter. Royce & Associates LP raised its position in PowerFleet by 3.7% in the fourth quarter. Royce & Associates LP now owns 4,471,131 shares of the company’s stock valued at $23,786,000 after purchasing an additional 159,256 shares during the last quarter. Finally, CenterBook Partners LP boosted its stake in shares of PowerFleet by 40.4% during the second quarter. CenterBook Partners LP now owns 4,040,568 shares of the company’s stock valued at $17,415,000 after purchasing an additional 1,162,742 shares in the last quarter. Institutional investors and hedge funds own 73.40% of the company’s stock.

PowerFleet Stock Down 12.8%

The stock has a market capitalization of $558.03 million, a price-to-earnings ratio of -18.13 and a beta of 1.33. The company has a quick ratio of 0.93, a current ratio of 1.07 and a debt-to-equity ratio of 0.49. The stock has a 50 day moving average price of $5.28 and a 200 day moving average price of $5.01.

PowerFleet Company Profile

PowerFleet, Inc (NASDAQ: AIOT) develops and delivers Internet of Things (IoT)–based telematics and asset-tracking solutions designed to help businesses monitor, manage and optimize fleets of vehicles and industrial equipment. Its core offerings include wireless sensors, GPS tracking devices and cloud-hosted software platforms that provide real-time visibility into vehicle whereabouts, usage patterns, fuel consumption and maintenance needs. The company’s systems also support regulatory compliance and safety monitoring, enabling customers to reduce operational costs, minimize theft and improve overall asset utilization.

The company’s hardware portfolio features RFID readers, active and passive tags, onboard diagnostics (OBD) adapters and temperature or motion sensors that can be deployed on trucks, trailers, forklifts, containers and other high-value assets.