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CODA Stock Analysis - Coda Octopus Group, Inc. AI Rating

CODA Nasdaq Search, Detection, Navigation, Guidance, Aeronautical Sys DE CIK: 0001334325
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2026-01-31
AI Rating
HOLD
62% Confidence

📊 CODA Key Takeaways

Revenue: $6.7M
Net Margin: 13.9%
Free Cash Flow: $1.4M
Current Ratio: 10.90x
Debt/Equity: 0.01x
EPS: $0.08
AI Rating: HOLD with 62% confidence

Investment Thesis

Coda Octopus demonstrates exceptional financial health with fortress-like balance sheet metrics (10.9x current ratio, 0.01x debt/equity, $30.4M cash) and strong profitability margins (65.1% gross, 13.9% net). However, the extremely modest revenue base of $6.7M with unclear growth trajectory and minimal return on equity (1.5% ROE) suggest limited scale and earnings power relative to asset base, requiring evidence of revenue acceleration to justify investment.

CODA Strengths

  • + Exceptional liquidity position with $30.4M cash against $5.4M liabilities and 10.9x current ratio
  • + Strong profitability margins with 65.1% gross margin and 13.9% net margin indicating pricing power and operational efficiency
  • + Minimal financial leverage with 0.01x debt/equity ratio and 104.1x interest coverage providing substantial financial flexibility
  • + Positive free cash flow generation of $1.4M with 20.8% FCF margin demonstrating cash conversion capability

CODA Risks

  • ! Extremely small revenue base of $6.7M limits scale, operational efficiency gains, and capital deployment opportunities
  • ! Poor return metrics with only 1.5% ROE and 1.4% ROA indicate asset base is substantially underdeployed or generating minimal returns
  • ! Absence of YoY growth data prevents assessment of revenue trajectory, sustainability of margins, and business momentum
  • ! Zero insider Form 4 filings in last 90 days may suggest limited management confidence or engagement signals

Key Metrics to Watch

CODA Financial Metrics

Revenue
$6.7M
Net Income
$930.7K
EPS (Diluted)
$0.08
Free Cash Flow
$1.4M
Total Assets
$65.6M
Cash Position
$30.4M

💡 AI Analyst Insight

The 20.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.90x current ratio provides a solid financial cushion.

CODA Profitability Ratios

Gross Margin 65.1%
Operating Margin 15.1%
Net Margin 13.9%
ROE 1.5%
ROA 1.4%
FCF Margin 20.8%

CODA vs Default Sector

How Coda Octopus Group, Inc. compares to Default sector averages

Net Margin
CODA 13.9%
vs
Sector Avg 12.0%
CODA Sector
ROE
CODA 1.5%
vs
Sector Avg 15.0%
CODA Sector
Current Ratio
CODA 10.9x
vs
Sector Avg 1.8x
CODA Sector
Debt/Equity
CODA 0.0x
vs
Sector Avg 0.7x
CODA Sector

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

CODA Balance Sheet & Liquidity

Current Ratio
10.90x
Quick Ratio
7.88x
Debt/Equity
0.01x
Debt/Assets
8.3%
Interest Coverage
104.09x
Long-term Debt
$573.1K

CODA 5-Year Financial Trend

CODA 5-year financial data: Year 2020: Revenue $25.1M, Net Income $5.2M, EPS N/A. Year 2021: Revenue $21.3M, Net Income $3.3M, EPS $0.30. Year 2022: Revenue $22.2M, Net Income $4.9M, EPS $0.44. Year 2023: Revenue $22.2M, Net Income $4.3M, EPS $0.38. Year 2024: Revenue $20.3M, Net Income $3.1M, EPS $0.28.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Coda Octopus Group, Inc.'s revenue has declined by 19% over the 5-year period, indicating business contraction. The most recent EPS of $0.32 reflects profitable operations.

CODA 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
20.8%
Free cash flow / Revenue

CODA Quarterly Performance

Quarterly financial performance data for Coda Octopus Group, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $5.2M $913.0K $0.08
Q3 2025 $5.5M $629.9K $0.11
Q2 2025 $5.3M $629.9K $0.08
Q1 2025 $4.5M $629.9K $0.06
Q3 2024 $4.9M $629.9K $0.09
Q2 2024 $5.3M $629.9K $0.09
Q1 2024 $4.5M $629.9K $0.06
Q3 2023 $4.9M $611.3K $0.09

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

CODA Capital Allocation

Operating Cash Flow
$1.5M
Cash generated from operations
Stock Buybacks
$15.6K
Shares repurchased (TTM)
Capital Expenditures
$82.2K
Investment in assets
Dividends
None
No dividend program

CODA SEC Filings

Access official SEC EDGAR filings for Coda Octopus Group, Inc. (CIK: 0001334325)

📋 Recent SEC Filings

Date Form Document Action
Mar 17, 2026 10-Q form10-q.htm View →
Feb 26, 2026 10-K/A form10-ka.htm View →
Jan 29, 2026 10-K form10-k.htm View →
Oct 3, 2025 4 xslF345X05/ownership.xml View →
Sep 23, 2025 4 xslF345X05/ownership.xml View →

Frequently Asked Questions about CODA

What is the AI rating for CODA?

Coda Octopus Group, Inc. (CODA) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CODA's key strengths?

Exceptional liquidity position with $30.4M cash against $5.4M liabilities and 10.9x current ratio. Strong profitability margins with 65.1% gross margin and 13.9% net margin indicating pricing power and operational efficiency.

What are the risks of investing in CODA?

Extremely small revenue base of $6.7M limits scale, operational efficiency gains, and capital deployment opportunities. Poor return metrics with only 1.5% ROE and 1.4% ROA indicate asset base is substantially underdeployed or generating minimal returns.

What is CODA's revenue and growth?

Coda Octopus Group, Inc. reported revenue of $6.7M.

Does CODA pay dividends?

Coda Octopus Group, Inc. does not currently pay dividends.

Where can I find CODA SEC filings?

Official SEC filings for Coda Octopus Group, Inc. (CIK: 0001334325) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CODA's EPS?

Coda Octopus Group, Inc. has a diluted EPS of $0.08.

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: 2026-01-31 | Powered by Claude AI