Stock daily read

What happened with LINK today?

Why it moved
Explains possible causes using the day’s news and filings
Moving with the market?
Uses market moves and trading volume to assess what drove the change
What to watch next
The next thing that could change the call, and what to look for

No read yet

Uses news and trading volume to explain the day’s move and how it relates to the market.

Investment outlook

LINK in three months: buy, wait or sell?

Stop guessing. Get the call, a three-month target price, the best and worst cases, and a source for every claim.

In the report
  • Buy / Wait / Sell rating
  • 3-month target price
  • Bear · Base · Bull
  • vs. the market

Company

Company overview

Interlink Electronics helps equipment makers add touch and force controls, gas detection and other sensing functions to their products. It designs and manufactures sensors, printed electronics and interfaces through which people operate equipment. Medical and industrial applications together account for most revenue, while standard products sold across multiple markets also contribute a substantial share.

A substantial portion of revenue comes from solutions developed with equipment manufacturers for particular products. Customers pay for the resulting components and may also pay engineering-design and tooling fees. Interlink works through design, samples and testing before customers commit to a design; production orders can follow much later. Once production begins, Interlink is usually the sole supplier. It also sells standard products through distributors including Digi-Key Electronics.

The business depends on a relatively small, changing group of major customers and on demand for the products those customers make. Customers generally do not commit to long-term purchase volumes and can cancel, reduce or delay orders. U.S. export and import controls also limit some transactions: controlled products, technical data, software and technical assistance may require approvals, including before foreign personnel can access controlled information.

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Source: SEC filing

Red flags

Know what’s buried in LINK’s filings before you buy

The risk section is the longest, dullest part of the filing. This keeps only what can really hurt you: where it hits, how hard, when it plays out.

Sorted into
  • Happening now
  • Could go wrong
  • Built in

Moat

LINK says it has a moat. Does it hold up?

Every company claims an edge. Each one is checked against hard numbers like margins and returns: which hold, and which line gives way first.

Each edge rated
  • Strong
  • Moderate
  • Limited
  • Unproven

Related companies

  • Competition
  • Shared drivers
  • Supplier
  • Customer

Interlink Electronics, Inc.’s results depend more on medical and industrial equipment makers choosing its designs, their production schedules, and the mix of custom sensing and printed-electronics orders than on the broader computer-peripherals market.

  • Wetouch Technology Inc. competes for industrial, medical and automotive equipment makers’ input-interface designs, selling capacitive touchscreens where Interlink offers force/touch sensors and custom controls. Watch Wetouch’s touchscreen business with these customers, particularly pricing, durability and delivery performance—the factors that help determine which supplier they choose.

Agenda

in 16 daysThu, Nov 5

  1. Time to be announced
    Major

    Interlink Electronics, Inc. earningsThis company

    Interlink Electronics’ report will show whether sales from industrial and automotive programs can offset pressure on gross margin from product mix and China production costs.