Research Solutions (NASDAQ: RSSS) Price Target Lowered Amid Mixed Q3 Results

Font: Financial Modeling Prep  • May 15, 2026

• Roth Capital has lowered the price target for Research Solutions (NASDAQ: RSSS) to $3.50, yet this still suggests a substantial 46.44% potential upside.
• Research Solutions reported a decline in total revenue to $12.1 million, missing analyst expectations by 2.87%, largely attributed to customer churn.
• Despite revenue challenges, the company demonstrated improved profitability with a net income of $860 thousand and a 14% increase in Adjusted EBITDA, alongside strong subscription service growth.

On May 15, 2026, Roth Capital analyst Richard Baldry lowered the price target for Research Solutions (NASDAQ: RSSS) to $3.50. Research Solutions provides cloud-based software for researchers to find and manage scientific information. Despite the target reduction, the new price still implies a 46.44% potential upside from the stock's price of $2.39 at the time.

The analyst's revision follows Research Solutions' fiscal third-quarter report, which showed mixed results. Total revenue for Research Solutions declined to $12.1 million from $12.7 million in the same quarter last year. As highlighted by Zacks, this revenue figure also missed analyst expectations by 2.87%, and Research Solutions' stock price fell 11.81% to $2.39.

Management identifies customer churn as a primary issue affecting revenue growth. Churn is the rate at which customers stop using a company's services. CEO Roy W. Olivier acknowledges that this "continues to be an area that needs action," admitting that top-line growth, or total revenue, fell below Research Solutions' expectations for the quarter.

Despite the revenue challenges, Research Solutions demonstrates improved profitability. The company reports a net income of $860 thousand and a 14% year-over-year increase in Adjusted EBITDA. Adjusted EBITDA is a measure of operational profitability before interest, taxes, depreciation, and amortization, and its growth suggests improving financial efficiency within the business.

Research Solutions also shows strength in its subscription services. Platform subscription revenue grew 7% year-over-year to $5.2 million. Furthermore, Annual Recurring Revenue (ARR) increased by 8.5% to $22.1 million. ARR is a key metric that shows the predictable revenue a company can expect from subscribers over a year.