📊 KPEA Key Takeaways
Is KPEA a Good Investment? Thesis Analysis
Kun Peng International is technically insolvent with negative stockholders' equity of -$8.6M, experiencing severe operational deterioration including 30.8% YoY revenue decline and a -169.8% operating margin. The company faces an acute liquidity crisis (0.06x current ratio) with critically low cash reserves of $32.4K, indicating imminent viability concerns and elevated bankruptcy risk.
Why Buy KPEA? Key Strengths
- Positive operating cash flow of $36.4K demonstrates minimal cash generation capability
- Positive free cash flow of $6.0K, though insufficient for debt service
- Gross margin of 34.9% suggests underlying product/service viability despite operational losses
KPEA Investment Risks to Consider
- Negative stockholders' equity of -$8.6M indicates technical insolvency and balance sheet collapse
- Revenue decline of 30.8% YoY reflects deteriorating demand and market position
- Critical liquidity crisis with current ratio of 0.06x—liabilities 16x exceed current assets
- Operating losses of -$296.9K exceed revenue of $174.8K, demonstrating unsustainable cost structure
- Cash reserves of only $32.4K provide inadequate runway for operations and debt obligations
- Unable to cover interest expenses with negative operating income (interest coverage: -44.7x)
Key Metrics to Watch
- Revenue stabilization and return to growth after 30.8% YoY decline
- Operating margin recovery from -169.8% toward breakeven
- Stockholders' equity restoration from -$8.6M negative position
- Cash burn rate and runway sustainability with $32.4K reserve
- Current ratio improvement from critical 0.06x level toward 1.0x minimum
- Debt restructuring or equity injection activity
KPEA Financial Metrics
💡 AI Analyst Insight
The relatively thin 3.4% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
KPEA Profitability Ratios
KPEA vs Default Sector
How Kun Peng International Ltd. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is KPEA Overvalued or Undervalued?
Based on fundamental analysis, Kun Peng International Ltd. 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.
KPEA Balance Sheet & Liquidity
KPEA 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Kun Peng International Ltd.'s revenue has declined by 63% over the 5-year period, indicating business contraction. The most recent EPS of $-0.01 indicates the company is currently unprofitable.
KPEA Growth Metrics (YoY)
KPEA Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $174.8K | -$265.6K | $0.00 |
| Q3 2025 | $107.8K | -$44.9K | $0.00 |
| Q2 2025 | $364.5K | -$192.9K | $0.00 |
| Q1 2025 | $356.5K | -$520.9K | $0.00 |
| Q3 2024 | $460.6K | -$292.5K | $0.00 |
| Q2 2024 | $319.0K | -$577.0K | $0.00 |
| Q1 2024 | $452.1K | -$520.9K | $0.00 |
| Q3 2023 | $460.6K | -$639.7K | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
KPEA Capital Allocation
KPEA SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Kun Peng International Ltd. (CIK: 0001502557)
📋 Recent SEC Filings
❓ Frequently Asked Questions about KPEA
What is the AI rating for KPEA?
Kun Peng International Ltd. (KPEA) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.
What are KPEA's key strengths?
Claude: Positive operating cash flow of $36.4K demonstrates minimal cash generation capability. Positive free cash flow of $6.0K, though insufficient for debt service.
What are the risks of investing in KPEA?
Claude: Negative stockholders' equity of -$8.6M indicates technical insolvency and balance sheet collapse. Revenue decline of 30.8% YoY reflects deteriorating demand and market position.
What is KPEA's revenue and growth?
Kun Peng International Ltd. reported revenue of $174.8K.
Does KPEA pay dividends?
Kun Peng International Ltd. does not currently pay dividends.
Where can I find KPEA SEC filings?
Official SEC filings for Kun Peng International Ltd. (CIK: 0001502557) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is KPEA's EPS?
Kun Peng International Ltd. has a diluted EPS of $0.00.
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 KPEA a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Kun Peng International Ltd. has a STRONG SELL rating with 95% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is KPEA stock overvalued or undervalued?
Valuation metrics for KPEA: ROE of N/A (sector avg: 15%), net margin of -151.9% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy KPEA stock in 2026?
Our dual AI analysis gives Kun Peng International Ltd. 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 KPEA's free cash flow?
Kun Peng International Ltd.'s operating cash flow is $36.4K, with capital expenditures of $30.4K. FCF margin is 3.4%.
How does KPEA compare to other Default stocks?
Vs Default sector averages: Net margin -151.9% (avg: 12%), ROE N/A (avg: 15%), current ratio 0.06 (avg: 1.8).