WIDEPOINT CORP (WYY) AI Stock Summary
Profitable quarter, massive government wins
Updated
Snapshot
WidePoint is a small-cap provider of technology management services for government clients. Revenue reached $150.5M in FY 2025, up 5.6%, and the business recently returned to quarterly net income. The company operates on thin gross margins of 14%, which kept full-year net income negative at $2.8M despite the top-line growth. However, the business generated $5.4M in free cash flow, meaning operations are cash-positive, and the balance sheet is stable with $9.8M in cash against $4.7M in debt.
What's Happening Right Now
- Thu 25th Jun '26 · Major Contract: WidePoint was named the single awardee of the DHS CWMS 3.0 contract, a 10-year vehicle with a ceiling value of approximately $3.1 billion.
- Tue 23rd Jun '26 · Major Contract: The company was named a prime contract awardee on the NASA SEWP VI vehicle, a government-wide acquisition contract with a total procurement ceiling of $60 billion.
- Thu 14th May '26 · Earnings: WidePoint reported Q1 2026 revenue of $40.6 million, up 21% year-over-year, and achieved its first quarterly net income since 2021.
Ownership
Institutions hold 19.1% of shares, while insiders own 15.0%.
Bottom Line
WidePoint is a small government IT contractor that has recently won big. The stock sits near its 52-week high because the company secured two massive federal contract vehicles worth billions in potential value, shifting the narrative from past losses to future growth. The business is operationally healthy, generating positive cash flow and returning to quarterly profitability, which supports the case for managing these new large-scale obligations.