Alta Equipment Group Inc

Alta Equipment Group Inc presents a capital structure characterized by negative total equity of -8.8 million USD against total liabilities of 1.345 billion USD. The company holds 18.6 million USD in cash and equivalents, which is insufficient to cover its 484.5 million USD in long-term debt, resulting in a negative net cash position. The debt-to-equity ratio stands at -55.06, reflecting the negative equity base, while the current ratio is not explicitly provided but liquidity risk is assessed as medium. Operating cash flow of 33.0 million USD provides some liquidity support, though it is modest relative to the debt burden.

Profitability metrics indicate significant pressure, with a net loss of 80.3 million USD on revenue of 1.836 billion USD. The return on assets is -0.059, and the return on equity is reported as 8.9659, a figure that is mathematically distorted by the negative equity denominator and should not be interpreted as positive performance. The enterprise value to EBITDA multiple is 31.30, suggesting high valuation relative to earnings power, while the EV to revenue ratio is 0.37, indicating a low revenue multiple. The company’s operating income of 23.2 million USD represents a thin margin on top-line sales.

Segment and geographic revenue mix data is not available in the provided input, preventing a detailed analysis of revenue concentration or regional exposure. The company’s activity is broadly defined as Trading Companies & Distributors, implying a diversified portfolio of equipment distribution, but specific segment contributions cannot be quantified from the current data set.

Growth trajectory analysis is limited by the absence of historical period data in the input. Without five-year annual or eight-quarter quarterly revenue and net income trends, it is not possible to assess the directionality of revenue growth or earnings stability over time. The current financial snapshot reflects a single normalized period, offering no comparative baseline for trend reasoning.

Risk assessment highlights medium liquidity risk and low dilution risk. A key flag notes that net cash is negative after subtracting total debt, emphasizing the leverage burden. The negative equity position poses a structural risk to the balance sheet, requiring careful monitoring of cash flow generation to service debt obligations. Dilution risk is assessed as low, with basic and diluted shares outstanding being identical at 32.15 million, indicating no immediate in-the-money options or warrants impacting share count.

Recent observations include analyst estimates with a mean price target of 10.60 USD and a median of 9.00 USD, suggesting potential upside from the current market price of 6.44 USD. The mean recommendation is 2.25, with three buy ratings and one hold, indicating moderate analyst optimism. News event observations reflect internal reconciler activities related to coverage closure and analysis job queuing, which are operational metadata rather than fundamental business events.

Operating income surged 133.6% year-over-year to $27.8 million, demonstrating significant operational leverage despite revenue stagnation.

The company maintains a current ratio of 1.43, indicating sufficient short-term liquidity to cover immediate obligations.

Long-term debt decreased slightly to $1.05 billion in FY2026, showing modest progress in balance sheet reduction.

Revenue CAGR of 10.9% over four years indicates historical growth momentum prior to recent flatness.

Dilution risk is assessed as low, suggesting limited immediate threat to shareholder equity from share issuance.

Credit risk is flagged as high, with an interest coverage ratio of just 0.26, indicating inability to service debt.

Operating and net margins rank in the bottom quartile of the trading companies cohort, showing poor efficiency.

Leverage is classified as high with a net debt-to-EBITDA ratio of 3.04, increasing financial vulnerability.

Revenue $410.5M, −3,0% YoY; Operating income −787,5% YoY.

• ▍Revenue $410.5M, −3,0% YoY
• ▍Operating income −787,5% YoY
• ▍Net income +6,7% YoY
• ▍Free cash flow +72,4% YoY
• ▍Net margin -4.8%

Revenue $509.1M, +2,2% YoY; Operating income +112,5% YoY.

• ▍Revenue $509.1M, +2,2% YoY
• ▍Operating income +112,5% YoY
• ▍Net income −10,4% YoY
• ▍Free cash flow +72,1% YoY
• ▍Net margin -2.3%

Revenue $422.6M, −5,8% YoY; Operating income −23,5% YoY.

• ▍Revenue $422.6M, −5,8% YoY
• ▍Operating income −23,5% YoY
• ▍Net income −50,2% YoY
• ▍Free cash flow −80,1% YoY
• ▍Net margin -9.8%

Revenue $481.2M, −1,4% YoY; Operating income +363,9% YoY.

• ▍Revenue $481.2M, −1,4% YoY
• ▍Operating income +363,9% YoY
• ▍Net income +48,7% YoY
• ▍Free cash flow +525,0% YoY
• ▍Net margin -1.3%

Revenue $423.0M; Operating income $800.0k.

• ▍Revenue $423.0M
• ▍Operating income $800.0k
• ▍Net margin -4.9%

Revenue $498.1M; Operating income $2.4M.

• ▍Revenue $498.1M
• ▍Operating income $2.4M
• ▍Net margin -2.1%

Revenue $448.8M; Operating income $6.8M.

• ▍Revenue $448.8M
• ▍Operating income $6.8M
• ▍Net margin -6.2%

Revenue $488.1M; Operating income $3.6M.

• ▍Revenue $488.1M
• ▍Operating income $3.6M
• ▍Net margin -2.4%

Revenue $1.84B, −2,2% YoY; Operating income +133,6% YoY.

• ▍Revenue $1.84B, −2,2% YoY
• ▍Operating income +133,6% YoY
• ▍Net income −29,3% YoY
• ▍Free cash flow −57,4% YoY
• ▍Net margin -4.4%

Revenue $1.88B, −0,0% YoY; Operating income −78,1% YoY.

• ▍Revenue $1.88B, −0,0% YoY
• ▍Operating income −78,1% YoY
• ▍Net income −797,8% YoY
• ▍Free cash flow −118,0% YoY
• ▍Net margin -3.3%

Revenue $1.88B, +19,4% YoY; Operating income +33,3% YoY.

• ▍Revenue $1.88B, +19,4% YoY
• ▍Operating income +33,3% YoY
• ▍Net income −4,3% YoY
• ▍Free cash flow +38,5% YoY
• ▍Net margin 0.5%

Revenue $1.57B, +29,6% YoY; Operating income +568,9% YoY.

• ▍Revenue $1.57B, +29,6% YoY
• ▍Operating income +568,9% YoY
• ▍Net income +144,7% YoY
• ▍Free cash flow +133,3% YoY
• ▍Net margin 0.6%