10-Q · May 6, 2026
Stem, Inc. reported Q1 2026 revenue of $29 million, a decrease of 11% compared to $32.5 million in Q1 2025, with EPS at -$2.22, slightly below the estimate of -$2.19. The decline in revenue was primarily driven by a…
Earnings analysis · 10-Q
STEM earnings analysis
Filed August 12, 2026 · Our reading of the company's report
The latest report
Stem’s Q2 2026 results were mixed: EPS of -$1.58 beat the -$1.92 consensus estimate and improved from -$1.79 a year earlier, while revenue of $33.654 million missed consensus and declined from $38 million. Management…
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Stem’s Q2 2026 results were mixed: EPS of -$1.58 beat the -$1.92 consensus estimate and improved from -$1.79 a year earlier, while revenue of $33.654 million missed consensus and declined from $38 million. Management reaffirmed its full-year 2026 outlook, including revenue of $140 million-$190 million and operating cash flow of $0 million-$10 million. The filing did not provide sufficient current-quarter balance-sheet, cash-flow, or segment detail in the available extract, and it reported no material changes to the risk factors from the December 31, 2025 Form 10-K.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-1.58
What stood out
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EPS beat and improved year over year
Q2 2026 EPS was -$1.58 versus consensus of -$1.92, a $0.34 per-share beat. EPS also improved from -$1.79 in Q2 2025.
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Revenue missed and declined year over year
Revenue was $33.654 million, $1.982 million below the $35.636 million consensus estimate and approximately 11.4% below $38 million in Q2 2025.
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Full-year guidance reaffirmed
Management reaffirmed full-year 2026 revenue guidance of $140 million-$190 million, non-GAAP gross margin of 40%-50%, adjusted EBITDA of $10 million-$15 million, operating cash flow of $0 million-$10 million, and year-end ARR of $65 million-$70 million.
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Disclosure controls remained effective
Management concluded that disclosure controls were effective at a reasonable assurance level as of June 30, 2026, and reported no changes in internal controls that materially affected, or were reasonably likely to materially affect, reporting controls during Q2 2026.
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raicoon acquisition completed
Stem issued 389,569 common shares to the sellers of raicoon GmbH on April 23, 2026, in connection with the acquisition of 100% of raicoon’s assets.
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Insider trading plan disclosed
The CFO adopted a Rule 10b5-1 plan on May 14, 2026, covering sales of up to 3,667 common shares from August 10, 2026 through March 1, 2027.
What to watch
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Revenue pressure persists
Q2 2026 revenue of $33.654 million missed the $35.636 million consensus estimate by $1.982 million and fell from $38 million in Q2 2025, indicating continued top-line pressure despite the EPS beat.
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GAAP earnings remained negative
The company reported Q2 2026 EPS of -$1.58, meaning it remained loss-making on a per-share basis despite improving from -$1.79 in Q2 2025.
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Equity issuance and selling pressure
The raicoon transaction resulted in the issuance of 389,569 common shares, creating potential shareholder dilution; the CFO’s plan additionally permits sales of up to 3,667 shares.
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No risk-factor improvement disclosed
The filing states that there were no material changes to the risk factors in the December 31, 2025 Form 10-K, limiting evidence of risk mitigation in the current quarter.
Management's outlook
Full-year 2026 guidance was reaffirmed: revenue of $140 million-$190 million, non-GAAP gross margin of 40%-50%, adjusted EBITDA of $10 million-$15 million, operating cash flow of $0 million-$10 million, and year-end ARR of $65 million-$70 million.
Earlier filings 4
10-K · March 5, 2026
In its 2025 10-K, Stem, Inc. outlines a transformative strategy focusing on AI-enabled software and services, moving away from traditional hardware sales. The company's financials show significant improvement, with…
10-Q · October 30, 2025
Stem, Inc. reported a total revenue of $38.2 million for Q3 2025, representing a 31% increase year-over-year, although it missed analyst expectations by approximately $1.57 million. The gross margin improved to 35%,…
10-Q · August 8, 2025
Stem, Inc. reported a significant turnaround in Q2 2025, with total revenue rising 13% to $38.4 million compared to the previous year and an improved EPS of -$1.79, surpassing estimates. Management focuses on enhancing…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.