One-glance verdict
Undervalued
$4.12 our estimate vs market $0.07
98% below our estimate, below the bear case
Fundamentals snapshot
AmeraMex International, Inc.
AMMX · PNK · Industrials · Farm & Heavy Construction Machinery
Current price
$0.07
52-week range
$0.07 - $0.19
Market cap
$1.48M
Balance sheet
Distressed
2.59x Stretched
Net debt $12.68M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
1 Risk
1 rewards · 1 risks
- Reward Free cash flow was positive in 1/10 years.
- Risk Stock trades 34.3% above its 5-year average P/E.
What this company does
AmeraMex International, Inc.
AmeraMex International, Inc. sells, leases, and rents heavy equipment like loaders and excavators to industries such as construction and logistics. The money they make mainly comes from these equipment rentals and sales, along with spare parts and maintenance services. This matters because it shows how they generate income from their core business of providing essential machinery to other companies.
What it actually does
AmeraMex International, Inc. is a dealer of heavy equipment, offering both new and refurbished machinery. They sell, lease, and rent this equipment to a variety of industries, including construction, logistics, logging, and military operations. In addition to equipment, AmeraMex provides essential services like spare parts sales, maintenance, and transportation for the machinery. They operate both in the United States and internationally, exporting equipment to countries in North and Central America, as well as Africa.
Container Handlers
A significant portion of AmeraMex International's business, accounting for about half of its total revenue, comes from the sale of specialized container handling equipment. This machinery is crucial for logistics companies and ports, as it's used for loading and unloading cargo containers from ships and in distribution centers. These handlers are a key part of the global trade infrastructure, ensuring that goods move efficiently through supply chains.
Equipment Sales, Leasing, and Rentals
AmeraMex International offers a wide array of heavy equipment, including front-end loaders, excavators, backhoes, forklifts, and specialized machinery for construction, logging, and forestry. They provide these machines through sales, leases (long-term rentals), and short-term rentals to various industries. The company also focuses on selling refurbished equipment, which often yields higher profit margins (the percentage of profit from a sale) compared to new equipment, and also operates a rental fleet that generates consistent income.
Parts and Services
Beyond just selling equipment, AmeraMex International provides crucial support services to its customers. This includes selling spare parts to keep machinery running and offering maintenance and repair services. They also have a heavy-haul transportation division that can move large equipment for their customers. These services are vital because downtime (when equipment isn't working) can be very costly for businesses that rely on heavy machinery.
What management is betting on now
AmeraMex International's management is focused on expanding its product lines, particularly by incorporating more electric-powered machinery to meet growing demand for environmentally friendly equipment. They are also looking to grow their international presence, especially in Africa, which is seen as a high-potential market due to its expanding economy. The company's strategy also includes acquiring and refurbishing used equipment, as this segment offers higher profit margins compared to selling new equipment.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $4.12 vs current price $0.07
Our most-likely fair value is $4.12 a share — about 5,778.8% above today's price of $0.07, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Distressed
Net debt $12.7M. Interest coverage 2.6x.
Net debt
$12.68M
Interest coverage
2.59x
AmeraMex International, Inc. is healthier than 0 of 1 peers on balance-sheet leverage.
Distressed
Worse cushion
Baseline
Better cushion
AMMX
BASELINE
AmeraMex International, Inc.
Total debt $13.78M Interest coverage 2.59x This is the baseline the peer rows are being compared against.
What you should know
The case for and against AMMX
1 Reward
1 Risk
Rewards
-
Free cash flow was positive in 1/10 years.
Risks
-
Stock trades 34.3% above its 5-year average P/E.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
7.00x
Forward P/E
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P/B
0.45x
P/S
0.08x
EV/EBITDA
4.74x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
20.6%
Operating margin
-1.5%
Net margin
5.6%
ROE
33.6%
ROA
2.9%
Health
Liquidity and balance-sheet strength
Debt / equity
4.23x
Current ratio
2.04x
Quick ratio
0.37x
Total debt
$13.78M
Total cash
$1.09M
Growth
How the business has been compounding
Revenue TTM
$18.31M
Revenue 5Y CAGR
-22.2%
EPS TTM
0.01
EPS 5Y CAGR
-45.5%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.91M
Free CF TTM
$-51.06K
FCF margin
-0.3%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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