📊 CDIX Key Takeaways
Is Cardiff Lexington Corp (CDIX) a Good Investment?
Cardiff Lexington exhibits severe financial distress with negative stockholders' equity of -$2.5M, negative operating cash flow of -$1.7M, and a net loss of -$5.5M despite 39.5% revenue growth. The company is technically insolvent with liabilities exceeding assets and critically low liquidity (0.87x current ratio), indicating imminent financial crisis.
Cardiff Lexington shows meaningful top-line growth and positive operating income, suggesting some improvement in the underlying business. However, the company remains fundamentally weak because net losses are still very large relative to revenue, operating cash flow is negative, liquidity is tight, and stockholders' equity is negative. The combination of low cash, heavy leverage, and negative free cash flow makes the current growth profile low quality and financially fragile.
Why Buy Cardiff Lexington Corp Stock? CDIX Key Strengths
- Strong revenue growth of 39.5% YoY demonstrates operational demand
- Solid gross margin of 62.5% indicates reasonable pricing power and cost control at gross profit level
- Adequate interest coverage ratio of 10.2x suggests current debt servicing capacity
- Revenue grew 39.5% year over year, indicating strong recent demand or expansion
- Gross margin of 62.5% and operating margin of 9.5% show the core business can generate reasonable operating profitability
- Interest coverage of 10.2x suggests current operating earnings still cover interest expense
CDIX Stock Risks: Cardiff Lexington Corp Investment Risks
- Negative stockholders' equity of -$2.5M indicates technical insolvency and equity wipeout risk
- Severe negative operating cash flow of -$1.7M despite positive gross profit signals fundamental operational cash generation problems
- Critical liquidity crisis with only $318.5K cash against $26.0M total liabilities and 0.87x current ratio below 1.0x threshold
- Net loss of -$5.5M and negative net margin of -47.7% despite gross profitability suggests SG&A and operating expenses are unsustainable
- High long-term debt of $18.6M relative to total assets of $29.1M creates significant leverage risk
- Net margin of -47.7% indicates losses remain severe despite positive operating income
- Negative stockholders equity and $18.56M of long-term debt reflect a highly stressed balance sheet
- Current ratio of 0.87x with only $318.54K in cash and negative free cash flow creates material liquidity risk
Key Metrics to Watch
- Quarterly operating cash flow trends - must turn positive to indicate viability
- Path to profitability and net income stabilization
- Stockholders' equity recovery and debt reduction initiatives
- Operating cash flow and free cash flow trend
- Balance sheet repair, especially cash balance, current ratio, and stockholders equity
Cardiff Lexington Corp (CDIX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CDIX Profit Margin, ROE & Profitability Analysis
CDIX vs Services Sector: How Cardiff Lexington Corp Compares
How Cardiff Lexington Corp compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Cardiff Lexington Corp Stock Overvalued? CDIX Valuation Analysis 2026
Based on fundamental analysis, Cardiff Lexington Corp has mixed fundamental signals 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.
Cardiff Lexington Corp Balance Sheet: CDIX Debt, Cash & Liquidity
CDIX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Cardiff Lexington Corp's revenue has grown significantly by 386% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.01 indicates the company is currently unprofitable.
CDIX Revenue Growth, EPS Growth & YoY Performance
CDIX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.4M | -$131.6K | $-0.07 |
| Q2 2025 | $1.5M | -$131.6K | $-0.04 |
| Q1 2025 | $2.3M | -$283.1K | $-0.05 |
| Q3 2024 | $1.4M | -$2.0M | $-0.16 |
| Q2 2024 | $2.3M | -$174.4K | $-0.04 |
| Q1 2024 | $2.7M | -$16.0K | $-0.13 |
| Q3 2023 | $3.3M | -$264.8K | $0.00 |
| Q2 2023 | $3.1M | -$61.8K | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Cardiff Lexington Corp Dividends, Buybacks & Capital Allocation
CDIX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Cardiff Lexington Corp (CIK: 0000811222)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CDIX
What is the AI rating for CDIX?
Cardiff Lexington Corp (CDIX) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 90% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CDIX's key strengths?
Claude: Strong revenue growth of 39.5% YoY demonstrates operational demand. Solid gross margin of 62.5% indicates reasonable pricing power and cost control at gross profit level. ChatGPT: Revenue grew 39.5% year over year, indicating strong recent demand or expansion. Gross margin of 62.5% and operating margin of 9.5% show the core business can generate reasonable operating profitability.
What are the risks of investing in CDIX?
Claude: Negative stockholders' equity of -$2.5M indicates technical insolvency and equity wipeout risk. Severe negative operating cash flow of -$1.7M despite positive gross profit signals fundamental operational cash generation problems. ChatGPT: Net margin of -47.7% indicates losses remain severe despite positive operating income. Negative stockholders equity and $18.56M of long-term debt reflect a highly stressed balance sheet.
What is CDIX's revenue and growth?
Cardiff Lexington Corp reported revenue of $11.5M.
Does CDIX pay dividends?
Cardiff Lexington Corp pays dividends, with $0.1M distributed to shareholders in the trailing twelve months.
Where can I find CDIX SEC filings?
Official SEC filings for Cardiff Lexington Corp (CIK: 0000811222) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CDIX's EPS?
Cardiff Lexington Corp has a diluted EPS of $-0.01.
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 CDIX a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Cardiff Lexington Corp has a STRONG SELL rating with 90% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CDIX stock overvalued or undervalued?
Valuation metrics for CDIX: ROE of N/A (sector avg: 16%), net margin of -47.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy CDIX stock in 2026?
Our dual AI analysis gives Cardiff Lexington Corp 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 CDIX's free cash flow?
Cardiff Lexington Corp's operating cash flow is $-1.7M, with capital expenditures of $0.0. FCF margin is -14.9%.
How does CDIX compare to other Services stocks?
Vs Services sector averages: Net margin -47.7% (avg: 10%), ROE N/A (avg: 16%), current ratio 0.87 (avg: 1.5).