CS Disco (LAW) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

CS Disco

NYSE•Technology•Software - Application

$4.24-0.13(-0.03%)Market closed

Market Cap

$268.27M

P/S

1.6x

P/B

2.2x

CS Disco, Inc. provides cloud-native and artificial intelligence-powered legal products for legal hold, legal request, ediscovery, legal document review, and case management in the United States and internationally. The company offers DISCO Hold which automates the manual work to comply with preservation requirements, preserve data, notify custodians, track holds with audit trail, and collect data; DISCO Request that automates response compliance for legal requests, such as service of process requests, subpoenas, and law enforcement requests; and DISCO Ediscovery which automates ediscovery process and saving legal departments from manual tasks associated with collecting, processing, enriching, searching, reviewing, analyzing, producing, and using enterprise data that is at issue in legal matters. It also provides DISCO Review, an AI-powered document review that delivers legal document reviews; and DISCO Case Builder that allows legal professionals to collaborate across teams by offering a single place to search, organize, and review witness testimony and other important legal data. The company's products are used for various legal matters comprising litigation, investigation, compliance, and diligence. It serves enterprises, law firms, legal services providers, and governments. CS Disco, Inc. was founded in 2012 and is headquartered in Austin, Texas.

How this company scores

AverageMetricSide Score: 52/100

Strongest: Growth (18/25); weakest: Cash & Earnings Quality (6/25).

Profitability13/25

Growth18/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality6/25

Strengths

Interest easily coveredProfit converts from growthConsistent growthNet cash position

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/S · 1.6x5y range 1.5x – 13.4x

Currently below its 18-quarter median.

P/B · 2.2x5y range 1.7x – 8.4x

Currently near its 20-quarter median.

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Red Flag

Free cash flow has been negative in 6 of the last 8 quarters — earnings are not translating to cash.

Price & Volume

Market Cap $268.27M

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $167.12M
Q. Revenue: $43.15M
TTM EBITDA: $-39.61M
TTM Op. Income: $-43.01M
Q. Op. Income: $-9.22M
TTM Net Income: $-40.44M
Q. Net Income: $-8.66M
EPS: $-0.13
Shares Out.: $64.49M

$167.12M in TTM revenue grew 12.9% YoY, reaching $43.15M last quarter. TTM EBITDA of $-39.61M and TTM operating income of $-43.01M show growth is flowing through to the bottom line. However, net income is negative at $40.44M — growth is not yet reaching the bottom line. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 74.4%
EBITDA Margin: -20.0%
Op. Margin: -21.4%
Net Margin: -20.1%

Op. margin of -21.4% is up 9.6% YoY — cost efficiency is improving. Net margin at -20.1% and gross margin of 74.4% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 31% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: N/A
P/S Ratio: 1.6x
P/B Ratio: 2.2x

P/S of 1.6x and P/B of 2.2x. P/S is low relative to typical market levels.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $161.39M
Cash: $10.89M
Long-Term Debt: N/A
Book Value: $120.16M
D/E Ratio: N/A
Debt/EBITDA: N/A

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $-1.07M
TTM Free Cash Flow: $-16.39M
FCF Margin: -9.8%
FCF / Net Income: 0.4

TTM FCF of $-16.39M on $-1.07M in operating cash flow. The FCF / Net Income ratio of 0.4x means cash covers only part of net income — earnings quality needs attention. Over the past year, free cash flow is up 11% — an improving trend.