CYCU.O Hits 5-Day High Amid Strong Earnings Surge
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 21 2025
0mins
Should l Buy CYCU?
Source: Coinmarketcap
Shares of CYCU.O reached a 5-day high today, closing at $4.58, following a robust performance from its parent company, IQSTEL Inc. The stock surged 9.57% in after-hours trading, reflecting investor optimism after IQSTEL reported a 90% year-over-year revenue increase, totaling $102.8 million for the third quarter. This impressive financial performance, coupled with a strategic partnership with Cycurion Inc. to develop AI-driven cybersecurity solutions, has bolstered market confidence.
The recent breakout above previous resistance levels signals a potential shift in momentum for CYCU.O, which has struggled throughout the year, experiencing a staggering 98.7% decline year-to-date. The positive news surrounding a $1.145 million contract awarded to Cycurion's subsidiary for modernizing data systems further enhances the stock's appeal. With plans to distribute dividends and a commitment to meet future revenue targets, CYCU.O is positioning itself for a more favorable outlook as it regains compliance with Nasdaq's listing requirements.
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Analyst Views on CYCU
About CYCU
Cycurion, Inc. is a technology-enabled cybersecurity company. The Company provides network communications and information technology security solutions. It also provides proprietary solutions to federal, state and local government agencies and commercial partners. Its ARx platform is a turnkey Web application protection and managed security solution that combines all the essential cybersecurity layers in a comprehensive platform. It provides comprehensive managed information technology (IT) services to help organizations optimize their technology infrastructure and operations. Its security management solution is designed to help organizations protect their digital assets against various cyber threats. Its Managed Security Service includes 24/7 monitoring, threat detection, incident response, and remediation. Its Consulting and Advisory Services include security control assessments, staff augmentation, digital modernization, security architecture and engineering, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Kustom Entertainment Shares Surge 40.28% After Video Division Sale Announcement
- Stock Surge: Kustom Entertainment Inc. shares jumped 40.28% in after-hours trading to $2.96, reflecting strong market sentiment following the announcement of its video solutions division divestiture.
- Video Division Sale Agreement: The company entered a non-binding Memorandum of Understanding with Virginia-based Cycurion Inc. for a transaction valued between $6 million and $8.5 million, with $1 million to $1.4 million in cash and the remainder in Cycurion preferred stock.
- Strategic Shift to Live Events: This divestiture allows Kustom to sharpen its focus on live event production and proprietary online ticketing, aligning with its Nasdaq rebranding strategy, as CEO Stanton E. Ross emphasized the significant opportunities in the entertainment sector.
- Market Performance Analysis: Kustom's Relative Strength Index (RSI) stands at 43.19, with a market capitalization of $1.69 million; the stock has a 52-week high of $4.48 and a low of $1.80, indicating that its recovery potential needs further confirmation given its proximity to the low end of its range.
See More
Cycurion (NASDAQ:CYCU) to Acquire Kustom Entertainment's Video Division for Up to $8.4M
- Acquisition Agreement: Cycurion has signed a memorandum of understanding to acquire Kustom Entertainment's video solutions division, with a transaction value between $6.0M and $8.4M, including $1.0M to $1.4M in cash and the remainder in preferred stock, reflecting the company's confidence in future growth.
- Revenue Growth Projection: The acquisition is expected to boost 2026 revenue by approximately $5.1M and add around $8.0M in backlog, providing strong visibility into future revenues and further solidifying the company's market position.
- Customer Base Expansion: This transaction will broaden Cycurion's customer reach and enhance its integrated capabilities in the public safety and cybersecurity ecosystem, increasing its competitive edge in the market.
- Strategic Implications: The acquisition not only serves as a robust addition to the company's operations but also propels its strategic positioning in the rapidly evolving cybersecurity sector, aiding in the achievement of long-term growth objectives.
See More
Cycurion (CYCU) to Acquire Kustom Entertainment's Video Solutions for $6-8.4 Million
- Transaction Overview: Cycurion has signed a Memorandum of Understanding to acquire Kustom Entertainment's video solutions division for $6-8.4 million, with $1-1.4 million in cash and the remainder in preferred stock, indicating strong confidence in future growth.
- Revenue Growth Expectations: The acquisition is expected to increase Cycurion's revenues by approximately $5.1 million, or 35%, in 2026 compared to 2025, while adding $8 million in backlog from established contracts, further solidifying its market position and enhancing recurring revenue capabilities.
- Customer Base Expansion: This acquisition will provide Cycurion access to Kustom's extensive client footprint across all 50 U.S. states and over 30 countries, significantly enhancing its competitiveness in the public safety and enterprise markets and unlocking substantial cross-selling potential.
- Market Reaction: Following the announcement, Cycurion's shares rose 3.89% to $2.60, reflecting positive market sentiment towards the acquisition, while Kustom's shares fell 3.26% to $2.08, indicating investor concerns about its future performance.
See More
Kustom Entertainment to Divest Video Solutions Division for $6M to $8.5M
- Strategic Shift: Kustom Entertainment has signed a non-binding MOU with Cycurion to divest its video solutions division for an estimated $6 million to $8.5 million, allowing the company to focus on its rapidly growing live event production and online ticketing operations, thereby enhancing its competitiveness in the $100 billion entertainment market.
- Liquidity Enhancement: The transaction is expected to provide cash consideration of $1 million to $1.4 million, with the remainder paid in Cycurion preferred stock, a structure that not only offers immediate liquidity but also sets the stage for long-term equity appreciation.
- Event Management Expansion: By offloading its video solutions division, Kustom aims to aggressively expand its footprint in the live event management and online ticketing sectors, controlling the entire fan experience from ticket purchase to the final encore, thus increasing market share.
- Country Stampede Blueprint: Kustom's flagship event, the Country Stampede Music Festival, will celebrate its 30th anniversary in 2026, and the company plans to leverage this successful model to expand nationwide event production and integrated ticketing services, further solidifying its position in the entertainment industry.
See More
IQSTEL Targets $15 Million EBITDA Run Rate by 2026 Amid Global Expansion
- Profitability Target: IQSTEL aims to achieve a $15 million adjusted EBITDA run rate by 2026, a milestone that will pave the way for the company to reach a $1 billion revenue run rate by 2027, indicating a significant enhancement in its profitability.
- Global Expansion: The company plans to expand its telecom licenses into at least three new countries in 2026 and complete acquisitions of several strategic telecom subsidiaries, which is expected to extend its commercial footprint to approximately 30 countries, thereby enhancing its competitiveness in the global market.
- Cost Consolidation: IQSTEL will migrate most of its telecom subsidiaries to a unified technological platform, which is anticipated to significantly reduce operating costs and improve scalability, providing support for future business growth.
- Shareholder Engagement: IQSTEL plans to enhance shareholder interaction through quarterly live earnings calls, aiming to increase institutional and long-term holdings from 5% to 10%, thereby boosting shareholder confidence and attracting more investment.
See More
Cycurion Reports $80 Million Contract Backlog, Plans Expansion for 2026
- Contract Backlog Growth: Cycurion's current contracted backlog has reached $80 million, indicating strong demand in the cybersecurity sector and laying a solid foundation for business expansion in 2026.
- Shareholder Reward Plan: The company plans to distribute $500,000 worth of CYCU common shares to each shareholder at a ratio of 0.0080 per share, aimed at enhancing shareholder confidence and improving market perception.
- New Contract Approval: Cycurion has been awarded a management consulting services contract by the State of Florida, positioning the company as an eligible vendor and expected to generate new revenue streams while enhancing its competitiveness in the government market.
- Revenue Growth Momentum: The forecasted annual run-rate revenue for Q1 2026 is projected to reach approximately $16.66 million, reflecting the company's strategic pivot towards high-margin SLED contracts and sustained market demand.
See More
Kustom Entertainment Shares Surge 40.28% After Video Division Sale Announcement
- Stock Surge: Kustom Entertainment Inc. shares jumped 40.28% in after-hours trading to $2.96, reflecting strong market sentiment following the announcement of its video solutions division divestiture.
- Video Division Sale Agreement: The company entered a non-binding Memorandum of Understanding with Virginia-based Cycurion Inc. for a transaction valued between $6 million and $8.5 million, with $1 million to $1.4 million in cash and the remainder in Cycurion preferred stock.
- Strategic Shift to Live Events: This divestiture allows Kustom to sharpen its focus on live event production and proprietary online ticketing, aligning with its Nasdaq rebranding strategy, as CEO Stanton E. Ross emphasized the significant opportunities in the entertainment sector.
- Market Performance Analysis: Kustom's Relative Strength Index (RSI) stands at 43.19, with a market capitalization of $1.69 million; the stock has a 52-week high of $4.48 and a low of $1.80, indicating that its recovery potential needs further confirmation given its proximity to the low end of its range.
See More
Cycurion (NASDAQ:CYCU) to Acquire Kustom Entertainment's Video Division for Up to $8.4M
- Acquisition Agreement: Cycurion has signed a memorandum of understanding to acquire Kustom Entertainment's video solutions division, with a transaction value between $6.0M and $8.4M, including $1.0M to $1.4M in cash and the remainder in preferred stock, reflecting the company's confidence in future growth.
- Revenue Growth Projection: The acquisition is expected to boost 2026 revenue by approximately $5.1M and add around $8.0M in backlog, providing strong visibility into future revenues and further solidifying the company's market position.
- Customer Base Expansion: This transaction will broaden Cycurion's customer reach and enhance its integrated capabilities in the public safety and cybersecurity ecosystem, increasing its competitive edge in the market.
- Strategic Implications: The acquisition not only serves as a robust addition to the company's operations but also propels its strategic positioning in the rapidly evolving cybersecurity sector, aiding in the achievement of long-term growth objectives.
See More
Cycurion (CYCU) to Acquire Kustom Entertainment's Video Solutions for $6-8.4 Million
- Transaction Overview: Cycurion has signed a Memorandum of Understanding to acquire Kustom Entertainment's video solutions division for $6-8.4 million, with $1-1.4 million in cash and the remainder in preferred stock, indicating strong confidence in future growth.
- Revenue Growth Expectations: The acquisition is expected to increase Cycurion's revenues by approximately $5.1 million, or 35%, in 2026 compared to 2025, while adding $8 million in backlog from established contracts, further solidifying its market position and enhancing recurring revenue capabilities.
- Customer Base Expansion: This acquisition will provide Cycurion access to Kustom's extensive client footprint across all 50 U.S. states and over 30 countries, significantly enhancing its competitiveness in the public safety and enterprise markets and unlocking substantial cross-selling potential.
- Market Reaction: Following the announcement, Cycurion's shares rose 3.89% to $2.60, reflecting positive market sentiment towards the acquisition, while Kustom's shares fell 3.26% to $2.08, indicating investor concerns about its future performance.
See More
Kustom Entertainment to Divest Video Solutions Division for $6M to $8.5M
- Strategic Shift: Kustom Entertainment has signed a non-binding MOU with Cycurion to divest its video solutions division for an estimated $6 million to $8.5 million, allowing the company to focus on its rapidly growing live event production and online ticketing operations, thereby enhancing its competitiveness in the $100 billion entertainment market.
- Liquidity Enhancement: The transaction is expected to provide cash consideration of $1 million to $1.4 million, with the remainder paid in Cycurion preferred stock, a structure that not only offers immediate liquidity but also sets the stage for long-term equity appreciation.
- Event Management Expansion: By offloading its video solutions division, Kustom aims to aggressively expand its footprint in the live event management and online ticketing sectors, controlling the entire fan experience from ticket purchase to the final encore, thus increasing market share.
- Country Stampede Blueprint: Kustom's flagship event, the Country Stampede Music Festival, will celebrate its 30th anniversary in 2026, and the company plans to leverage this successful model to expand nationwide event production and integrated ticketing services, further solidifying its position in the entertainment industry.
See More
IQSTEL Targets $15 Million EBITDA Run Rate by 2026 Amid Global Expansion
- Profitability Target: IQSTEL aims to achieve a $15 million adjusted EBITDA run rate by 2026, a milestone that will pave the way for the company to reach a $1 billion revenue run rate by 2027, indicating a significant enhancement in its profitability.
- Global Expansion: The company plans to expand its telecom licenses into at least three new countries in 2026 and complete acquisitions of several strategic telecom subsidiaries, which is expected to extend its commercial footprint to approximately 30 countries, thereby enhancing its competitiveness in the global market.
- Cost Consolidation: IQSTEL will migrate most of its telecom subsidiaries to a unified technological platform, which is anticipated to significantly reduce operating costs and improve scalability, providing support for future business growth.
- Shareholder Engagement: IQSTEL plans to enhance shareholder interaction through quarterly live earnings calls, aiming to increase institutional and long-term holdings from 5% to 10%, thereby boosting shareholder confidence and attracting more investment.
See More
Cycurion Reports $80 Million Contract Backlog, Plans Expansion for 2026
- Contract Backlog Growth: Cycurion's current contracted backlog has reached $80 million, indicating strong demand in the cybersecurity sector and laying a solid foundation for business expansion in 2026.
- Shareholder Reward Plan: The company plans to distribute $500,000 worth of CYCU common shares to each shareholder at a ratio of 0.0080 per share, aimed at enhancing shareholder confidence and improving market perception.
- New Contract Approval: Cycurion has been awarded a management consulting services contract by the State of Florida, positioning the company as an eligible vendor and expected to generate new revenue streams while enhancing its competitiveness in the government market.
- Revenue Growth Momentum: The forecasted annual run-rate revenue for Q1 2026 is projected to reach approximately $16.66 million, reflecting the company's strategic pivot towards high-margin SLED contracts and sustained market demand.
See More
