Should I Buy DAIO? DAIO 2026 Analysis

Should You Buy Data I/O Corp (DAIO) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

3.050

1 Day change

-1.61%

52 Week Range

3.570

Analysis Updated At

2026/02/04

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Not a good buy right now for an impatient trader: no proprietary buy signals, no news catalysts, and momentum is still weak/sideways.
Price is sitting near the pivot (~3.136) with limited immediate upside to first resistance (R1 ~3.216) unless a catalyst appears.
Options positioning (low put/call OI) is bullish-leaning, but options volume/liquidity is extremely thin, so sentiment confirmation is weak.
Intellectia Proprietary Trading Signals
- AI Stock Picker: No signal on given stock today.
- SwingMax: No signal on given stock recently.

Technical Analysis

Trend/Momentum: Mixed-to-slightly bearish. MACD histogram (-0.0073) is below zero (bearish), though negative momentum is contracting (selling pressure easing).
RSI(6) ~58.5: Neutral-to-mildly bullish, not overbought, but also not a strong buy signal.
Moving averages: Converging, consistent with a consolidation/sideways regime rather than a clean uptrend.
Key levels:
- Pivot: 3.136 (current price 3.14 is basically sitting on it)
- Support: S1 3.056, S2 3.006
- Resistance: R1 3.216, R2 3.266
Near-term pattern stats (similar candlesticks): suggests modest upside bias over week/month (+2.01% / +4.28%) but not a strong immediate breakout profile.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Open interest: Calls 4046 vs Puts 1313; OI put/call = 0.32 (bullish-leaning positioning).
Volume: Essentially none (total volume ~1; put volume 0). This makes the put/call volume signal unreliable.
Implied volatility: Very elevated (30D IV ~177.77%) vs historical vol ~44.42% → options are pricing big moves/uncertainty.
IV percentile ~53: mid-range versus its own history, but absolute IV level is extremely high for a small-cap.
Takeaway: OI skew is supportive, but thin liquidity + extreme IV suggests this is not a clean sentiment confirmation for an immediate long.

Technical Summary

Sell

Buy

Positive Catalysts

- New analyst coverage: Ladenburg initiated with a Buy and a $5 price target (large upside vs $3.14).
- Losses are narrowing materially YoY (improving bottom-line trend).
- Options open interest skew favors calls (bullish-leaning positioning).

Neutral/Negative Catalysts

- No news in the recent week: lack of event-driven catalysts reduces odds of an impatient, near-term breakout.
- Technicals are not decisively bullish (MACD still below zero; MAs converging/sideways).
- Revenue slightly down YoY and gross margin declined (top-line and profitability quality concerns).
- Options market is very illiquid (near-zero volume), reducing the usefulness of options sentiment.

Financial Performance

Latest reported quarter: 2025/Q3.
Revenue: 5,393,000 (down -0.55% YoY) → flat-to-down top-line.
Net income: -1,362,000 (up 343.65% YoY) → substantially less negative (improving trend).
EPS: -0.15 (up 400% YoY) → strong improvement, but still loss-making.
Gross margin: 50.7% (down -5.97% YoY) → margin compression is a key negative despite EPS improvement.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

[2026-02-02] Ladenburg initiated coverage with Buy and $5 price target.
Trend summary: only one recent datapoint provided (initiation), so there is no multi-step upgrade/downgrade trend to confirm.
Wall Street pro view (pros): meaningful upside implied by $5 PT; improving earnings/loss trajectory.
Wall Street con view (cons): limited breadth of coverage; fundamentals still show revenue stagnation and margin pressure.

Analyst Rating

Wall Street analysts forecast DAIO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DAIO is 0 USD with a low forecast of 0 USD and a high forecast of 0 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.

Buy

Hold

Sell

Current: 3.100

Low

Averages

High

Current: 3.100

Low

Averages

High

Ladenburg

NULL -> Buy

initiated

AI Analysis

2026-02-02

Reason