Recent News
March 9, 2026: Board update released summarizing results for the first six months of fiscal 2026. March–May 2026: Company filed periodic reports disclosing March 31, 2026 quarter results, balance sheet cash and investment balances, and a noted share repurchase authorization size. Multiple summaries and filings in April–May 2026 restated higher margins and reiterated management’s expectation that full-year revenue and net income will exceed prior-year levels.
Technical Analysis
ADX at 31.45 signals a strong prevailing trend; because directional indicators diverge, trend strength increases the importance of directionally bearish signals that follow.
DI+ at 22.23 is decreasing while DI– at 12.61 is increasing; that pattern reads as growing downside directional pressure despite recent price gains.
MACD sits at 2.44 below its signal line at 2.74 and the MACD trend is decreasing, indicating bearish momentum and a recent loss of upside acceleration.
MRO at 35.56 with a peak-and-reversal pattern indicates price currently sits above target levels and carries material downside pressure from momentum mean reversion.
RSI at 60.54 with a peak-and-reversal pattern points to a recent momentum high and elevated risk of short-term pullback even though the reading remains below overbought extremes.
Price sits at $70.50, above the 12-day EMA ($70.18, increasing) and above the 26-day EMA ($67.80), supporting short-term strength; the 20-day average at $70.27 and upper 1× band near $71.73 keep the stock within a tight upper-range band rather than a breakout. Volume today (164,623) well exceeds the 10-day average (46,392), suggesting institutional participation during recent moves.
Fundamental Analysis
Operating profitability drives the narrative: EBIT of $3,071,141 yields an EBIT margin of 25.30%, up 11.38% QoQ and 70.10% YoY. That 25.3% margin sits above the industry peer mean and median while remaining below the peer high, supporting valuation upside if margins persist.
Revenue dynamics show a YoY increase of 10.44% with a QoQ decline of about 7.38%, indicating mixed top-line momentum even as margin leverage improved over the comparable period.
Earnings per share of $0.99 beat the consensus estimate of $0.80 by $0.19, an EPS surprise of 23.75%, signaling near-term operational outperformance versus expectations.
Cash and liquid investments total $43,168,359 ($17,757,632 held as cash), and the current ratio stands at 2.53, above the industry peer mean; ample liquidity coexists with stretched working capital: the cash conversion cycle runs roughly 342 days, materially longer than the industry peer mean, driven by very high days-in-inventory (~342 days) and elongated receivables timing.
Free cash flow was negative at -$4,133,110, with a free cash flow yield around -2.93% and year-over-year free cash contraction; negative operating cash flow (-$2,811,403) contrasts with strong accounting earnings and limits the durability of margin-driven valuation gains until cash generation improves.
Valuation multiples present mixed signals: P/E ~48.6 and P/B ~2.65 rank below the industry peer mean for P/E and below peer mean for P/B, while PS at ~11.62 also sits under the peer mean. Return metrics—ROE ~5.27% and ROA ~3.30%—exceed peer means modestly, reflecting efficient capital deployment but at a modest absolute level.
Dividend yield near 0.49% with a payout ratio ~24.49% confirms a sustainable but small cash return to shareholders given current negative free cash flow.
WMDST values the stock as over-valued. That valuation reflects compressed cash conversion performance and negative free cash flow which temper upside implied by improved margins and EPS beats; sustained re-rating depends on a demonstrable turnaround in cash generation and working capital efficiency.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-10 |
| NEXT REPORT DATE: | 2026-05-12 |
| CASH FLOW | Begin Period Cash Flow | $ 22.2 M |
| Operating Cash Flow | $ -2.81 M | |
| Capital Expenditures | $ -1.32 M | |
| Change In Working Capital | $ -5.89 M | |
| Dividends Paid | $ -686.88 K | |
| Cash Flow Delta | $ -4.46 M | |
| End Period Cash Flow | $ 17.8 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 12.1 M | |
| Forward Revenue | $ 2.9 M | |
| COSTS | ||
| Cost Of Revenue | $ 7.9 M | |
| Depreciation | $ 127.5 K | |
| Depreciation and Amortization | $ 127.5 K | |
| Research and Development | — | |
| Total Operating Expenses | $ 9.1 M | |
| PROFITABILITY | ||
| Gross Profit | $ 4.2 M | |
| EBITDA | $ 3.2 M | |
| EBIT | $ 3.1 M | |
| Operating Income | $ 3.1 M | |
| Interest Income | $ 436.9 K | |
| Interest Expense | — | |
| Net Interest Income | $ 436.9 K | |
| Income Before Tax | $ 3.5 M | |
| Tax Provision | $ 710.7 K | |
| Tax Rate | 20.215 % | |
| Net Income | $ 2.8 M | |
| Net Income From Continuing Operations | $ 2.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.80 | |
| EPS Actual | $ 0.99 | |
| EPS Difference | $ 0.19 | |
| EPS Surprise | 23.75 % | |
| Forward EPS | $ 0.91 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 85.2 M | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 53.2 M | |
| Total Current Assets | $ 80.9 M | |
| Cash and Short-Term Investments | $ 43.2 M | |
| Cash | $ 17.8 M | |
| Net Receivables | $ 8.2 M | |
| Inventory | $ 22.9 M | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | $ 3.6 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 32.0 M | |
| Net Debt | — | |
| Total Debt | — | |
| Total Liabilities | $ 32.0 M | |
| EQUITY | ||
| Total Equity | $ 53.2 M | |
| Retained Earnings | $ 33.1 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 18.14 | |
| Shares Outstanding | 2.937 M | |
| Revenue Per-Share | $ 4.14 | |
| VALUATION | Market Capitalization | $ 141.0 M |
| Enterprise Value | — | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | — | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.601 | |
| Asset To Liability | 2.665 | |
| Debt To Capital | — | |
| Debt To Assets | — | |
| Debt To Assets QoQ | — | |
| Debt To Assets YoY | — | |
| Debt To Assets IPRWA | — | |
| Debt To Equity | — | |
| Debt To Equity QoQ | — | |
| Debt To Equity YoY | — | |
| Debt To Equity IPRWA | — | |
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.651 | |
| Price To Book QoQ | 14.522 % | |
| Price To Book YoY | 49.888 % | |
| Price To Book IPRWA | high: 9.542 mean: 4.316 median: 3.877 ESP: 2.651 low: -1.578 |
|
| Price To Earnings (P/E) | 48.558 | |
| Price To Earnings QoQ | -8.239 % | |
| Price To Earnings YoY | — | |
| Price To Earnings IPRWA | high: 155.616 mean: 108.524 median: 96.494 ESP: 48.558 low: -59.489 |
|
| PE/G Ratio | 1.605 | |
| Price To Sales (P/S) | 11.62 | |
| Price To Sales QoQ | -10.449 % | |
| Price To Sales YoY | 99.53 % | |
| Price To Sales IPRWA | high: 29.146 mean: 18.138 median: 18.088 ESP: 11.62 low: 0.291 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 50.887 | |
| Forward PE/G | 1.681 | |
| Forward P/S | 54.364 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 1.454 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.143 | |
| Asset Turnover Ratio QoQ | 28.735 % | |
| Asset Turnover Ratio YoY | -38.19 % | |
| Asset Turnover Ratio IPRWA | high: 0.367 mean: 0.153 ESP: 0.143 median: 0.124 low: 0.004 |
|
| Receivables Turnover | 1.664 | |
| Receivables Turnover Ratio QoQ | 27.686 % | |
| Receivables Turnover Ratio YoY | -14.343 % | |
| Receivables Turnover Ratio IPRWA | high: 2.952 ESP: 1.664 mean: 1.62 median: 1.431 low: 0.513 |
|
| Inventory Turnover | 0.36 | |
| Inventory Turnover Ratio QoQ | 19.218 % | |
| Inventory Turnover Ratio YoY | -36.136 % | |
| Inventory Turnover Ratio IPRWA | high: 2.152 mean: 0.951 median: 0.891 ESP: 0.36 low: 0.204 |
|
| Days Sales Outstanding (DSO) | 54.846 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 342.062 | |
| Cash Conversion Cycle Days QoQ | 4.437 % | |
| Cash Conversion Cycle Days YoY | 49.473 % | |
| Cash Conversion Cycle Days IPRWA | ESP: 342.062 high: 188.199 mean: 101.481 median: 99.751 low: -9.339 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.248 | |
| CapEx To Revenue | -0.109 | |
| CapEx To Depreciation | -10.363 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 53.2 M | |
| Net Invested Capital | $ 53.2 M | |
| Invested Capital | $ 53.2 M | |
| Net Tangible Assets | $ 53.2 M | |
| Net Working Capital | $ 48.9 M | |
| LIQUIDITY | ||
| Cash Ratio | 1.351 | |
| Current Ratio | 2.531 | |
| Current Ratio QoQ | 6.166 % | |
| Current Ratio YoY | -29.968 % | |
| Current Ratio IPRWA | high: 16.218 ESP: 2.531 mean: 1.333 median: 1.062 low: 0.841 |
|
| Quick Ratio | 1.813 | |
| Quick Ratio QoQ | 2.889 % | |
| Quick Ratio YoY | -26.555 % | |
| Quick Ratio IPRWA | high: 13.927 ESP: 1.813 mean: 0.89 median: 0.673 low: 0.617 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | — | |
| Cost Of Debt | — | |
| Interest Coverage Ratio | 21.063 | |
| Interest Coverage Ratio QoQ | 48.671 % | |
| Interest Coverage Ratio YoY | 51.703 % | |
| Interest Coverage Ratio IPRWA | high: 21.707 ESP: 21.063 mean: 12.095 median: 11.688 low: -37.803 |
|
| Operating Cash Flow Ratio | -0.018 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 54.516 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 4.084 | |
| Dividend Payout Ratio | 0.245 | |
| Dividend Rate | $ 0.23 | |
| Dividend Yield | 0.005 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.377 % | |
| Revenue Growth | 33.477 % | |
| Revenue Growth QoQ | -738.265 % | |
| Revenue Growth YoY | 10.441 % | |
| Revenue Growth IPRWA | ESP: 33.477 % high: 18.039 % mean: -4.885 % median: -9.111 % low: -33.18 % |
|
| Earnings Growth | 30.263 % | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | high: 222.925 % ESP: 30.263 % mean: 24.396 % median: -8.466 % low: -55.556 % |
|
| MARGINS | ||
| Gross Margin | 34.709 % | |
| Gross Margin QoQ | -1.894 % | |
| Gross Margin YoY | 49.299 % | |
| Gross Margin IPRWA | high: 67.596 % median: 48.266 % mean: 44.562 % ESP: 34.709 % low: -20.898 % |
|
| EBIT Margin | 25.304 % | |
| EBIT Margin QoQ | 11.383 % | |
| EBIT Margin YoY | 70.099 % | |
| EBIT Margin IPRWA | high: 27.289 % ESP: 25.304 % median: 20.502 % mean: 19.012 % low: -50.815 % |
|
| Return On Sales (ROS) | 25.304 % | |
| Return On Sales QoQ | 11.383 % | |
| Return On Sales YoY | 70.099 % | |
| Return On Sales IPRWA | high: 27.289 % ESP: 25.304 % median: 19.88 % mean: 18.877 % low: -42.371 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -4.13 M | |
| Free Cash Flow Yield | -2.931 % | |
| Free Cash Flow Yield QoQ | -178.077 % | |
| Free Cash Flow Yield YoY | -151.693 % | |
| Free Cash Flow Yield IPRWA | high: 3.828 % mean: 0.768 % median: 0.766 % ESP: -2.931 % low: -13.435 % |
|
| Free Cash Growth | -193.308 % | |
| Free Cash Growth QoQ | -150.347 % | |
| Free Cash Growth YoY | -137.171 % | |
| Free Cash Growth IPRWA | high: 351.098 % mean: -23.037 % median: -28.504 % ESP: -193.308 % low: -318.157 % |
|
| Free Cash To Net Income | -1.473 | |
| Cash Flow Margin | -4.836 % | |
| Cash Flow To Earnings | -0.209 | |
| VALUE & RETURNS | ||
| Economic Value Added | — | |
| Return On Assets (ROA) | 3.3 % | |
| Return On Assets QoQ | 24.669 % | |
| Return On Assets YoY | 1.852 % | |
| Return On Assets IPRWA | high: 6.193 % ESP: 3.3 % median: 2.472 % mean: 2.078 % low: -12.999 % |
|
| Return On Capital Employed (ROCE) | 5.772 % | |
| Return On Equity (ROE) | 0.053 | |
| Return On Equity QoQ | 23.872 % | |
| Return On Equity YoY | 23.814 % | |
| Return On Equity IPRWA | high: 0.093 ESP: 0.053 mean: 0.045 median: 0.037 low: -0.087 |
|
| DuPont ROE | 5.385 % | |
| Return On Invested Capital (ROIC) | 4.605 % | |
| Return On Invested Capital QoQ | 33.944 % | |
| Return On Invested Capital YoY | -177.317 % | |
| Return On Invested Capital IPRWA | high: 5.302 % ESP: 4.605 % median: 3.236 % mean: 3.096 % low: -14.79 % |
|