📊 MCHX Key Takeaways
Is Marchex Inc. (MCHX) a Good Investment?
Marchex is a struggling software company with deteriorating fundamentals: declining revenue (-5.6% YoY), sustained unprofitability (Operating Margin -12.7%, Net Margin -16.2%), and significant negative free cash flow (-$550K). While the balance sheet remains intact with minimal debt and adequate liquidity, current operational performance is unsustainable and cash reserves provide limited runway for turnaround at current burn rates.
Why Buy Marchex Inc. Stock? MCHX Key Strengths
- Minimal debt burden (Debt/Equity 0.00x) with no long-term debt
- Strong liquidity position (Current Ratio 2.22x, Quick Ratio 2.22x)
- Adequate cash reserves ($9.0M) relative to asset base ($38.5M) providing near-term runway
MCHX Stock Risks: Marchex Inc. Investment Risks
- Declining revenue trajectory (-5.6% YoY) inconsistent with growth profile expected of software company
- Persistent unprofitability with negative operating income (-$1.4M) and negative ROE/ROA indicating value destruction
- Significant negative free cash flow (-$550K, -5.2% margin) with operating cash flow negative, indicating unsustainable operations at current scale
- Limited financial cushion: at current burn rate, cash reserves depleted within 18-24 months if trends continue
- Small enterprise scale ($38.5M assets) with limited resources to fund turnaround initiatives
Key Metrics to Watch
- Quarterly revenue growth rate and revenue stabilization/inflection
- Operating income and operating margin improvement toward positive territory
- Operating cash flow conversion (currently negative)
- Free cash flow and monthly cash burn rate
- Customer concentration and retention rates (SIC 7372 software business sustainability)
- Path to profitability and cost structure optimization initiatives
Marchex Inc. (MCHX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.22x current ratio provides a solid financial cushion.
MCHX Profit Margin, ROE & Profitability Analysis
MCHX vs Technology Sector: How Marchex Inc. Compares
How Marchex Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Marchex Inc. Stock Overvalued? MCHX Valuation Analysis 2026
Based on fundamental analysis, Marchex 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.
Marchex Inc. Balance Sheet: MCHX Debt, Cash & Liquidity
MCHX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Marchex Inc.'s revenue has declined by 10% over the 5-year period, indicating business contraction. The most recent EPS of $-0.11 indicates the company is currently unprofitable.
MCHX Revenue Growth, EPS Growth & YoY Performance
MCHX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $10.6M | -$1.7M | $-0.04 |
| Q3 2025 | $11.5M | $84.0K | $-0.02 |
| Q2 2025 | $11.7M | $85.0K | $0.00 |
| Q1 2025 | $11.4M | -$1.5M | $-0.03 |
| Q3 2024 | $12.6M | -$756.0K | $-0.02 |
| Q2 2024 | $12.1M | -$756.0K | $-0.02 |
| Q1 2024 | $11.6M | -$1.5M | $-0.03 |
| Q3 2023 | $12.8M | -$1.5M | $-0.04 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Marchex Inc. Dividends, Buybacks & Capital Allocation
MCHX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Marchex Inc. (CIK: 0001224133)
📋 Recent SEC Filings
❓ Frequently Asked Questions about MCHX
What is the AI rating for MCHX?
Marchex Inc. (MCHX) has an AI rating of SELL with 87% confidence, based on fundamental analysis of SEC EDGAR filings.
What are MCHX's key strengths?
Claude: Minimal debt burden (Debt/Equity 0.00x) with no long-term debt. Strong liquidity position (Current Ratio 2.22x, Quick Ratio 2.22x).
What are the risks of investing in MCHX?
Claude: Declining revenue trajectory (-5.6% YoY) inconsistent with growth profile expected of software company. Persistent unprofitability with negative operating income (-$1.4M) and negative ROE/ROA indicating value destruction.
What is MCHX's revenue and growth?
Marchex Inc. reported revenue of $10.6M.
Does MCHX pay dividends?
Marchex Inc. pays dividends, with $21.9M distributed to shareholders in the trailing twelve months.
Where can I find MCHX SEC filings?
Official SEC filings for Marchex Inc. (CIK: 0001224133) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MCHX's EPS?
Marchex Inc. has a diluted EPS of $-0.04.
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 MCHX a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Marchex Inc. has a SELL rating with 87% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is MCHX stock overvalued or undervalued?
Valuation metrics for MCHX: ROE of -6.0% (sector avg: 22%), net margin of -16.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy MCHX stock in 2026?
Our dual AI analysis gives Marchex 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 MCHX's free cash flow?
Marchex Inc.'s operating cash flow is $-514.0K, with capital expenditures of $36.0K. FCF margin is -5.2%.
How does MCHX compare to other Technology stocks?
Vs Technology sector averages: Net margin -16.2% (avg: 18%), ROE -6.0% (avg: 22%), current ratio 2.22 (avg: 2.5).