CLPS Inc logo

CLPS Inc(CLPS)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL RECENCY
1-STAR RATING
Consider higher Upturn Star rating
BUY for 26 days
PROFIT SINCE LAST BUY
-3.77% ▼
LAST CLOSE
$1.02
09/25/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Advisory Performance History (Simulated)Advisory Performance History info

Upturn Advisory & Investor View for CLPS

09/25/2026: CLPS (1-star) has a low Upturn Star Rating. Not recommended to BUY.

CLPS Inc is a specialized IT consulting firm that focuses primarily on providing software development and managed services to the financial sector. While the company benefits from deep domain expertise and long-standing relationships with banks, it faces intense pressure from much larger global IT providers and suffers from high client and sector concentration. Its primary growth opportunity lies in expanding internationally and increasing the contribution of its proprietary FinTech software products. Investors should monitor project win rates and the company's success in scaling operations outside of its core markets. Due to its micro-cap status and the competitive landscape, it is generally better suited for investors with a higher risk tolerance.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorMixed fitThe company's focus on digital transformation in banking offers growth potential, but execution risks remain.
Momentum investorWeak fitThe stock typically exhibits low liquidity and lacks the consistent technical uptrend required for momentum strategies.
Value investorMixed fitValuation may appear attractive based on some multiples, but business stability and earnings visibility are key concerns.
Dividend investorWeak fitThe company does not pay a regular dividend and prioritizes capital reinvestment.
Low-risk investorWeak fitMicro-cap stock volatility and industry competition make this unsuitable for risk-averse portfolios.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighThe stock is susceptible to significant price swings due to low trading volumes and micro-cap status.
Valuation riskMediumValuation depends heavily on future growth projections which are sensitive to economic cycles.
Competition risk (IT services/FinTech)HighLarge, well-capitalized global firms can easily outspend CLPS on R&D and marketing.
Business qualityMediumThe reliance on a service-based, labor-intensive model limits scalability compared to pure-play software companies.
Dividend incomeLow / noneThere is no dividend policy, so investors cannot rely on income for total return.
Execution riskMedium / highSuccessfully expanding into new geographic markets requires complex operational scaling and talent retention.

Price Behavior

Downtrend
PRICE PATH

Downtrend

The stock has experienced a sustained decline in price over recent periods.

Choppy
PRICE STABILITY

Choppy

The stock has experienced frequent reversals and pronounced short-term price swings.

Analysis of Past Performance

Type Stock
Historic Profit -51.87%
Avg. Invested days 25
Today’s Advisory Consider higher Upturn Star rating
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/25/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
CLPS receives a 2-star rating, supported by available scored pillars. The rating is constrained by weak unit economics, soft company fundamentals, and soft analyst coverage.

Company Fundamentals

★★★★★
CLPS has soft overall fundamentals (2 stars), with soft financial health, soft growth momentum, and moderate ownership. In FY2025 versus FY2024, solid revenue growth (+15.2%) is partially offset by negative earnings growth (-202.6%), soft cash generation (FCF margin -2.3%), soft profitability (net margin -4.3%).

Financial Health Rating

★★★★★
CLPS's financial health is supported by moderate efficiency, including operating-expense and cost-of-revenue discipline (opex 24.9% of revenue). Profitability is weak (1 stars), which helps explain the 2-star overall score.

Growth Momentum Score

★★★★★
Revenue growth is CLPS's strongest growth driver at +15.2% FY2025 versus FY2024 (solid, 4 stars). By comparison, while earnings growth (-202.6%, negative) and free-cash-flow growth (-155.8%, negative) hold the profile back, so recent growth is not broad-based across the business.

Ownership

★★★★★
Institutional ownership is 0.5% and approximately 37.0% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 56.22% supports management-shareholder alignment.

Top 5 Institutional Investors

Citadel Advisors Llc 0.16%
Susquehanna International Group, LLP 0.05%
Renaissance Technologies Corp 0.04%
Ground Swell Capital, LLC 0.03%
SBI Securities Co Ltd 0.00%

Unit Economics (Per $1K Revenue)

★★★★★
CLPS generates approximately $209 of gross profit, $-40 of operating income, and $-23 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

★★★★★
Effective Tax Rate: -17.29% (Tax Credit)

Quantitative Style Profile

★★★★★
CLPS has a relatively low-volatility profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Low VolatilitySmall / Mid Cap Risk

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 30.60M USD
Price to earnings Ratio -
1Y Target Price -
Price to earnings Ratio -
1Y Target Price -
Volume (30-day avg) 17.5K shares
Beta 0.72
52 Weeks Range 0.80 - 1.88
Updated Date 09/27/2026
52 Weeks Range 0.80 - 1.88
Updated Date 09/27/2026
Dividends yield (FY) -
Basic EPS (TTM) -0.24

How Company Makes Money

Business areaWhat it includesRetail investor read
IT Consulting ServicesSoftware design, development, and system integration projects.The primary way CLPS makes money is by charging financial institutions for technical consulting projects.
Managed ServicesOngoing IT maintenance and support.Provides recurring revenue through long-term service contracts.
FinTech ProductsProprietary software solutions.Small but growing revenue stream from selling specialized financial software tools.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

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Valuation

Trailing PE -
Forward PE -
Enterprise Value 29.80M
Price to Sales(TTM) 0.18
Enterprise Value 29.80M
Price to Sales(TTM) 0.18
Enterprise Value to Revenue 0.18
Enterprise Value to EBITDA 202.5
Shares Outstanding 29.84M
Shares Floating 11.04M
Shares Outstanding 29.84M
Shares Floating 11.04M
Percent Insiders 56.22
Percent Institutions 0.49

Icon representing Upturn AI-generated SWOT analysis summary Upturn AI Summary

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About CLPS Inc

Exchange NASDAQ
Headquarters -
IPO Launch date 2018-05-24
Co-Founder, CEO & Director Mr. Ming Hui Lin
Sector Technology
Industry Information Technology Services
Full time employees 3534
Full time employees 3534

CLPS Incorporation, through its subsidiaries, provides information technology services and solutions in Mainland China, Singapore, Hong Kong, the United States, Japan, India, and internationally. It operates in two segments, IT Services and Academic Education Services. The company offers IT consulting services for banking, including system implementation, testing, and enhancement for various functions; service package, such as planning, development, optimization, software quality assurance, and IT staffing; and fintech solutions comprising integrated development, mainframe and open platform integration, mobile apps, quality management, cloud, and big data solutions. It also provides credit card solutions, which include credit card applications, account setup, authorization and activation, settlement, collection, promotion, point systems, anti-fraud, statement, reporting, and risk management; architecture consulting services for core banking systems, and online and mobile banking; and decision engines, quantitative investment, mobile cloud testing, unified operation and maintenance platforms, and enterprise digital management. In addition, the company provides e-commerce platform; e-commerce solutions, such as planning, design, development, and customer service through digital marketing platforms; and automotive solutions, which include big data governance, data analysis, intelligent cockpits, in-car experience interaction, and in-car marketplaces. Further, it engages in the provision of fixed tuition fees for formal educational, recruitment and headhunting, and fee-for-service training services; IT-related courses such as DevOps, ChatGPT, Python, SAFe Scrum Master, and more; software development and sale; and operates CLPS virtual banking platform, a training platform for IT talents. It serves the banking, wealth management, e-commerce, automotive, and technology industries. CLPS Incorporation has an collaboration with The Bank of East Asia, Limited to conduct a Proof-of-Concept of Nibot, an advanced AI agent tha