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EGHT Stock Analysis 2026 - 8X8 INC /DE/ AI Rating

EGHT Nasdaq Services-Computer Processing & Data Preparation DE CIK: 0001023731
Recently Updated • Analysis: Mar 24, 2026 • SEC Data: 2025-12-31
HOLD
62% Conf
Pending
Analysis scheduled

📊 EGHT Key Takeaways

Revenue: $550.5M
Net Margin: 0.3%
Free Cash Flow: $38.3M
Current Ratio: 1.13x
Debt/Equity: 2.25x
EPS: $0.01
AI Rating: HOLD with 62% confidence

Is EGHT a Good Investment? Thesis Analysis

Claude

8x8 demonstrates solid operational cash generation (FCF: $38.3M, 7.0% margin) and maintains adequate liquidity, but faces significant profitability challenges with razor-thin net margins (0.3%) and concerning leverage (2.25x debt-to-equity). Revenue contraction (-1.9% YoY) combined with weak operating leverage (2.8% operating margin) raises questions about business momentum and debt servicing capacity.

Why Buy EGHT? Key Strengths

Claude
  • + Strong free cash flow generation ($38.3M) with healthy FCF margin (7.0%) despite low net profitability
  • + Solid gross margins (65.0%) indicating competitive pricing power and product viability
  • + Adequate liquidity position with $86.9M cash and current ratio of 1.13x
  • + Positive EPS growth (62.5% YoY) demonstrating operational improvement at bottom line

EGHT Investment Risks to Consider

Claude
  • ! Critically weak net margins (0.3%) and operating margins (2.8%) leave minimal room for error or economic downturns
  • ! High leverage (2.25x debt-to-equity) with concerning interest coverage (1.1x) poses refinancing and debt service risks
  • ! Revenue decline (-1.9% YoY) signals potential market share loss or softening demand in competitive telecom/cloud services space
  • ! Significant disconnect between FCF and net income suggests quality-of-earnings concerns or potential one-time benefits

Key Metrics to Watch

Claude
  • * Revenue growth trajectory and ability to return to positive YoY growth
  • * Operating margin expansion and cost management effectiveness
  • * Interest coverage ratio sustainability and debt reduction progress
  • * Operating cash flow stability and customer retention metrics

EGHT Financial Metrics

Revenue
$550.5M
Net Income
$1.5M
EPS (Diluted)
$0.01
Free Cash Flow
$38.3M
Total Assets
$661.5M
Cash Position
$86.9M

💡 AI Analyst Insight

8X8 INC /DE/ presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

EGHT Profitability Ratios

Gross Margin 65.0%
Operating Margin 2.8%
Net Margin 0.3%
ROE 1.1%
ROA 0.2%
FCF Margin 7.0%

EGHT vs Technology Sector

How 8X8 INC /DE/ compares to Technology sector averages

Net Margin
EGHT 0.3%
vs
Sector Avg 18.0%
EGHT Sector
ROE
EGHT 1.1%
vs
Sector Avg 22.0%
EGHT Sector
Current Ratio
EGHT 1.1x
vs
Sector Avg 2.5x
EGHT Sector
Debt/Equity
EGHT 2.2x
vs
Sector Avg 0.5x
EGHT Sector

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

Is EGHT Overvalued or Undervalued?

Based on fundamental analysis, 8X8 INC /DE/ shows some fundamental concerns relative to the Technology sector in 2026.

Return on Equity
1.1%
Sector avg: 22%
Net Profit Margin
0.3%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
2.25x
Sector avg: 0.5x

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.

EGHT Balance Sheet & Liquidity

Current Ratio
1.13x
Quick Ratio
1.13x
Debt/Equity
2.25x
Debt/Assets
78.4%
Interest Coverage
1.09x
Long-term Debt
$321.2M

EGHT 5-Year Financial Trend & Growth Analysis

EGHT 5-year financial data: Year 2021: Revenue $532.3M, Net Income -$88.7M, EPS N/A. Year 2022: Revenue $638.1M, Net Income -$172.4M, EPS $-1.72. Year 2023: Revenue $743.9M, Net Income -$165.6M, EPS $-1.57. Year 2024: Revenue $743.9M, Net Income -$175.4M, EPS $-1.55. Year 2025: Revenue $743.9M, Net Income -$73.1M, EPS $-0.63.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: 8X8 INC /DE/'s revenue has grown significantly by 40% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.63 indicates the company is currently unprofitable.

EGHT 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
7.0%
Free cash flow / Revenue

EGHT Quarterly Performance

Quarterly financial performance data for 8X8 INC /DE/ including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2026 $178.9M $767.0K $0.01
Q2 2026 $181.0M $767.0K $0.01
Q1 2026 $178.1M -$4.3M $-0.03
Q3 2025 $178.9M $3.0M $0.02
Q2 2025 $181.0M -$7.5M $-0.06
Q1 2025 $178.1M -$10.3M $-0.08
Q3 2024 $181.0M -$7.5M $-0.17
Q2 2024 $185.0M -$7.5M $-0.06

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

EGHT Capital Allocation

Operating Cash Flow
$41.4M
Cash generated from operations
Stock Buybacks
$1.8M
Shares repurchased (TTM)
Capital Expenditures
$3.1M
Investment in assets
Dividends
None
No dividend program

EGHT SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for 8X8 INC /DE/ (CIK: 0001023731)

📋 Recent SEC Filings

Date Form Document Action
Mar 17, 2026 8-K eght-20260311.htm View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773691607.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773691575.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773691542.xml View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773691508.xml View →

Frequently Asked Questions about EGHT

What is the AI rating for EGHT?

8X8 INC /DE/ (EGHT) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are EGHT's key strengths?

Claude: Strong free cash flow generation ($38.3M) with healthy FCF margin (7.0%) despite low net profitability. Solid gross margins (65.0%) indicating competitive pricing power and product viability.

What are the risks of investing in EGHT?

Claude: Critically weak net margins (0.3%) and operating margins (2.8%) leave minimal room for error or economic downturns. High leverage (2.25x debt-to-equity) with concerning interest coverage (1.1x) poses refinancing and debt service risks.

What is EGHT's revenue and growth?

8X8 INC /DE/ reported revenue of $550.5M.

Does EGHT pay dividends?

8X8 INC /DE/ does not currently pay dividends.

Where can I find EGHT SEC filings?

Official SEC filings for 8X8 INC /DE/ (CIK: 0001023731) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is EGHT's EPS?

8X8 INC /DE/ has a diluted EPS of $0.01.

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 EGHT a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, 8X8 INC /DE/ has a HOLD rating with 62% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is EGHT stock overvalued or undervalued?

Valuation metrics for EGHT: ROE of 1.1% (sector avg: 22%), net margin of 0.3% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy EGHT stock in 2026?

Our dual AI analysis gives 8X8 INC /DE/ a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is EGHT's free cash flow?

8X8 INC /DE/'s operating cash flow is $41.4M, with capital expenditures of $3.1M. FCF margin is 7.0%.

How does EGHT compare to other Technology stocks?

Vs Technology sector averages: Net margin 0.3% (avg: 18%), ROE 1.1% (avg: 22%), current ratio 1.13 (avg: 2.5).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) 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 24, 2026 | Data as of: 2025-12-31 | Powered by Claude AI