📊 SMPL Key Takeaways
Is Simply Good Foods Co (SMPL) a Good Investment?
Simply Good Foods is experiencing severe profitability deterioration with operating losses of $175.7M and negative net income of $134.4M despite 9% revenue growth, indicating structural operational challenges rather than cyclical weakness. While liquidity ratios remain healthy and the company generates positive free cash flow, the inability to cover interest payments from operations and deeply negative margins (-26.4% operating margin) signal unsustainable unit economics that threaten shareholder value.
Why Buy Simply Good Foods Co Stock? SMPL Key Strengths
- Revenue growth of 9% YoY demonstrates continued market demand
- Positive free cash flow of $50.6M despite accounting losses preserves balance sheet flexibility
- Excellent liquidity position with 5.06x current ratio and $107.4M cash provides runway for turnaround
- Gross margin of 32% indicates reasonable product pricing and cost of goods structure
SMPL Stock Risks: Simply Good Foods Co Investment Risks
- Negative operating income of $175.7M with -26.4% operating margin indicates fundamental profitability crisis
- Interest coverage ratio of -10.5x means operations cannot support debt service obligations
- Persistent net losses of $134.4M reduce retained earnings and increase reliance on cash reserves
- High operating expenses relative to gross profit suggest cost structure misalignment or one-time charges obscuring structural issues
- Long-term debt of $396.9M becomes problematic if operating losses persist and cash flow reverses
Key Metrics to Watch
- Path to operating profitability and timeline for positive operating margin expansion
- Operating cash flow sustainability and whether FCF conversion continues despite losses
- Operating expense ratio trends and management's ability to reduce SG&A burden
- Interest coverage ratio recovery to positive territory
Simply Good Foods Co (SMPL) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 5.06x current ratio provides a solid financial cushion.
SMPL Profit Margin, ROE & Profitability Analysis
SMPL vs Consumer Sector: How Simply Good Foods Co Compares
How Simply Good Foods Co compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Simply Good Foods Co Stock Overvalued? SMPL Valuation Analysis 2026
Based on fundamental analysis, Simply Good Foods Co has mixed fundamental signals relative to the Consumer 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.
Simply Good Foods Co Balance Sheet: SMPL Debt, Cash & Liquidity
SMPL Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Simply Good Foods Co's revenue has grown significantly by 44% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.32 reflects profitable operations.
SMPL Revenue Growth, EPS Growth & YoY Performance
SMPL Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $326.0M | $25.3M | $0.36 |
| Q1 2026 | $340.2M | $25.3M | $0.26 |
| Q3 2025 | $334.8M | $33.1M | $0.40 |
| Q2 2025 | $312.2M | $33.1M | $0.33 |
| Q1 2025 | $308.7M | $35.6M | $0.35 |
| Q3 2024 | $324.8M | $25.6M | $0.35 |
| Q2 2024 | $296.6M | $25.6M | $0.25 |
| Q1 2024 | $300.9M | $35.6M | $0.35 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Simply Good Foods Co Dividends, Buybacks & Capital Allocation
SMPL SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Simply Good Foods Co (CIK: 0001702744)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SMPL
What is the AI rating for SMPL?
Simply Good Foods Co (SMPL) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SMPL's key strengths?
Claude: Revenue growth of 9% YoY demonstrates continued market demand. Positive free cash flow of $50.6M despite accounting losses preserves balance sheet flexibility.
What are the risks of investing in SMPL?
Claude: Negative operating income of $175.7M with -26.4% operating margin indicates fundamental profitability crisis. Interest coverage ratio of -10.5x means operations cannot support debt service obligations.
What is SMPL's revenue and growth?
Simply Good Foods Co reported revenue of $666.2M.
Does SMPL pay dividends?
Simply Good Foods Co does not currently pay dividends.
Where can I find SMPL SEC filings?
Official SEC filings for Simply Good Foods Co (CIK: 0001702744) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SMPL's EPS?
Simply Good Foods Co has a diluted EPS of $-1.41.
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 SMPL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Simply Good Foods Co has a SELL rating with 78% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is SMPL stock overvalued or undervalued?
Valuation metrics for SMPL: ROE of -9.0% (sector avg: 18%), net margin of -20.2% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
Should I buy SMPL stock in 2026?
Our dual AI analysis gives Simply Good Foods Co a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SMPL's free cash flow?
Simply Good Foods Co's operating cash flow is $58.2M, with capital expenditures of $7.6M. FCF margin is 7.6%.
How does SMPL compare to other Consumer stocks?
Vs Consumer sector averages: Net margin -20.2% (avg: 8%), ROE -9.0% (avg: 18%), current ratio 5.06 (avg: 1.5).