📊 DIT Key Takeaways
Is DIT a Good Investment? Thesis Analysis
AMCON faces severe operational challenges with negative free cash flow, deteriorating profitability margins, and interest coverage below 1.0x, indicating inability to cover debt service from operations. The company's razor-thin net margin of 0.1%, combined with negative operating cash flow and declining diluted EPS, signals fundamental business stress despite modest revenue growth. Structural issues in a low-margin wholesale distribution business, paired with weak financial metrics, present substantial downside risk.
Why Buy DIT? Key Strengths
- Revenue growth of 3.9% YoY shows stable top-line demand
- Current ratio of 2.64x indicates adequate short-term liquidity position
- Relatively low debt-to-equity ratio of 0.14x limits financial leverage risk
DIT Investment Risks to Consider
- Negative free cash flow of -12.4M indicates company is burning cash and unable to self-fund operations
- Interest coverage ratio of 0.8x means operating income cannot cover debt interest expenses
- Operating cash flow of -11.7M combined with near-zero net margin (0.1%) suggests unsustainable business model
- Diluted EPS collapsed 87.1% YoY despite flat net income growth
- Quick ratio of 0.98x reveals liquidity stress when excluding inventory
- ROE of 0.7% and ROA of 0.2% demonstrate severely depressed capital efficiency
Key Metrics to Watch
- Operating cash flow trend - must return to positive to ensure viability
- Interest coverage ratio - critical to monitor debt service capacity
- Gross margin sustainability - vulnerable to commodity cost pressures
- Free cash flow generation - essential for debt reduction or operational investment
- Cash position depletion rate - $778.8K cash is critically low relative to burn rate
DIT Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.64x current ratio provides a solid financial cushion.
DIT Profitability Ratios
DIT vs Default Sector
How AMCON DISTRIBUTING CO compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is DIT Overvalued or Undervalued?
Based on fundamental analysis, AMCON DISTRIBUTING CO has mixed fundamental signals relative to the Default 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.
DIT Balance Sheet & Liquidity
DIT 5-Year Financial Trend & Growth Analysis
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 Growth Metrics (YoY)
DIT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| 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 |
| Q3 2023 | $550.6M | $3.9M | $6.59 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
DIT Capital Allocation
DIT SEC 10-K & 10-Q Filing 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 an AI rating of STRONG SELL with 85% confidence, based on fundamental analysis of SEC EDGAR filings.
What are DIT's key strengths?
Claude: Revenue growth of 3.9% YoY shows stable top-line demand. Current ratio of 2.64x indicates adequate short-term liquidity position.
What are the risks of investing in DIT?
Claude: Negative free cash flow of -12.4M indicates company is burning cash and unable to self-fund operations. Interest coverage ratio of 0.8x means operating income cannot cover debt interest expenses.
What is DIT's revenue and growth?
AMCON DISTRIBUTING CO reported revenue of $730.1M.
Does DIT pay dividends?
AMCON DISTRIBUTING CO pays dividends, with $0.1M 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 $1.28.
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 March 2026, AMCON DISTRIBUTING CO has a STRONG SELL rating with 85% 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 0.7% (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 STRONG 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 $-11.7M, with capital expenditures of $678.4K. FCF margin is -1.7%.
How does DIT compare to other Default stocks?
Vs Default sector averages: Net margin 0.1% (avg: 12%), ROE 0.7% (avg: 15%), current ratio 2.64 (avg: 1.8).