DEFSEC Technologies Inc. (DFSC) Fair Value & Analysis
Industrials · US · Market cap $6.7M · ISIN CA2447781063
DEFSEC Technologies Inc.
DFSC · US
Risks
Fair value as of: Aug 13, 2026
From 1 valuation models · updated 15 days ago
Share price +34.9% over the past month.
Below-average quality, and trading another 109% above our fair value.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The price sits above even our optimistic bull case ($1.04). The favourable scenario is already priced in.
- Weak quality (33/100) and above fair value at the same time, the margin of safety is missing on both counts.
- The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
- A fairly wide model range ($0.5440 to $1.04) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range $1.21 – $28,224 · fair‑value band $0.5440 – $1.04 · the $1.72 price screens above the $0.8245 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Analysis
DEFSEC Technologies Inc. (DFSC) currently trades at $1.72, while our model-based Fair Value estimate is $0.8245, implying the stock looks roughly 52.1% overvalued today. The Quality Score stands at 33/100 (below-average quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: low).
Trailing-twelve-month revenue stands at $6.2M. Revenue grew 67.7% year over year. The balance sheet holds a net cash position of $5.4M. Fundamentals as of Aug 13, 2026
Our scenario range runs from $0.5440 (bear case) to $1.04 (bull case); at $1.72, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at -44% fair-value upside, at -52%, DFSC screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 1 models by family
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 36 · Market factors (momentum, volatility) 16
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
DEFSEC Technologies Inc. engages in the development and commercialization of tactical systems for security, and personal defense markets.
Full company description
DEFSEC Technologies Inc. engages in the development and commercialization of tactical systems for security, and personal defense markets. The company offers DEFSEC Lightning, a military digitization technology; Less-Lethal Munitions Systems, including PARA SHOT, a next-generation less-lethal system and ARWEN, a 40mm munition and new marking cartridge; It also provides BMA-Ready Solutions, including TAK and ATAK, tactical digital fires, battlefield laser detection system, and phantom tactical multi-function electromagnetic spectrum operations system. DEFSEC Technologies Inc. was formerly known as KWESST Micro Systems Inc. and changed its name to DEFSEC Technologies Inc. in June 2025. DEFSEC Technologies Inc. was founded in 2017 and is headquartered in Ottawa, Canada.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
DEFSEC Technologies Inc. reported revenue of C$4.9M in FY2025 versus C$1.3M in FY2021, a compound +40.3%/yr. Reported net income was −C$9.6M in FY2025.
DFSC screens 52% overvalued. Compare with General Electric Company →
Peer Group
Aerospace & Defense · 234 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Aerospace & Defense median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| General Electric Company GE | $354.39 | $116.71 | -67% |
| RTX Corporation RTX | $212.08 | $88.37 | -58% |
| Airbus SE AIR | €213.00 | €117.01 | -45% |
| Lockheed Martin Corporation LMT | $565.89 | $419.01 | -26% |
| Howmet Aerospace Inc HWM | $269.34 | $50.43 | -81% |
| General Dynamics Corporation GD | $382.02 | $274.32 | -28% |
| Northrop Grumman Corporation NOC | $549.95 | $356.59 | -35% |
| TransDigm Group TDG | $1,235 | $571.03 | -54% |
| L3Harris Technologies, Inc LHX | $262.96 | $146.55 | -44% |
| Thales S.A HO | €246.70 | €171.13 | -31% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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