What is the AI rating for AAME?

ATLANTIC AMERICAN CORP (AAME) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are the key strengths of AAME?

Strong free cash flow generation ($14.7M) with 9.3% FCF margin, providing financial flexibility. Debt-free capital structure with zero long-term debt and healthy equity base of $109.5M. Positive net income growth of 8.5% YoY with stable revenue, indicating operational improvement

What are the risks of investing in AAME?

Severely diluted EPS declined 666.7% YoY despite net income growth, signaling significant share issuance or equity dilution. Thin profit margins (2.9% net, 3.8% operating) and weak returns (4.3% ROE, 1.1% ROA) indicate operational inefficiency. No insider Form 4 activity in last 90 days suggests limited confidence from company insiders in fundamental value

AAME Stock Analysis - ATLANTIC AMERICAN CORP AI Rating & Fundamentals

Name: ATLANTIC AMERICAN CORP (AAME) Stock
Brand: ATLANTIC AMERICAN CORP
Rating: 3 (1 reviews)

Investment Thesis

Atlantic American Corp demonstrates modest profitability with stable revenue growth and positive free cash flow generation, but is constrained by thin margins (2.9% net margin) and weak returns on equity (4.3%). The company's financial health is adequate with a debt-free balance sheet, though limited insider buying activity and declining diluted EPS suggest investor confidence concerns despite net income growth.

AAME Strengths

+ Strong free cash flow generation ($14.7M) with 9.3% FCF margin, providing financial flexibility
+ Debt-free capital structure with zero long-term debt and healthy equity base of $109.5M
+ Positive net income growth of 8.5% YoY with stable revenue, indicating operational improvement

AAME Risks

! Severely diluted EPS declined 666.7% YoY despite net income growth, signaling significant share issuance or equity dilution
! Thin profit margins (2.9% net, 3.8% operating) and weak returns (4.3% ROE, 1.1% ROA) indicate operational inefficiency
! No insider Form 4 activity in last 90 days suggests limited confidence from company insiders in fundamental value

Key Metrics to Watch

* Net margin trend and operating leverage improvement
* Share count changes and dilution drivers
* Return on equity trajectory and capital efficiency

AAME Financial Metrics

Revenue

$159.2M

Net Income

$4.7M

EPS (Diluted)

$0.22

Free Cash Flow

$14.7M

Total Assets

$430.9M

Cash Position

$34.4M

AAME Profitability Ratios

Gross Margin N/A

Operating Margin 3.8%

Net Margin 2.9%

ROE 4.3%

ROA 1.1%

FCF Margin 9.3%

AAME Balance Sheet & Liquidity

Current Ratio

N/A

Quick Ratio

N/A

Debt/Equity

0.00x

Debt/Assets

74.6%

Interest Coverage

2.59x

Long-term Debt

N/A

Disclaimer: This analysis is generated by Claude 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 and consult with a qualified financial advisor before making investment decisions.

Data Source: SEC EDGAR | Analysis Date: Mar 18, 2026 | Data as of: 2025-09-30 | Powered by Claude AI