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Company

CLPS Inc

Ticker
CLPS
Sector
Industry
Report date
October 20, 2026
Valye AI Score

77

High visibility
Recent developments
Recent developments summary

Recent developments include Nasdaq confirmation of listing compliance and the board's authorization of a share repurchase program.

Recent developments:
  • On September 4, 2026, Nasdaq confirmed that CLPS Inc's closing bid price met the minimum $1.00 requirement for 10 consecutive business days, maintaining listing compliance [S2].
  • In February 2026, CLPS Inc's board authorized a share repurchase program, signaling a capital return initiative [N2].
  • Recent news also covered IPOs in related sectors but did not provide direct operational updates for CLPS Inc [N1][N3].
Overview

CLPS Inc is a Cayman Islands incorporated company with operations subject to PRC and U.S. tax regulations. The company reported revenues of $172.2 million and a net loss of $13.18 million for the fiscal year ending June 30, 2026. It holds approximately $25 million in cash and equivalents and maintains a current ratio of 1.46. The company is listed on Nasdaq and met the minimum bid price requirement as of September 2026. The board authorized a share repurchase program in February 2026. CLPS is not currently classified as a Passive Foreign Investment Company but this status is reviewed annually. Public disclosures provide detailed financial and tax context but limited operational specifics.

Executive summary

Financial figures (if any) are summarized from the latest available SEC filings and are provided for informational purposes only — not financial advice. CLPS Inc reported $172.2 million in revenue and a net loss of $13.18 million for the fiscal year ended June 30, 2026. The company maintains a current ratio of 1.46 and cash ratio of 0.49, indicating moderate liquidity. The board authorized a share repurchase program in early 2026. Nasdaq confirmed compliance with listing price requirements in September 2026.

Scenarios for CLPS

Bull case model:

CLPS Inc's authorization of a share repurchase program indicates confidence in capital allocation and shareholder value initiatives. The company maintains a solid liquidity position with a current ratio above 1.4 and substantial cash reserves. Compliance with Nasdaq listing requirements supports continued market presence. The detailed SEC disclosures provide transparency into financial and tax matters, which may support investor confidence.

Bear case model:

The company reported a net loss of $13.18 million for the fiscal year ended June 30, 2026, and negative earnings per share of -$0.45, indicating ongoing profitability challenges. Tax complexities related to PRC residency status and withholding taxes could adversely affect cash flow and profitability. The lack of disclosed operational details and industry context limits clarity on growth drivers and competitive positioning. Market volatility and regulatory risks inherent in cross-border operations may pose challenges.

Moat:

The company operates within a regulatory environment involving Cayman Islands incorporation and PRC tax considerations, which may create some structural complexity. Its Nasdaq listing and compliance with listing standards support market access. However, the absence of detailed industry or competitive positioning information limits visibility into sustainable competitive advantages or moat characteristics.

Risks overview
Risks summary
Profitability challenges combined with complex tax and regulatory risks in cross-border operations represent the primary risks to CLPS Inc's financial stability.
Risks details:

• Profitability Risk: The company reported a net loss and negative earnings per share for the latest fiscal year, indicating challenges in achieving profitability.
• Tax and Regulatory Risk: Potential PRC tax residency classification and withholding taxes could materially impact cash flow and increase tax burden.
• Liquidity Risk: While liquidity ratios are moderate, the cash ratio below 0.5 suggests limited immediate cash coverage of current liabilities.
• Market and Listing Risk: Compliance with Nasdaq listing price rules is recent, indicating potential past volatility or risk of delisting.

FINAL FORECAST FOR CLPS

Final take one line
CLPS Inc exhibits high visibility through detailed SEC disclosures and recent corporate actions, with key risks centered on profitability and tax complexities.
Final take 12 to 24 month view

Business trends: The company shows ongoing revenue generation with recent initiatives like share repurchases and Nasdaq listing compliance.
Execution milestones: Authorization of share repurchase program and maintenance of Nasdaq listing standards.
Key risks: Profitability challenges, PRC tax residency and withholding tax risks, and liquidity constraints.

Valye AI Visibility Research Score

High visibility

Visibility score reflects the breadth and consistency of available disclosure across SEC filings, recent public reporting, and baseline business context (research-only; not investment advice).

77
LLM visibility overview
LLM Visibility known facts
  • CLPS Inc is a publicly traded company with ticker CLPS.
  • The company filed a Form 20-F annual report on 2026-10-16 covering fiscal year ending 2026-06-30 [S1].
  • As of 2026-06-30, CLPS Inc reported revenue of $172.2 million USD and a net loss of $13.18 million USD [S1].
  • Basic and diluted earnings per share were both -$0.45 as of 2026-06-30 [S1].
  • Cash and cash equivalents totaled approximately $25.06 million USD as of 2026-06-30 [S1].
  • Short-term investments were about $0.92 million USD as of 2026-06-30 [S1].
  • Current assets were $77.65 million USD and current liabilities were $53.18 million USD as of 2026-06-30, resulting in a current ratio of 1.46 and a cash ratio of 0.49 [S1].
  • The company received a Nasdaq notice on 2026-09-03 confirming compliance with the minimum bid price requirement of $1.00 for 10 consecutive business days [S2].
  • CLPS Inc's board authorized a share repurchase program announced on 2026-02-04 [N2].
  • Recent news includes coverage of IPOs in related sectors but no direct operational updates for CLPS beyond the share repurchase program [N1][N3].
  • The company is incorporated in the Cayman Islands and subject to PRC and U.S. tax considerations as detailed in its 20-F filing [S1].
  • CLPS Inc is not currently classified as a Passive Foreign Investment Company (PFIC) but its status is subject to annual determination [S1].
Sources
Sources - Context summary

Generated 2026-10-20

Sources - Earning calls
Sources - Other context
Sources - SEC Filings
  • S1 | 2026-10-16 | 20-F
  • S2 | 2026-09-04 | 6-K
Sources - News headlines
  • N1 | 2026-10-16 | www.nasdaq.com | Opening Day: New Century Logistics completes $6M IPO | https://www.nasdaq.com/articles/opening-day-new-century-logistics-completes-6m-ipo
  • N2 | 2026-02-04 | www.nasdaq.com | CLPS Board Authorizes Share Repurchase Program | https://www.nasdaq.com/articles/clps-board-authorizes-share-repurchase-program
  • N3 | 2025-01-05 | www.nasdaq.com | Opening Day: INLIF, OneConstruction Group make public debut | https://www.nasdaq.com/articles/opening-day-inlif-oneconstruction-group-make-public-debut
Important legal disclaimer

This material is for informational purposes only and does not constitute investment, financial, legal or tax advice, or an offer or solicitation to buy or sell any security. The Valye AI Score is a model-based estimate derived from public information and is subject to change without notice. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of the information herein. Past performance is not indicative of future results. Investors should conduct their own research and consult a qualified financial adviser before making any investment decisions.

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