Quest Resource Holding Corp

Quest Resource Holding Corp has a market price of $1.08, with a market capitalization of $22.64 million, indicating a relatively small market presence. The company's price-to-book ratio is 0.34, and its price-to-tangible-book ratio is also 0.34, suggesting that the company's market value is significantly below its book value. The enterprise value to EBITDA ratio is 48.87, which is notably high, indicating that the company is expensive relative to its earnings before interest, taxes, depreciation, and amortization. The enterprise value to revenue ratio is 1.26, suggesting that the company is valued at a moderate level relative to its revenue.

The company's profitability metrics are concerning, with a return on equity of -0.99% and a return on assets of -0.37%, indicating that the company is not generating returns for its shareholders or assets. The operating income is $1.88 million, but the net income is negative at -$655,330, highlighting the company's inability to convert its operating income into net profit. The debt-to-equity ratio is 1.05, suggesting that the company has a relatively balanced capital structure, but the negative net cash position after subtracting total debt indicates liquidity challenges.

Quest Resource Holding Corp's revenue is concentrated in a single business segment, with no disclosed geographic diversification, which increases the company's exposure to market-specific risks. The company's capital expenditures are negative at -$2.26 million, indicating that it is not investing in new assets, which could hinder future growth. The company's free cash flow is negative at -$422,960, and its operating cash flow is also negative at -$1.65 million, suggesting that the company is not generating sufficient cash from its operations to sustain its activities.

The company's growth trajectory is uncertain, with no disclosed revenue growth in the current fiscal year. The company's revenue is $72.65 million, but there is no indication of future growth. The company's risk assessment indicates medium liquidity risk and low dilution risk, but the negative net cash position after subtracting total debt is a key flag. The company's liquidity risk is moderate, but the negative operating and free cash flows suggest that the company may face challenges in maintaining its operations.

Recent events and filings do not provide any significant insights into the company's operations or financial health. The company's credit risk is moderate, but the negative net income and cash flows indicate potential financial instability. The company's liquidity risk is moderate, but the negative operating and free cash flows suggest that the company may face challenges in maintaining its operations.

The company's risk assessment indicates medium liquidity risk and low dilution risk, but the negative net cash position after subtracting total debt is a key flag. The company's liquidity risk is moderate, but the negative operating and free cash flows suggest that the company may face challenges in maintaining its operations. The company's credit risk is moderate, but the negative net income and cash flows indicate potential financial instability.

Analysts project 152.9% upside to a mean price target of $3.25, signaling strong institutional confidence in future valuation recovery.

Cash conversion of 2.52 ranks in the top quartile of the Environmental Services cohort, indicating superior operational efficiency relative to peers.

Revenue grew at a 12.6% CAGR over four years, demonstrating consistent top-line expansion despite recent quarterly volatility and margin pressures.

Long-term debt decreased to $65.0 million in FY2026 from $77.9 million in FY2025, showing active deleveraging efforts amidst challenging operating conditions.

Dilution risk is assessed as low, suggesting that existing shareholders face minimal immediate threat from equity issuance or option exercises.

Net income deteriorated to -$15.4 million in FY2026, reflecting a worsening profitability trend with negative net margins of -0.9%.

Free cash flow turned negative at -$10.9 million in FY2026, raising concerns about the company's ability to self-fund operations and debt service.

Credit risk is flagged as high, compounded by a debt-to-equity ratio of 1.60 and negative interest coverage of -0.67.

Revenue fell 13.3% year-over-year to $250.2 million in FY2026, marking the first significant top-line contraction in the reported period.

Revenue $58.9M, −15,8% YoY; Operating income +107,6% YoY.

• ▍Revenue $58.9M, −15,8% YoY
• ▍Operating income +107,6% YoY
• ▍Net income +82,6% YoY
• ▍Free cash flow +90,7% YoY
• ▍Net margin -2.8%

Revenue $63.3M, −12,9% YoY; Operating income +214,3% YoY.

• ▍Revenue $63.3M, −12,9% YoY
• ▍Operating income +214,3% YoY
• ▍Net income +60,1% YoY
• ▍Free cash flow +76,4% YoY
• ▍Net margin -2.1%

Revenue $59.5M, −18,6% YoY; Operating income −78,6% YoY.

• ▍Revenue $59.5M, −18,6% YoY
• ▍Operating income −78,6% YoY
• ▍Net income −30,1% YoY
• ▍Free cash flow +47,5% YoY
• ▍Net margin -3.3%

Revenue $68.4M, −5,8% YoY; Operating income −535,0% YoY.

• ▍Revenue $68.4M, −5,8% YoY
• ▍Operating income −535,0% YoY
• ▍Net income −1 487,9% YoY
• ▍Free cash flow −2 055,8% YoY
• ▍Net margin -15.2%

Revenue $70.0M; Operating income -$7.2M.

• ▍Revenue $70.0M
• ▍Operating income -$7.2M
• ▍Net margin -13.6%

Revenue $72.8M; Operating income -$940.3k.

• ▍Revenue $72.8M
• ▍Operating income -$940.3k
• ▍Net margin -4.7%

Revenue $73.1M; Operating income $1.8M.

• ▍Revenue $73.1M
• ▍Operating income $1.8M
• ▍Net margin -2.1%

Revenue $72.7M; Operating income $1.9M.

• ▍Revenue $72.7M
• ▍Operating income $1.9M
• ▍Net margin -0.9%

Revenue $250.2M, −13,3% YoY; Operating income −38,0% YoY.

• ▍Revenue $250.2M, −13,3% YoY
• ▍Operating income −38,0% YoY
• ▍Net income −2,1% YoY
• ▍Free cash flow −1,2% YoY
• ▍Net margin -6.1%

Revenue $288.5M, +0,1% YoY; Operating income −257,9% YoY.

• ▍Revenue $288.5M, +0,1% YoY
• ▍Operating income −257,9% YoY
• ▍Net income −106,6% YoY
• ▍Free cash flow −1 515,1% YoY
• ▍Net margin -5.2%

Revenue $288.4M, +1,5% YoY; Operating income +101,0% YoY.

• ▍Revenue $288.4M, +1,5% YoY
• ▍Operating income +101,0% YoY
• ▍Net income −20,6% YoY
• ▍Free cash flow −65,8% YoY
• ▍Net margin -2.5%

Revenue $284.0M, +82,4% YoY; Operating income −68,8% YoY.

• ▍Revenue $284.0M, +82,4% YoY
• ▍Operating income −68,8% YoY
• ▍Net income −457,6% YoY
• ▍Free cash flow −41,8% YoY
• ▍Net margin -2.1%