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Turtle Beach Corp (TBCH) Fundamental Analysis & AI Grade 2026

TBCH Nasdaq Communications Equipment, NEC NV CIK: 0001493761
Updated This Month • Analysis: May 9, 2026 • SEC Data: 2026-03-31
Combined AI Grade
C
78% Confidence
N/A
C
78% Conf
Pending
Analysis scheduled

📊 TBCH Key Takeaways

Revenue: $42.2M
Net Margin: -36.1%
Free Cash Flow: $29.1M
Current Ratio: 2.46x
Debt/Equity: 0.48x
EPS: $-0.78
AI Grade: C with 78% confidence
Turtle Beach Corp (TBCH) receives a C fundamental grade with 78% confidence from our AI analysis based on SEC 10-K filings. With revenue of $42.2M, net profit margin of -36.1%, and return on equity (ROE) of -13.6%, Turtle Beach Corp demonstrates mixed fundamentals in the Telecom sector. Below is our complete TBCH stock analysis for 2026.

Is Turtle Beach Corp (TBCH) a Good Investment?

Claude

Turtle Beach's massive revenue growth (+3374% YoY) masks critical profitability and debt servicing failures. The company operates at a -36.1% net margin with negative interest coverage (-10.0x), indicating it cannot service its $53.6M debt burden from operations. While positive free cash flow and reasonable leverage provide near-term runway, the severity of operating losses and inability to cover interest present unsustainable financial risks.

Turtle Beach Corp Key Strengths (TBCH)

Claude
  • + Exceptional revenue growth of 3374% YoY indicating successful market expansion or acquisition integration
  • + Positive operating cash flow (29.4M) and free cash flow (29.1M) providing near-term financial flexibility
  • + Reasonable leverage metrics with 0.48x debt-to-equity ratio and 2.46x current ratio providing balance sheet stability

TBCH Stock Risks: Turtle Beach Corp Investment Risks

Claude
  • ! Negative interest coverage ratio (-10.0x) indicates company cannot cover debt service obligations from operating income
  • ! Deep operating losses (-33.3% operating margin) despite healthy 26.8% gross margin suggest structural SG&A cost problems and lack of operating leverage
  • ! Weak cash position (12.3M) relative to long-term debt (53.6M) creates refinancing and liquidity risk if operations deteriorate

Key Metrics to Watch

Claude
  • * Operating margin trajectory - must achieve positive operating margin within 2-3 quarters to demonstrate path to sustainability
  • * Interest coverage ratio - must improve significantly above -10.0x to demonstrate debt service capability from operations
  • * Cash position and debt maturity schedule - critical to assess runway and refinancing requirements

Turtle Beach Corp (TBCH) Financial Metrics & Key Ratios

Revenue
$42.2M
Net Income
$-15.2M
EPS (Diluted)
$-0.78
Free Cash Flow
$29.1M
Total Assets
$209.9M
Cash Position
$12.3M

💡 AI Analyst Insight

The 69.0% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 2.46x current ratio provides a solid financial cushion.

TBCH Profit Margin, ROE & Profitability Analysis

Gross Margin 26.8%
Operating Margin -33.3%
Net Margin -36.1%
ROE -13.6%
ROA -7.2%
FCF Margin 69.0%

TBCH vs Telecom Sector: How Turtle Beach Corp Compares

How Turtle Beach Corp compares to Telecom sector averages

Net Margin
TBCH -36.1%
vs
Sector Avg 14.0%
TBCH Sector
ROE
TBCH -13.6%
vs
Sector Avg 15.0%
TBCH Sector
Current Ratio
TBCH 2.5x
vs
Sector Avg 1.0x
TBCH Sector
Debt/Equity
TBCH 0.5x
vs
Sector Avg 1.2x
TBCH Sector

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

Is Turtle Beach Corp Stock Overvalued? TBCH Valuation Analysis 2026

Based on fundamental analysis, Turtle Beach Corp has mixed fundamental signals relative to the Telecom sector in 2026.

Return on Equity
-13.6%
Sector avg: 15%
Net Profit Margin
-36.1%
Sector avg: 14%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.48x
Sector avg: 1.2x

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.

Turtle Beach Corp Balance Sheet: TBCH Debt, Cash & Liquidity

Current Ratio
2.46x
Quick Ratio
1.12x
Debt/Equity
0.48x
Debt/Assets
46.7%
Interest Coverage
-10.04x
Long-term Debt
$53.6M

TBCH Revenue & Earnings Growth: 5-Year Financial Trend

TBCH 5-year financial data: Year 2021: Revenue $366.4M, Net Income $17.9M, EPS $1.04. Year 2022: Revenue $366.4M, Net Income $38.7M, EPS $2.37. Year 2023: Revenue $366.4M, Net Income $17.7M, EPS $0.97. Year 2024: Revenue $372.8M, Net Income -$59.5M, EPS $-3.62. Year 2025: Revenue $372.8M, Net Income -$17.7M, EPS $-1.03.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Turtle Beach Corp's revenue has shown modest growth of 2% over the 5-year period. The most recent EPS of $-1.03 indicates the company is currently unprofitable.

TBCH 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
69.0%
Free cash flow / Revenue

TBCH Quarterly Earnings & Performance

Quarterly financial performance data for Turtle Beach Corp including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $42.2M -$664.0K $-0.03
Q3 2025 $80.5M $155.0K $0.08
Q2 2025 $56.8M $155.0K $-0.14
Q1 2025 $55.8M $155.0K $0.01
Q3 2024 $59.2M $155.0K $0.16
Q2 2024 $48.0M $155.0K $-0.35
Q1 2024 $51.4M $155.0K $0.01
Q3 2023 $51.3M -$3.6M $-0.21

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

Turtle Beach Corp Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$29.4M
Cash generated from operations
Stock Buybacks
$2.2M
Shares repurchased (TTM)
Capital Expenditures
$276.0K
Investment in assets
Dividends
None
No dividend program

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

Access official SEC EDGAR filings for Turtle Beach Corp (CIK: 0001493761)

📋 Recent SEC Filings

Date Form Document Action
May 29, 2026 4 xslF345X06/form4.xml View →
May 20, 2026 8-K d13804d8k.htm View →
May 7, 2026 10-Q tbch-20260331.htm View →
May 7, 2026 8-K tbch-20260507.htm View →
May 5, 2026 4 xslF345X06/form4.xml View →

Frequently Asked Questions about TBCH

What is the AI rating for TBCH?

Turtle Beach Corp (TBCH) has an AI grade of C with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are TBCH's key strengths?

Claude: Exceptional revenue growth of 3374% YoY indicating successful market expansion or acquisition integration. Positive operating cash flow (29.4M) and free cash flow (29.1M) providing near-term financial flexibility.

What are the risks of investing in TBCH?

Claude: Negative interest coverage ratio (-10.0x) indicates company cannot cover debt service obligations from operating income. Deep operating losses (-33.3% operating margin) despite healthy 26.8% gross margin suggest structural SG&A cost problems and lack of operating leverage.

What is TBCH's revenue and growth?

Turtle Beach Corp reported revenue of $42.2M.

Does TBCH pay dividends?

Turtle Beach Corp does not currently pay dividends.

Where can I find TBCH SEC filings?

Official SEC filings for Turtle Beach Corp (CIK: 0001493761) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is TBCH's EPS?

Turtle Beach Corp has a diluted EPS of $-0.78.

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 TBCH's fundamental grade?

Based on our AI fundamental analysis in June 2026, Turtle Beach Corp has a C grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is TBCH stock overvalued or undervalued?

Valuation metrics for TBCH: ROE of -13.6% (sector avg: 15%), net margin of -36.1% (sector avg: 14%). Compare these metrics with sector averages to assess valuation.

What is TBCH's AI grade for 2026?

Our dual AI analysis gives Turtle Beach Corp a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is TBCH's free cash flow?

Turtle Beach Corp's operating cash flow is $29.4M, with capital expenditures of $276.0K. FCF margin is 69.0%.

How does TBCH compare to other Telecom stocks?

Vs Telecom sector averages: Net margin -36.1% (avg: 14%), ROE -13.6% (avg: 15%), current ratio 2.46 (avg: 1).

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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: May 9, 2026 | Data as of: 2026-03-31 | Powered by Claude AI