Recent News
On December 8, 2025, the company released third-quarter 2025 results showing net revenues of $26.3 million and strong sequential and year-over-year growth, and announced that operating cash inflow reached $6.6 million during the quarter. The same day the board authorized a new share repurchase program of up to $10.0 million to run through December 7, 2026. The company previously scheduled release and call details for the third-quarter results on December 8, 2025.
Technical Analysis
ADX (61.1) indicates a very strong trend; such strength magnifies short-term directional moves and increases the relevance of momentum-driven price mechanics when evaluating the near-term outlook relative to the stated valuation.
DI+ decreasing at 5.98 — this decreasing DI+ reads as bearish directional pressure and reduces confidence that recent gains will sustain absent a pickup in buying momentum, which would alter valuation realization timing.
DI- peak & reversal at 35.61 — that peak-and-reversal in DI- reads as bullish for directional balance, implying sellers have begun to lose intensity; this dynamic could support mean reversion toward WMDST’s target if sustained.
MACD at -2.40 with a peak & reversal trend and a signal line at -2.33 — MACD’s peak-and-reverse denotes bearish momentum and the MACD sitting below its signal line reinforces downward momentum that could compress upside capture against the current valuation in the near term.
MRO at -14.52 with a dip & reversal trend — the negative MRO indicates the price sits below the model target and therefore contains upside potential; the dip-and-reversal behavior reads bullish, suggesting potential catch-up to the valuation target if buying interest resumes.
RSI 40.18, decreasing — RSI below midline and falling signals weakening short-term momentum; combined with MACD weakness, the RSI trend raises the probability of continued short-term consolidation before upside participation in the valuation scenario.
Price vs Moving Averages and Bands: the close at $31.26 sits below the 200-day average ($32.66) and below short-term averages (12-day EMA $33.42 decreasing, 20-day average $33.53), and slightly below the 1x Bollinger lower band ($31.66). Those placement metrics indicate short-term downside pressure with potential for mean-reversion rallies toward $33–$36 resistance bands and the super trend upper at $36.02 if momentum shifts.
Liquidity: session volume at 4,896 trails 10/50/200-day averages, reducing intraday price resiliency and increasing the likelihood of amplified moves around news or buyback execution.
Fundamental Analysis
Revenue and Growth: total revenue for the reported period reached $26.334 million; QoQ revenue growth stands at 146.87% and YoY revenue growth at 3.32%. The QoQ acceleration supports the narrative of rapid expansion in paid lessons and active students reported for the quarter, which underpins operating leverage potential.
Profitability: operating (EBIT) and EBITDA both show losses at -$4,157,000, producing an operating margin of -15.79%. That operating margin sits well below the industry peer mean operating margin of 18.285% and the industry peer median of 20.409%, indicating material gap versus peers on operating profitability.
Gross Margin: gross margin reached 73.26%, which sits above the industry peer mean of 55.168% and the industry peer median of 56.571%, reflecting efficient revenue capture on lesson billings even while operating expenses compress bottom-line operating profit.
Cash and Liquidity: cash of $33,532,000 and cash and short-term investments of $36,625,000 provide visible funding for operations and the announced $10.0 million repurchase program. The current ratio of 0.68 falls below the industry peer mean current ratio of 2.02285, signaling tighter short-term liquidity relative to peers despite a positive cash balance.
Capital Structure: total debt stands at $3,307,000 with debt-to-assets at 5.10%, below the industry peer mean debt-to-assets of 12.544%; total equity shows a deficit at -$23,919,000, producing negative tangible equity metrics and distortions in leverage ratios such as debt-to-equity.
Returns: return on equity at 19.88% and return on assets at -8.07% appear mixed given negative equity; return on invested capital at 13.04% exceeds the industry peer mean of 4.985%, offering a signal that deployed capital generates returns even while GAAP equity sits negative.
Valuation: forward EPS sits at -$0.05 with a negative forward P/E; WMDST classifies the current valuation as under-valued. The combination of strong gross margins, rapid sequential revenue growth, available cash, and an active buyback program supports that valuation call, while negative operating margins and negative GAAP equity represent execution risks that justify conservative near-term valuation realization timing.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-12-19 |
| NEXT REPORT DATE: | 2026-03-20 |
| CASH FLOW | Begin Period Cash Flow | — |
| Operating Cash Flow | $ -4.75 M | |
| Capital Expenditures | — | |
| Change In Working Capital | $ 4.8 M | |
| Dividends Paid | — | |
| Cash Flow Delta | — | |
| End Period Cash Flow | — | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 26.3 M | |
| Forward Revenue | — | |
| COSTS | ||
| Cost Of Revenue | $ 7.0 M | |
| Depreciation | — | |
| Depreciation and Amortization | — | |
| Research and Development | $ 1.6 M | |
| Total Operating Expenses | $ 30.5 M | |
| PROFITABILITY | ||
| Gross Profit | $ 19.3 M | |
| EBITDA | $ -4.16 M | |
| EBIT | $ -4.16 M | |
| Operating Income | $ -4.16 M | |
| Interest Income | $ 138.0 K | |
| Interest Expense | — | |
| Net Interest Income | $ 138.0 K | |
| Income Before Tax | $ -4.50 M | |
| Tax Provision | $ 264.0 K | |
| Tax Rate | 25.0 % | |
| Net Income | $ -4.75 M | |
| Net Income From Continuing Operations | $ -4.75 M | |
| EARNINGS | ||
| EPS Estimate | — | |
| EPS Actual | — | |
| EPS Difference | — | |
| EPS Surprise | — | |
| Forward EPS | $ -0.05 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 64.9 M | |
| Intangible Assets | $ 71.0 K | |
| Net Tangible Assets | $ -23.99 M | |
| Total Current Assets | $ 59.2 M | |
| Cash and Short-Term Investments | $ 36.6 M | |
| Cash | $ 33.5 M | |
| Net Receivables | — | |
| Inventory | — | |
| Long-Term Investments | $ 481.0 K | |
| LIABILITIES | ||
| Accounts Payable | — | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 86.6 M | |
| Net Debt | — | |
| Total Debt | $ 3.3 M | |
| Total Liabilities | $ 88.7 M | |
| EQUITY | ||
| Total Equity | $ -23.92 M | |
| Retained Earnings | — | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | — | |
| Shares Outstanding | — | |
| Revenue Per-Share | — | |
| VALUATION | Market Capitalization | — |
| Enterprise Value | — | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | — | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | -2.712 | |
| Asset To Liability | 0.732 | |
| Debt To Capital | -0.16 | |
| Debt To Assets | 0.051 | |
| Debt To Assets QoQ | 37.821 % | |
| Debt To Assets YoY | 144.978 % | |
| Debt To Assets IPRWA | high: 0.597 mean: 0.125 median: 0.093 COE: 0.051 low: 0.003 |
|
| Debt To Equity | -0.138 | |
| Debt To Equity QoQ | 31.052 % | |
| Debt To Equity YoY | 133.429 % | |
| Debt To Equity IPRWA | high: 1.639 mean: 0.247 median: 0.149 low: 0.012 COE: -0.138 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | — | |
| Price To Book QoQ | — | |
| Price To Book YoY | — | |
| Price To Book IPRWA | — | |
| Price To Earnings (P/E) | — | |
| Price To Earnings QoQ | — | |
| Price To Earnings YoY | — | |
| Price To Earnings IPRWA | — | |
| PE/G Ratio | — | |
| Price To Sales (P/S) | — | |
| Price To Sales QoQ | — | |
| Price To Sales YoY | — | |
| Price To Sales IPRWA | — | |
| FORWARD MULTIPLES | ||
| Forward P/E | -745.317 | |
| Forward PE/G | — | |
| Forward P/S | — | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 1.812 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.447 | |
| Asset Turnover Ratio QoQ | 7.873 % | |
| Asset Turnover Ratio YoY | 15.319 % | |
| Asset Turnover Ratio IPRWA | high: 0.514 COE: 0.447 mean: 0.202 median: 0.165 low: 0.041 |
|
| Receivables Turnover | — | |
| Receivables Turnover Ratio QoQ | — | |
| Receivables Turnover Ratio YoY | — | |
| Receivables Turnover Ratio IPRWA | — | |
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | — | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 101.187 mean: 9.174 median: 2.199 COE: 0 low: -28.187 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -0.963 | |
| CapEx To Revenue | — | |
| CapEx To Depreciation | — | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ -23.92 M | |
| Net Invested Capital | $ -23.92 M | |
| Invested Capital | $ -23.92 M | |
| Net Tangible Assets | $ -23.99 M | |
| Net Working Capital | $ -27.36 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.423 | |
| Current Ratio | 0.684 | |
| Current Ratio QoQ | -3.351 % | |
| Current Ratio YoY | -3.828 % | |
| Current Ratio IPRWA | high: 6.775 mean: 2.023 median: 1.653 low: 0.807 COE: 0.684 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -0.796 | |
| Cost Of Debt | 4.872 % | |
| Interest Coverage Ratio | -24.31 | |
| Interest Coverage Ratio QoQ | 52.719 % | |
| Interest Coverage Ratio YoY | 428.881 % | |
| Interest Coverage Ratio IPRWA | high: 84.737 mean: 20.702 median: 9.076 low: -23.424 COE: -24.31 |
|
| Operating Cash Flow Ratio | -0.055 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 22.534 % | |
| Revenue Growth | 29.101 % | |
| Revenue Growth QoQ | 146.87 % | |
| Revenue Growth YoY | 3.32 % | |
| Revenue Growth IPRWA | COE: 29.101 % high: 22.509 % median: 21.391 % mean: 15.688 % low: -26.045 % |
|
| Earnings Growth | — | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | — | |
| MARGINS | ||
| Gross Margin | 73.259 % | |
| Gross Margin QoQ | -1.798 % | |
| Gross Margin YoY | -6.973 % | |
| Gross Margin IPRWA | high: 88.469 % COE: 73.259 % median: 56.571 % mean: 55.168 % low: 20.91 % |
|
| EBIT Margin | -15.786 % | |
| EBIT Margin QoQ | 18.3 % | |
| EBIT Margin YoY | 182.094 % | |
| EBIT Margin IPRWA | high: 29.284 % median: 20.409 % mean: 18.285 % COE: -15.786 % low: -51.547 % |
|
| Return On Sales (ROS) | -15.786 % | |
| Return On Sales QoQ | 18.3 % | |
| Return On Sales YoY | 182.094 % | |
| Return On Sales IPRWA | high: 27.787 % median: 20.409 % mean: 18.13 % COE: -15.786 % low: -51.547 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | — | |
| Free Cash Flow Yield | — | |
| Free Cash Flow Yield QoQ | — | |
| Free Cash Flow Yield YoY | — | |
| Free Cash Flow Yield IPRWA | — | |
| Free Cash Growth | — | |
| Free Cash Growth QoQ | — | |
| Free Cash Growth YoY | — | |
| Free Cash Growth IPRWA | — | |
| Free Cash To Net Income | — | |
| Cash Flow Margin | -18.057 % | |
| Cash Flow To Earnings | 1.0 | |
| VALUE & RETURNS | ||
| Economic Value Added | — | |
| Return On Assets (ROA) | -8.073 % | |
| Return On Assets QoQ | 30.399 % | |
| Return On Assets YoY | 362.106 % | |
| Return On Assets IPRWA | high: 5.867 % median: 2.974 % mean: 2.678 % COE: -8.073 % low: -9.118 % |
|
| Return On Capital Employed (ROCE) | 19.121 % | |
| Return On Equity (ROE) | 0.199 | |
| Return On Equity QoQ | 21.094 % | |
| Return On Equity YoY | 329.466 % | |
| Return On Equity IPRWA | high: 0.328 COE: 0.199 median: 0.057 mean: 0.054 low: -0.133 |
|
| DuPont ROE | 22.388 % | |
| Return On Invested Capital (ROIC) | 13.035 % | |
| Return On Invested Capital QoQ | 18.511 % | |
| Return On Invested Capital YoY | 448.611 % | |
| Return On Invested Capital IPRWA | high: 14.048 % COE: 13.035 % median: 5.742 % mean: 4.985 % low: -12.073 % |
|