Investment Thesis
Critical interest coverage ratio of 0.3x indicates the company cannot cover interest expenses from operating income, signaling financial distress. Low returns on equity (2.5%) and assets (0.3%) combined with an unusually low cash position (9.4M on 2.3B assets) further indicate operational and financial stress.
Strengths
- Profitable net income of 6.4M demonstrates some operational activity
- Zero long-term debt (0.00x debt-to-equity) eliminates leverage risk
- Positive operating cash flow of 7.6M shows some cash generation capability
Risks
- Interest coverage ratio of 0.3x - cannot cover interest expenses with operating income (critical for banks)
- ROE of 2.5% and ROA of 0.3% are critically low, indicating poor capital and asset deployment
- Cash position of only 9.4M is dangerously low for a 2.3B asset financial institution
- Severe data quality issues (revenue of 458K appears understated; 25/available metrics incomplete) limit analysis reliability
- High insider activity (34 Form 4 filings in 90 days) suggests potential distress concerns
Key Metrics to Watch
- Interest coverage ratio trend - must improve above 1.0x immediately
- Return on equity and return on assets - require reversal of deterioration
- Actual interest income reporting and complete income statement clarity
Financial Metrics
Revenue
458.0K
Net Income
6.4M
EPS (Diluted)
$0.35
Free Cash Flow
7.6M
Total Assets
2.3B
Cash
9.4M
Profitability Ratios
Gross Margin
N/A
Operating Margin
1,800.7%
Net Margin
1,394.3%
ROE
2.5%
ROA
0.3%
FCF Margin
1,662.7%
Balance Sheet & Liquidity
Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.00x
Debt/Assets
88.9%
Interest Coverage
0.29x
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: 2026-05-08T07:02:58.981750 |
Data as of: 2026-03-31 |
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