OSI Systems Secures $235M Contract for Radar System
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 21 hours ago
0mins
Should l Buy OSIS?
Source: seekingalpha
- Significant Contract Value: OSI Systems' Security division has received an undefinitized contract action valued at approximately $235 million, focusing on the production and integration of a homeland defense over-the-horizon radar transmit subsystem, indicating strong demand in the defense sector.
- Initial Funding Secured: The contract is initially funded at $46 million, with additional funding expected to support the program schedule, reflecting the client's commitment to the system and confidence in OSI's capabilities.
- Technological Innovation Support: The system is designed to enable long-range tracking of targets beyond conventional line-of-sight limits, enhancing homeland security monitoring capabilities and potentially laying the groundwork for further expansion in the defense market.
- Future Growth Outlook: OSI Systems anticipates a 10-13% EPS growth for fiscal 2026 while expanding its RF and security operations, demonstrating a positive outlook on future market opportunities.
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Analyst Views on OSIS
Wall Street analysts forecast OSIS stock price to fall
3 Analyst Rating
2 Buy
1 Hold
0 Sell
Moderate Buy
Current: 292.520
Low
255.00
Averages
287.33
High
315.00
Current: 292.520
Low
255.00
Averages
287.33
High
315.00
About OSIS
OSI Systems, Inc., together with its subsidiaries, is a vertically integrated designer and manufacturer of specialized electronic systems and components for critical applications. The Company sells its products and provides related services in diversified markets, including homeland security, healthcare, defense and aerospace. It has three operating divisions: Security, providing security and inspection systems and turnkey security screening solutions, Optoelectronics and Manufacturing, providing specialized electronic components for its Security and Healthcare divisions, and to third parties for applications in the defense and aerospace markets, among others, and Healthcare, providing patient monitoring, cardiology and remote monitoring, and connected care systems and associated accessories. It designs and manufactures its optoelectronic devices and value-added subsystems and provides electronics manufacturing services primarily for original equipment manufacturer (OEM) customers.
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.
OSI Systems Secures $235M Contract for Radar System
- Significant Contract Value: OSI Systems' Security division has received an undefinitized contract action valued at approximately $235 million, focusing on the production and integration of a homeland defense over-the-horizon radar transmit subsystem, indicating strong demand in the defense sector.
- Initial Funding Secured: The contract is initially funded at $46 million, with additional funding expected to support the program schedule, reflecting the client's commitment to the system and confidence in OSI's capabilities.
- Technological Innovation Support: The system is designed to enable long-range tracking of targets beyond conventional line-of-sight limits, enhancing homeland security monitoring capabilities and potentially laying the groundwork for further expansion in the defense market.
- Future Growth Outlook: OSI Systems anticipates a 10-13% EPS growth for fiscal 2026 while expanding its RF and security operations, demonstrating a positive outlook on future market opportunities.
See More
OSI Systems, Inc. to Host Quarterly Earnings Call
- Earnings Call Schedule: OSI Systems, Inc. will hold its quarterly earnings call on May 4, 2026, at 1:30 PM PT to discuss financial results for the quarter ending March 31, 2026, which is expected to provide key financial metrics and future outlook, aiding investors in assessing company performance.
- Live Webcast Availability: The live webcast of the meeting will be available in the Investor Relations section of the company's website, allowing global investors to access real-time information, enhancing transparency and boosting investor confidence.
- Company Business Overview: OSI Systems specializes in designing and manufacturing specialized electronic systems and components for critical applications, operating across three segments: Security, Optoelectronics and Manufacturing, and Healthcare, showcasing its competitiveness and adaptability in diverse markets.
- Global Customer Service: Serving customers in over 170 countries, the company leverages its global sales, service, R&D, and manufacturing capabilities to ensure fast and efficient delivery and support, further solidifying its position in the international market.
See More
Latest Rating Changes on Wall Street
- Apple's Positive Outlook: Wells Fargo reiterates Apple (AAPL) as overweight, anticipating better-than-expected iPhone demand and continued double-digit growth in services ahead of its earnings report, with a price target of $300.
- SolarEdge Downgraded: Goldman Sachs downgrades SolarEdge (SEDG) from neutral to sell, citing elevated expectations and challenging valuation as key factors behind the downgrade.
- Meta's Advertising Growth: Deutsche Bank maintains a buy rating on Meta (META), highlighting that its investments in AI are yielding increasing returns for advertisers, which supports accelerated advertising revenue growth.
- Autodesk Positioned Well: Jefferies initiates coverage on Autodesk (ADSK) with a buy rating, noting its strong positioning in agentic AI and solid fundamentals, presenting an attractive risk/reward profile at current levels.
See More
OSI Systems Secures Over $40 Million Contract
- Significant Contract Value: OSI Systems has secured a multi-year contract valued at over $40 million to supply electronic sub-assemblies for a medical device manufacturer, indicating strong demand and market position in the healthcare sector.
- Business Expansion Opportunity: This contract will enable OSI's optoelectronics and manufacturing division to further penetrate applications in medical device platforms, which is expected to drive revenue growth and enhance profitability in the coming years.
- Positive Market Reaction: Following the contract announcement, OSI Systems' stock price rose to $269.37 in pre-market trading, reflecting investor optimism and confidence in the company's future prospects.
- Optimistic Financial Outlook: OSI Systems anticipates an EPS growth of 10% to 13% for fiscal 2026, indicating that the company's strategic plans to expand its RF and security operations are being effectively implemented.
See More
OSI Systems Secures $40 Million Medical Device Contract
- Major Contract Awarded: OSI Systems' Optoelectronics and Manufacturing division has secured a multi-year contract valued at over $40 million from a leading medical device OEM to provide critical electronic sub-assemblies, showcasing the company's robust manufacturing capabilities in the medical device sector.
- High-Quality Solutions: President Ajay Mehra emphasized that being selected for this significant program highlights OSI's ability to deliver high-quality, reliable solutions that support critical healthcare applications, further solidifying its market position in the medical industry.
- Global Manufacturing Network: OSI Systems leverages its global manufacturing footprint to respond swiftly to customer needs, ensuring timely delivery, which enhances customer trust and satisfaction, thereby driving future business growth.
- Diverse Business Portfolio: Operating across security, optoelectronics and manufacturing, and healthcare sectors, OSI Systems serves customers in over 170 countries, demonstrating its comprehensive strength and adaptability in multiple critical application areas.
See More
OSI Systems to Present at Morgan Stanley Conference
- Conference Details: OSI Systems, Inc. will present at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 1:50 p.m. PT in San Francisco, showcasing its expertise in electronic systems.
- Company Overview: OSI Systems designs and manufactures specialized electronic systems and components for critical applications, operating across three main segments: Security, Optoelectronics and Manufacturing, and Healthcare, serving customers in over 170 countries.
- Security Division: The Security segment delivers advanced inspection systems and comprehensive support services aimed at protecting people and infrastructure, highlighting its leadership in the global security solutions market.
- Healthcare Focus: OSI Systems' Healthcare segment emphasizes patient monitoring and diagnostic cardiology, aiming to enhance clinical care and patient outcomes, reflecting the company's strategic importance in the medical technology sector.
See More
OSI Systems Secures $235M Contract for Radar System
- Significant Contract Value: OSI Systems' Security division has received an undefinitized contract action valued at approximately $235 million, focusing on the production and integration of a homeland defense over-the-horizon radar transmit subsystem, indicating strong demand in the defense sector.
- Initial Funding Secured: The contract is initially funded at $46 million, with additional funding expected to support the program schedule, reflecting the client's commitment to the system and confidence in OSI's capabilities.
- Technological Innovation Support: The system is designed to enable long-range tracking of targets beyond conventional line-of-sight limits, enhancing homeland security monitoring capabilities and potentially laying the groundwork for further expansion in the defense market.
- Future Growth Outlook: OSI Systems anticipates a 10-13% EPS growth for fiscal 2026 while expanding its RF and security operations, demonstrating a positive outlook on future market opportunities.
See More
OSI Systems, Inc. to Host Quarterly Earnings Call
- Earnings Call Schedule: OSI Systems, Inc. will hold its quarterly earnings call on May 4, 2026, at 1:30 PM PT to discuss financial results for the quarter ending March 31, 2026, which is expected to provide key financial metrics and future outlook, aiding investors in assessing company performance.
- Live Webcast Availability: The live webcast of the meeting will be available in the Investor Relations section of the company's website, allowing global investors to access real-time information, enhancing transparency and boosting investor confidence.
- Company Business Overview: OSI Systems specializes in designing and manufacturing specialized electronic systems and components for critical applications, operating across three segments: Security, Optoelectronics and Manufacturing, and Healthcare, showcasing its competitiveness and adaptability in diverse markets.
- Global Customer Service: Serving customers in over 170 countries, the company leverages its global sales, service, R&D, and manufacturing capabilities to ensure fast and efficient delivery and support, further solidifying its position in the international market.
See More
Latest Rating Changes on Wall Street
- Apple's Positive Outlook: Wells Fargo reiterates Apple (AAPL) as overweight, anticipating better-than-expected iPhone demand and continued double-digit growth in services ahead of its earnings report, with a price target of $300.
- SolarEdge Downgraded: Goldman Sachs downgrades SolarEdge (SEDG) from neutral to sell, citing elevated expectations and challenging valuation as key factors behind the downgrade.
- Meta's Advertising Growth: Deutsche Bank maintains a buy rating on Meta (META), highlighting that its investments in AI are yielding increasing returns for advertisers, which supports accelerated advertising revenue growth.
- Autodesk Positioned Well: Jefferies initiates coverage on Autodesk (ADSK) with a buy rating, noting its strong positioning in agentic AI and solid fundamentals, presenting an attractive risk/reward profile at current levels.
See More
OSI Systems Secures Over $40 Million Contract
- Significant Contract Value: OSI Systems has secured a multi-year contract valued at over $40 million to supply electronic sub-assemblies for a medical device manufacturer, indicating strong demand and market position in the healthcare sector.
- Business Expansion Opportunity: This contract will enable OSI's optoelectronics and manufacturing division to further penetrate applications in medical device platforms, which is expected to drive revenue growth and enhance profitability in the coming years.
- Positive Market Reaction: Following the contract announcement, OSI Systems' stock price rose to $269.37 in pre-market trading, reflecting investor optimism and confidence in the company's future prospects.
- Optimistic Financial Outlook: OSI Systems anticipates an EPS growth of 10% to 13% for fiscal 2026, indicating that the company's strategic plans to expand its RF and security operations are being effectively implemented.
See More
OSI Systems Secures $40 Million Medical Device Contract
- Major Contract Awarded: OSI Systems' Optoelectronics and Manufacturing division has secured a multi-year contract valued at over $40 million from a leading medical device OEM to provide critical electronic sub-assemblies, showcasing the company's robust manufacturing capabilities in the medical device sector.
- High-Quality Solutions: President Ajay Mehra emphasized that being selected for this significant program highlights OSI's ability to deliver high-quality, reliable solutions that support critical healthcare applications, further solidifying its market position in the medical industry.
- Global Manufacturing Network: OSI Systems leverages its global manufacturing footprint to respond swiftly to customer needs, ensuring timely delivery, which enhances customer trust and satisfaction, thereby driving future business growth.
- Diverse Business Portfolio: Operating across security, optoelectronics and manufacturing, and healthcare sectors, OSI Systems serves customers in over 170 countries, demonstrating its comprehensive strength and adaptability in multiple critical application areas.
See More
OSI Systems to Present at Morgan Stanley Conference
- Conference Details: OSI Systems, Inc. will present at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 1:50 p.m. PT in San Francisco, showcasing its expertise in electronic systems.
- Company Overview: OSI Systems designs and manufactures specialized electronic systems and components for critical applications, operating across three main segments: Security, Optoelectronics and Manufacturing, and Healthcare, serving customers in over 170 countries.
- Security Division: The Security segment delivers advanced inspection systems and comprehensive support services aimed at protecting people and infrastructure, highlighting its leadership in the global security solutions market.
- Healthcare Focus: OSI Systems' Healthcare segment emphasizes patient monitoring and diagnostic cardiology, aiming to enhance clinical care and patient outcomes, reflecting the company's strategic importance in the medical technology sector.
See More
