Investment Thesis
CAM Group demonstrates severe financial distress with persistent unprofitability, negative gross margins, and deteriorating earnings despite $19.9M revenue. The company is burning through operations with negative net income and operating margins, indicating fundamental business model dysfunction that extends beyond temporary headwinds. Critically, financial data is severely stale (March 2015), raising substantial uncertainty about current operational status.
Strengths
- Positive operating cash flow of $1.6M suggests some cash generation capability despite accounting losses
- Minimal debt burden with zero long-term debt and low debt-to-equity ratio provides financial flexibility
- Adequate liquidity position with $2.1M cash and extraordinarily high current ratio of 2329x
Risks
- Negative gross margin of -0.0% indicates core business operations are not profitable at production level, suggesting pricing power issues or cost structure problems
- Consistent operating losses and negative net margins demonstrate the company cannot achieve profitability at scale with current business model
- Data freshness is critically problematic at March 2015 (11 years old), making current financial assessment unreliable and operational status completely unknown
- Negative ROE and ROA indicate shareholder capital is being destroyed rather than generating returns
Key Metrics to Watch
- Gross margin trend - must return to positive territory for business viability
- Operating cash flow sustainability - if turns negative, company faces existential cash crisis
- Current financial statements and recent 10-K filings - essential to determine if company still operates or has ceased business
Financial Metrics
Revenue
19.9M
Net Income
-77.9K
EPS (Diluted)
$-0.01
Free Cash Flow
1.6M
Total Assets
10.7M
Cash
2.1M
Profitability Ratios
Gross Margin
0.0%
Operating Margin
-0.7%
Net Margin
-0.4%
ROE
-1.0%
ROA
-0.7%
FCF Margin
7.8%
Balance Sheet & Liquidity
Current Ratio
2,329.18x
Quick Ratio
2,329.18x
Debt/Equity
0.00x
Debt/Assets
26.5%
Interest Coverage
-1.50x
Long-term Debt
N/A
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: 2026-03-21T21:50:11.510333 |
Data as of: 2015-03-31 |
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