📊 AENTW Key Takeaways
Is Alliance Entertainment Holding Corp. (AENTW) a Good Investment?
Alliance Entertainment faces severe operational deterioration with revenue collapsing 99.7% YoY while reporting anomalous profitability metrics that lack credibility given the revenue base. Negative operating cash flow of -$13.8M, minimal cash reserves of $1.4M, and deteriorating liquidity ratios indicate the company is burning capital and faces potential viability concerns.
Fundamentals appear weak despite reported net income, because profitability is heavily distorted by non-operating or one-time items while revenue fell 99.7% year over year. The balance sheet is still solvent with positive equity and acceptable current liquidity, but very low cash, negative operating cash flow, and poor free cash flow point to weak earnings quality and elevated execution risk.
Why Buy Alliance Entertainment Holding Corp. Stock? AENTW Key Strengths
- Positive operating cash flow conversion not yet negative at full scale
- Current ratio of 1.35x provides minimal short-term liquidity cushion
- Total assets of $434.1M provide some asset base for potential restructuring
- Positive net income and operating income in the latest period
- Positive stockholders' equity with moderate asset coverage over liabilities
- Current ratio of 1.35x suggests near-term obligations are still manageable
AENTW Stock Risks: Alliance Entertainment Holding Corp. Investment Risks
- Revenue collapse of 99.7% YoY indicates business model failure or data anomaly
- Negative free cash flow of -$14.5M with only $1.4M cash on hand creates imminent solvency risk
- Reported net margin of 891.8% on $1.6M revenue is mathematically inconsistent and suggests financial statement reliability issues
- Operating cash flow of -$13.8M contradicts reported $27.8M operating income, indicating potential earnings quality problems
- Zero insider filings in last 90 days suggests possible management disengagement during crisis period
- Quick ratio of 0.79x indicates potential working capital strain and inability to meet short-term obligations
- Revenue collapsed 99.7% year over year, signaling severe deterioration or major reporting distortion
- Operating cash flow and free cash flow are negative, indicating poor earnings quality
- Cash balance is very low at $1.38M and quick ratio of 0.79x limits liquidity flexibility
Key Metrics to Watch
- Quarterly revenue trend and customer retention rates to confirm viability
- Operating cash flow versus reported earnings quality
- Cash burn rate and months of runway remaining
- Debt covenant compliance status and refinancing prospects
- Revenue normalization and recurring gross profit trend
- Operating cash flow and cash balance improvement
Alliance Entertainment Holding Corp. (AENTW) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Alliance Entertainment Holding Corp. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
AENTW Profit Margin, ROE & Profitability Analysis
AENTW vs Market Sector: How Alliance Entertainment Holding Corp. Compares
How Alliance Entertainment Holding Corp. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Alliance Entertainment Holding Corp. Stock Overvalued? AENTW Valuation Analysis 2026
Based on fundamental analysis, Alliance Entertainment Holding Corp. appears fundamentally strong relative to the Market 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.
Alliance Entertainment Holding Corp. Balance Sheet: AENTW Debt, Cash & Liquidity
AENTW Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Alliance Entertainment Holding Corp.'s revenue has declined by 22% over the 5-year period, indicating business contraction. The most recent EPS of $0.09 reflects profitable operations.
AENTW Revenue Growth, EPS Growth & YoY Performance
AENTW Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $368.7M | $397.0K | $0.14 |
| Q1 2026 | $229.0M | $397.0K | $0.01 |
| Q3 2025 | $211.2M | $397.0K | $0.04 |
| Q2 2025 | $393.7M | $397.0K | $0.11 |
| Q1 2025 | $226.8M | $397.0K | $0.01 |
| Q3 2024 | $211.2M | $2.1M | $0.04 |
| Q2 2024 | $425.6M | -$3.5M | $0.11 |
| Q3 2023 | $227.7M | $3.7M | $0.08 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Alliance Entertainment Holding Corp. Dividends, Buybacks & Capital Allocation
AENTW SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Alliance Entertainment Holding Corp. (CIK: 0001823584)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AENTW
What is the AI rating for AENTW?
Alliance Entertainment Holding Corp. (AENTW) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 89% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are AENTW's key strengths?
Claude: Positive operating cash flow conversion not yet negative at full scale. Current ratio of 1.35x provides minimal short-term liquidity cushion. ChatGPT: Positive net income and operating income in the latest period. Positive stockholders' equity with moderate asset coverage over liabilities.
What are the risks of investing in AENTW?
Claude: Revenue collapse of 99.7% YoY indicates business model failure or data anomaly. Negative free cash flow of -$14.5M with only $1.4M cash on hand creates imminent solvency risk. ChatGPT: Revenue collapsed 99.7% year over year, signaling severe deterioration or major reporting distortion. Operating cash flow and free cash flow are negative, indicating poor earnings quality.
What is AENTW's revenue and growth?
Alliance Entertainment Holding Corp. reported revenue of $1.6M.
Does AENTW pay dividends?
Alliance Entertainment Holding Corp. does not currently pay dividends.
Where can I find AENTW SEC filings?
Official SEC filings for Alliance Entertainment Holding Corp. (CIK: 0001823584) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AENTW's EPS?
Alliance Entertainment Holding Corp. has a diluted EPS of $0.28.
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 AENTW a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Alliance Entertainment Holding Corp. has a SELL rating with 89% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is AENTW stock overvalued or undervalued?
Valuation metrics for AENTW: ROE of 12.1% (sector avg: 15%), net margin of 891.8% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy AENTW stock in 2026?
Our dual AI analysis gives Alliance Entertainment Holding Corp. a combined SELL rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is AENTW's free cash flow?
Alliance Entertainment Holding Corp.'s operating cash flow is $-13.8M, with capital expenditures of $712.0K. FCF margin is -907.8%.
How does AENTW compare to other Market stocks?
Vs Default sector averages: Net margin 891.8% (avg: 12%), ROE 12.1% (avg: 15%), current ratio 1.35 (avg: 1.8).