📊 CRMT Key Takeaways
Is Americas Carmart Inc. (CRMT) a Good Investment?
Americas CarMart is experiencing severe operational distress with negative operating income of -$71.6M despite 21.4% revenue growth, indicating fundamental profitability issues that are worsening rather than improving. The company is burning cash with negative operating cash flow of -$2.8M and negative free cash flow of -$4.3M, while carrying substantial debt relative to a shrinking equity base, creating an unsustainable financial trajectory.
Americas CarMart is showing strong top-line growth, but that growth is not translating into earnings or cash generation. Deeply negative operating and net margins, negative returns on capital, and slightly negative free cash flow point to weak growth quality and an unproven path back to sustainable profitability despite a still-healthy equity base and cash balance.
Why Buy Americas Carmart Inc. Stock? CRMT Key Strengths
- Revenue growth of 21.4% YoY demonstrates continued market demand and sales execution
- Adequate liquidity with $117.9M in cash and minimal long-term debt ($109K) provides near-term financial runway
- Gross margin of 27.0% is reasonable for auto retail, suggesting product pricing power
- Revenue growth remains strong at 21.4% year over year, indicating continued demand and portfolio expansion
- Gross margin of 27.0% suggests the core unit economics still retain some underlying profit potential before overhead, credit costs, and other expenses
- Balance sheet leverage appears low with minimal long-term debt and meaningful cash of $117.91M
CRMT Stock Risks: Americas Carmart Inc. Investment Risks
- Operating losses of -$71.6M with negative operating margin of -7.3% indicate core business unprofitability despite revenue growth
- Negative free cash flow of -$4.3M and negative operating cash flow of -$2.8M show the company is consuming cash and cannot sustain operations from internal generation
- Net income declined to -$104.9M with negative ROE of -21.9% and ROA of -6.5%, signaling deteriorating asset efficiency and shareholder value destruction
- Persistent negative earnings per share of -$12.67 suggests structural cost control issues that growth alone cannot resolve
- Operating income of -$71.61M and net income of -$104.94M show severe profitability pressure and weak earnings quality
- Operating cash flow and free cash flow are both negative, suggesting earnings weakness is also showing up in cash generation
- Negative ROE of -21.9% and interest coverage of -2.0x indicate poor capital efficiency and limited earnings support for financing obligations
Key Metrics to Watch
- Operating cash flow trend - must turn positive for sustainability
- Operating margin improvement - negative margins must reach breakeven then profitability
- Free cash flow generation - critical indicator of business viability
- Cost of goods sold as % of revenue - need evidence of gross profit protection and SG&A reduction
- Operating margin and net credit-loss-related expense trends
- Operating cash flow and free cash flow recovery
Americas Carmart Inc. (CRMT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CRMT Profit Margin, ROE & Profitability Analysis
CRMT vs Automotive Sector: How Americas Carmart Inc. Compares
How Americas Carmart Inc. compares to Automotive sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Americas Carmart Inc. Stock Overvalued? CRMT Valuation Analysis 2026
Based on fundamental analysis, Americas Carmart Inc. has mixed fundamental signals relative to the Automotive 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.
Americas Carmart Inc. Balance Sheet: CRMT Debt, Cash & Liquidity
CRMT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Americas Carmart Inc.'s revenue has grown significantly by 49% over the 5-year period, indicating strong business expansion. The most recent EPS of $3.11 reflects profitable operations.
CRMT Revenue Growth, EPS Growth & YoY Performance
CRMT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $222.6M | -$964.0K | $0.37 |
| Q2 2026 | $285.8M | -$964.0K | $0.55 |
| Q1 2026 | $276.2M | -$964.0K | $-0.15 |
| Q3 2025 | $240.4M | -$964.0K | $0.37 |
| Q2 2025 | $285.8M | -$964.0K | $0.55 |
| Q3 2024 | $240.4M | $1.5M | $0.23 |
| Q2 2024 | $302.2M | $3.1M | $0.48 |
| Q1 2024 | $287.2M | -$964.0K | $-0.15 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Americas Carmart Inc. Dividends, Buybacks & Capital Allocation
CRMT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Americas Carmart Inc. (CIK: 0000799850)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CRMT
What is the AI rating for CRMT?
Americas Carmart Inc. (CRMT) 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 CRMT's key strengths?
Claude: Revenue growth of 21.4% YoY demonstrates continued market demand and sales execution. Adequate liquidity with $117.9M in cash and minimal long-term debt ($109K) provides near-term financial runway. ChatGPT: Revenue growth remains strong at 21.4% year over year, indicating continued demand and portfolio expansion. Gross margin of 27.0% suggests the core unit economics still retain some underlying profit potential before overhead, credit costs, and other expenses.
What are the risks of investing in CRMT?
Claude: Operating losses of -$71.6M with negative operating margin of -7.3% indicate core business unprofitability despite revenue growth. Negative free cash flow of -$4.3M and negative operating cash flow of -$2.8M show the company is consuming cash and cannot sustain operations from internal generation. ChatGPT: Operating income of -$71.61M and net income of -$104.94M show severe profitability pressure and weak earnings quality. Operating cash flow and free cash flow are both negative, suggesting earnings weakness is also showing up in cash generation.
What is CRMT's revenue and growth?
Americas Carmart Inc. reported revenue of $978.7M.
Does CRMT pay dividends?
Americas Carmart Inc. pays dividends, with $0.0M distributed to shareholders in the trailing twelve months.
Where can I find CRMT SEC filings?
Official SEC filings for Americas Carmart Inc. (CIK: 0000799850) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CRMT's EPS?
Americas Carmart Inc. has a diluted EPS of $-12.67.
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 CRMT a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Americas Carmart Inc. has a SELL rating with 86% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CRMT stock overvalued or undervalued?
Valuation metrics for CRMT: ROE of -21.9% (sector avg: 12%), net margin of -10.7% (sector avg: 6%). Compare these metrics with sector averages to assess valuation.
Should I buy CRMT stock in 2026?
Our dual AI analysis gives Americas Carmart Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CRMT's free cash flow?
Americas Carmart Inc.'s operating cash flow is $-2.8M, with capital expenditures of $1.5M. FCF margin is -0.4%.
How does CRMT compare to other Automotive stocks?
Vs Automotive sector averages: Net margin -10.7% (avg: 6%), ROE -21.9% (avg: 12%), current ratio N/A (avg: 1.2).