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Solo Brands, Inc. (SBDS) Stock Fundamental Analysis & AI Rating 2026

SBDS NYSE Sporting & Athletic Goods, NEC DE CIK: 0001870600
Recently Updated • Analysis: Apr 15, 2026 • SEC Data: 2025-12-31
STRONG SELL
95% Conf
Pending
Analysis scheduled

📊 SBDS Key Takeaways

Revenue: $316.6M
Net Margin: -32.0%
Free Cash Flow: $-51.2M
Current Ratio: 2.96x
Debt/Equity: 5.26x
EPS: $-64.09
AI Rating: STRONG SELL with 95% confidence
Solo Brands, Inc. (SBDS) receives a STRONG SELL rating with 95% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $316.6M, net profit margin of -32.0%, and return on equity (ROE) of -220.2%, Solo Brands, Inc. demonstrates mixed fundamentals in the Market sector. Below is our complete SBDS stock analysis for 2026.

Is Solo Brands, Inc. (SBDS) a Good Investment?

Claude

Solo Brands faces existential financial challenges with accelerating revenue declines (-30.4% YoY), massive operating losses (-35.8% margin), and unsustainable cash burn (-$51.2M FCF) against a $20M cash base. The 5.26x debt-to-equity ratio combined with negative interest coverage creates material default risk without dramatic operational turnaround or capital restructuring.

Why Buy Solo Brands, Inc. Stock? SBDS Key Strengths

Claude
  • + Strong gross margin (59.4%) demonstrates viable underlying unit economics and product-market fit
  • + Improving net loss trajectory (30.3% YoY improvement) suggests cost-cutting efforts are taking effect
  • + Adequate short-term liquidity (2.96x current ratio) provides limited runway for operational stabilization

SBDS Stock Risks: Solo Brands, Inc. Investment Risks

Claude
  • ! Severe revenue collapse (-30.4% YoY) indicates fundamental demand contraction with uncertain recovery
  • ! Extreme leverage (5.26x Debt/Equity) with negative operating income (-35.8% margin) makes debt service unsustainable; bankruptcy risk material
  • ! Persistent negative free cash flow (-$51.2M) with only $20M cash reserves creates urgent liquidity crisis within 1-2 quarters if burn continues

Key Metrics to Watch

Claude
  • * Quarterly revenue stabilization and customer retention/acquisition rates
  • * Operating cash flow and monthly cash burn rate relative to remaining liquidity
  • * Debt covenant compliance status and refinancing/restructuring announcements

Solo Brands, Inc. (SBDS) Financial Metrics & Key Ratios

Revenue
$316.6M
Net Income
$-101.3M
EPS (Diluted)
$-64.09
Free Cash Flow
$-51.2M
Total Assets
$360.3M
Cash Position
$20.0M

💡 AI Analyst Insight

Strong liquidity with a 2.96x current ratio provides a solid financial cushion.

SBDS Profit Margin, ROE & Profitability Analysis

Gross Margin 59.4%
Operating Margin -35.8%
Net Margin -32.0%
ROE -220.2%
ROA -28.1%
FCF Margin -16.2%

SBDS vs Market Sector: How Solo Brands, Inc. Compares

How Solo Brands, Inc. compares to Market sector averages

Net Margin
SBDS -32.0%
vs
Sector Avg 12.0%
SBDS Sector
ROE
SBDS -220.2%
vs
Sector Avg 15.0%
SBDS Sector
Current Ratio
SBDS 3.0x
vs
Sector Avg 1.8x
SBDS Sector
Debt/Equity
SBDS 5.3x
vs
Sector Avg 0.7x
SBDS Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Solo Brands, Inc. Stock Overvalued? SBDS Valuation Analysis 2026

Based on fundamental analysis, Solo Brands, Inc. shows some fundamental concerns relative to the Market sector in 2026.

Return on Equity
-220.2%
Sector avg: 15%
Net Profit Margin
-32.0%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
5.26x
Sector avg: 0.7x

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.

Solo Brands, Inc. Balance Sheet: SBDS Debt, Cash & Liquidity

Current Ratio
2.96x
Quick Ratio
1.24x
Debt/Equity
5.26x
Debt/Assets
0.0%
Interest Coverage
-4.61x
Long-term Debt
$242.1M

SBDS Revenue & Earnings Growth: 5-Year Financial Trend

SBDS 5-year financial data: Year 2021: Revenue $403.7M, Net Income $0, EPS $0.17. Year 2022: Revenue $517.6M, Net Income $0, EPS $0.17. Year 2023: Revenue $517.6M, Net Income $10.7M, EPS $0.17. Year 2024: Revenue $494.8M, Net Income N/A, EPS $-1.84. Year 2025: Revenue $454.6M, Net Income N/A, EPS $-77.66.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Solo Brands, Inc.'s revenue has grown significantly by 13% over the 5-year period, indicating strong business expansion. The most recent EPS of $-77.66 indicates the company is currently unprofitable.

SBDS Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-16.2%
Free cash flow / Revenue

SBDS Quarterly Earnings & Performance

Quarterly financial performance data for Solo Brands, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $53.0M -$4.0M $-9.22
Q2 2025 $92.3M -$4.0M $-2.14
Q1 2025 $77.3M -$6.5M $-0.06
Q3 2024 $94.1M $933.0K $0.07
Q2 2024 $130.9M $933.0K $-0.05
Q1 2024 $85.3M $933.0K $0.01
Q3 2023 $102.2M $933.0K $-0.03
Q2 2023 $130.9M $933.0K $0.12

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Solo Brands, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$46.6M
Cash generated from operations
Capital Expenditures
$4.6M
Investment in assets
Dividends
None
No dividend program

SBDS SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Solo Brands, Inc. (CIK: 0001870600)

📋 Recent SEC Filings

Date Form Document Action
Apr 10, 2026 DEF 14A dtc-20260410.htm View →
Apr 6, 2026 8-K dtc-20260331.htm View →
Apr 2, 2026 8-K dtc-20260402.htm View →
Apr 2, 2026 4 xslF345X06/wk-form4_1775131609.xml View →
Apr 1, 2026 4 xslF345X06/wk-form4_1775064760.xml View →

Frequently Asked Questions about SBDS

What is the AI rating for SBDS?

Solo Brands, Inc. (SBDS) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are SBDS's key strengths?

Claude: Strong gross margin (59.4%) demonstrates viable underlying unit economics and product-market fit. Improving net loss trajectory (30.3% YoY improvement) suggests cost-cutting efforts are taking effect.

What are the risks of investing in SBDS?

Claude: Severe revenue collapse (-30.4% YoY) indicates fundamental demand contraction with uncertain recovery. Extreme leverage (5.26x Debt/Equity) with negative operating income (-35.8% margin) makes debt service unsustainable; bankruptcy risk material.

What is SBDS's revenue and growth?

Solo Brands, Inc. reported revenue of $316.6M.

Does SBDS pay dividends?

Solo Brands, Inc. does not currently pay dividends.

Where can I find SBDS SEC filings?

Official SEC filings for Solo Brands, Inc. (CIK: 0001870600) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is SBDS's EPS?

Solo Brands, Inc. has a diluted EPS of $-64.09.

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 SBDS a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Solo Brands, Inc. has a STRONG SELL rating with 95% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is SBDS stock overvalued or undervalued?

Valuation metrics for SBDS: ROE of -220.2% (sector avg: 15%), net margin of -32.0% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy SBDS stock in 2026?

Our dual AI analysis gives Solo Brands, Inc. 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 SBDS's free cash flow?

Solo Brands, Inc.'s operating cash flow is $-46.6M, with capital expenditures of $4.6M. FCF margin is -16.2%.

How does SBDS compare to other Market stocks?

Vs Default sector averages: Net margin -32.0% (avg: 12%), ROE -220.2% (avg: 15%), current ratio 2.96 (avg: 1.8).

Is Solo Brands, Inc. carrying too much debt?

SBDS has a debt-to-equity ratio of 5.26x, which is above the Market sector average of 0.7x. However, the current ratio of 2.96 suggests adequate short-term liquidity.

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 15, 2026 | Data as of: 2025-12-31 | Powered by Claude AI