Should I Buy LYTS? LYTS 2026 Analysis

Should You Buy LSI Industries Inc (LYTS) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

22.300

1 Day change

3.58%

52 Week Range

24.750

Analysis Updated At

2026/01/26

LSI Industries Inc (LYTS) is not a strong buy for a beginner investor with a long-term strategy at this moment. While the company has shown some positive financial growth and strong execution, the recent insider and hedge fund selling, coupled with a lack of strong trading signals and a negative short-term stock trend, suggest holding off on investment for now.

Technical Analysis

The technical indicators show mixed signals. The MACD is positive and expanding, indicating bullish momentum. The RSI is neutral at 71.287, and the moving averages are bullish (SMA_5 > SMA_20 > SMA_200). However, the stock has recently dropped 4.77% in regular market trading, and the next-day and next-week probabilities suggest further downside (-0.74% and -4.36%, respectively).

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Analysts have raised the price target to $27 from $25, maintaining a Buy rating.
Strong Q2 financial results with improved profitability and reduced debt.
Bullish moving averages and positive MACD.

Neutral/Negative Catalysts

Hedge funds and insiders are selling, with significant increases in selling activity (280.19% and 170.12%, respectively).
Flat revenue growth in Q2, with only marginal YoY improvements in net income and EPS.
Short-term stock trend indicates potential downside in the next week.

Financial Performance

In Q2 2026, the company reported flat revenue of $147 million (-0.50% YoY), net income increased by 12.41% YoY to $6.35 million, EPS rose by 11.11% YoY to $0.20, and gross margin improved by 3.60% YoY to 24.45%. Debt was reduced by $22.7 million, and a quarterly dividend of $0.05 per share was declared.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Canaccord raised the price target to $27 from $25 and maintained a Buy rating, citing strong Q2 results and consistent management execution.

3 Analyst Rating

Wall Street analysts forecast LYTS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LYTS is 27.5 USD with a low forecast of 25 USD and a high forecast of 30 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.

3 Buy

0 Hold

0 Sell

Strong Buy

Current: 21.530

Low

Averages

27.5

High

Current: 21.530

Low

Averages

27.5

High

Canaccord

Buy

maintain

$25 -> $27

AI Analysis

2026-01-23

Reason

Canaccord

Price Target

$25 -> $27

AI Analysis

2026-01-23

maintain

Buy

Reason

Canaccord raised the firm's price target on LSI Industries to $27 from $25 and keeps a Buy rating on the shares. The firm said they reported strong F2Q26 results and another quarter of "say/do" delivery. Canaccord appreciates management's consistent, strong execution, a trend expected to continue through F2H26.

Canaccord

Buy

upgrade

$22 -> $25

2025-08-25

Reason

Canaccord

Price Target

$22 -> $25

2025-08-25

upgrade

Buy

Reason

Canaccord raised the firm's price target on LSI Industries to $25 from $22 and keeps a Buy rating on the shares. The firm said they reported strong F4Q25 results consistent with management's high "say/do" ratio. Quarterly revenue was driven by "improved demand across both its lighting and display solutions markets." Total orders increased 11% y/y "as orders matched a strong sales quarter." Canacord said they see the opportunity for continued earnings growth from the stabilization of grocer activity, refueling/ C-Store, automotive, and parking penetration and synergistic value creation through M&A.

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LYTS Should I Buy

LYTS Should I Buy

Should You Buy LSI Industries Inc (LYTS) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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