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Bridgeline Digital, Inc. (BLIN) Fundamental Analysis & AI Grade 2026

BLIN Nasdaq Services-Prepackaged Software DE CIK: 0001378590
Updated This Month • Analysis: May 23, 2026 • SEC Data: 2026-03-31
Combined AI Grade
C
76% Confidence
STRONG AGREEMENT
C
78% Conf
C
73% Conf

📊 BLIN Key Takeaways

Revenue: $7.8M
Net Margin: -6.6%
Free Cash Flow: $-103.0K
Current Ratio: 0.67x
Debt/Equity: 0.02x
EPS: $-0.04
AI Grade: C with 78% confidence
Bridgeline Digital, Inc. (BLIN) receives a C fundamental grade with 76% confidence from our AI analysis based on SEC 10-K filings. With revenue of $7.8M, net profit margin of -6.6%, and return on equity (ROE) of -5.6%, Bridgeline Digital, Inc. demonstrates mixed fundamentals in the Technology sector. Below is our complete BLIN stock analysis for 2026.

Is Bridgeline Digital, Inc. (BLIN) a Good Investment?

Claude

Bridgeline Digital is a structurally unprofitable software company with stagnant revenue growth and concerning liquidity metrics that threaten near-term viability. Despite a healthy gross margin of 65.2%, the company cannot control operating expenses, resulting in negative earnings and free cash flow burn that is depleting its limited cash runway.

ChatGPT

Bridgeline Digital shows a decent software-style gross margin and very low leverage, but fundamentals remain weak because revenue is essentially flat, operating profitability is still negative, and free cash flow remains slightly negative. The balance sheet is not heavily indebted, yet sub-1.0 liquidity ratios and limited cash reduce financial flexibility and make the business vulnerable if growth or collections weaken.

Bridgeline Digital, Inc. Key Strengths (BLIN)

Claude
  • + High gross margin of 65.2% demonstrates strong product economics and pricing power
  • + Low debt burden (Debt/Equity: 0.02x) provides financial flexibility for restructuring without solvency concerns
  • + Positive stockholders equity of $9.2M provides a capital cushion
ChatGPT
  • + Gross margin of 66.1% indicates solid underlying software economics
  • + Very low debt burden with debt-to-equity of 0.02x limits leverage risk
  • + Net loss and revenue trends have improved modestly year over year, suggesting some stabilization

BLIN Stock Risks: Bridgeline Digital, Inc. Investment Risks

Claude
  • ! Negative operating margin of -7.6% and unprofitable operations with no clear path to profitability
  • ! Current ratio of 0.67x signals liquidity stress and potential inability to meet near-term obligations
  • ! Negative free cash flow of -103K combined with only $1.4M cash indicates limited runway given current burn rate
  • ! Revenue growth of 0.2% YoY is stagnant and insufficient to drive future profitability scaling
ChatGPT
  • ! Current and quick ratios of 0.71x indicate tight near-term liquidity
  • ! Operating margin is still negative and operating cash flow remains below break-even
  • ! Revenue growth of only 0.2% suggests weak growth quality and limited operating leverage

Key Metrics to Watch

Claude
  • * Quarterly operating cash flow trend - must stabilize and return to positive within 2-3 quarters
  • * Revenue growth rate acceleration - need YoY growth >10% to support profitability thesis
  • * Operating expense reduction and margin expansion - SG&A ratio relative to revenue
  • * Cash balance trajectory - monthly burn rate and remaining runway in months
ChatGPT
  • * Sustainable positive operating cash flow and free cash flow
  • * Revenue growth acceleration alongside improvement in operating margin

Bridgeline Digital, Inc. (BLIN) Financial Metrics & Key Ratios

Revenue
$7.8M
Net Income
$-518.0K
EPS (Diluted)
$-0.04
Free Cash Flow
$-103.0K
Total Assets
$15.3M
Cash Position
$1.4M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

BLIN Profit Margin, ROE & Profitability Analysis

Gross Margin 65.2%
Operating Margin -7.6%
Net Margin -6.6%
ROE -5.6%
ROA -3.4%
FCF Margin -1.3%

BLIN vs Technology Sector: How Bridgeline Digital, Inc. Compares

How Bridgeline Digital, Inc. compares to Technology sector averages

Net Margin
BLIN -6.6%
vs
Sector Avg 18.0%
BLIN Sector
ROE
BLIN -5.6%
vs
Sector Avg 22.0%
BLIN Sector
Current Ratio
BLIN 0.7x
vs
Sector Avg 2.5x
BLIN Sector
Debt/Equity
BLIN 0.0x
vs
Sector Avg 0.5x
BLIN Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Bridgeline Digital, Inc. Stock Overvalued? BLIN Valuation Analysis 2026

Based on fundamental analysis, Bridgeline Digital, Inc. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
-5.6%
Sector avg: 22%
Net Profit Margin
-6.6%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.02x
Sector avg: 0.5x

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.

Bridgeline Digital, Inc. Balance Sheet: BLIN Debt, Cash & Liquidity

Current Ratio
0.67x
Quick Ratio
0.67x
Debt/Equity
0.02x
Debt/Assets
39.7%
Interest Coverage
N/A
Long-term Debt
$209.0K

BLIN Revenue & Earnings Growth: 5-Year Financial Trend

BLIN 5-year financial data: Year 2021: Revenue $13.3M, Net Income $326.0K, EPS $-0.59. Year 2022: Revenue $16.8M, Net Income -$6.7M, EPS $-1.47. Year 2023: Revenue $16.8M, Net Income $2.1M, EPS $0.20. Year 2024: Revenue $15.9M, Net Income -$9.4M, EPS $-0.91. Year 2025: Revenue $15.4M, Net Income -$2.0M, EPS $-0.19.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Bridgeline Digital, Inc.'s revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.19 indicates the company is currently unprofitable.

BLIN Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-1.3%
Free cash flow / Revenue

BLIN Quarterly Earnings & Performance

Quarterly financial performance data for Bridgeline Digital, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q2 2026 $3.9M -$86.0K $-0.04
Q1 2026 $3.8M -$86.0K $-0.01
Q3 2025 $3.8M -$305.0K $-0.03
Q2 2025 $3.8M -$602.0K $-0.06
Q1 2025 $3.8M -$622.0K $-0.06
Q3 2024 $3.9M -$80.0K $-0.03
Q2 2024 $3.8M -$80.0K $-0.05
Q1 2024 $3.8M -$80.0K $-0.01

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Bridgeline Digital, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$79.0K
Cash generated from operations
Capital Expenditures
$24.0K
Investment in assets
Dividends
None
No dividend program

BLIN SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Bridgeline Digital, Inc. (CIK: 0001378590)

📋 Recent SEC Filings

Date Form Document Action
May 19, 2026 8-K blin20260508_8k.htm View →
May 15, 2026 10-Q blin20260331_10q.htm View →
May 4, 2026 8-K blin20260504_8k.htm View →
Mar 16, 2026 4 xslF345X05/rdgdoc.xml View →
Mar 16, 2026 4 xslF345X05/rdgdoc.xml View →

Frequently Asked Questions about BLIN

What is the AI rating for BLIN?

Bridgeline Digital, Inc. (BLIN) has a Combined AI Grade of C from Claude (C) and ChatGPT (C) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.

What are BLIN's key strengths?

Claude: High gross margin of 65.2% demonstrates strong product economics and pricing power. Low debt burden (Debt/Equity: 0.02x) provides financial flexibility for restructuring without solvency concerns. ChatGPT: Gross margin of 66.1% indicates solid underlying software economics. Very low debt burden with debt-to-equity of 0.02x limits leverage risk.

What are the risks of investing in BLIN?

Claude: Negative operating margin of -7.6% and unprofitable operations with no clear path to profitability. Current ratio of 0.67x signals liquidity stress and potential inability to meet near-term obligations. ChatGPT: Current and quick ratios of 0.71x indicate tight near-term liquidity. Operating margin is still negative and operating cash flow remains below break-even.

What is BLIN's revenue and growth?

Bridgeline Digital, Inc. reported revenue of $7.8M.

Does BLIN pay dividends?

Bridgeline Digital, Inc. does not currently pay dividends.

Where can I find BLIN SEC filings?

Official SEC filings for Bridgeline Digital, Inc. (CIK: 0001378590) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is BLIN's EPS?

Bridgeline Digital, Inc. has a diluted EPS of $-0.04.

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 grade reflects both perspectives for balanced insights.

What is BLIN's fundamental grade?

Based on our AI fundamental analysis in June 2026, Bridgeline Digital, Inc. has a C grade with 76% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is BLIN stock overvalued or undervalued?

Valuation metrics for BLIN: ROE of -5.6% (sector avg: 22%), net margin of -6.6% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

What is BLIN's AI grade for 2026?

Our dual AI analysis gives Bridgeline Digital, Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is BLIN's free cash flow?

Bridgeline Digital, Inc.'s operating cash flow is $-79.0K, with capital expenditures of $24.0K. FCF margin is -1.3%.

How does BLIN compare to other Technology stocks?

Vs Technology sector averages: Net margin -6.6% (avg: 18%), ROE -5.6% (avg: 22%), current ratio 0.67 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 23, 2026 | Data as of: 2026-03-31 | Powered by Claude AI