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CAPC Stock Analysis - CAPSTONE COMPANIES, INC. AI Rating

CAPC OTC Electric Lighting & Wiring Equipment FL CIK: 0000814926
Recently Updated • Analysis: Mar 21, 2026 • SEC Data: 2025-09-30
AI Rating
STRONG SELL
95% Confidence

📊 CAPC Key Takeaways

Revenue: $-18.8K
Net Margin: 1,388.1%
Free Cash Flow: $-269.9K
Current Ratio: 0.23x
Debt/Equity: 0.00x
EPS: $0.00
AI Rating: STRONG SELL with 95% confidence

Investment Thesis

Capstone Companies exhibits severe financial distress with massive losses, negative cash flow, and critical liquidity issues that threaten operational viability. The company's negative gross margin and operating margins indicate fundamental business model failure. The near-zero current ratio and negative quick ratio suggest immediate solvency concerns without significant capital injection or operational restructuring.

CAPC Strengths

  • + Minimal long-term debt burden reduces refinancing risk
  • + Positive gross profit of $105.2K shows some revenue generation capability
  • + Cash position of $95.2K provides minimal operating runway

CAPC Risks

  • ! Severe liquidity crisis with current ratio of 0.23x and quick ratio of -0.19x
  • ! Continuous operating losses with negative free cash flow of -$269.9K
  • ! Negative gross margin of -560.9% indicates unsustainable business model
  • ! Stockholders' equity of only $200.7K with total liabilities of $708.7K creates high insolvency risk
  • ! Negative operating and net margins indicate inability to control costs relative to revenue

Key Metrics to Watch

CAPC Financial Metrics

Revenue
$-18.8K
Net Income
$-260.4K
EPS (Diluted)
$0.00
Free Cash Flow
$-269.9K
Total Assets
$909.4K
Cash Position
$95.2K

💡 AI Analyst Insight

The 1,438.3% 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.

CAPC Profitability Ratios

Gross Margin -560.9%
Operating Margin 1,288.1%
Net Margin 1,388.1%
ROE -129.8%
ROA -28.6%
FCF Margin 1,438.3%

CAPC vs Default Sector

How CAPSTONE COMPANIES, INC. compares to Default sector averages

Net Margin
CAPC 1,388.1%
vs
Sector Avg 12.0%
CAPC Sector
ROE
CAPC -129.8%
vs
Sector Avg 15.0%
CAPC Sector
Current Ratio
CAPC 0.2x
vs
Sector Avg 1.8x
CAPC Sector
Debt/Equity
CAPC 0.0x
vs
Sector Avg 0.7x
CAPC Sector

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

CAPC Balance Sheet & Liquidity

Current Ratio
0.23x
Quick Ratio
-0.19x
Debt/Equity
0.00x
Debt/Assets
77.9%
Interest Coverage
-17.26x
Long-term Debt
N/A

CAPC 5-Year Financial Trend

CAPC 5-year financial data: Year 2020: Revenue $12.4M, Net Income -$891.7K, EPS N/A. Year 2021: Revenue $2.8M, Net Income -$2.4M, EPS N/A. Year 2022: Revenue $685.9K, Net Income -$2.0M, EPS N/A. Year 2023: Revenue $346.5K, Net Income -$2.7M, EPS N/A. Year 2024: Revenue $192.2K, Net Income -$1.7M, EPS $-0.03.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CAPSTONE COMPANIES, INC.'s revenue has declined by 98% over the 5-year period, indicating business contraction. The most recent EPS of $-0.03 indicates the company is currently unprofitable.

CAPC 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
1,438.3%
Free cash flow / Revenue

CAPC Quarterly Performance

Quarterly financial performance data for CAPSTONE COMPANIES, INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $143.3K -$72.8K $0.00
Q2 2025 $137.8K -$76.5K $0.00
Q1 2025 $5.5K -$111.1K $0.00
Q3 2024 $63.8K -$95.5K $0.00
Q2 2024 $26.6K -$124.0K $0.00
Q1 2024 $5.5K -$262.3K N/A
Q3 2023 $35.9K -$325.1K N/A
Q2 2023 $19.9K -$325.1K N/A

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

CAPC Capital Allocation

Operating Cash Flow
-$226.9K
Cash generated from operations
Stock Buybacks
$11.7K
Shares repurchased (TTM)
Capital Expenditures
$43.0K
Investment in assets
Dividends
None
No dividend program

CAPC SEC Filings

Access official SEC EDGAR filings for CAPSTONE COMPANIES, INC. (CIK: 0000814926)

📋 Recent SEC Filings

Date Form Document Action
Mar 5, 2026 8-K capc_8k.htm View →
Jan 12, 2026 8-K capc_8k.htm View →
Dec 16, 2025 8-K capc_8k.htm View →
Nov 13, 2025 10-Q capc_10q.htm View →
Oct 15, 2025 8-K capc_8k.htm View →

Frequently Asked Questions about CAPC

What is the AI rating for CAPC?

CAPSTONE COMPANIES, INC. (CAPC) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CAPC's key strengths?

Minimal long-term debt burden reduces refinancing risk. Positive gross profit of $105.2K shows some revenue generation capability.

What are the risks of investing in CAPC?

Severe liquidity crisis with current ratio of 0.23x and quick ratio of -0.19x. Continuous operating losses with negative free cash flow of -$269.9K.

What is CAPC's revenue and growth?

CAPSTONE COMPANIES, INC. reported revenue of $-18.8K.

Does CAPC pay dividends?

CAPSTONE COMPANIES, INC. does not currently pay dividends.

Where can I find CAPC SEC filings?

Official SEC filings for CAPSTONE COMPANIES, INC. (CIK: 0000814926) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CAPC's EPS?

CAPSTONE COMPANIES, INC. has a diluted EPS of $0.00.

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: 2025-09-30 | Powered by Claude AI