📊 ALCO Key Takeaways
Is Alico, Inc.. (ALCO) a Good Investment?
ALICO faces severe operational distress with negative profitability across all metrics, including -184.5% net margin and -453.4% operating margin, indicating the company is burning cash on minimal revenue of $1.9M. While the balance sheet shows adequate liquidity (14.39x current ratio) and manageable leverage (0.83x debt/equity), the company's core agricultural business is fundamentally unprofitable and negative free cash flow of -$6.0M demonstrates unsustainable operations. Without evidence of operational turnaround or significant revenue recovery, the company faces continued value destruction.
Alico’s fundamentals are weak: revenue is declining, margins are deeply negative, and the business is consuming cash rather than generating it. While the balance sheet still shows meaningful cash and strong near-term liquidity, current operating performance is not supporting the capital structure, and negative interest coverage points to ongoing financial strain if profitability does not improve quickly.
Why Buy Alico, Inc.. Stock? ALCO Key Strengths
- Strong liquidity position with $34.8M cash and 14.39x current ratio providing runway for operations
- Moderate leverage with 0.83x debt/equity ratio and $99.6M equity base providing financial flexibility
- Substantial asset base of $195.0M provides collateral and potential liquidation value
- Very strong current and quick ratios indicate ample near-term liquidity
- Cash balance of $34.76M provides a short-term buffer against ongoing losses
- Debt/equity of 0.83x is not extreme relative to the remaining equity base
ALCO Stock Risks: Alico, Inc.. Investment Risks
- Severe unprofitability: -184.5% net margin, -453.4% operating margin, and negative gross margin of -294.3% indicate fundamental business model failure
- Negative free cash flow of -$6.0M and negative operating cash flow of -$5.5M demonstrate unsustainable cash burn with only $34.8M in reserves
- Core revenue collapse at $1.9M with no apparent path to profitability or growth, suggesting structural challenges in agricultural production segment
- Negative interest coverage of -8.9x indicates inability to service debt from operations, creating refinancing risk
- Gross, operating, and net margins are severely negative, indicating an unprofitable core business
- Operating cash flow and free cash flow are negative, reducing financial flexibility
- Negative interest coverage suggests earnings are insufficient to support debt servicing from operations
Key Metrics to Watch
- Operating cash flow trend and quarterly revenue stabilization
- Path to gross profit recovery and operating margin improvement
- Cash runway depletion rate and refinancing requirements on $82.8M long-term debt
- Gross margin and revenue trend for evidence of core operating recovery
- Operating cash flow relative to debt obligations and cash balance
Alico, Inc.. (ALCO) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 14.39x current ratio provides a solid financial cushion.
ALCO Profit Margin, ROE & Profitability Analysis
ALCO vs Market Sector: How Alico, Inc.. Compares
How Alico, Inc.. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Alico, Inc.. Stock Overvalued? ALCO Valuation Analysis 2026
Based on fundamental analysis, Alico, Inc.. shows some fundamental concerns 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.
Alico, Inc.. Balance Sheet: ALCO Debt, Cash & Liquidity
ALCO Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Alico, Inc..'s revenue has declined by 62% over the 5-year period, indicating business contraction. The most recent EPS of $0.91 reflects profitable operations.
ALCO Revenue Growth, EPS Growth & YoY Performance
ALCO Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $8.4M | -$2.0M | $-0.27 |
| Q2 2025 | $18.0M | -$15.8M | $-2.07 |
| Q1 2025 | $1.9M | -$3.5M | $-0.45 |
| Q3 2024 | $7.3M | $895.0K | $0.12 |
| Q2 2024 | $18.1M | -$7.8M | $-1.02 |
| Q1 2024 | $10.6M | -$3.2M | $-0.41 |
| Q3 2023 | $7.3M | $895.0K | $0.12 |
| Q2 2023 | $21.3M | -$7.8M | $-1.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Alico, Inc.. Dividends, Buybacks & Capital Allocation
ALCO SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Alico, Inc.. (CIK: 0000003545)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ALCO
What is the AI rating for ALCO?
Alico, Inc.. (ALCO) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 92% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ALCO's key strengths?
Claude: Strong liquidity position with $34.8M cash and 14.39x current ratio providing runway for operations. Moderate leverage with 0.83x debt/equity ratio and $99.6M equity base providing financial flexibility. ChatGPT: Very strong current and quick ratios indicate ample near-term liquidity. Cash balance of $34.76M provides a short-term buffer against ongoing losses.
What are the risks of investing in ALCO?
Claude: Severe unprofitability: -184.5% net margin, -453.4% operating margin, and negative gross margin of -294.3% indicate fundamental business model failure. Negative free cash flow of -$6.0M and negative operating cash flow of -$5.5M demonstrate unsustainable cash burn with only $34.8M in reserves. ChatGPT: Gross, operating, and net margins are severely negative, indicating an unprofitable core business. Operating cash flow and free cash flow are negative, reducing financial flexibility.
What is ALCO's revenue and growth?
Alico, Inc.. reported revenue of $1.9M.
Does ALCO pay dividends?
Alico, Inc.. pays dividends, with $0.4M distributed to shareholders in the trailing twelve months.
Where can I find ALCO SEC filings?
Official SEC filings for Alico, Inc.. (CIK: 0000003545) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ALCO's EPS?
Alico, Inc.. has a diluted EPS of $-0.45.
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 ALCO a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Alico, Inc.. has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is ALCO stock overvalued or undervalued?
Valuation metrics for ALCO: ROE of -3.5% (sector avg: 15%), net margin of -184.5% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy ALCO stock in 2026?
Our dual AI analysis gives Alico, Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ALCO's free cash flow?
Alico, Inc..'s operating cash flow is $-5.5M, with capital expenditures of $487.0K. FCF margin is -315.6%.
How does ALCO compare to other Market stocks?
Vs Default sector averages: Net margin -184.5% (avg: 12%), ROE -3.5% (avg: 15%), current ratio 14.39 (avg: 1.8).