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BILL Stock Analysis - BILL Holdings, Inc. AI Rating

BILL NYSE Services-Prepackaged Software CIK: 0001786352
Recently Updated • Analysis: Mar 21, 2026 • SEC Data: 2025-12-31
AI Rating
HOLD
65% Confidence

📊 BILL Key Takeaways

Revenue: $810.4M
Net Margin: -0.7%
Free Cash Flow: $199.4M
Current Ratio: 1.65x
Debt/Equity: 0.48x
EPS: $-0.05
AI Rating: HOLD with 65% confidence

Investment Thesis

BILL demonstrates exceptional gross margins (80.2%) and strong free cash flow generation ($199.4M, 24.6% FCF margin), indicating a fundamentally sound business model. However, the company remains unprofitable at the operating and net income levels (-4.8% and -0.7% margins respectively) despite massive revenue growth, suggesting operational leverage has not materialized despite scale. The path to sustained profitability remains uncertain despite solid underlying unit economics and cash generation.

BILL Strengths

  • + Exceptional gross margins of 80.2% demonstrate strong pricing power and efficient service delivery
  • + Outstanding free cash flow generation of $199.4M with 24.6% FCF margin showing cash conversion despite GAAP losses
  • + Solid balance sheet with $1.1B cash, 1.65x current ratio, and modest 0.48x debt-to-equity ratio providing financial flexibility
  • + Strong revenue growth of 10,679.9% YoY indicates successful market expansion and customer acquisition

BILL Risks

  • ! Operating margin deeply negative at -4.8% with $38.8M operating loss despite $810.4M revenue indicates inability to scale profitably
  • ! Net losses continuing (-$5.5M) after significant revenue growth suggests structural cost challenges or heavy investment phase that may persist
  • ! Interest coverage ratio of -2.6x indicates operating income insufficient to cover debt service, dependent on cash reserves for debt obligations
  • ! Negative return metrics (ROE -0.1%, ROA -0.1%) despite substantial equity and asset base question capital efficiency

Key Metrics to Watch

BILL Financial Metrics

Revenue
$810.4M
Net Income
$-5.6M
EPS (Diluted)
$-0.05
Free Cash Flow
$199.4M
Total Assets
$10.1B
Cash Position
$1.1B

💡 AI Analyst Insight

The 24.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.

BILL Profitability Ratios

Gross Margin 80.2%
Operating Margin -4.8%
Net Margin -0.7%
ROE -0.1%
ROA -0.1%
FCF Margin 24.6%

BILL vs Technology Sector

How BILL Holdings, Inc. compares to Technology sector averages

Net Margin
BILL -0.7%
vs
Sector Avg 18.0%
BILL Sector
ROE
BILL -0.1%
vs
Sector Avg 22.0%
BILL Sector
Current Ratio
BILL 1.7x
vs
Sector Avg 2.5x
BILL Sector
Debt/Equity
BILL 0.5x
vs
Sector Avg 0.5x
BILL Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

BILL Balance Sheet & Liquidity

Current Ratio
1.65x
Quick Ratio
1.65x
Debt/Equity
0.48x
Debt/Assets
62.4%
Interest Coverage
-2.55x
Long-term Debt
$1.8B

BILL 5-Year Financial Trend

BILL 5-year financial data: Year 2021: Revenue $238.3M, Net Income -$7.3M, EPS N/A. Year 2022: Revenue $642.0M, Net Income -$31.1M, EPS $-0.70. Year 2023: Revenue $1.1B, Net Income -$98.7M, EPS $-1.19. Year 2024: Revenue $1.3B, Net Income -$326.4M, EPS $-3.21. Year 2025: Revenue $1.5B, Net Income -$223.7M, EPS $-2.11.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: BILL Holdings, Inc.'s revenue has grown significantly by 514% over the 5-year period, indicating strong business expansion. The most recent EPS of $-2.11 indicates the company is currently unprofitable.

BILL Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
24.6%
Free cash flow / Revenue

BILL Quarterly Performance

Quarterly financial performance data for BILL Holdings, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q2 2026 $362.6M -$2.6M $0.02
Q1 2026 $358.5M -$3.0M $-0.03
Q3 2025 $323.0M $8.9M $0.00
Q2 2025 $318.5M $8.9M $0.02
Q3 2024 $272.6M -$27.9M $0.00
Q2 2024 $260.0M -$27.9M $-0.38
Q1 2024 $229.9M $8.9M $0.08
Q3 2023 $166.9M -$31.1M $-0.29

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

BILL Capital Allocation

Operating Cash Flow
$202.2M
Cash generated from operations
Stock Buybacks
$215.8M
Shares repurchased (TTM)
Capital Expenditures
$2.8M
Investment in assets
Dividends
None
No dividend program

BILL SEC Filings

Access official SEC EDGAR filings for BILL Holdings, Inc. (CIK: 0001786352)

📋 Recent SEC Filings

Date Form Document Action
Mar 16, 2026 8-K bill-20260311.htm View →
Mar 3, 2026 4 xslF345X05/form4-03032026_100342.xml View →
Mar 3, 2026 4 xslF345X05/form4-03032026_100357.xml View →
Mar 3, 2026 4 xslF345X05/form4-03032026_100317.xml View →
Mar 3, 2026 4 xslF345X05/form4-03032026_100324.xml View →

Frequently Asked Questions about BILL

What is the AI rating for BILL?

BILL Holdings, Inc. (BILL) has an AI rating of HOLD with 65% confidence, based on fundamental analysis of SEC EDGAR filings.

What are BILL's key strengths?

Exceptional gross margins of 80.2% demonstrate strong pricing power and efficient service delivery. Outstanding free cash flow generation of $199.4M with 24.6% FCF margin showing cash conversion despite GAAP losses.

What are the risks of investing in BILL?

Operating margin deeply negative at -4.8% with $38.8M operating loss despite $810.4M revenue indicates inability to scale profitably. Net losses continuing (-$5.5M) after significant revenue growth suggests structural cost challenges or heavy investment phase that may persist.

What is BILL's revenue and growth?

BILL Holdings, Inc. reported revenue of $810.4M.

Does BILL pay dividends?

BILL Holdings, Inc. does not currently pay dividends.

Where can I find BILL SEC filings?

Official SEC filings for BILL Holdings, Inc. (CIK: 0001786352) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is BILL's EPS?

BILL Holdings, Inc. has a diluted EPS of $-0.05.

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.

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 21, 2026 | Data as of: 2025-12-31 | Powered by Claude AI