📊 BGSF Key Takeaways
Is Bgsf, Inc.. (BGSF) a Good Investment?
BGSF is experiencing severe operational distress with negative operating income (-10% margin) and negative net income (-14.4% margin) despite generating $71.3M in revenue, indicating fundamental business model challenges. The company is burning cash operationally (-$1.5M) and free cash flow is deeply negative (-$1.7M), raising sustainability concerns despite maintaining adequate liquidity with $41.2M in cash and a 1.97x current ratio. With ROE of -20.3% and ROA of -12.3%, the company is destroying shareholder value and requires immediate operational restructuring to return to profitability.
BGSF’s fundamentals are weak: the company is operating at a loss, posting a -10.0% operating margin, -14.4% net margin, and negative free cash flow. Balance sheet liquidity is solid with $41.17M in cash and near-2.0x current and quick ratios, but that strength is being offset by poor earnings quality and weak cash generation. Until margins stabilize and operating cash flow turns consistently positive, the fundamental profile remains unfavorable.
Why Buy Bgsf, Inc.. Stock? BGSF Key Strengths
- Strong gross margin of 36% indicates pricing power and cost of goods sold management in the staffing segment
- Solid liquidity position with $41.2M cash and 1.97x current ratio providing runway to address operational issues
- Moderate leverage with 0.64x debt-to-equity ratio leaves room for additional financing if needed
- Strong liquidity with $41.17M in cash and 1.97x current and quick ratios
- Moderate leverage with debt/equity of 0.64x and positive equity base of $50.69M
- Healthy gross margin of 36.0%, indicating the core service mix still retains underlying margin potential
BGSF Stock Risks: Bgsf, Inc.. Investment Risks
- Significant operating losses (-$7.1M) and negative net income (-$10.3M) indicate core business is unprofitable
- Negative operating cash flow (-$1.5M) and free cash flow (-$1.7M) demonstrate the business cannot fund operations from earnings
- Large gap between gross margin (36%) and net margin (-14.4%) suggests severe SG&A expense issues that are eroding profitability
- Long-term debt of $32.5M represents 64% of equity and creates fixed obligations the company struggles to service
- Deep operating and net losses signal weak cost absorption and poor profitability
- Negative operating cash flow and free cash flow indicate earnings are not translating into cash
- Return metrics are materially negative, with ROE of -20.3% and ROA of -12.3%, pointing to inefficient capital use
Key Metrics to Watch
- Operating margin trend - critical to reach positive territory
- Operating cash flow - must return to positive to validate business sustainability
- Gross margin stability - ensure 36% margin is maintained during turnaround
- SG&A expense as % of revenue - identify where margin is being lost
- Cash balance depletion rate - monitor cash burn runway
- Operating margin trend and return to positive net income
- Operating cash flow consistency relative to revenue
Bgsf, Inc.. (BGSF) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Bgsf, Inc.. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
BGSF Profit Margin, ROE & Profitability Analysis
BGSF vs Services Sector: How Bgsf, Inc.. Compares
How Bgsf, Inc.. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Bgsf, Inc.. Stock Overvalued? BGSF Valuation Analysis 2026
Based on fundamental analysis, Bgsf, Inc.. shows some fundamental concerns relative to the Services 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.
Bgsf, Inc.. Balance Sheet: BGSF Debt, Cash & Liquidity
BGSF Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Bgsf, Inc..'s revenue has declined by 58% over the 5-year period, indicating business contraction. The most recent EPS of $-0.95 indicates the company is currently unprofitable.
BGSF Revenue Growth, EPS Growth & YoY Performance
BGSF Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $26.9M | -$722.0K | $-0.07 |
| Q2 2025 | $23.5M | -$722.0K | $-0.07 |
| Q1 2025 | $63.2M | -$722.0K | N/A |
| Q3 2024 | $71.2K | -$761 | N/A |
| Q2 2024 | $68.1K | -$761 | N/A |
| Q1 2024 | $68.8K | -$792 | N/A |
| Q3 2023 | $78.5K | $2.6K | $0.24 |
| Q2 2023 | $74.1K | $2.6K | $0.24 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Bgsf, Inc.. Dividends, Buybacks & Capital Allocation
BGSF SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Bgsf, Inc.. (CIK: 0001474903)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BGSF
What is the AI rating for BGSF?
Bgsf, Inc.. (BGSF) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 84% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BGSF's key strengths?
Claude: Strong gross margin of 36% indicates pricing power and cost of goods sold management in the staffing segment. Solid liquidity position with $41.2M cash and 1.97x current ratio providing runway to address operational issues. ChatGPT: Strong liquidity with $41.17M in cash and 1.97x current and quick ratios. Moderate leverage with debt/equity of 0.64x and positive equity base of $50.69M.
What are the risks of investing in BGSF?
Claude: Significant operating losses (-$7.1M) and negative net income (-$10.3M) indicate core business is unprofitable. Negative operating cash flow (-$1.5M) and free cash flow (-$1.7M) demonstrate the business cannot fund operations from earnings. ChatGPT: Deep operating and net losses signal weak cost absorption and poor profitability. Negative operating cash flow and free cash flow indicate earnings are not translating into cash.
What is BGSF's revenue and growth?
Bgsf, Inc.. reported revenue of $71.3M.
Does BGSF pay dividends?
Bgsf, Inc.. does not currently pay dividends.
Where can I find BGSF SEC filings?
Official SEC filings for Bgsf, Inc.. (CIK: 0001474903) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BGSF's EPS?
Bgsf, Inc.. has a diluted EPS of $-0.93.
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 BGSF a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Bgsf, Inc.. has a SELL rating with 84% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is BGSF stock overvalued or undervalued?
Valuation metrics for BGSF: ROE of -20.3% (sector avg: 16%), net margin of -14.4% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy BGSF stock in 2026?
Our dual AI analysis gives Bgsf, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is BGSF's free cash flow?
Bgsf, Inc..'s operating cash flow is $-1.5M, with capital expenditures of $122.0K. FCF margin is -2.3%.
How does BGSF compare to other Services stocks?
Vs Services sector averages: Net margin -14.4% (avg: 10%), ROE -20.3% (avg: 16%), current ratio 1.97 (avg: 1.5).