Investment Thesis
Aditxt is in severe financial distress with negative stockholders' equity of -$7.7M, liabilities exceeding assets by $8.9M, and a critical liquidity crisis evidenced by a current ratio of 0.02x with only $163K in cash. The company is burning cash at an alarming rate (-$16.4M operating cash flow) while revenue has collapsed 79% YoY to just $2.8K, indicating complete business deterioration and imminent solvency risk.
Strengths
- Minimal capital expenditure requirements ($14.4K) reduces near-term cash drain
- Gross margin of 10.8% on remaining revenue shows some contribution on sales
- Single Form 4 filing suggests limited insider selling pressure in past 90 days
Risks
- Negative stockholders' equity represents technical insolvency and shareholder capital destruction
- Extreme liquidity crisis: current ratio of 0.02x indicates inability to meet short-term obligations
- Revenue collapse of 79% YoY and only $2.8K in latest period suggests business has essentially ceased operations
- Operating cash burn of -$16.4M with only $163K cash on hand creates immediate bankruptcy risk
- $20.7M in total liabilities with negative equity creates unsustainable debt burden
- Net loss of -$37.0M despite minimal revenue indicates severe operational distress
Key Metrics to Watch
- Cash balance and runway to insolvency (months)
- Revenue stabilization or further decline trends
- Debt restructuring or refinancing announcements
- Going concern disclosures in SEC filings
- Insider transactions and management changes
Financial Metrics
Revenue
2.8K
Net Income
-37.0M
EPS (Diluted)
$-1,605.17
Free Cash Flow
-16.5M
Total Assets
11.8M
Cash
163.0K
Profitability Ratios
Gross Margin
10.8%
Operating Margin
-537,947.3%
Net Margin
-1,336,192.1%
ROE
N/A
ROA
-313.7%
FCF Margin
-594,118.9%
Balance Sheet & Liquidity
Current Ratio
0.02x
Quick Ratio
0.02x
Debt/Equity
N/A
Debt/Assets
175.1%
Interest Coverage
N/A
Long-term Debt
3.1M
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-03-19T13:02:11.692303 |
Data as of: 2025-09-30 |
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