📊 CLAR Key Takeaways
Is Clarus Corp (CLAR) a Good Investment?
Clarus Corp is experiencing severe operational distress with negative operating margins of -23.8% and negative free cash flow of -9.9M, indicating the company is burning cash despite maintaining a healthy balance sheet. The company is unprofitable with a net loss of -46.6M on declining revenue (-5.2% YoY), and operating cash flow is negative, suggesting fundamental business model challenges rather than temporary headwinds.
Clarus Corp's fundamentals are weak: revenue is declining, margins are deeply negative, and the business is not currently converting sales into earnings or free cash flow. The balance sheet is a clear offset, with strong liquidity, no long-term debt, and substantial equity, but operating performance needs meaningful improvement before the fundamentals look attractive.
Why Buy Clarus Corp Stock? CLAR Key Strengths
- Strong balance sheet with zero long-term debt and $36.7M in cash provides runway to address operational issues
- Solid liquidity position with current ratio of 4.23x and quick ratio of 2.18x indicates ability to meet short-term obligations
- Gross margin of 33.1% demonstrates reasonable pricing power and cost structure at the gross profit level
- Strong balance sheet with no long-term debt and low financial leverage
- High liquidity, with a 4.23x current ratio and meaningful cash reserves
- Positive gross margin of 33.1%, indicating the core products still retain underlying gross profitability
CLAR Stock Risks: Clarus Corp Investment Risks
- Persistent operating losses with -23.8% operating margin and negative $59.7M operating income indicate structural profitability crisis
- Negative free cash flow of -9.9M means the company is consuming cash reserves; at this burn rate, the $36.7M cash position provides limited runway (3-4 years)
- Declining revenue of -5.2% YoY combined with inability to control operating expenses suggests market share loss and/or demand weakness in the sporting goods sector
- Negative operating cash flow of -4.7M indicates core business operations are not generating cash, raising questions about sustainability
- Revenue contraction of 5.2% year over year suggests continued demand or market share pressure
- Severely negative operating margin of -23.8% indicates major cost structure or impairment-related issues
- Negative operating cash flow and free cash flow show weak earnings quality and limited internal funding capacity
Key Metrics to Watch
- Operating cash flow trend - critical to determine if negative OCF improves or deteriorates further
- Revenue stabilization and growth trajectory - must see positive YoY growth to restore credibility
- Path to operating profitability - need clear visibility on cost reduction initiatives or operational improvements
- Cash burn rate and remaining liquidity runway - monitor how long the company can sustain operations at current burn rate
- Operating margin recovery and return to positive operating cash flow
- Revenue stabilization and free cash flow trend
Clarus Corp (CLAR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 4.23x current ratio provides a solid financial cushion.
CLAR Profit Margin, ROE & Profitability Analysis
CLAR vs Market Sector: How Clarus Corp Compares
How Clarus Corp compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Clarus Corp Stock Overvalued? CLAR Valuation Analysis 2026
Based on fundamental analysis, Clarus Corp has mixed fundamental signals relative to the Market 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.
Clarus Corp Balance Sheet: CLAR Debt, Cash & Liquidity
CLAR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Clarus Corp's revenue has declined by 24% over the 5-year period, indicating business contraction. The most recent EPS of $-0.27 indicates the company is currently unprofitable.
CLAR Revenue Growth, EPS Growth & YoY Performance
CLAR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $67.1M | -$1.6M | $-0.04 |
| Q2 2025 | $55.2M | -$5.2M | $-0.14 |
| Q1 2025 | $60.4M | -$5.2M | $-0.14 |
| Q3 2024 | $67.1M | -$1.3M | $-0.03 |
| Q2 2024 | $56.5M | -$493.0K | $-0.01 |
| Q1 2024 | $69.3M | $1.6M | $0.04 |
| Q3 2023 | $100.1M | -$1.3M | $-0.03 |
| Q2 2023 | $83.7M | -$493.0K | $-0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Clarus Corp Dividends, Buybacks & Capital Allocation
CLAR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Clarus Corp (CIK: 0000913277)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CLAR
What is the AI rating for CLAR?
Clarus Corp (CLAR) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CLAR's key strengths?
Claude: Strong balance sheet with zero long-term debt and $36.7M in cash provides runway to address operational issues. Solid liquidity position with current ratio of 4.23x and quick ratio of 2.18x indicates ability to meet short-term obligations. ChatGPT: Strong balance sheet with no long-term debt and low financial leverage. High liquidity, with a 4.23x current ratio and meaningful cash reserves.
What are the risks of investing in CLAR?
Claude: Persistent operating losses with -23.8% operating margin and negative $59.7M operating income indicate structural profitability crisis. Negative free cash flow of -9.9M means the company is consuming cash reserves; at this burn rate, the $36.7M cash position provides limited runway (3-4 years). ChatGPT: Revenue contraction of 5.2% year over year suggests continued demand or market share pressure. Severely negative operating margin of -23.8% indicates major cost structure or impairment-related issues.
What is CLAR's revenue and growth?
Clarus Corp reported revenue of $250.4M.
Does CLAR pay dividends?
Clarus Corp pays dividends, with $3.8M distributed to shareholders in the trailing twelve months.
Where can I find CLAR SEC filings?
Official SEC filings for Clarus Corp (CIK: 0000913277) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CLAR's EPS?
Clarus Corp has a diluted EPS of $-1.21.
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 CLAR a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Clarus Corp has a SELL rating with 86% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CLAR stock overvalued or undervalued?
Valuation metrics for CLAR: ROE of -23.7% (sector avg: 15%), net margin of -18.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CLAR stock in 2026?
Our dual AI analysis gives Clarus Corp a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CLAR's free cash flow?
Clarus Corp's operating cash flow is $-4.7M, with capital expenditures of $5.2M. FCF margin is -4.0%.
How does CLAR compare to other Market stocks?
Vs Default sector averages: Net margin -18.6% (avg: 12%), ROE -23.7% (avg: 15%), current ratio 4.23 (avg: 1.8).