Power Solutions International, Inc.
Business Overview Power Solutions International, Inc., incorporated under the laws of the state of Delaware in 2011, designs, engineers, manufactures, markets and sells a broad range of advanced, emission-certified engines and power systems that are powered by a wide variety of clean, alternative fuels, including natural gas, propane, and biofuels, as well as gasoline and diesel options…
$51.85
+$3.42 (+7.06%)
EOD Oct 21, 2026
15.19% operating margin is respectable but not wide. ROIC at 38.78%. Suggests the business covers its cost of capital, but doesn't point to a wide moat.
Revenue grew 51.8%, still solid. Free cash flow declined 76% despite revenue growth, conversion is weakening.
Free cash flow declined 76% versus the prior year, cash generation momentum has weakened. ROIC dropped from 41.94% to 38.78%, capital efficiency is deteriorating.
17.6x earnings, 17.8x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$676M
▲ +51.8% YoY
Net Income (TTM)
$68M
▲ +64.5% YoY
Op. Margin
13.00%
▼ -2.0pp YoY
ROIC
30.01%
▼ -3.2pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$67M
▼ -75.5% YoY
Op. Cash Flow (TTM)
$74M
▼ -61.4% YoY
Net Debt
-$585K
Net Cash Position
Cash & Equiv.
$70M
5Y CAGR: +11.6%
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SourceComputed from the 10-Q filed 30 Jul 2026, covering the period ending 30 Jun 2026, as reported to the SEC. Data last refreshed 7 Aug 2026. How this is calculated.
Price from market data, last close as of 21 Oct 2026. Fiscal year ends Dec. Sector medians are approximate S&P 500 benchmarks and update periodically.
Is Power Solutions International (PSIX) overvalued?
At a P/E of 17.6 and a price-to-free-cash-flow of 17.8, Power Solutions International (PSIX) trades above a two-stage DCF intrinsic value of about $50.42 per share, so at $51.85 the stock looks overvalued (2.8% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Power Solutions International scores 74/100 on Intrinsiqq's quality scorecard (a solid business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
What is Power Solutions International's fair value?+
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $50.42 per share for PSIX, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $37.81. At today's $51.85, that puts the stock about 2.8% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Is Power Solutions International a high-quality business?+
Power Solutions International scores 74 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a solid business on these measures. Recent fundamentals include a 13.0% operating margin and a 30.0% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is Power Solutions International a good stock to buy right now?+
That depends on valuation and quality together, not either alone. PSIX currently trades above its estimated intrinsic value and scores 74/100 on quality (solid). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.
Related stocks: Engines & Turbines
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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