Will LINK's EPS growth continue beyond 2025?

**Interlink Electronics Inc (LINK) is poised for a potential EPS growth resurgence post-2025**, driven by strategic acquisitions and market positioning:

1. **Acquisition of Conductive Transfers**: The recent acquisition of Conductive Transfers and Global Print Solutions has significantly enhanced LINK's technological portfolio and market reach. This strategic move into the e-textiles market and wearable technology is expected to open up new revenue streams and demand for LINK's sensor and printed electronics solutions.
2. **Financial Position and Growth Prospects**: Despite a decline in revenue and gross profit margin in recent quarters, LINK has shown an ability to improve net income and EPS in certain periods, as seen in the full-year 2023 earnings where EPS beat expectations. The forecast for revenue growth at a CAGR of 6.5% over the next two years, compared to the US electronic industry's 5.4% growth forecast, suggests a positive outlook for LINK's earnings per share growth.
3. **Market Position and Innovation**: LINK's focus on innovation and its position as a global leader in sensor and printed electronics are key factors that could drive future EPS growth. The company's ability to integrate proprietary materials, firmware, and software into its products is a competitive advantage that could lead to increased profitability and EPS as the company continues to innovate and capture market share in growing sectors like wearables and e-textiles.
4. **Challenges and Risks**: It's important to note that LINK faces challenges such as declining revenue from traditional force-sensor products and a decline in gross profit margin. The company's ability to mitigate these risks and capitalize on new opportunities will be critical in determining the sustainability of its EPS growth beyond 2025.

In conclusion, while there are challenges, the strategic acquisitions, market positioning, and growth prospects for LINK suggest that the company's EPS growth could continue beyond 2025, provided it navigates current challenges effectively and capitalizes on new opportunities in its expanded portfolio and target markets.