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MACT Stock Analysis 2026 - MachTen, Inc. AI Rating

MACT OTC Telephone Communications (No Radiotelephone) DE CIK: 0001957783
Recently Updated • Analysis: Apr 1, 2026 • SEC Data: 2023-09-30
SELL
75% Conf
Pending
Analysis scheduled

📊 MACT Key Takeaways

Revenue: $12.0M
Net Margin: 25.8%
Free Cash Flow: $-2.0M
Current Ratio: 0.30x
Debt/Equity: 0.00x
EPS: $0.98
AI Rating: SELL with 75% confidence

Is MACT a Good Investment? Thesis Analysis

Claude

MachTen demonstrates strong profitability metrics (35.4% operating margin, 25.8% net margin) and exceptional returns on equity (36.7%), but critical operational concerns undermine fundamental quality. The company faces severe liquidity constraints (0.30x current ratio), negative free cash flow (-$2.0M), and CapEx spending that significantly exceeds operating cash generation, indicating unsustainable capital allocation despite near-term profitability.

Why Buy MACT? Key Strengths

Claude
  • + Exceptional net margin of 25.8% and operating margin of 35.4% demonstrate strong pricing power and cost control
  • + Outstanding ROE of 36.7% and ROA of 10.3% indicate efficient asset utilization and shareholder value generation
  • + Strong interest coverage ratio of 48.2x reflects minimal debt burden and financial flexibility on liabilities

MACT Investment Risks to Consider

Claude
  • ! Critical liquidity crisis with current ratio of 0.30x and quick ratio of 0.30x - company cannot cover short-term obligations with current assets
  • ! Negative free cash flow of -$2.0M despite $4.5M operating cash flow reveals CapEx of $6.5M is unsustainable and strains financial position
  • ! High financial leverage with total liabilities of $21.6M against equity of $8.4M, and minimal cash reserves of $1.6M create refinancing risk

Key Metrics to Watch

Claude
  • * Free cash flow trend and CapEx spending rationalization - must turn positive within 2-3 quarters
  • * Current ratio and working capital position - any deterioration signals insolvency risk
  • * Operating cash flow sustainability - must increase to support capital investments without liquidity deterioration

MACT Financial Metrics

Revenue
$12.0M
Net Income
$3.1M
EPS (Diluted)
$0.98
Free Cash Flow
$-2.0M
Total Assets
$30.0M
Cash Position
$1.6M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

MACT Profitability Ratios

Gross Margin N/A
Operating Margin 35.4%
Net Margin 25.8%
ROE 36.7%
ROA 10.3%
FCF Margin -16.5%

MACT vs Default Sector

How MachTen, Inc. compares to Default sector averages

Net Margin
MACT 25.8%
vs
Sector Avg 12.0%
MACT Sector
ROE
MACT 36.7%
vs
Sector Avg 15.0%
MACT Sector
Current Ratio
MACT 0.3x
vs
Sector Avg 1.8x
MACT Sector
Debt/Equity
MACT 0.0x
vs
Sector Avg 0.7x
MACT Sector

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

Is MACT Overvalued or Undervalued?

Based on fundamental analysis, MachTen, Inc. appears fundamentally strong relative to the Default sector in 2026.

Return on Equity
36.7%
Sector avg: 15%
Net Profit Margin
25.8%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.7x

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.

MACT Balance Sheet & Liquidity

Current Ratio
0.30x
Quick Ratio
0.30x
Debt/Equity
0.00x
Debt/Assets
71.9%
Interest Coverage
48.18x
Long-term Debt
N/A

MACT 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
-16.5%
Free cash flow / Revenue

MACT Quarterly Performance

Quarterly financial performance data for MachTen, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2023 $4.1M $1.1M $0.34
Q2 2023 $4.0M $943.0K $10,530,000.00

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

MACT Capital Allocation

Operating Cash Flow
$4.5M
Cash generated from operations
Capital Expenditures
$6.5M
Investment in assets
Dividends Paid
$15.0M
Returned to shareholders

MACT SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for MachTen, Inc. (CIK: 0001957783)

📋 Recent SEC Filings

Date Form Document Action
Feb 7, 2024 8-K ef20020841_form8k.htm View →
Dec 7, 2023 4 xslF345X05/form4.xml View →
Nov 14, 2023 8-K ef20014722_8k.htm View →
Nov 14, 2023 10-Q ef20014405_10q.htm View →
Oct 12, 2023 8-K ef20012393_8k.htm View →

Frequently Asked Questions about MACT

What is the AI rating for MACT?

MachTen, Inc. (MACT) has an AI rating of SELL with 75% confidence, based on fundamental analysis of SEC EDGAR filings.

What are MACT's key strengths?

Claude: Exceptional net margin of 25.8% and operating margin of 35.4% demonstrate strong pricing power and cost control. Outstanding ROE of 36.7% and ROA of 10.3% indicate efficient asset utilization and shareholder value generation.

What are the risks of investing in MACT?

Claude: Critical liquidity crisis with current ratio of 0.30x and quick ratio of 0.30x - company cannot cover short-term obligations with current assets. Negative free cash flow of -$2.0M despite $4.5M operating cash flow reveals CapEx of $6.5M is unsustainable and strains financial position.

What is MACT's revenue and growth?

MachTen, Inc. reported revenue of $12.0M.

Does MACT pay dividends?

MachTen, Inc. pays dividends, with $15.0M distributed to shareholders in the trailing twelve months.

Where can I find MACT SEC filings?

Official SEC filings for MachTen, Inc. (CIK: 0001957783) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is MACT's EPS?

MachTen, Inc. has a diluted EPS of $0.98.

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 MACT a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, MachTen, Inc. has a SELL rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is MACT stock overvalued or undervalued?

Valuation metrics for MACT: ROE of 36.7% (sector avg: 15%), net margin of 25.8% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.

Should I buy MACT stock in 2026?

Our dual AI analysis gives MachTen, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.

What is MACT's free cash flow?

MachTen, Inc.'s operating cash flow is $4.5M, with capital expenditures of $6.5M. FCF margin is -16.5%.

How does MACT compare to other Default stocks?

Vs Default sector averages: Net margin 25.8% (avg: 12%), ROE 36.7% (avg: 15%), current ratio 0.30 (avg: 1.8).

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: Apr 1, 2026 | Data as of: 2023-09-30 | Powered by Claude AI