Mitek Systems (NASDAQ:MITK) Issues Earnings Results, Beats Estimates By $0.06 EPS

Mitek Systems (NASDAQ:MITK) issued its earnings results on Thursday. The software maker reported $0.26 earnings per share for the quarter, topping the consensus estimate of $0.20 by $0.06, FiscalAI reports. The firm had revenue of $44.24 million for the quarter, compared to analyst estimates of $42.44 million. Mitek Systems had a return on equity of 14.11% and a net margin of 4.90%.

Here are the key takeaways from Mitek Systems’ conference call:

• Revenue and product momentum: Q1 revenue was $44.2M (+19% YoY) with Fraud & Identity up 30% and SaaS up 21%; the company raised FY26 revenue guidance to $187M–$197M (Fraud & Identity now guided to $102M–$107M).
• Improving profitability: Adjusted EBITDA rose 69% YoY to $13.3M (30% margin) and fiscal‑2026 Adjusted EBITDA margin guidance was raised to 29%–32%.
• Balance sheet and buyback: Mitek retired its $155M convertible notes, drew $50M on a term loan (net cash ≈ $33M at quarter end), repurchased ~ $17M of shares and authorized a new $50M two‑year repurchase program.
• Check Fraud Defender scaling with margin noise: ACV for CFD is ~ $17M (+44% YoY) and the consortium now covers >50% of U.S. checking accounts, driving network effects, but early‑stage pilot costs drove a ~280bp decline in non‑GAAP gross margin that management expects to moderate as pilots convert to production.

Mitek Systems Stock Down 0.3%

Mitek Systems stock traded down $0.03 during mid-day trading on Thursday, hitting $9.82. 751,111 shares of the company’s stock traded hands, compared to its average volume of 485,995. Mitek Systems has a one year low of $6.93 and a one year high of $11.39. The firm has a 50 day moving average price of $10.04 and a 200 day moving average price of $9.73. The company has a market cap of $444.85 million, a PE ratio of 51.68 and a beta of 1.07.

Analyst Ratings Changes

Separately, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Mitek Systems in a report on Monday, December 29th. Two research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $13.50.

Institutional Investors Weigh In On Mitek Systems

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Tower Research Capital LLC TRC lifted its holdings in Mitek Systems by 320.3% in the second quarter. Tower Research Capital LLC TRC now owns 6,018 shares of the software maker’s stock worth $60,000 after purchasing an additional 4,586 shares during the period. Russell Investments Group Ltd. raised its position in shares of Mitek Systems by 4,147.9% during the 3rd quarter. Russell Investments Group Ltd. now owns 9,940 shares of the software maker’s stock worth $97,000 after buying an additional 9,706 shares in the last quarter. Bayesian Capital Management LP bought a new stake in shares of Mitek Systems during the 2nd quarter worth about $136,000. Verition Fund Management LLC acquired a new stake in shares of Mitek Systems in the 3rd quarter worth approximately $141,000. Finally, XTX Topco Ltd bought a new position in shares of Mitek Systems in the second quarter valued at approximately $153,000. 83.64% of the stock is currently owned by institutional investors.

About Mitek Systems

Mitek Systems, Inc (NASDAQ: MITK) is a software company specializing in mobile capture and digital identity verification solutions. Headquartered in San Diego, California, Mitek develops and licenses patented technology that enables organizations to securely capture, authenticate and process identity documents, checks and other physical media using smartphones and other digital devices. Its platforms leverage advanced image processing, machine learning and biometrics to streamline customer onboarding and prevent fraud in real time.

The company’s core offerings include mobile check deposit and deposit automation tools for financial institutions, as well as identity verification and authentication services for banks, fintechs, insurers and government agencies.