Transcat, Inc.
- Open
- 86.20
- Day high
- 87.80
- Day low
- 85.54
- Prev close
- 86.09
- Volume
- 12K
- Mkt cap
- $806M
- P/E (TTM)
- 121.6
- EPS (TTM)
- $0.71
- P/B
- 2.7
- P/S
- 2.4
- Yield
- —
- Per share
- —
Transcat, Inc. (TRNS) is a Industrials company listed on NASDAQ. The stock is up 8% over the past year.
Transcat, Inc. (TRNS) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
TRNS earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 26, 2026 | $0.51 | $0.56 | +9.8% | $89M | -0.5% |
| Feb 3, 2026 | $0.30 | $0.26 | -13.3% | $73M | -18.3% |
| Aug 6, 2025 | $0.40 | $0.59 | +47.5% | $76M | +2.5% |
| May 19, 2025 | $0.66 | $0.64 | -3.0% | $77M | +1.0% |
| Jan 27, 2025 | $0.38 | $0.45 | +18.4% | $67M | -12.6% |
| May 20, 2024 | $0.53 | $0.77 | +45.3% | $71M | +3.4% |
| Jan 29, 2024 | $0.35 | $0.38 | +8.6% | $65M | -5.2% |
| May 22, 2023 | $0.35 | $0.48 | +37.1% | $231M | +290.1% |
| Jan 30, 2023 | $0.22 | $0.21 | -4.5% | $57M | +1.4% |
| Oct 31, 2022 | $0.39 | $0.31 | -20.5% | $56M | +2.5% |
| Aug 1, 2022 | $0.27 | $0.40 | +48.1% | $55M | +5.1% |
| May 23, 2022 | $0.45 | $0.40 | -11.1% | $56M | +1.2% |
TRNS insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 24, 2026 | Simmons Royal Thomas Jr.officer: Chief Strat. & CorpDev Officer | Grant | 1,508 | — |
| Jun 11, 2026 | Rudow Lee D.director, officer: President and CEO | Tax | 2,970 | $71.32 |
| Jun 11, 2026 | Rudow Lee D.director, officer: President and CEO | Option | 4,167 | — |
| Jun 11, 2026 | Rudow Lee D.director, officer: President and CEO | Tax | 1,867 | $72.97 |
| Jun 11, 2026 | Rudow Lee D.director, officer: President and CEO | Option | 5,000 | — |
| Jun 11, 2026 | Rudow Lee D.director, officer: President and CEO | Option | 3,785 | — |
| May 28, 2026 | Conroy Theresa A.officer: Chief Human Resources Officer | Tax | 335 | $76.45 |
| May 28, 2026 | West Michael W.officer: Chief Operating Officer | Grant | 1,807 | — |
| May 28, 2026 | Conroy Theresa A.officer: Chief Human Resources Officer | Grant | 1,382 | — |
| May 28, 2026 | West Michael W.officer: Chief Operating Officer | Grant | 1,051 | — |
| May 28, 2026 | Haddad Michael Jacquesofficer: Chief Information Officer | Grant | 1,382 | — |
| May 28, 2026 | IRICK JAIME Adirector, officer: President and CEO | Grant | 15,043 | — |
| May 28, 2026 | Johnston Kristina Lofficer: Principal Accounting Officer | Grant | 409 | — |
| May 28, 2026 | Barbato Thomas Lofficer: Sr. VP Finance & CFO | Grant | 3,925 | — |
| May 28, 2026 | Barbato Thomas Lofficer: Sr. VP Finance & CFO | Grant | 1,719 | — |
Source: TRNS SEC Form 4 filings, latest Jun 24, 2026. For informational purposes only — not investment advice.
See the full TRNS insider & 13F page →Transcat, Inc. company profile
Overview
Transcat, Inc. (NASDAQ:TRNS) is a Rochester, New York-based industrial services company that was incorporated in 1964 and went public in 1977. The company has evolved from its origins into a specialized provider of calibration services and test equipment distribution, primarily serving highly regulated industries such as life sciences, aerospace, and defense. Over nearly six decades, Transcat has grown through both organic expansion and strategic acquisitions, establishing itself as a leading player in the precision measurement and calibration industry across the United States, Canada, and internationally.
Business
Transcat operates in the precision measurement and calibration industry, which ensures that scientific and industrial instruments maintain their accuracy and comply with regulatory standards. The company's business is organized into two complementary segments that together provide comprehensive solutions for customers' test and measurement needs. The Service segment represents the larger portion of the business, generating approximately 65-70% of total revenue. This division provides calibration services, which involve testing and adjusting measurement instruments to ensure they meet specified accuracy standards. Calibration is critical in regulated industries where precise measurements can affect product safety, quality, and regulatory compliance. Beyond basic calibration, the Service segment offers repair, inspection, analytical qualification, preventative maintenance, and consulting services. The segment also provides proprietary software solutions including CalTrak, a document and asset management system that helps integrate workflow across calibration service centers, and an online customer portal called Compliance, Control and Cost that offers web-based asset management capabilities and secure archival of service records. The Distribution segment accounts for approximately 30-35% of revenue and focuses on selling and renting test, measurement, and control instruments. This segment has undergone significant transformation in recent years, with equipment rental becoming an increasingly important component, now representing 20-25% of distribution revenue. The rental business commands higher margins than traditional equipment sales because it addresses customers' immediate needs for specialized instruments without requiring large capital expenditures. The Distribution segment also provides value-added services such as calibration and certification of purchased equipment, used equipment sales, and equipment kitting services. Both segments primarily serve highly regulated industries where measurement accuracy is critical for compliance and safety. The life sciences sector, which includes pharmaceutical, biotechnology, and medical device companies, represents approximately 60% of the Service segment's business. Other key markets include aerospace and defense, industrial manufacturing, and energy and utilities sectors.
Revenue model
Transcat generates revenue through multiple complementary business models across its two operating segments. The Service segment operates on a fee-for-service model, charging customers for calibration, repair, maintenance, and consulting services. This creates a recurring revenue stream as instruments require regular recalibration to maintain compliance with industry standards and regulations. The segment also generates software licensing revenue from its proprietary CalTrak system and subscription revenue from its online customer portal services. The Distribution segment employs both product sales and rental models. Traditional equipment sales generate one-time revenue with typical distribution margins, while the growing rental business provides higher-margin recurring revenue. The rental model has become increasingly attractive to customers who prefer operational expenses over capital expenditures, need equipment for short-term projects, or require immediate access to specialized instruments. The segment also earns revenue from value-added services such as equipment calibration, certification, and kitting. Several factors influence Transcat's profitability and margins. Positive margin drivers include the company's focus on highly regulated industries that require specialized expertise and have less price sensitivity, the growing adoption of equipment rental services which command premium pricing, ongoing automation initiatives in calibration laboratories that improve technician productivity, and the company's ability to cross-sell services across its integrated platform. The acquisition strategy also contributes to margin expansion by adding higher-margin capabilities and achieving operational synergies. Margin pressures can arise from labor shortages in the skilled technician market, which may require higher compensation or overtime costs, competitive pricing pressure in the distribution business, initial margin dilution when establishing new client-based laboratories as new staff undergo training, and economic downturns that could reduce customer demand for discretionary services. However, the company's focus on mission-critical services in regulated industries provides some insulation from economic volatility, as customers cannot easily defer calibration requirements without risking regulatory compliance issues.
Competitive moat
Transcat's competitive moat is moderately strong, built primarily on regulatory requirements, specialized expertise, and customer switching costs. The company's strongest defensive position comes from serving highly regulated industries where calibration services are mandatory for compliance rather than optional. Once customers establish relationships with calibration providers, switching costs are significant due to the need to revalidate processes, retrain staff, and potentially face regulatory scrutiny during transitions. The company has developed specialized expertise in complex calibration procedures and maintains accreditations that are difficult and time-consuming for competitors to replicate. Transcat's proprietary software systems, particularly CalTrak, create additional switching costs by integrating deeply into customers' asset management workflows. The company's geographic footprint and ability to provide on-site services through client-based laboratories also create convenience-based competitive advantages. However, Transcat's moat faces several limitations. The calibration services industry is fragmented with numerous regional competitors, and barriers to entry are not prohibitively high for well-capitalized entrants. Large customers have the option to bring calibration services in-house, particularly if they have sufficient volume to justify the investment. The distribution business faces more intense competition from equipment manufacturers, online retailers, and other distributors, with limited differentiation beyond service quality and relationships. The company's acquisition strategy helps strengthen its moat by expanding geographic coverage, adding specialized capabilities, and increasing scale advantages. Recent acquisitions like NEXA Enterprise Asset Management have expanded Transcat's addressable market into adjacent consulting services. However, the company operates in a mature industry with modest organic growth rates, requiring continued acquisitions to maintain strong growth momentum. The integration risk from frequent acquisitions and the need to maintain service quality across a growing network of locations present ongoing challenges to sustaining competitive advantages.
Risks & safety
Transcat demonstrates a solid margin of safety with strong financial fundamentals, though valuation metrics suggest limited upside at current levels. • Liquidity and Solvency: Strong balance sheet with $4.6 million cash, current ratio of 2.42x, and quick ratio of 1.98x indicating adequate short-term liquidity. Debt-to-equity ratio of 0.23x represents manageable leverage levels. • Cash Generation: Positive free cash flow of $9.7 million in recent quarter, with operating cash flow of $12.6 million demonstrating healthy cash conversion from operations. • Valuation Concerns: EV/EBITDA of 33.5x appears elevated for a mature industrial services company, suggesting limited margin of safety at current prices. Price-to-book ratio of 3.48x indicates shares trade at a significant premium to tangible book value. • Growth Sustainability: Revenue growth has been supported by acquisitions, with organic growth in high single-digit to low double-digit range. The company's ability to maintain growth rates may depend on continued successful acquisitions. • Other Considerations: Recurring nature of calibration services provides revenue stability, and exposure to regulated industries offers some downside protection during economic downturns.
Recent development
Over the past few years, Transcat has executed a comprehensive growth strategy centered on strategic acquisitions, operational improvements, and market expansion. The company has completed multiple significant acquisitions including NEXA Enterprise Asset Management, which expanded its capabilities into consulting and asset management services, and Axiom Test Equipment Rentals, which was described as the largest acquisition in company history and significantly enhanced the Distribution segment's rental capabilities. The Service segment has maintained impressive consistency with 59 consecutive quarters of year-over-year revenue growth, driven by both organic expansion and acquisitions. Management has focused heavily on operational excellence initiatives, including automation and robotics implementation in calibration laboratories to improve technician productivity. The company describes itself as being in the "fifth inning" of automation implementation, with robots now handling mass calibrations and digital multimeter work in several facilities. Geographic expansion has been another key strategic priority, with new laboratory openings and the establishment of client-based laboratories (CBLs) that provide on-site services to large customers. The company currently operates over 20 active CBLs, with revenue per laboratory ranging from $500,000 to $2 million annually. International expansion has included opportunistic presence in Europe, though the primary focus remains on the North American market. The Distribution segment has undergone significant transformation through the growth of equipment rental services, which now comprise 20-25% of distribution revenue and have driven approximately 1,000 basis points of gross margin expansion since 2016. This shift toward higher-margin rental services has been a key driver of overall profitability improvement. Recent acquisitions like SteriQual have added specialized life sciences capabilities, while the integration of companies like Alliance Calibration and e2b Calibration has expanded geographic coverage and technical expertise.
TRNS company profile · for informational purposes only — not investment advice.
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