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SPAR Group, Inc. (SGRP) Stock Fundamental Analysis & AI Rating 2026

SGRP Nasdaq Services-Business Services, NEC DE CIK: 0001004989
Recently Updated • Analysis: Apr 15, 2026 • SEC Data: 2025-12-31
STRONG SELL
95% Conf
Pending
Analysis scheduled

📊 SGRP Key Takeaways

Revenue: $136.1M
Net Margin: -18.1%
Free Cash Flow: $-21.4M
Current Ratio: 0.83x
Debt/Equity: 2.06x
EPS: $-1.04
AI Rating: STRONG SELL with 95% confidence
SPAR Group, Inc. (SGRP) receives a STRONG SELL rating with 95% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $136.1M, net profit margin of -18.1%, and return on equity (ROE) of -3,959.2%, SPAR Group, Inc. demonstrates mixed fundamentals in the Services sector. Below is our complete SGRP stock analysis for 2026.

Is SPAR Group, Inc. (SGRP) a Good Investment?

Claude

SPAR Group exhibits severe financial distress with accelerating operational losses, negative free cash flow of -$21.4M, and dangerously weak equity of only $622K. The combination of declining revenue (-16.8% YoY), inability to cover interest expenses, and unsustainable cash burn creates imminent solvency risk.

Why Buy SPAR Group, Inc. Stock? SGRP Key Strengths

Claude
  • + Maintains operational presence with $44.1M in total assets
  • + Generates gross profit of $21.7M indicating some core business viability
  • + Modest cash position of $3.3M provides temporary liquidity runway

SGRP Stock Risks: SPAR Group, Inc. Investment Risks

Claude
  • ! Stockholders' equity collapsed to $622K with negative net income, creating extreme bankruptcy risk
  • ! Current ratio of 0.83x and negative operating cash flow of -$18.4M indicate imminent liquidity crisis
  • ! Revenue contraction of 16.8% YoY combined with negative operating margins signals deteriorating core business
  • ! Interest coverage ratio of -50.2x demonstrates inability to service debt from operations
  • ! Negative free cash flow of -$21.4M is unsustainable and will rapidly deplete remaining cash reserves

Key Metrics to Watch

Claude
  • * Quarterly revenue trend and customer retention rates
  • * Operating cash flow and cash burn rate sustainability
  • * Stockholders' equity movements and debt covenant compliance
  • * Gross margin stability and cost structure efficiency

SPAR Group, Inc. (SGRP) Financial Metrics & Key Ratios

Revenue
$136.1M
Net Income
$-24.6M
EPS (Diluted)
$-1.04
Free Cash Flow
$-21.4M
Total Assets
$44.1M
Cash Position
$3.3M

💡 AI Analyst Insight

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

SGRP Profit Margin, ROE & Profitability Analysis

Gross Margin 15.9%
Operating Margin -12.4%
Net Margin -18.1%
ROE -3,959.2%
ROA -55.9%
FCF Margin -15.7%

SGRP vs Services Sector: How SPAR Group, Inc. Compares

How SPAR Group, Inc. compares to Services sector averages

Net Margin
SGRP -18.1%
vs
Sector Avg 10.0%
SGRP Sector
ROE
SGRP -3,959.2%
vs
Sector Avg 16.0%
SGRP Sector
Current Ratio
SGRP 0.8x
vs
Sector Avg 1.5x
SGRP Sector
Debt/Equity
SGRP 2.1x
vs
Sector Avg 0.7x
SGRP Sector

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

Is SPAR Group, Inc. Stock Overvalued? SGRP Valuation Analysis 2026

Based on fundamental analysis, SPAR Group, Inc. shows some fundamental concerns relative to the Services sector in 2026.

Return on Equity
-3,959.2%
Sector avg: 16%
Net Profit Margin
-18.1%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
2.06x
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.

SPAR Group, Inc. Balance Sheet: SGRP Debt, Cash & Liquidity

Current Ratio
0.83x
Quick Ratio
0.83x
Debt/Equity
2.06x
Debt/Assets
98.6%
Interest Coverage
-50.16x
Long-term Debt
$1.3M

SGRP Revenue & Earnings Growth: 5-Year Financial Trend

SGRP 5-year financial data: Year 2021: Revenue $255.7M, Net Income $3.4M, EPS $0.16. Year 2022: Revenue $261.3M, Net Income -$1.8M, EPS $-0.08. Year 2023: Revenue $262.7M, Net Income -$732.0K, EPS $-0.03. Year 2024: Revenue $262.7M, Net Income $3.9M, EPS $0.16. Year 2025: Revenue $163.6M, Net Income -$3.2M, EPS $-0.13.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: SPAR Group, Inc.'s revenue has declined by 36% over the 5-year period, indicating business contraction. The most recent EPS of $-0.13 indicates the company is currently unprofitable.

SGRP Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-15.7%
Free cash flow / Revenue

SGRP Quarterly Earnings & Performance

Quarterly financial performance data for SPAR Group, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $37.8M -$182.0K $-0.01
Q2 2025 $38.6M -$1.0K $0.00
Q1 2025 $34.0M $462.0K $0.02
Q3 2024 $37.8M -$144.0K $0.01
Q2 2024 $57.3M $639.0K $0.03
Q1 2024 $64.4M $866.0K $0.04
Q3 2023 $67.3M -$32.0K $0.00
Q2 2023 $65.9M $639.0K $0.03

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

SPAR Group, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$18.4M
Cash generated from operations
Capital Expenditures
$3.0M
Investment in assets
Dividends
None
No dividend program

SGRP SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for SPAR Group, Inc. (CIK: 0001004989)

📋 Recent SEC Filings

Date Form Document Action
Apr 13, 2026 8-K sgrp20260408_8k.htm View →
Apr 8, 2026 8-K sgrp20260403_8k.htm View →
Mar 31, 2026 10-K sgrp20251231_10k.htm View →
Mar 31, 2026 8-K sgrp20260331_8k.htm View →
Mar 31, 2026 8-K sgrp20260327_8k.htm View →

Frequently Asked Questions about SGRP

What is the AI rating for SGRP?

SPAR Group, Inc. (SGRP) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are SGRP's key strengths?

Claude: Maintains operational presence with $44.1M in total assets. Generates gross profit of $21.7M indicating some core business viability.

What are the risks of investing in SGRP?

Claude: Stockholders' equity collapsed to $622K with negative net income, creating extreme bankruptcy risk. Current ratio of 0.83x and negative operating cash flow of -$18.4M indicate imminent liquidity crisis.

What is SGRP's revenue and growth?

SPAR Group, Inc. reported revenue of $136.1M.

Does SGRP pay dividends?

SPAR Group, Inc. does not currently pay dividends.

Where can I find SGRP SEC filings?

Official SEC filings for SPAR Group, Inc. (CIK: 0001004989) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is SGRP's EPS?

SPAR Group, Inc. has a diluted EPS of $-1.04.

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 SGRP a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, SPAR Group, Inc. 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 SGRP stock overvalued or undervalued?

Valuation metrics for SGRP: ROE of -3,959.2% (sector avg: 16%), net margin of -18.1% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

Should I buy SGRP stock in 2026?

Our dual AI analysis gives SPAR Group, Inc. 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 SGRP's free cash flow?

SPAR Group, Inc.'s operating cash flow is $-18.4M, with capital expenditures of $3.0M. FCF margin is -15.7%.

How does SGRP compare to other Services stocks?

Vs Services sector averages: Net margin -18.1% (avg: 10%), ROE -3,959.2% (avg: 16%), current ratio 0.83 (avg: 1.5).

Is SPAR Group, Inc. carrying too much debt?

SGRP has a debt-to-equity ratio of 2.06x, which is above the Services sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.

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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 15, 2026 | Data as of: 2025-12-31 | Powered by Claude AI