📊 CRMT Key Takeaways
Investment Thesis
Americas CarMart is experiencing severe operational distress with negative operating income of -$71.6M despite 21.4% revenue growth, indicating fundamental profitability issues that are worsening rather than improving. The company is burning cash with negative operating cash flow of -$2.8M and negative free cash flow of -$4.3M, while carrying substantial debt relative to a shrinking equity base, creating an unsustainable financial trajectory.
CRMT Strengths
- Revenue growth of 21.4% YoY demonstrates continued market demand and sales execution
- Adequate liquidity with $117.9M in cash and minimal long-term debt ($109K) provides near-term financial runway
- Gross margin of 27.0% is reasonable for auto retail, suggesting product pricing power
CRMT Risks
- Operating losses of -$71.6M with negative operating margin of -7.3% indicate core business unprofitability despite revenue growth
- Negative free cash flow of -$4.3M and negative operating cash flow of -$2.8M show the company is consuming cash and cannot sustain operations from internal generation
- Net income declined to -$104.9M with negative ROE of -21.9% and ROA of -6.5%, signaling deteriorating asset efficiency and shareholder value destruction
- Persistent negative earnings per share of -$12.67 suggests structural cost control issues that growth alone cannot resolve
Key Metrics to Watch
- Operating cash flow trend - must turn positive for sustainability
- Operating margin improvement - negative margins must reach breakeven then profitability
- Free cash flow generation - critical indicator of business viability
- Cost of goods sold as % of revenue - need evidence of gross profit protection and SG&A reduction
CRMT Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CRMT Profitability Ratios
CRMT vs Consumer Sector
How AMERICAS CARMART INC compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CRMT Balance Sheet & Liquidity
CRMT 5-Year Financial Trend
5-Year Trend Summary: AMERICAS CARMART INC's revenue has grown significantly by 49% over the 5-year period, indicating strong business expansion. The most recent EPS of $3.11 reflects profitable operations.
CRMT Growth Metrics (YoY)
CRMT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $222.6M | -$964.0K | $0.37 |
| Q2 2026 | $285.8M | -$964.0K | $0.55 |
| Q1 2026 | $276.2M | -$964.0K | $-0.15 |
| Q3 2025 | $240.4M | -$964.0K | $0.37 |
| Q2 2025 | $285.8M | -$964.0K | $0.55 |
| Q3 2024 | $240.4M | $1.5M | $0.23 |
| Q2 2024 | $302.2M | $3.1M | $0.48 |
| Q1 2024 | $287.2M | -$964.0K | $-0.15 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CRMT Capital Allocation
CRMT SEC Filings
Access official SEC EDGAR filings for AMERICAS CARMART INC (CIK: 0000799850)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CRMT
What is the AI rating for CRMT?
AMERICAS CARMART INC (CRMT) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CRMT's key strengths?
Revenue growth of 21.4% YoY demonstrates continued market demand and sales execution. Adequate liquidity with $117.9M in cash and minimal long-term debt ($109K) provides near-term financial runway.
What are the risks of investing in CRMT?
Operating losses of -$71.6M with negative operating margin of -7.3% indicate core business unprofitability despite revenue growth. Negative free cash flow of -$4.3M and negative operating cash flow of -$2.8M show the company is consuming cash and cannot sustain operations from internal generation.
What is CRMT's revenue and growth?
AMERICAS CARMART INC reported revenue of $978.7M.
Does CRMT pay dividends?
AMERICAS CARMART INC pays dividends, with $0.0M distributed to shareholders in the trailing twelve months.
Where can I find CRMT SEC filings?
Official SEC filings for AMERICAS CARMART INC (CIK: 0000799850) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CRMT's EPS?
AMERICAS CARMART INC has a diluted EPS of $-12.67.
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.