📊 HTCR Key Takeaways
Is HeartCore Enterprises, Inc. (HTCR) a Good Investment?
HeartCore faces critical financial distress with zero revenue growth, operating losses exceeding 120% of revenue, and negative cash flow burning $2.7M annually. The company has only ~4 months of cash runway at current burn rates with a fundamentally broken business model evidenced by a 5.9% gross margin. Absent immediate capital infusion or dramatic operational turnaround, liquidity crisis is imminent.
Reported net income and ROE appear strong, but they are driven by non-operating items while core operations remain unprofitable with a deeply negative operating margin and cash burn. Flat revenue and middling gross margin signal weak growth quality and limited operating leverage. Low leverage provides some balance-sheet cushion, but limited cash versus operating losses raises near-term financing risk.
Why Buy HeartCore Enterprises, Inc. Stock? HTCR Key Strengths
- Low debt burden (0.07x debt/equity ratio) limits obligations
- Modest net income improvement YoY suggests some operational efforts
- Positive stockholders equity of $6.9M provides liquidation value cushion
- Low leverage and solid current ratio
- Asset-light model with minimal capex
- Stable revenue base (0% YoY)
HTCR Stock Risks: HeartCore Enterprises, Inc. Investment Risks
- Catastrophic cash burn of $2.7M annually with only $774K cash on hand
- Zero revenue growth combined with massive operating losses (-123.7% margin)
- Critically low gross margin (5.9%) indicates structural business model failure
- Negative interest coverage ratio indicates inability to service existing debt from operations
- Interest expense and operational losses consuming all revenue; no path to profitability without major changes
- Persistent operating losses and negative free cash flow
- Earnings quality reliant on non-operating gains; negative interest coverage
- Limited cash relative to burn increases dilution/financing risk
Key Metrics to Watch
- Operating cash flow and monthly burn rate (approaching insolvency if not positive soon)
- Revenue growth acceleration and gross margin improvement (fundamental viability test)
- Cash balance and days of runway remaining (liquidity crisis timeline)
- Operating cash flow
- Revenue growth (YoY)
HeartCore Enterprises, Inc. (HTCR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
HeartCore Enterprises, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
HTCR Profit Margin, ROE & Profitability Analysis
HTCR vs Technology Sector: How HeartCore Enterprises, Inc. Compares
How HeartCore Enterprises, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is HeartCore Enterprises, Inc. Stock Overvalued? HTCR Valuation Analysis 2026
Based on fundamental analysis, HeartCore Enterprises, Inc. has mixed fundamental signals relative to the Technology 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.
HeartCore Enterprises, Inc. Balance Sheet: HTCR Debt, Cash & Liquidity
HTCR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: HeartCore Enterprises, Inc.'s revenue has grown significantly by 110% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.07 indicates the company is currently unprofitable.
HTCR Revenue Growth, EPS Growth & YoY Performance
HTCR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.2M | -$1.9M | $-1.49 |
| Q3 2025 | $3.0M | $434.1K | $0.02 |
| Q3 2024 | $4.7M | -$1.3M | $-0.07 |
| Q2 2024 | $4.1M | -$911.8K | $-0.04 |
| Q1 2024 | $5.0M | -$1.3M | $-0.06 |
| Q3 2023 | $1.9M | -$1.3M | $-0.07 |
| Q2 2023 | $2.7M | -$911.8K | $-0.04 |
| Q1 2023 | $2.3M | -$1.6M | $-0.09 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
HeartCore Enterprises, Inc. Dividends, Buybacks & Capital Allocation
HTCR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for HeartCore Enterprises, Inc. (CIK: 0001892322)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HTCR
What is the AI rating for HTCR?
HeartCore Enterprises, Inc. (HTCR) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 79% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are HTCR's key strengths?
Claude: Low debt burden (0.07x debt/equity ratio) limits obligations. Modest net income improvement YoY suggests some operational efforts. ChatGPT: Low leverage and solid current ratio. Asset-light model with minimal capex.
What are the risks of investing in HTCR?
Claude: Catastrophic cash burn of $2.7M annually with only $774K cash on hand. Zero revenue growth combined with massive operating losses (-123.7% margin). ChatGPT: Persistent operating losses and negative free cash flow. Earnings quality reliant on non-operating gains; negative interest coverage.
What is HTCR's revenue and growth?
HeartCore Enterprises, Inc. reported revenue of $1.2M.
Does HTCR pay dividends?
HeartCore Enterprises, Inc. pays dividends, with $3.3M distributed to shareholders in the trailing twelve months.
Where can I find HTCR SEC filings?
Official SEC filings for HeartCore Enterprises, Inc. (CIK: 0001892322) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HTCR's EPS?
HeartCore Enterprises, Inc. 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 HTCR a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, HeartCore Enterprises, Inc. has a SELL rating with 79% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is HTCR stock overvalued or undervalued?
Valuation metrics for HTCR: ROE of -27.2% (sector avg: 22%), net margin of -150.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy HTCR stock in 2026?
Our dual AI analysis gives HeartCore Enterprises, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HTCR's free cash flow?
HeartCore Enterprises, Inc.'s operating cash flow is $-2.7M, with capital expenditures of $954.0. FCF margin is -214.8%.
How does HTCR compare to other Technology stocks?
Vs Technology sector averages: Net margin -150.2% (avg: 18%), ROE -27.2% (avg: 22%), current ratio 1.17 (avg: 2.5).