Investment Thesis
Comscore faces a profitability crisis with stagnant revenue growth and deteriorating fundamentals. The company shifted from profitable to -$10M net loss with a razor-thin 1.3% operating margin, while revenue grew only 0.4% YoY. Liquidity concerns with a 0.78x current ratio compound the challenges despite positive free cash flow.
Strengths
- Positive operating cash flow of $22.7M demonstrates underlying cash generation
- Moderate leverage with debt-to-equity of 0.37x provides debt capacity
- Free cash flow of $21.8M with 6.1% FCF margin shows resilience despite net losses
Risks
- Profitability crisis with net income of -$10M and negative net margin of -2.8%
- Stagnant revenue growth of 0.4% YoY with thin 13% gross margins
- Liquidity constraints with current ratio of 0.78x falling below 1.0 threshold
Key Metrics to Watch
- Operating margin expansion and return to profitability
- Revenue growth acceleration and customer retention
- Current ratio improvement and working capital position
Financial Metrics
Revenue
357.5M
Net Income
-10.0M
EPS (Diluted)
$4.25
Free Cash Flow
21.8M
Total Assets
407.7M
Cash
23.6M
Profitability Ratios
Gross Margin
13.0%
Operating Margin
1.3%
Net Margin
-2.8%
ROE
-9.0%
ROA
-2.5%
FCF Margin
6.1%
Balance Sheet & Liquidity
Current Ratio
0.78x
Quick Ratio
0.78x
Debt/Equity
0.37x
Debt/Assets
50.7%
Interest Coverage
N/A
Long-term Debt
41.5M
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: 2026-04-15T13:42:26.871327 |
Data as of: 2025-12-31 |
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