Should I Buy DAKT? DAKT 2026 Analysis

Should You Buy Daktronics Inc (DAKT) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

22.460

1 Day change

2.42%

52 Week Range

24.380

Analysis Updated At

2026/01/28

DAKT is not a good buy right now for a beginner long-term investor who wants to deploy capital immediately. The chart is bullish, but the stock is sitting near resistance, momentum is starting to cool (MACD contraction), implied volatility is extremely elevated (making entries less attractive), and insiders have been heavy sellers recently—together suggesting the risk/reward is not compelling today. If you already own it, holding into the next earnings catalyst (2026-02-27 pre-market) is reasonable.

Technical Analysis

Trend is bullish overall: moving averages are aligned positively (SMA_5 > SMA_20 > SMA_200), indicating a sustained uptrend. Momentum is positive but weakening: MACD histogram is above zero (0.0133) yet positively contracting, implying the up-move may be losing steam short-term. RSI_6 at ~64 is moderately strong but not overbought. Key levels: pivot 21.75; support S1 21.05 (then S2 20.62); resistance R1 22.45 (then R2 22.88). With price ~21.93, the stock is closer to resistance than support, reducing near-term upside room for a fresh long entry.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Put-call ratios this low indicate strong call-skew/optimism. However, implied volatility is very high (30D IV ~87%, IV percentile 98) versus historical volatility (~32%), suggesting options are priced for big moves and the stock may already reflect elevated expectations. Options volume is also small in absolute terms (todays volume 8), so signals can be noisy despite the strong skew.

Technical Summary

Sell

Buy

Positive Catalysts

Hedge funds are accumulating (buying amount up ~219.96% over the last quarter), supporting longer-term demand.
Revenue growth remains solid: FY2026/Q2 revenue up ~10.04% YoY.
Upcoming earnings (QJAN 2026) on 2026-02-27 pre-market can act as an event catalyst if margins/earnings rebound.

Neutral/Negative Catalysts

Insiders are selling heavily (selling amount up ~745.80% over the last month), which is a notable near-term bearish signal versus a fresh buy.
Profitability is weakening despite revenue growth: FY2026/Q2 net income down ~18.34% YoY and EPS down ~14.63% YoY.
Short-term statistical pattern outlook is not favorable: similar-pattern model implies ~-1.7% over the next month.
No supportive news flow in the last week to provide a fresh catalyst now.

Financial Performance

Latest quarter: 2026/Q2. Revenue rose to 229.253M (+10.04% YoY), showing continued top-line momentum. Gross margin improved slightly to 26.97 (+0.60 YoY), a modest positive. However, net income fell to 17.481M (-18.34% YoY) and EPS fell to 0.35 (-14.63% YoY), indicating costs/operating factors are pressuring bottom-line growth even as sales expand.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

No analyst rating or price target change data was provided, so the recent Wall Street rating trend and pros/cons view cannot be verified from the dataset. (Congress/politician trading: no recent data available in the last 90 days.)

1 Analyst Rating

Wall Street analysts forecast DAKT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DAKT is 32 USD with a low forecast of 32 USD and a high forecast of 32 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

1 Buy

0 Hold

0 Sell

Moderate Buy

Current: 21.930

Low

Averages

High