INTZ

Intrusion is a $16M micro-cap whose own auditor flagged substantial doubt about its ability to continue as a going concern. The math is stark: $3.62M of cash against $6.76M of annual operating cash burn — under a year of runway — with survival explicitly 'dependent upon our ability to raise additional funds through public or private financing.' Management names the ATM program and past equity raises (a $7.0M registered direct offering, $1.5M SEPA) as its funding lifeline, which means continued dilution is the base case, not a tail risk. Shares are already up 5.3% YoY and the accumulated deficit stands at -$127M against just $7.28M of equity. This is not a valuation debate; it is a solvency one.

The business quality is thin beneath the growth headline. Revenue did rise 21.6% to $7.01M, but 94.6% of it came from U.S. government entities (up from 83.8%), with three agencies each over 10% of sales, and the 2025 growth was driven by a single DoD Shield OT Defender program in Asia Pacific. That concentration turned real in Q4: revenue fell 25% sequentially and 12% year-over-year on delayed government funding tied to the shutdown and continuing resolution. TraceCop, a legacy solution, still accounts for 43.2% of revenue. The commercial pivot the entire thesis rests on — INTRUSION Shield — remains only ~25% of revenue and has been 'may take time to achieve market penetration' for five years running; commercial sales actually shrank to $0.4M (5.4%) from $0.9M (16.2%).