Investment Thesis
GHST World Inc. is a financially distressed micro-cap software company with severe operational challenges and minimal viability. The company generated only $13.9K in revenue while burning $73.5K in operating cash flow, resulting in massive negative margins (-362%) and negative stockholders' equity of -$541.3K. With near-zero assets ($1.1K cash) and no meaningful path to profitability, the company faces imminent solvency risk.
Strengths
- Revenue shows 47.8% YoY growth from extremely low base
- Operating in software services sector with scalability potential
- Minimal long-term debt obligations
Risks
- Negative stockholders' equity of -$541.3K indicates balance sheet insolvency
- Operating margin of -362% with only $13.9K revenue cannot sustain operations
- Negative operating cash flow of -$73.5K vastly exceeds cash reserves of $1.1K
- Current and quick ratios of 0.00x indicate severe liquidity crisis
- No insider trading activity in 90 days suggests lack of confidence
- ROA of -4740% reflects catastrophic asset utilization and value destruction
- Sustained negative free cash flow margin of -530.8% is unsustainable
Key Metrics to Watch
- Path to positive operating cash flow and revenue growth sustainability
- Resolution of negative stockholders' equity through capital injection or restructuring
- Quarterly revenue trends and cash burn rate trajectory
Financial Metrics
Revenue
13.9K
Net Income
-50.2K
EPS (Diluted)
$0.00
Free Cash Flow
-73.5K
Total Assets
1.1K
Cash
1.1K
Profitability Ratios
Gross Margin
N/A
Operating Margin
-362.1%
Net Margin
-362.1%
ROE
N/A
ROA
-4,740.4%
FCF Margin
-530.8%
Balance Sheet & Liquidity
Current Ratio
0.00x
Quick Ratio
0.00x
Debt/Equity
N/A
Debt/Assets
0.0%
Interest Coverage
-334.35x
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: 2026-03-25T20:50:10.768925 |
Data as of: 2025-12-31 |
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