WidePoint (NYSEAMERICAN:WYY) Posts Earnings Results, Misses Expectations By $0.03 EPS

Posted by Stanley Muller on Aug 14th, 2026

WidePoint (NYSEAMERICAN:WYY – Get Free Report) released its quarterly earnings results on Thursday. The technology company reported $0.01 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.03), FiscalAI reports. WidePoint had a negative net margin of 1.24% and a negative return on equity of 16.24%. The business had revenue of $38.00 million during the quarter, compared to the consensus estimate of $41.83 million.

Here are the key takeaways from WidePoint’s conference call:

CWMS 3.0 remains the key growth catalyst: WidePoint expects to retain the 10-year, $3.1 billion DHS contract, pending a GAO protest decision due by October 7, 2026. A $113 million CWMS 2.5 bridge contract is intended to preserve business continuity during the protest period.
Management estimates CWMS 3.0 could generate approximately $300 million in annual revenue at full scale, including about $150 million of incremental, primarily solutions-based opportunity with an expected 8%-10% net profit margin. The company anticipates a meaningful ramp beginning in 2027 and reaching contemplated scale by the end of 2028.
Q2 revenue rose to $38.0 million from $37.3 million, while adjusted EBITDA increased to $635,000 from $183,000 and net income improved to $66,000 from a $618,000 loss. Six-month revenue, adjusted EBITDA, and free cash flow also improved year over year, although management expects higher compliance, labor, insurance, and technology investment costs in the second half.
The ATV telecommunications-carrier SaaS implementation has expanded, with go-live still targeted by year-end and a three-to-six-month deployment ramp thereafter. The existing engagement covers approximately 2 million to 2.5 million federal devices and could potentially expand into state and local government and commercial customers; management cites an estimated 70% gross margin profile.
WidePoint was named a prime awardee on the 10-year, $60 billion SEWP VI vehicle, with ordering expected to begin November 1 and activity potentially ramping in early 2027. The company also reported progress in its DaaS and MobileAnchor pipelines, but several opportunities—including LA28 and potential additional carrier engagements—remain prospective rather than contracted.

WidePoint Trading Down 19.8%

WidePoint stock traded down $2.30 during trading hours on Friday, reaching $9.33. 305,699 shares of the company’s stock traded hands, compared to its average volume of 160,974. The firm has a market capitalization of $92.27 million, a price-to-earnings ratio of -46.76 and a beta of 1.77. The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.04 and a current ratio of 1.04. WidePoint has a fifty-two week low of $3.25 and a fifty-two week high of $24.30. The firm’s 50 day moving average is $12.76 and its 200-day moving average is $8.60.

Insider Buying and Selling

In related news, Director John J. Fitzgerald sold 15,000 shares of the stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $15.63, for a total value of $234,450.00. Following the transaction, the director directly owned 90,414 shares in the company, valued at $1,413,170.82. This represents a 14.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Robert J. George sold 16,882 shares of the firm’s stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $16.16, for a total transaction of $272,813.12. Following the completion of the transaction, the chief financial officer directly owned 19,842 shares in the company, valued at approximately $320,646.72. The trade was a 45.97% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 82,745 shares of company stock valued at $1,355,144 over the last ninety days. Insiders own 16.10% of the company’s stock.

Hedge Funds Weigh In On WidePoint

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. XTX Topco Ltd bought a new stake in shares of WidePoint in the 2nd quarter valued at about $58,000. NewEdge Advisors LLC acquired a new stake in WidePoint in the second quarter worth $74,000. Jane Street Group LLC acquired a new stake in WidePoint in the second quarter worth $87,000. State Street Corp boosted its position in shares of WidePoint by 9.7% during the fourth quarter. State Street Corp now owns 27,153 shares of the technology company’s stock worth $146,000 after purchasing an additional 2,400 shares in the last quarter. Finally, O Shaughnessy Asset Management LLC acquired a new position in shares of WidePoint in the 4th quarter valued at $152,000. Institutional investors own 22.60% of the company’s stock.

Wall Street Analyst Weigh In

Separately, Zacks Research raised shares of WidePoint from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, July 1st. One research analyst has rated the stock with a Strong Buy rating and three have issued a Buy rating to the company’s stock. Based on data from MarketBeat.com, WidePoint currently has an average rating of “Buy” and a consensus price target of $8.67.

Read Our Latest Report on WidePoint

WidePoint Company Profile

(Get Free Report)

WidePoint Corporation (NYSE American: WYY) is a provider of secure mobility management and identity management solutions. Headquartered in Reston, Virginia, the company delivers a range of managed services designed to help organizations control and secure their telecommunications and IT environments. Since its inception in the late 1990s, WidePoint has focused on helping businesses and government agencies optimize their mobile device portfolios and ensure regulatory compliance.

WidePoint’s core offerings include mobile device management, telecom expense management, and unified endpoint security.