📊 AXR Key Takeaways
Investment Thesis
AMREP demonstrates exceptional profitability metrics with 21.6% net margins and strong free cash flow generation ($10.6M FCF). However, the extraordinary 2963.7% revenue growth and extremely low 2.0% gross margin warrant scrutiny regarding sustainability and business model quality, suggesting this may represent a one-time transaction rather than normalized operating performance.
AXR Strengths
- Outstanding operating leverage with 24.6% operating margin despite minimal gross margins
- Fortress balance sheet with minimal debt ($21K), strong liquidity ($50M cash), and 3.03x debt-to-equity of 0.00
- Robust free cash flow generation at 25.3% FCF margin relative to revenue, significantly exceeding net income
- Substantial revenue growth of 2963.7% YoY with corresponding 90.1% net income growth
AXR Risks
- Abnormally low 2.0% gross margin indicates either a low-margin transaction, one-time event, or concerning operational inefficiency in core land development business
- Extreme revenue growth lacks credibility as normalized performance and appears non-recurring in nature
- Low absolute gross profit ($841K on $41.8M revenue) combined with substantial operating income suggests heavily reliance on non-operating items or accounting treatment requiring verification
- Modest ROE (6.5%) and ROA (6.3%) despite strong profitability metrics indicate significant unutilized asset base or capital inefficiency
- Nine insider Form 4 filings in last 90 days suggest potential volatility in insider positioning
Key Metrics to Watch
- Gross margin normalization and sustainability in subsequent periods
- Revenue composition and identification of one-time versus recurring components
- Operating cash flow trends and working capital changes relative to reported profits
- Return on equity improvement as company deploys $50M cash position
AXR Financial Metrics
💡 AI Analyst Insight
The 25.3% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
AXR Profitability Ratios
AXR vs Default Sector
How AMREP CORP. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
AXR Balance Sheet & Liquidity
AXR 5-Year Financial Trend
5-Year Trend Summary: AMREP CORP.'s revenue has grown significantly by 28% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.25 reflects profitable operations.
AXR Growth Metrics (YoY)
AXR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $7.5M | $717.0K | $0.13 |
| Q2 2026 | $9.4M | $1.2M | $0.22 |
| Q1 2026 | $17.9M | $4.1M | $0.76 |
| Q3 2025 | $7.5M | $92.0K | $0.02 |
| Q2 2025 | $8.9M | $1.1M | $0.21 |
| Q1 2025 | $10.3M | $1.3M | $0.25 |
| Q3 2024 | $9.1M | $92.0K | $0.02 |
| Q3 2023 | $9.1M | $910.0K | $0.12 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AXR Capital Allocation
AXR SEC Filings
Access official SEC EDGAR filings for AMREP CORP. (CIK: 0000006207)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AXR
What is the AI rating for AXR?
AMREP CORP. (AXR) has an AI rating of HOLD with 45% confidence, based on fundamental analysis of SEC EDGAR filings.
What are AXR's key strengths?
Outstanding operating leverage with 24.6% operating margin despite minimal gross margins. Fortress balance sheet with minimal debt ($21K), strong liquidity ($50M cash), and 3.03x debt-to-equity of 0.00.
What are the risks of investing in AXR?
Abnormally low 2.0% gross margin indicates either a low-margin transaction, one-time event, or concerning operational inefficiency in core land development business. Extreme revenue growth lacks credibility as normalized performance and appears non-recurring in nature.
What is AXR's revenue and growth?
AMREP CORP. reported revenue of $41.8M.
Does AXR pay dividends?
AMREP CORP. does not currently pay dividends.
Where can I find AXR SEC filings?
Official SEC filings for AMREP CORP. (CIK: 0000006207) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AXR's EPS?
AMREP CORP. has a diluted EPS of $1.68.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.