📊 BTBDW Key Takeaways
Is BT Brands, Inc. (BTBDW) a Good Investment?
BT Brands demonstrates solid financial stability with strong liquidity metrics and low leverage, but faces challenges with modest profitability and minimal growth momentum. The company's 5.9% net margin and 3.4% operating margin indicate thin operational efficiency typical of small-cap retail food service operators, while flat net income YoY suggests maturation or stagnation in core business growth.
BT Brands shows adequate but not compelling fundamentals: revenue grew 5.3% year over year, profitability is positive, and the balance sheet is conservatively levered with strong liquidity. However, operating and free cash flow margins remain thin for a small restaurant operator, and flat net income suggests limited earnings momentum despite top-line growth. The company appears financially stable, but the quality of growth is only moderate until margins and cash generation improve further.
Why Buy BT Brands, Inc. Stock? BTBDW Key Strengths
- Exceptionally strong liquidity position with 6.80x current ratio and 6.23x quick ratio, indicating minimal short-term financial risk
- Conservative leverage with 0.25x debt-to-equity ratio and 6.4x interest coverage, providing financial flexibility
- Positive free cash flow of $215K with healthy conversion of operating cash flow to FCF, demonstrating cash generation capability
- Strong liquidity with a 6.80x current ratio and 6.23x quick ratio
- Low leverage, with debt/equity of 0.25x and positive interest coverage of 6.4x
- Positive earnings and free cash flow, supported by 5.3% revenue growth
BTBDW Stock Risks: BT Brands, Inc. Investment Risks
- Flat net income growth (0.0% YoY) despite 5.3% revenue growth suggests margin compression or operational deterioration
- Very small revenue base of $10.9M limits economies of scale and increases vulnerability to market disruptions
- Thin operating margin of 3.4% and net margin of 5.9% provide minimal buffer for cost inflation or competitive pressures common in retail food service
- No insider transactions in last 90 days may indicate lack of management confidence or limited insider activity
- Low operating margin of 3.4% leaves limited cushion against cost inflation or traffic weakness
- Net income was essentially flat year over year, indicating weak earnings acceleration
- Free cash flow margin of 2.0% is modest and may limit reinvestment flexibility
Key Metrics to Watch
- Quarterly net income trend - critical to confirm if flat YoY is a temporary issue or structural problem
- Operating margin trajectory - monitor if recent revenue growth can improve cost structure
- Free cash flow sustainability - verify $215K FCF level can be maintained or grown with capital discipline
- Operating margin and net margin expansion
- Operating cash flow and free cash flow conversion
BT Brands, Inc. (BTBDW) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 2.0% FCF margin may limit capital allocation flexibility. Strong liquidity with a 6.80x current ratio provides a solid financial cushion.
BTBDW Profit Margin, ROE & Profitability Analysis
BTBDW vs Consumer Sector: How BT Brands, Inc. Compares
How BT Brands, Inc. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is BT Brands, Inc. Stock Overvalued? BTBDW Valuation Analysis 2026
Based on fundamental analysis, BT Brands, Inc. has mixed fundamental signals 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.
BT Brands, Inc. Balance Sheet: BTBDW Debt, Cash & Liquidity
BTBDW Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: BT Brands, Inc.'s revenue has grown significantly by 82% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.37 indicates the company is currently unprofitable.
BTBDW Revenue Growth, EPS Growth & YoY Performance
BTBDW Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $3.9M | -$219.5K | $-0.04 |
| Q2 2025 | $3.8M | $55.0K | N/A |
| Q1 2025 | $3.2M | -$329.8K | N/A |
| Q3 2024 | $4.0M | -$3.5K | N/A |
| Q1 2024 | $2.1M | $42.7K | N/A |
| Q3 2023 | $2.3M | -$174.9K | N/A |
| Q2 2023 | $2.4M | -$49.6K | N/A |
| Q1 2023 | $1.9M | $42.7K | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
BT Brands, Inc. Dividends, Buybacks & Capital Allocation
BTBDW SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for BT Brands, Inc. (CIK: 0001718224)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BTBDW
What is the AI rating for BTBDW?
BT Brands, Inc. (BTBDW) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BTBDW's key strengths?
Claude: Exceptionally strong liquidity position with 6.80x current ratio and 6.23x quick ratio, indicating minimal short-term financial risk. Conservative leverage with 0.25x debt-to-equity ratio and 6.4x interest coverage, providing financial flexibility. ChatGPT: Strong liquidity with a 6.80x current ratio and 6.23x quick ratio. Low leverage, with debt/equity of 0.25x and positive interest coverage of 6.4x.
What are the risks of investing in BTBDW?
Claude: Flat net income growth (0.0% YoY) despite 5.3% revenue growth suggests margin compression or operational deterioration. Very small revenue base of $10.9M limits economies of scale and increases vulnerability to market disruptions. ChatGPT: Low operating margin of 3.4% leaves limited cushion against cost inflation or traffic weakness. Net income was essentially flat year over year, indicating weak earnings acceleration.
What is BTBDW's revenue and growth?
BT Brands, Inc. reported revenue of $10.9M.
Does BTBDW pay dividends?
BT Brands, Inc. does not currently pay dividends.
Where can I find BTBDW SEC filings?
Official SEC filings for BT Brands, Inc. (CIK: 0001718224) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BTBDW's EPS?
BT Brands, Inc. has a diluted EPS of $0.10.
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 BTBDW a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, BT Brands, Inc. has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is BTBDW stock overvalued or undervalued?
Valuation metrics for BTBDW: ROE of 8.3% (sector avg: 18%), net margin of 5.9% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
Should I buy BTBDW stock in 2026?
Our dual AI analysis gives BT Brands, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is BTBDW's free cash flow?
BT Brands, Inc.'s operating cash flow is $402.8K, with capital expenditures of $187.8K. FCF margin is 2.0%.
How does BTBDW compare to other Consumer stocks?
Vs Consumer sector averages: Net margin 5.9% (avg: 8%), ROE 8.3% (avg: 18%), current ratio 6.80 (avg: 1.5).