📊 EMPD Key Takeaways
Is Empery Digital Inc. (EMPD) a Good Investment?
Empery Digital is in severe financial distress with revenue collapsing 75.5% YoY to just $226K while operating losses reached $83M. With only $5.7M in cash, negative operating cash flow of $3.5M, and a burn rate that implies months of runway, the company faces acute solvency risk despite maintaining positive equity and reasonable leverage ratios.
Empery Digital’s fundamentals are extremely weak: it generates only $1.64M of revenue against deeply negative gross, operating, and net margins, indicating the core business is not economically viable at its current scale. While the balance sheet shows high reported equity and minimal long-term debt, liquidity is strained with a 0.47x current ratio and persistent cash burn, which raises concern about funding needs and the quality of the asset base relative to earnings power.
Why Buy Empery Digital Inc. Stock? EMPD Key Strengths
- Positive gross margin of 27.9% suggests underlying unit economics were viable at scale
- Debt-to-equity ratio of 0.27x indicates moderate leverage with equity cushion of $166M
- Current and quick ratios above 2.0x provide near-term liquidity buffer
- Revenue grew 23.8% year over year, showing some top-line expansion
- Reported leverage is very low, with negligible long-term debt and a near-zero debt-to-equity ratio
- Stockholders’ equity of $437.64M provides nominal balance-sheet support
EMPD Stock Risks: Empery Digital Inc. Investment Risks
- 75.5% YoY revenue decline indicates fundamental business model failure or market collapse
- Operating cash flow of -$3.5M with only $5.7M cash suggests 2-3 months of runway at current burn rate
- Operating losses of $83.3M cannot be serviced; negative interest coverage of -252.5x indicates inability to meet debt obligations
- Massive operating margin of -36,912% and net margin of -37,839% demonstrate unsustainable unit economics at current scale
- No clear path to profitability evident from available data
- Negative gross margin suggests the company is losing money even before overhead, a major red flag for business quality
- Operating loss of $40.86M and free cash flow of negative $15.06M indicate severe ongoing cash burn
- Current and quick ratios below 0.5x point to weak short-term liquidity and potential financing pressure
Key Metrics to Watch
- Monthly cash burn rate and estimated runway until insolvency
- Quarterly revenue trend - stabilization or further deterioration
- Operating loss trajectory and cost structure adjustments
- Debt covenant compliance and refinancing requirements
- Gross margin and operating loss trend
- Operating cash flow and current ratio
Empery Digital Inc. (EMPD) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.03x current ratio provides a solid financial cushion.
EMPD Profit Margin, ROE & Profitability Analysis
EMPD vs Automotive Sector: How Empery Digital Inc. Compares
How Empery Digital Inc. compares to Automotive sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Empery Digital Inc. Stock Overvalued? EMPD Valuation Analysis 2026
Based on fundamental analysis, Empery Digital Inc. has mixed fundamental signals relative to the Automotive 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.
Empery Digital Inc. Balance Sheet: EMPD Debt, Cash & Liquidity
EMPD Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Empery Digital Inc.'s revenue has grown significantly by 788% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1,175.22 indicates the company is currently unprofitable.
EMPD Revenue Growth, EPS Growth & YoY Performance
EMPD Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $225.7K | -$2.5M | $-2.59 |
| Q3 2025 | $198.3K | -$13.6M | $-0.96 |
| Q2 2025 | $702.9K | -$606.4K | $-7.57 |
| Q1 2025 | $736.0K | -$2.5M | $-0.91 |
| Q3 2024 | $487.4K | -$11.3M | $-23.93 |
| Q2 2024 | $519.3K | -$606.4K | $-1.51 |
| Q1 2024 | $1.0M | -$7.3M | $-3.27 |
| Q3 2023 | $242.7K | -$7.9M | $-1.62 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Empery Digital Inc. Dividends, Buybacks & Capital Allocation
EMPD SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Empery Digital Inc. (CIK: 0001829794)
📋 Recent SEC Filings
❓ Frequently Asked Questions about EMPD
What is the AI rating for EMPD?
Empery Digital Inc. (EMPD) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 94% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are EMPD's key strengths?
Claude: Positive gross margin of 27.9% suggests underlying unit economics were viable at scale. Debt-to-equity ratio of 0.27x indicates moderate leverage with equity cushion of $166M. ChatGPT: Revenue grew 23.8% year over year, showing some top-line expansion. Reported leverage is very low, with negligible long-term debt and a near-zero debt-to-equity ratio.
What are the risks of investing in EMPD?
Claude: 75.5% YoY revenue decline indicates fundamental business model failure or market collapse. Operating cash flow of -$3.5M with only $5.7M cash suggests 2-3 months of runway at current burn rate. ChatGPT: Negative gross margin suggests the company is losing money even before overhead, a major red flag for business quality. Operating loss of $40.86M and free cash flow of negative $15.06M indicate severe ongoing cash burn.
What is EMPD's revenue and growth?
Empery Digital Inc. reported revenue of $225.7K.
Does EMPD pay dividends?
Empery Digital Inc. does not currently pay dividends.
Where can I find EMPD SEC filings?
Official SEC filings for Empery Digital Inc. (CIK: 0001829794) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is EMPD's EPS?
Empery Digital Inc. has a diluted EPS of $-2.59.
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 EMPD a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Empery Digital Inc. has a STRONG SELL rating with 94% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is EMPD stock overvalued or undervalued?
Valuation metrics for EMPD: ROE of -51.4% (sector avg: 12%), net margin of -37,839.1% (sector avg: 6%). Compare these metrics with sector averages to assess valuation.
Should I buy EMPD stock in 2026?
Our dual AI analysis gives Empery Digital Inc. 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 EMPD's free cash flow?
Empery Digital Inc.'s operating cash flow is $-3.5M, with capital expenditures of $23.7K. FCF margin is -1,560.6%.
How does EMPD compare to other Automotive stocks?
Vs Automotive sector averages: Net margin -37,839.1% (avg: 6%), ROE -51.4% (avg: 12%), current ratio 2.03 (avg: 1.2).