Investment Thesis
WHEN exhibits a fundamentally broken business model with negative gross margins (-66%), generating only $169.8K revenue while posting $2.4M losses. With $125.3K cash, current ratio of 0.26x, and $915.2K negative operating cash flow, the company faces imminent insolvency risk.
Strengths
- No long-term debt burden limiting financial flexibility
- Remaining asset base of $11.1M provides liquidation value
- Company still operational despite severe losses
Risks
- Liquidity crisis: approximately 2 weeks of cash remaining at current monthly burn rate
- Negative gross margins (-66%) indicate fundamentally broken unit economics and unsustainable business model
- Severe solvency risk: Current ratio of 0.26x indicates company cannot meet short-term obligations
Key Metrics to Watch
- Cash burn rate and exact timeline to zero liquidity
- Gross margin trajectory - must turn positive for business viability
- Operating cash flow path to breakeven or positive territory
Financial Metrics
Revenue
169.8K
Net Income
-2.4M
EPS (Diluted)
$0.00
Free Cash Flow
-921.0K
Total Assets
11.1M
Cash
125.3K
Profitability Ratios
Gross Margin
-66.0%
Operating Margin
-1,198.8%
Net Margin
-1,420.9%
ROE
-174.3%
ROA
-21.7%
FCF Margin
-542.3%
Balance Sheet & Liquidity
Current Ratio
0.26x
Quick Ratio
0.25x
Debt/Equity
0.00x
Debt/Assets
55.8%
Interest Coverage
N/A
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: 2026-04-19T04:27:27.850456 |
Data as of: 2025-09-30 |
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