Investment Thesis
Gloo exhibits exceptional revenue growth (+308% YoY) but remains deeply unprofitable with negative operating cash flow (-$17.1M), creating sustainability concerns. While improving loss trends and moderate leverage are positive, the current ratio below 1.0 indicates working capital stress, and at the current burn rate the company has only ~2 years of cash runway without profitability or additional capital raises.
Strengths
- Exceptional revenue growth of 307.7% YoY indicates strong market demand and scaling
- Net income and EPS improving YoY (13.8% and 41.2% respectively) suggests progress toward profitability
- Moderate leverage with Debt/Equity of 0.29x reduces financial distress risk
Risks
- Negative operating cash flow of -$17.1M is unsustainable and indicates core business is not generating cash
- Current ratio of 0.94x and Quick ratio of 0.91x signal liquidity stress with current liabilities exceeding current assets
- Company is unprofitable with -40.5% net margin and -45.1% operating margin; path to profitability unclear despite improving trends
Key Metrics to Watch
- Operating cash flow trend and timeline to positive OCF
- Operating margin improvement rate and path to breakeven
- Working capital management and cash runway extension
Financial Metrics
Revenue
41.5M
Net Income
-16.8M
EPS (Diluted)
$-0.21
Free Cash Flow
-18.0M
Total Assets
239.0M
Cash
33.0M
Profitability Ratios
Gross Margin
N/A
Operating Margin
-45.1%
Net Margin
-40.5%
ROE
-13.8%
ROA
-7.0%
FCF Margin
-43.4%
Balance Sheet & Liquidity
Current Ratio
0.94x
Quick Ratio
0.91x
Debt/Equity
0.29x
Debt/Assets
39.6%
Interest Coverage
N/A
Long-term Debt
34.9M
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: 2026-06-10T07:38:48.303751 |
Data as of: 2026-04-30 |
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