Sees FY27 Gross Profit and Adjusted EBITDA Up in Mid-Single Digits
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 28 2026
0mins
Sees FY27 gross profit and adjusted EBITDA up in mid-single digits.
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Analyst Views on PLUS
About PLUS
ePlus inc. is engaged in offering transformative technology solutions and services. It offers a portfolio of solutions, including artificial intelligence, security, cloud and data center, networking and collaboration, as well as managed, consultative and professional services, working with organizations across various industries to navigate business challenges. Its technology business segment consists of product, professional services, and managed services. Its product segment includes sales of information technology (IT) products, third-party software, and third-party maintenance, software assurance, and other third-party services. Its professional services segment includes its advanced professional services, staff augmentation, project management services, cloud consulting services and security services. Its managed services segment includes its advanced managed services, service desk, storage-as-a-service, cloud hosted services, cloud managed services and managed security services.
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.
Analysis of Investment Opportunities in Small-Cap Stocks
- Varonis Systems Risks: Varonis Systems (VRNS), with a market cap of $3.84 billion, has shown only 16.1% annual revenue growth over the past five years, which is below the software sector's standards, and due to intense competition, the company must increase its sales and marketing expenditures, leading to a 2.5 percentage point decline in operating margin, heightening investment risks.
- ePlus Growth Concerns: ePlus (PLUS), valued at $2.17 billion, has experienced muted 4.8% annual revenue growth over the last two years, indicating demand lagging behind peers, while its annual earnings per share growth of only 3.2% suggests profitability issues, and a 2.5 percentage point drop in free cash flow margin implies increased capital intensity amid rising competition, reducing its investment appeal.
- Vita Coco's Strong Performance: Vita Coco (COCO), with a market cap of $4.49 billion, has demonstrated robust unit sales over the past two years, with earnings per share compounding at an impressive 52.4% annually, reflecting strong market demand and management's investment acumen, currently trading at $83.93 with a forward P/E ratio of 46, indicating its investment value.
- Market Dynamics Analysis: The small-cap market is rapidly differentiating, with a widening gap between quality stocks and overpriced ones, as AI technology disrupts multiple sectors swiftly, prompting investors to stay alert to market changes to seize potential investment opportunities.
See More
ePlus Recognized as Dell's North America Strategic Impact Partner of the Year
- Strategic Partnership Recognition: ePlus has been named Dell Technologies' North America Strategic Impact Partner of the Year, highlighting its exceptional execution and customer outcomes, thereby strengthening its collaboration with Dell.
- Technological Integration Advantage: This partnership combines ePlus' expertise in AI solutions with Dell's advanced AI client, server, storage, and cloud technologies, delivering comprehensive computing and storage solutions that effectively address cybersecurity threats.
- Market Growth Potential: ePlus President Ken Farber stated that this recognition validates the company's growth momentum, and they plan to leverage Dell's product portfolio to help clients succeed in a rapidly evolving IT landscape.
- Industry Leadership Position: As an industry leader with over 2,130 employees, ePlus offers a full range of solutions in AI, security, cloud, and data centers, showcasing its critical role in technology transformation.
See More
ePlus Named Digital Realty's Americas Partner of the Year
- Partner of the Year Award: ePlus has been recognized as Digital Realty's Americas Partner of the Year for 2025, acknowledging its success and positive impact in aiding enterprises to achieve their digital transformation and AI ambitions.
- Launch of AI Experience Center: ePlus has launched the AI Experience Center within Digital Realty's Innovation Lab, providing hands-on demonstrations of advanced AI infrastructure, enabling customers to explore real-world solutions tailored for AI workloads.
- Customer Success Support: ePlus's solutions empower clients to successfully implement projects within increasingly demanding timelines, showcasing its capability as a trusted partner in identifying the best paths forward for organizations.
- Industry Leadership: With over 2,130 employees, ePlus offers a comprehensive portfolio of technology solutions, and its three decades of experience positions it to effectively assist clients across various industries in navigating business challenges, further solidifying its leadership in the industry.
See More
Market Dynamics and Dividend Announcements
- Strong Economic Data: The ISM Manufacturing Purchasing Managers' Index (PMI) rose to 54 in May, marking a four-year high and indicating ongoing economic expansion, although first-quarter GDP growth was revised down to 1.6%, suggesting a slowdown.
- Stable Jobless Claims: Jobless claims remained low at 215,000, reflecting resilience in the labor market, despite weakened consumer sentiment due to high inflation and geopolitical risks, which may impact future spending.
- Dividend Growth Trend: UnitedHealth Group (UNH) announced a dividend of $2.32 per share payable on June 23, having increased its dividend six times over the past five years, with a current payout ratio of 54%, indicating a solid financial structure.
- Diversification Opportunities: In the current market environment, investors may consider companies like UnitedHealth, Donaldson (DCI), Lowe's, and ePlus, all of which have stable dividend records that can provide a safety margin amid market volatility.
See More
ePlus Unveils Self-Healing AI Platform with Cisco and NVIDIA
- Technological Innovation: ePlus, in collaboration with Cisco and NVIDIA, has launched the AgenticOps technology, which provides an enterprise-grade self-healing AI platform designed to reduce human intervention and enhance security, thereby enabling organizations to operate more efficiently in complex IT environments.
- Enhanced Response Speed: This solution reduces the mean time to resolution from hours to minutes through autonomous detection and remediation, significantly improving the responsiveness of IT and security teams and helping enterprises to quickly address security threats.
- Unified Architecture Benefits: The AgenticOps platform integrates ePlus's AI technology, Cisco's security defense solutions, and NVIDIA's runtime environment, creating a powerful unified architecture that enhances enterprise confidence and security in AI operations.
- Market Demand Response: As alert volumes surge and the complexity of hybrid environments increases, enterprises urgently need such solutions to simplify operations and reduce operational costs, thereby maintaining a competitive edge.
See More
ePlus Increases Quarterly Dividend to $0.27 per Share
- Quarterly Dividend Announcement: ePlus declares a quarterly dividend of $0.27 per share, consistent with previous distributions, demonstrating the company's ongoing ability to maintain stable cash flows, which is likely to attract more income-focused investors.
- Dividend Yield: The forward yield stands at 1.22%, reflecting the company's attractiveness in the current market environment, potentially increasing investor interest in its stock.
- Shareholder Record Date: The dividend will be payable on June 30, with a record date of June 17 and an ex-dividend date also on June 17, ensuring shareholders receive their earnings in a timely manner.
- Future Growth Expectations: ePlus anticipates mid-single-digit growth for FY2027, with the board raising the quarterly dividend by 8%, indicating confidence in future performance while providing shareholders with higher returns.
See More
Analysis of Investment Opportunities in Small-Cap Stocks
- Varonis Systems Risks: Varonis Systems (VRNS), with a market cap of $3.84 billion, has shown only 16.1% annual revenue growth over the past five years, which is below the software sector's standards, and due to intense competition, the company must increase its sales and marketing expenditures, leading to a 2.5 percentage point decline in operating margin, heightening investment risks.
- ePlus Growth Concerns: ePlus (PLUS), valued at $2.17 billion, has experienced muted 4.8% annual revenue growth over the last two years, indicating demand lagging behind peers, while its annual earnings per share growth of only 3.2% suggests profitability issues, and a 2.5 percentage point drop in free cash flow margin implies increased capital intensity amid rising competition, reducing its investment appeal.
- Vita Coco's Strong Performance: Vita Coco (COCO), with a market cap of $4.49 billion, has demonstrated robust unit sales over the past two years, with earnings per share compounding at an impressive 52.4% annually, reflecting strong market demand and management's investment acumen, currently trading at $83.93 with a forward P/E ratio of 46, indicating its investment value.
- Market Dynamics Analysis: The small-cap market is rapidly differentiating, with a widening gap between quality stocks and overpriced ones, as AI technology disrupts multiple sectors swiftly, prompting investors to stay alert to market changes to seize potential investment opportunities.
See More
ePlus Recognized as Dell's North America Strategic Impact Partner of the Year
- Strategic Partnership Recognition: ePlus has been named Dell Technologies' North America Strategic Impact Partner of the Year, highlighting its exceptional execution and customer outcomes, thereby strengthening its collaboration with Dell.
- Technological Integration Advantage: This partnership combines ePlus' expertise in AI solutions with Dell's advanced AI client, server, storage, and cloud technologies, delivering comprehensive computing and storage solutions that effectively address cybersecurity threats.
- Market Growth Potential: ePlus President Ken Farber stated that this recognition validates the company's growth momentum, and they plan to leverage Dell's product portfolio to help clients succeed in a rapidly evolving IT landscape.
- Industry Leadership Position: As an industry leader with over 2,130 employees, ePlus offers a full range of solutions in AI, security, cloud, and data centers, showcasing its critical role in technology transformation.
See More
ePlus Named Digital Realty's Americas Partner of the Year
- Partner of the Year Award: ePlus has been recognized as Digital Realty's Americas Partner of the Year for 2025, acknowledging its success and positive impact in aiding enterprises to achieve their digital transformation and AI ambitions.
- Launch of AI Experience Center: ePlus has launched the AI Experience Center within Digital Realty's Innovation Lab, providing hands-on demonstrations of advanced AI infrastructure, enabling customers to explore real-world solutions tailored for AI workloads.
- Customer Success Support: ePlus's solutions empower clients to successfully implement projects within increasingly demanding timelines, showcasing its capability as a trusted partner in identifying the best paths forward for organizations.
- Industry Leadership: With over 2,130 employees, ePlus offers a comprehensive portfolio of technology solutions, and its three decades of experience positions it to effectively assist clients across various industries in navigating business challenges, further solidifying its leadership in the industry.
See More
Market Dynamics and Dividend Announcements
- Strong Economic Data: The ISM Manufacturing Purchasing Managers' Index (PMI) rose to 54 in May, marking a four-year high and indicating ongoing economic expansion, although first-quarter GDP growth was revised down to 1.6%, suggesting a slowdown.
- Stable Jobless Claims: Jobless claims remained low at 215,000, reflecting resilience in the labor market, despite weakened consumer sentiment due to high inflation and geopolitical risks, which may impact future spending.
- Dividend Growth Trend: UnitedHealth Group (UNH) announced a dividend of $2.32 per share payable on June 23, having increased its dividend six times over the past five years, with a current payout ratio of 54%, indicating a solid financial structure.
- Diversification Opportunities: In the current market environment, investors may consider companies like UnitedHealth, Donaldson (DCI), Lowe's, and ePlus, all of which have stable dividend records that can provide a safety margin amid market volatility.
See More
ePlus Unveils Self-Healing AI Platform with Cisco and NVIDIA
- Technological Innovation: ePlus, in collaboration with Cisco and NVIDIA, has launched the AgenticOps technology, which provides an enterprise-grade self-healing AI platform designed to reduce human intervention and enhance security, thereby enabling organizations to operate more efficiently in complex IT environments.
- Enhanced Response Speed: This solution reduces the mean time to resolution from hours to minutes through autonomous detection and remediation, significantly improving the responsiveness of IT and security teams and helping enterprises to quickly address security threats.
- Unified Architecture Benefits: The AgenticOps platform integrates ePlus's AI technology, Cisco's security defense solutions, and NVIDIA's runtime environment, creating a powerful unified architecture that enhances enterprise confidence and security in AI operations.
- Market Demand Response: As alert volumes surge and the complexity of hybrid environments increases, enterprises urgently need such solutions to simplify operations and reduce operational costs, thereby maintaining a competitive edge.
See More
ePlus Increases Quarterly Dividend to $0.27 per Share
- Quarterly Dividend Announcement: ePlus declares a quarterly dividend of $0.27 per share, consistent with previous distributions, demonstrating the company's ongoing ability to maintain stable cash flows, which is likely to attract more income-focused investors.
- Dividend Yield: The forward yield stands at 1.22%, reflecting the company's attractiveness in the current market environment, potentially increasing investor interest in its stock.
- Shareholder Record Date: The dividend will be payable on June 30, with a record date of June 17 and an ex-dividend date also on June 17, ensuring shareholders receive their earnings in a timely manner.
- Future Growth Expectations: ePlus anticipates mid-single-digit growth for FY2027, with the board raising the quarterly dividend by 8%, indicating confidence in future performance while providing shareholders with higher returns.
See More
