📊 PLUS Key Takeaways
Is Eplus Inc. (PLUS) a Good Investment?
EPLUS demonstrates solid profitability metrics and an exceptionally strong balance sheet with minimal leverage, but faces a critical fundamental issue: severe negative operating cash flow of -$221.2M despite $107.6M net income. This disconnect between accounting profits and actual cash generation suggests significant working capital deterioration or cash conversion problems that require urgent clarification before investment consideration.
Eplus Inc. Key Strengths (PLUS)
- Strong gross margin of 25.2% and reasonable net margin of 5.8% for wholesale sector
- Fortress balance sheet with debt/equity of 0.04x and $326.3M cash position providing significant financial cushion
- Excellent liquidity with current ratio of 2.13x and quick ratio of 1.78x; exceptional interest coverage of 34.0x
PLUS Stock Risks: Eplus Inc. Investment Risks
- Critical red flag: Operating cash flow of -$221.2M and free cash flow of -$224.4M despite positive net income indicates severe working capital or cash conversion issues
- Persistent disconnect between net income and operating cash flow suggests either unsustainable accounting profits or deteriorating receivables/inventory management
- Wholesale computer and software sector faces structural headwinds from direct sales models and thin margins; limited visibility into revenue growth trend
Key Metrics to Watch
- Operating cash flow trend and working capital components (accounts receivable, inventory, payables) to resolve the profit-to-cash conversion issue
- Year-over-year revenue growth and gross margin stability to assess sector headwinds
- Cash burn rate sustainability given current cash position and duration until cash reserves depleted
Eplus Inc. (PLUS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.13x current ratio provides a solid financial cushion.
PLUS Profit Margin, ROE & Profitability Analysis
PLUS vs Technology Sector: How Eplus Inc. Compares
How Eplus Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Eplus Inc. Stock Overvalued? PLUS Valuation Analysis 2026
Based on fundamental analysis, Eplus 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.
Eplus Inc. Balance Sheet: PLUS Debt, Cash & Liquidity
PLUS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Eplus Inc.'s revenue has grown significantly by 42% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.41 reflects profitable operations.
PLUS Revenue Growth, EPS Growth & YoY Performance
PLUS Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $483.4M | $24.1M | $0.91 |
| Q2 2025 | $486.1M | $27.3M | $1.17 |
| Q1 2025 | $533.1M | $27.3M | $1.02 |
| Q3 2024 | $487.5M | $22.3M | $1.02 |
| Q2 2024 | $473.9M | $22.3M | $1.07 |
| Q1 2024 | $444.7M | $22.3M | $0.84 |
| Q3 2023 | $479.6M | $22.3M | $0.98 |
| Q2 2023 | $432.1M | $22.3M | $1.07 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Eplus Inc. Dividends, Buybacks & Capital Allocation
PLUS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Eplus Inc. (CIK: 0001022408)
📋 Recent SEC Filings
❓ Frequently Asked Questions about PLUS
What is the AI rating for PLUS?
Eplus Inc. (PLUS) has an AI grade of B with 65% confidence, based on fundamental analysis of SEC EDGAR filings.
What are PLUS's key strengths?
Claude: Strong gross margin of 25.2% and reasonable net margin of 5.8% for wholesale sector. Fortress balance sheet with debt/equity of 0.04x and $326.3M cash position providing significant financial cushion.
What are the risks of investing in PLUS?
Claude: Critical red flag: Operating cash flow of -$221.2M and free cash flow of -$224.4M despite positive net income indicates severe working capital or cash conversion issues. Persistent disconnect between net income and operating cash flow suggests either unsustainable accounting profits or deteriorating receivables/inventory management.
What is PLUS's revenue and growth?
Eplus Inc. reported revenue of $1.9B.
Does PLUS pay dividends?
Eplus Inc. pays dividends, with $13.1M distributed to shareholders in the trailing twelve months.
Where can I find PLUS SEC filings?
Official SEC filings for Eplus Inc. (CIK: 0001022408) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is PLUS's EPS?
Eplus Inc. has a diluted EPS of $4.08.
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 grade reflects both perspectives for balanced insights.
What is PLUS's fundamental grade?
Based on our AI fundamental analysis in May 2026, Eplus Inc. has a B grade with 65% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is PLUS stock overvalued or undervalued?
Valuation metrics for PLUS: ROE of 10.1% (sector avg: 22%), net margin of 5.8% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is PLUS's AI grade for 2026?
Our dual AI analysis gives Eplus Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is PLUS's free cash flow?
Eplus Inc.'s operating cash flow is $-221.2M, with capital expenditures of $3.3M. FCF margin is -12.1%.
How does PLUS compare to other Technology stocks?
Vs Technology sector averages: Net margin 5.8% (avg: 18%), ROE 10.1% (avg: 22%), current ratio 2.13 (avg: 2.5).