📊 BOF Key Takeaways
Is BranchOut Food Inc. (BOF) a Good Investment?
BranchOut Food is in acute financial distress with zero cash, negative operating cash flow of -$2.1M, and a current ratio of 0.87x indicating imminent liquidity crisis. While revenue grew 113.3% YoY, the company is scaling losses at scale with a devastating -68.8% net margin and cannot service its $4.9M debt obligation from deeply unprofitable operations (operating margin -62.1%). Without immediate capital injection or dramatic operational restructuring, the company faces solvency crisis within quarters.
BranchOut Food is delivering very strong top-line growth, but the underlying quality of that growth remains weak because gross margin is still only 17.8% and losses remain very large relative to revenue. The balance sheet is not heavily levered, but zero reported cash, deeply negative operating cash flow, and negative free cash flow make the business dependent on rapid margin improvement or external financing to sustain expansion.
BranchOut Food Inc. Key Strengths (BOF)
- Strong revenue growth of 113.3% YoY demonstrates market demand for products
- Positive gross profit of $400.7K shows baseline product-market fit exists
- Insider activity with 3 Form 4 filings in last 90 days suggests management engagement
- Revenue growth is exceptionally strong at +104.7% YoY, showing clear demand expansion.
- Leverage is currently modest, with low long-term debt and debt-to-equity of 0.05x.
- Liquidity ratios are still above 1.0x, suggesting near-term obligations are not yet under immediate balance sheet pressure.
BOF Stock Risks: BranchOut Food Inc. Investment Risks
- Zero cash position with -$2.1M operating cash burn creates existential liquidity risk
- Current ratio of 0.87x and quick ratio of 0.42x signal inability to meet short-term obligations
- Net margin of -68.8% and operating margin of -62.1% indicate fundamentally broken unit economics
- Negative interest coverage of -9.3x means company cannot service $4.9M debt from operations
- Gross margin of only 15.4% leaves insufficient margin to reach profitability with current cost structure
- Free cash flow of -$2.6M (-100.2% FCF margin) indicates revenue growth is destroying shareholder value
- Profitability remains weak, with operating margin of -35.6% and net margin of -42.1%, indicating the business model is not yet scaled efficiently.
- Cash generation is poor, with operating cash flow of -$5.06M and free cash flow of -$5.64M, which raises funding risk.
- Reported cash and equivalents of $0.00 materially increase liquidity and execution risk even with low debt.
Key Metrics to Watch
- Cash runway and months of liquidity remaining at current burn rate
- Gross margin trend - must expand significantly to achieve operating leverage
- Capital raise announcements or restructuring plans - required for survival
- Gross margin and operating margin improvement
- Operating cash flow and cash balance
BranchOut Food Inc. (BOF) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
BOF Profit Margin, ROE & Profitability Analysis
BOF vs Consumer Sector: How BranchOut Food Inc. Compares
How BranchOut Food Inc. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is BranchOut Food Inc. Stock Overvalued? BOF Valuation Analysis 2026
Based on fundamental analysis, BranchOut Food Inc. shows some fundamental concerns relative to the Consumer 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.
BranchOut Food Inc. Balance Sheet: BOF Debt, Cash & Liquidity
BOF Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: BranchOut Food Inc.'s revenue has grown significantly by 386% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.83 indicates the company is currently unprofitable.
BOF Revenue Growth, EPS Growth & YoY Performance
BOF Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $2.6M | -$918.4K | $-0.11 |
| Q3 2025 | $2.2M | -$1.3M | $-0.14 |
| Q2 2025 | $1.4M | -$942.6K | $-0.17 |
| Q1 2025 | $1.5M | -$918.4K | $-0.11 |
| Q3 2024 | $907.0K | -$706.0K | $-0.18 |
| Q2 2024 | $343.1K | -$942.6K | $-0.22 |
| Q1 2024 | $97.3K | -$777.1K | $-0.26 |
| Q3 2023 | $181.9K | -$706.0K | $-0.18 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
BranchOut Food Inc. Dividends, Buybacks & Capital Allocation
BOF SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for BranchOut Food Inc. (CIK: 0001962481)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BOF
What is the AI rating for BOF?
BranchOut Food Inc. (BOF) has a Combined AI Grade of C from Claude (D) and ChatGPT (C) with 90% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BOF's key strengths?
Claude: Strong revenue growth of 113.3% YoY demonstrates market demand for products. Positive gross profit of $400.7K shows baseline product-market fit exists. ChatGPT: Revenue growth is exceptionally strong at +104.7% YoY, showing clear demand expansion.. Leverage is currently modest, with low long-term debt and debt-to-equity of 0.05x..
What are the risks of investing in BOF?
Claude: Zero cash position with -$2.1M operating cash burn creates existential liquidity risk. Current ratio of 0.87x and quick ratio of 0.42x signal inability to meet short-term obligations. ChatGPT: Profitability remains weak, with operating margin of -35.6% and net margin of -42.1%, indicating the business model is not yet scaled efficiently.. Cash generation is poor, with operating cash flow of -$5.06M and free cash flow of -$5.64M, which raises funding risk..
What is BOF's revenue and growth?
BranchOut Food Inc. reported revenue of $2.6M.
Does BOF pay dividends?
BranchOut Food Inc. does not currently pay dividends.
Where can I find BOF SEC filings?
Official SEC filings for BranchOut Food Inc. (CIK: 0001962481) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BOF's EPS?
BranchOut Food Inc. has a diluted EPS of $-0.12.
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 BOF's fundamental grade?
Based on our AI fundamental analysis in June 2026, BranchOut Food Inc. has a C grade with 90% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is BOF stock overvalued or undervalued?
Valuation metrics for BOF: ROE of -30.2% (sector avg: 18%), net margin of -68.8% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
What is BOF's AI grade for 2026?
Our dual AI analysis gives BranchOut Food 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 BOF's free cash flow?
BranchOut Food Inc.'s operating cash flow is $-2.1M, with capital expenditures of $515.4K. FCF margin is -100.2%.
How does BOF compare to other Consumer stocks?
Vs Consumer sector averages: Net margin -68.8% (avg: 8%), ROE -30.2% (avg: 18%), current ratio 0.87 (avg: 1.5).