📊 CODA Key Takeaways
Is Coda Octopus Group, Inc. (CODA) a Good Investment?
Coda Octopus demonstrates exceptional financial health with fortress-like balance sheet metrics (10.9x current ratio, 0.01x debt/equity, $30.4M cash) and strong profitability margins (65.1% gross, 13.9% net). However, the extremely modest revenue base of $6.7M with unclear growth trajectory and minimal return on equity (1.5% ROE) suggest limited scale and earnings power relative to asset base, requiring evidence of revenue acceleration to justify investment.
Coda Octopus shows strong core fundamentals: high gross margins, solid operating profitability, positive free cash flow, and an exceptionally strong balance sheet with large cash reserves and minimal debt. The business appears financially resilient and capable of self-funding operations, but the absence of clear year-over-year growth data and the low ROE/ROA suggest capital is not yet being deployed at high efficiency.
Why Buy Coda Octopus Group, Inc. Stock? CODA Key Strengths
- Exceptional liquidity position with $30.4M cash against $5.4M liabilities and 10.9x current ratio
- Strong profitability margins with 65.1% gross margin and 13.9% net margin indicating pricing power and operational efficiency
- Minimal financial leverage with 0.01x debt/equity ratio and 104.1x interest coverage providing substantial financial flexibility
- Positive free cash flow generation of $1.4M with 20.8% FCF margin demonstrating cash conversion capability
- Strong profitability profile with 65.1% gross margin and 15.1% operating margin
- Excellent financial health driven by $30.45M cash, 10.90x current ratio, and very low leverage
- Positive operating cash flow and free cash flow indicate earnings are supported by cash generation
CODA Stock Risks: Coda Octopus Group, Inc. Investment Risks
- Extremely small revenue base of $6.7M limits scale, operational efficiency gains, and capital deployment opportunities
- Poor return metrics with only 1.5% ROE and 1.4% ROA indicate asset base is substantially underdeployed or generating minimal returns
- Absence of YoY growth data prevents assessment of revenue trajectory, sustainability of margins, and business momentum
- Zero insider Form 4 filings in last 90 days may suggest limited management confidence or engagement signals
- Lack of visible revenue and earnings growth trends makes growth quality harder to verify
- Low ROE and ROA suggest the company is generating modest returns on a large equity and asset base
- Small absolute revenue base may make results more volatile across reporting periods
Key Metrics to Watch
- Revenue growth rate and quarterly trend to assess business momentum and market traction
- Return on Equity and ROA trajectory as indicators of improving capital efficiency
- Gross margin sustainability and operating leverage as revenue scales
- Cash burn rate and path to higher-margin revenue generation to justify $65.6M asset base
- Revenue growth and backlog conversion
- ROE/ROA improvement alongside sustained free cash flow generation
Coda Octopus Group, Inc. (CODA) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 20.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.90x current ratio provides a solid financial cushion.
CODA Profit Margin, ROE & Profitability Analysis
CODA vs Market Sector: How Coda Octopus Group, Inc. Compares
How Coda Octopus Group, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Coda Octopus Group, Inc. Stock Overvalued? CODA Valuation Analysis 2026
Based on fundamental analysis, Coda Octopus Group, Inc. 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.
Coda Octopus Group, Inc. Balance Sheet: CODA Debt, Cash & Liquidity
CODA Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Coda Octopus Group, Inc.'s revenue has declined by 19% over the 5-year period, indicating business contraction. The most recent EPS of $0.32 reflects profitable operations.
CODA Revenue Growth, EPS Growth & YoY Performance
CODA Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $5.2M | $913.0K | $0.08 |
| Q3 2025 | $5.5M | $629.9K | $0.11 |
| Q2 2025 | $5.3M | $629.9K | $0.08 |
| Q1 2025 | $4.5M | $629.9K | $0.06 |
| Q3 2024 | $4.9M | $629.9K | $0.09 |
| Q2 2024 | $5.3M | $629.9K | $0.09 |
| Q1 2024 | $4.5M | $629.9K | $0.06 |
| Q3 2023 | $4.9M | $611.3K | $0.09 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Coda Octopus Group, Inc. Dividends, Buybacks & Capital Allocation
CODA SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Coda Octopus Group, Inc. (CIK: 0001334325)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CODA
What is the AI rating for CODA?
Coda Octopus Group, Inc. (CODA) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 70% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CODA's key strengths?
Claude: Exceptional liquidity position with $30.4M cash against $5.4M liabilities and 10.9x current ratio. Strong profitability margins with 65.1% gross margin and 13.9% net margin indicating pricing power and operational efficiency. ChatGPT: Strong profitability profile with 65.1% gross margin and 15.1% operating margin. Excellent financial health driven by $30.45M cash, 10.90x current ratio, and very low leverage.
What are the risks of investing in CODA?
Claude: Extremely small revenue base of $6.7M limits scale, operational efficiency gains, and capital deployment opportunities. Poor return metrics with only 1.5% ROE and 1.4% ROA indicate asset base is substantially underdeployed or generating minimal returns. ChatGPT: Lack of visible revenue and earnings growth trends makes growth quality harder to verify. Low ROE and ROA suggest the company is generating modest returns on a large equity and asset base.
What is CODA's revenue and growth?
Coda Octopus Group, Inc. reported revenue of $6.7M.
Does CODA pay dividends?
Coda Octopus Group, Inc. does not currently pay dividends.
Where can I find CODA SEC filings?
Official SEC filings for Coda Octopus Group, Inc. (CIK: 0001334325) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CODA's EPS?
Coda Octopus Group, Inc. has a diluted EPS of $0.08.
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 CODA a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Coda Octopus Group, Inc. has a BUY rating with 70% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is CODA stock overvalued or undervalued?
Valuation metrics for CODA: ROE of 1.5% (sector avg: 15%), net margin of 13.9% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CODA stock in 2026?
Our dual AI analysis gives Coda Octopus Group, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is CODA's free cash flow?
Coda Octopus Group, Inc.'s operating cash flow is $1.5M, with capital expenditures of $82.2K. FCF margin is 20.8%.
How does CODA compare to other Market stocks?
Vs Default sector averages: Net margin 13.9% (avg: 12%), ROE 1.5% (avg: 15%), current ratio 10.90 (avg: 1.8).