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CNTM Stock Analysis - ConnectM Technology Solutions, Inc. AI Rating

CNTM OTC Construction - Special Trade Contractors DE CIK: 0001895249
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-09-30
AI Rating
STRONG SELL
95% Confidence

📊 CNTM Key Takeaways

Revenue: $26.2M
Net Margin: -44.7%
Free Cash Flow: $-6.7M
Current Ratio: 0.35x
Debt/Equity: N/A
EPS: $-0.22
AI Rating: STRONG SELL with 95% confidence

Investment Thesis

ConnectM Technology Solutions exhibits severe financial distress with negative stockholders' equity of -$13.6M, indicating the company is technically insolvent. Despite 13.4% revenue growth, the company is burning cash with -$6.7M operating cash flow and -$44.7% net margin, suggesting fundamental business model problems that growth alone cannot offset.

CNTM Strengths

  • + Revenue growth of 13.4% YoY demonstrates market demand for services
  • + Gross margin of 33.8% indicates product/service profitability at the unit level
  • + Maintains $2.2M in cash reserves providing short-term runway

CNTM Risks

  • ! Negative stockholders' equity of -$13.6M indicates technical insolvency and potential shareholder elimination in restructuring
  • ! Operating cash flow of -$6.7M shows the business cannot fund operations from operations; company is cash flow negative despite revenue growth
  • ! Operating margin of -35.9% and net margin of -44.7% indicate severe cost structure problems; SG&A and other expenses far exceed gross profit
  • ! Current ratio of 0.35x and quick ratio of 0.33x indicate severe liquidity crisis with liabilities of $33.8M against only $22.1M in assets
  • ! Liabilities exceed assets by $11.7M; company cannot pay obligations with existing assets
  • ! EPS deteriorated 71% YoY despite revenue growth, indicating worsening unit economics or significant dilution
  • ! Zero insider purchases in last 90 days suggests management has no confidence in the business

Key Metrics to Watch

CNTM Financial Metrics

Revenue
$26.2M
Net Income
$-11.7M
EPS (Diluted)
$-0.22
Free Cash Flow
$-6.7M
Total Assets
$22.1M
Cash Position
$2.2M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

CNTM Profitability Ratios

Gross Margin 33.8%
Operating Margin -35.9%
Net Margin -44.7%
ROE N/A
ROA -53.0%
FCF Margin -25.6%

CNTM vs Industrial Sector

How ConnectM Technology Solutions, Inc. compares to Industrial sector averages

Net Margin
CNTM -44.7%
vs
Sector Avg 10.0%
CNTM Sector
ROE
CNTM 0.0%
vs
Sector Avg 15.0%
CNTM Sector
Current Ratio
CNTM 0.3x
vs
Sector Avg 1.8x
CNTM Sector
Debt/Equity
CNTM 0.0x
vs
Sector Avg 0.7x
CNTM Sector

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

CNTM Balance Sheet & Liquidity

Current Ratio
0.35x
Quick Ratio
0.33x
Debt/Equity
N/A
Debt/Assets
153.2%
Interest Coverage
N/A
Long-term Debt
$8.5M

CNTM 5-Year Financial Trend

CNTM 5-year financial data: Year 2024: Revenue $22.7M, Net Income -$9.1M, EPS $-0.69.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: ConnectM Technology Solutions, Inc.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $-0.69 indicates the company is currently unprofitable.

CNTM 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
-25.6%
Free cash flow / Revenue

CNTM Quarterly Performance

Quarterly financial performance data for ConnectM Technology Solutions, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $6.0M -$1.1M $-0.02
Q2 2025 $5.0M -$2.2M $-0.06
Q1 2025 $5.4M -$2.6M $-0.20
Q3 2024 $4.4M -$2.6M $-0.12

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

CNTM Capital Allocation

Operating Cash Flow
-$6.7M
Cash generated from operations
Stock Buybacks
$2.6M
Shares repurchased (TTM)
Capital Expenditures
$8.3K
Investment in assets
Dividends
None
No dividend program

CNTM SEC Filings

Access official SEC EDGAR filings for ConnectM Technology Solutions, Inc. (CIK: 0001895249)

📋 Recent SEC Filings

Date Form Document Action
Mar 18, 2026 8-K tm267206d3_8k.htm View →
Mar 12, 2026 8-K tm267206d4_8k.htm View →
Mar 3, 2026 8-K tm267206d2_8k.htm View →
Feb 19, 2026 8-K tm266844d1_8k.htm View →
Feb 4, 2026 8-K tm263699d4_8k.htm View →

Frequently Asked Questions about CNTM

What is the AI rating for CNTM?

ConnectM Technology Solutions, Inc. (CNTM) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CNTM's key strengths?

Revenue growth of 13.4% YoY demonstrates market demand for services. Gross margin of 33.8% indicates product/service profitability at the unit level.

What are the risks of investing in CNTM?

Negative stockholders' equity of -$13.6M indicates technical insolvency and potential shareholder elimination in restructuring. Operating cash flow of -$6.7M shows the business cannot fund operations from operations; company is cash flow negative despite revenue growth.

What is CNTM's revenue and growth?

ConnectM Technology Solutions, Inc. reported revenue of $26.2M.

Does CNTM pay dividends?

ConnectM Technology Solutions, Inc. does not currently pay dividends.

Where can I find CNTM SEC filings?

Official SEC filings for ConnectM Technology Solutions, Inc. (CIK: 0001895249) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CNTM's EPS?

ConnectM Technology Solutions, Inc. has a diluted EPS of $-0.22.

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 22, 2026 | Data as of: 2025-09-30 | Powered by Claude AI