Investment Thesis
GIVBUX demonstrates severe financial distress with negative stockholders' equity of -$5.4M, indicating insolvency and accumulated losses exceeding all assets. The company generates minimal revenue ($211.8K) while burning cash at -$902.3K annually, with operating losses of -$1.2M and net losses of -$3.3M, rendering it operationally unsustainable.
Strengths
- Gross margin of 38.5% indicates some pricing power in delivered services
- Minimal insider activity suggests no recent insider selling, though this provides limited confidence given distress
- Cash position of $82.4K provides short-term runway for operations
Risks
- Negative stockholders' equity of -$5.4M indicates technical insolvency and heightened bankruptcy risk
- Current ratio of 0.03x shows severe liquidity crisis with liabilities vastly exceeding current assets
- Operating cash burn of -$902.3K annually with only $211.8K in revenue indicates business model is fundamentally unprofitable
- Net margin of -1554.3% demonstrates losses exceed revenue by 15.5x
- Total liabilities of $5.6M exceed total assets of $208.7K by 27x, creating structural default risk
- No path to profitability evident with minimal revenue base unable to support fixed cost structure
Key Metrics to Watch
- Revenue growth trajectory and ability to scale customer acquisition
- Operating cash burn rate and runway until capital depletion
- Debt restructuring or capital raise announcements
- Quarterly changes in stockholders' equity and path to solvency
Financial Metrics
Revenue
211.8K
Net Income
-3.3M
EPS (Diluted)
$-0.03
Free Cash Flow
-902.3K
Total Assets
208.7K
Cash
82.4K
Profitability Ratios
Gross Margin
38.5%
Operating Margin
-556.2%
Net Margin
-1,554.3%
ROE
N/A
ROA
-1,577.5%
FCF Margin
-426.0%
Balance Sheet & Liquidity
Current Ratio
0.03x
Quick Ratio
0.03x
Debt/Equity
N/A
Debt/Assets
2,684.4%
Interest Coverage
-124.31x
Long-term Debt
526.2K
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: 2026-03-25T14:54:11.446925 |
Data as of: 2025-09-30 |
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