Investment Thesis
Hestia Insight is in severe financial distress with microscopic revenue ($8K), substantial net losses (-$943K), and negative cash burn (-$134K quarterly). Critical data integrity issues—gross profit exceeds revenue 162x—raise fundamental questions about financial statement reliability and accounting controls.
Strengths
- Zero long-term debt with Debt/Equity ratio of 0.00x
- Current ratio of 1.42x indicates some near-term liquidity coverage
- Modest asset base of $395K has not been entirely depleted
Risks
- Gross profit ($1.3M) impossibly exceeds revenue ($8K) by 16,250%—indicates critical accounting errors or data integrity failure
- Negative operating cash flow of -$134K with only $28.9K cash reserves creates imminent liquidity crisis (<3 months runway)
- Non-viable business model with microscopic revenue and massive losses (-$943K net income) indicates fundamental operational failure
Key Metrics to Watch
- Absolute revenue level and sustainability—$8K is non-functional for any operating business
- Monthly cash burn and runway—current rate suggests critical cash depletion within quarters
- Gross profit reconciliation and financial statement audit—data quality must be resolved
Financial Metrics
Revenue
8.0K
Net Income
-943.4K
EPS (Diluted)
$0.02
Free Cash Flow
-134.3K
Total Assets
395.1K
Cash
28.9K
Profitability Ratios
Gross Margin
16,411.6%
Operating Margin
-3,811.5%
Net Margin
-11,793.1%
ROE
-807.1%
ROA
-238.8%
FCF Margin
-1,678.4%
Balance Sheet & Liquidity
Current Ratio
1.42x
Quick Ratio
1.42x
Debt/Equity
0.00x
Debt/Assets
70.4%
Interest Coverage
-31.86x
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: 2026-04-11T09:18:26.512588 |
Data as of: 2025-11-30 |
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