📊 DIT Key Takeaways
Is Amcon Distributing Co (DIT) a Good Investment?
AMCON is unprofitable with deteriorating earnings (EPS down 87% YoY) while operating in a structurally thin-margin wholesale grocery business. Free cash flow is deeply negative (-$7.3M) despite positive operating cash flow, and the company's critically low cash position ($643K) combined with sub-1.0x interest coverage raises sustainability concerns. Revenue growth of 3.9% is insufficient to offset margin compression and rising financial leverage risk.
AMCON shows modest top-line growth, but the quality of that growth is weak because margins remain extremely thin and profits are barely above break-even. Negative operating and free cash flow, very low cash on hand, and sub-1x interest coverage point to strained underlying earnings power despite a solid current ratio and low reported leverage.
Why Buy Amcon Distributing Co Stock? DIT Key Strengths
- Modest revenue growth of 3.9% YoY in competitive wholesale grocery sector
- Conservative leverage with 0.15x debt-to-equity ratio provides financial flexibility
- Positive operating cash flow of $2.0M demonstrates core business cash generation capability
- Revenue is still growing year over year, indicating resilient demand in a low-margin distribution business
- Current ratio of 2.64x suggests acceptable near-term balance sheet flexibility
- Debt-to-equity of 0.14x indicates limited long-term leverage relative to equity
DIT Stock Risks: Amcon Distributing Co Investment Risks
- Net losses of $1.4M with negative net margin (-0.1%) indicate unprofitability and deteriorating operational performance
- Negative free cash flow of -$7.3M despite higher capex than OCF signals unsustainable capital structure and cash burn
- Critically low cash reserves of $643K relative to $1.4B revenue with interest coverage ratio of 0.7x creates debt servicing risk
- Razor-thin operating margin of 0.2% with EPS deterioration of 87% YoY indicates structural pressure in low-margin grocery wholesale
- Quick ratio of 0.82x falls below 1.0, suggesting potential liquidity stress when inventory must be liquidated
- Operating margin of 0.5% and net margin of 0.1% leave little cushion against cost inflation or execution errors
- Operating cash flow of -$11.70M and free cash flow of -$12.37M indicate weak cash conversion
- Interest coverage of 0.8x suggests earnings are not comfortably covering financing costs
Key Metrics to Watch
- Free cash flow trajectory and cash position - critical for solvency
- Gross margin stability and ability to achieve operating profitability
- Interest coverage ratio and debt service capacity
- Inventory turnover and working capital efficiency
- Operating cash flow sustainability and capex requirements
- Operating cash flow and free cash flow trend
- Operating margin and interest coverage
Amcon Distributing Co (DIT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.17x current ratio provides a solid financial cushion.
DIT Profit Margin, ROE & Profitability Analysis
DIT vs Market Sector: How Amcon Distributing Co Compares
How Amcon Distributing Co compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Amcon Distributing Co Stock Overvalued? DIT Valuation Analysis 2026
Based on fundamental analysis, Amcon Distributing Co has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Amcon Distributing Co Balance Sheet: DIT Debt, Cash & Liquidity
DIT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Amcon Distributing Co's revenue has grown significantly by 68% over the 5-year period, indicating strong business expansion. The most recent EPS of $7.15 reflects profitable operations.
DIT Revenue Growth, EPS Growth & YoY Performance
DIT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $619.5M | -$1.2M | $-1.35 |
| Q1 2026 | $711.3M | $348.4K | $0.57 |
| Q3 2025 | $717.9M | $77.0K | $0.12 |
| Q2 2025 | $601.9M | $539.5K | $0.89 |
| Q1 2025 | $645.0M | $348.4K | $0.57 |
| Q3 2024 | $696.5M | $1.5M | $2.46 |
| Q2 2024 | $585.0M | $539.5K | $0.89 |
| Q1 2024 | $566.0M | $1.1M | $1.78 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Amcon Distributing Co Dividends, Buybacks & Capital Allocation
DIT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Amcon Distributing Co (CIK: 0000928465)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DIT
What is the AI rating for DIT?
Amcon Distributing Co (DIT) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DIT's key strengths?
Claude: Modest revenue growth of 3.9% YoY in competitive wholesale grocery sector. Conservative leverage with 0.15x debt-to-equity ratio provides financial flexibility. ChatGPT: Revenue is still growing year over year, indicating resilient demand in a low-margin distribution business. Current ratio of 2.64x suggests acceptable near-term balance sheet flexibility.
What are the risks of investing in DIT?
Claude: Net losses of $1.4M with negative net margin (-0.1%) indicate unprofitability and deteriorating operational performance. Negative free cash flow of -$7.3M despite higher capex than OCF signals unsustainable capital structure and cash burn. ChatGPT: Operating margin of 0.5% and net margin of 0.1% leave little cushion against cost inflation or execution errors. Operating cash flow of -$11.70M and free cash flow of -$12.37M indicate weak cash conversion.
What is DIT's revenue and growth?
Amcon Distributing Co reported revenue of $1.4B.
Does DIT pay dividends?
Amcon Distributing Co pays dividends, with $0.4M distributed to shareholders in the trailing twelve months.
Where can I find DIT SEC filings?
Official SEC filings for Amcon Distributing Co (CIK: 0000928465) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DIT's EPS?
Amcon Distributing Co has a diluted EPS of $-1.49.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is DIT a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Amcon Distributing Co has a SELL rating with 86% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is DIT stock overvalued or undervalued?
Valuation metrics for DIT: ROE of -1.2% (sector avg: 15%), net margin of -0.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy DIT stock in 2026?
Our dual AI analysis gives Amcon Distributing Co a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DIT's free cash flow?
Amcon Distributing Co's operating cash flow is $2.0M, with capital expenditures of $9.3M. FCF margin is -0.5%.
How does DIT compare to other Market stocks?
Vs Default sector averages: Net margin -0.1% (avg: 12%), ROE -1.2% (avg: 15%), current ratio 2.17 (avg: 1.8).