Bedrijfsoverzicht
Urban-gro, Inc. is a specialized entity focused on the design, engineering, construction, and integration of complex environmental equipment systems tailored for indoor controlled environment agriculture (CEA) cultivation and retail facilities across the United States, Canada, and Europe. The company operates within the Industrials sector, specifically within the Farm & Heavy Construction Machinery industry, positioning it as a provider of critical infrastructure for the agricultural technology landscape. In terms of scale, urban-gro, Inc. maintains a market capitalization of $12.43M and employs a workforce of 130 individuals, generating a trailing twelve-month revenue of $21.09M. These valuation and revenue figures indicate that the company functions as a small-cap enterprise with a relatively modest operational footprint compared to large-scale industrial conglomerates, suggesting a niche market presence rather than broad market dominance. The combination of a limited employee base and low market cap highlights a business model that relies heavily on project-specific engineering capabilities rather than mass manufacturing volume, which constrains its ability to rapidly scale operations without significant capital infusion.
Financiële gezondheid
The company reported a revenue of $21.09M over the trailing twelve months, yet this top-line activity resulted in a net income of $-41,483,620, revealing a severe structural inefficiency where operating costs significantly exceeded revenue generation. This substantial gap between revenue and net income is further illustrated by an EBITDA of $-26,077,632, indicating that the core business operations are generating negative cash earnings before interest, taxes, depreciation, and amortization. Despite these negative earnings metrics, the company reports a free cash flow of $12.32M, which suggests that the business retains liquidity from non-operating activities or asset sales, though this figure does not necessarily reflect sustainable operational profitability. The margin analysis paints a stark picture of financial distress, with a gross margin of -4.3%, an operating margin of -93.8%, and a profit margin of -200.5%, all of which indicate that the company is unable to cover its direct costs, operating expenses, and total costs including interest and taxes from its primary revenue streams. On the balance sheet, cash on hand stands at $62,875 while total debt amounts to $4.23M, a disparity that is compounded by a debt-to-equity ratio listed as N/A, pointing to a highly leveraged or equity-deficient capital structure. Liquidity is critically constrained, evidenced by a current ratio of 0.05, which signifies that current assets are less than five percent of current liabilities, placing the company in a precarious position regarding short-term solvency. Furthermore, the return on equity is N/A and the return on assets stands at -64.2%, metrics that collectively reveal that management is currently destroying value rather than generating returns for shareholders or utilizing assets efficiently.
Waarderingsbeoordeling
Valuation multiples for urban-gro, Inc. are distorted by its financial losses, with a trailing P/E ratio of N/A and a forward P/E of -68.92, the latter implying that the market prices the stock based on anticipated future profitability rather than historical performance, though the negative figure reflects current earnings deficits. The price-to-book ratio is recorded at -0.23, a metric that indicates the market is pricing the company's equity at a significant discount to its book value, often seen in distressed assets or companies with intangible-heavy balance sheets where book value calculations do not reflect true enterprise value. Alternative valuation metrics such as the price-to-sales ratio of 0.59 and an EV/EBITDA of -0.64 provide further insight, suggesting that investors are willing to pay less than one dollar for every dollar of sales, highlighting extreme skepticism regarding the company's ability to convert revenue into sustainable earnings. Price volatility is extreme, with the stock trading between a 52-week high of $37.00 and a 52-week low of $2.02, meaning the current price sits at a level that reflects a massive drawdown from recent highs, consistent with the company's operational struggles. The beta value of -2.35 is an anomalous statistic that suggests an inverse correlation to the broader market, indicating that the stock price moves significantly in the opposite direction of market trends, thereby amplifying risk for investors seeking standard market exposure.
Growth & Income
The growth profile of the company is characterized by a contraction in activity, with a revenue growth year-over-year of -70.1% and an earnings growth year-over-year listed as N/A, indicating that earnings are not only negative but have also deteriorated sharply compared to the prior year. The absence of a positive earnings growth rate alongside a steep decline in revenue implies that the business is unable to stabilize its cost structure or find new revenue sources to offset shrinking demand. Since the company does not pay a dividend, as indicated by a dividend yield of N/A and a payout ratio of 0.0%, it does not distribute income to shareholders, effectively reinvesting any available cash flow or relying on external financing to fund operations rather than returning capital. The overall growth and income profile is defined by significant headwinds, where the company is simultaneously shrinking its revenue base and failing to generate positive earnings or dividends, resulting in a capital preservation challenge rather than a growth or income investment opportunity.