Company Overview
Amesite Inc. operates within the technology sector, specifically focusing on the software application industry, where it delivers marketing and development solutions driven by artificial intelligence for both business-to-consumer and business-to-business markets in the United States. The company offers proprietary AI infrastructure through its primary product, Amesite Engage, which is designed to cater to individual users and professional entities alike. As of the latest data, Amesite Inc. holds a market capitalization of $8.46M and employs a team of 6 individuals to execute its strategic initiatives. Its trailing twelve-month revenue stands at $288,795, which, when viewed alongside its small market cap, indicates a very early-stage enterprise with significant revenue potential relative to its current valuation. This combination of a high revenue figure for a micro-cap entity and a minimal workforce suggests the company is in a rapid expansion phase, likely prioritizing market penetration and product development over immediate profitability or large-scale operational scaling.
Financial Health
The company reported a total revenue of $288,795 over the trailing twelve months, while simultaneously recording a net income of $-2,962,218 and an EBITDA of $-2,927,428, highlighting a substantial gap between top-line generation and bottom-line profitability that reveals a heavy cost structure or significant non-operational expenses. This financial position is further contextualized by a free cash flow of $-1,187,298, which indicates that the company is currently burning cash rather than generating liquidity, thereby limiting its financial flexibility and dependence on external capital sources. The company's margin profile is stark, featuring a gross margin of 100.0% which suggests a service or software model with negligible cost of goods sold, contrasted sharply by an operating margin of -689.7% and a profit margin of 0.0% that reflect severe losses relative to sales volume. In terms of balance sheet strength, Amesite Inc. maintains cash reserves of $1.17M against N/A debt, resulting in a debt-to-equity ratio of N/A, which implies the company is un-levered and not utilizing debt financing to fund its operations. Liquidity is supported by a current ratio of 2.72, indicating that the firm holds sufficient current assets to cover its short-term obligations more than twice over. However, the return metrics present a challenging picture, with a return on equity of -215.0% and a return on assets of -89.3%, which reveals that management is currently destroying shareholder value and asset value rather than generating positive returns.
Valuation Assessment
Valuation multiples for Amesite Inc. are distorted by its lack of profitability, evidenced by a trailing P/E ratio of N/A and a forward P/E of N/A, which implies that traditional earnings-based valuation models are not applicable until the company achieves consistent positive earnings. The price-to-book ratio stands at 5.61, indicating that the market values the company's equity at more than five times its book value, suggesting a significant market premium that may be pricing in future growth expectations or intangible assets not reflected on the balance sheet. Alternative valuation metrics provide further insight, with a price-to-sales ratio of 29.29 and an EV/EBITDA of -2.49, suggesting that investors are valuing the company primarily on its revenue base despite the negative enterprise value relative to earnings. Price momentum metrics show a 52-week high of $4.78 and a 52-week low of $1.57, meaning the stock trades within a range where it could theoretically be priced anywhere between these extremes, though the specific current price relative to this exact range is not calculable without the real-time share price. The stock exhibits a beta of 1.20, which indicates that its price volatility is 20% higher than the broader market, making it a riskier investment for conservative portfolios.
Growth & Income
Amesite Inc. has demonstrated exceptional top-line expansion with a revenue growth rate of 746.8% year-over-year, whereas its earnings growth rate is N/A, indicating that the company has not yet reached a stage where earnings growth can be measured or that it remains in a loss-making phase where revenue expansion precedes profitability. As a non-dividend payer, the company reports a dividend yield of N/A and a payout ratio of 0.0%, which means it does not distribute cash to shareholders and instead retains all earnings to reinvest into its AI-driven solutions and operational infrastructure. The absence of a dividend yield confirms that the company prioritizes internal funding for growth initiatives rather than providing income to investors, a strategy common for high-growth technology firms in their early development stages. Overall, the company presents a profile of aggressive revenue scaling coupled with significant financial losses and no income distribution, characteristic of a speculative growth asset in the software application sector.