One-glance verdict
Within fair range
$8.14 our estimate vs market $2.16
73% below our estimate
Fundamentals snapshot
Armlogi Holding Corp.
BTOC · NCM · Industrials · Integrated Freight & Logistics
Current price
$2.16
52-week range
$2.11 - $11.49
Market cap
$6.13M
Balance sheet
Distressed
-32.96x Concerning
Net debt $109.56M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
3 Risks
1 rewards · 3 risks
- Reward Free cash flow was positive in 1/10 years.
- Risk Net debt grew 150.2% over 3 years.
- Risk Return on equity was -126.1% last year — the company lost money on shareholders' equity.
- Risk Operating margin compressed from 13.3% to -12.8% over 3 years.
What this company does
Armlogi Holding Corp.
Armlogi Holding Corp. helps other companies move and store their stuff across the US, offering services like trucking, warehouse management, and getting goods through customs. Most of their money comes from these logistics and transportation services, which is important because it shows how busy and essential their operations are for businesses relying on them to get their products to customers.
How the company got here
Armlogi Holding Corp. was incorporated in 2022 and is based in Walnut, California. It operates as a third-party logistics company, providing a range of services to support businesses with their supply chain needs. The company focuses on warehousing and order fulfillment, particularly for cross-border e-commerce merchants looking to sell in the U.S. market. Armlogi has grown rapidly, expanding its warehouse footprint and customer base since its inception. The company went public in May 2024, listing on the Nasdaq under the ticker symbol BTOC.
What it actually does
Armlogi Holding Corp. provides a comprehensive suite of supply chain solutions. This includes managing warehouses, fulfilling orders, and handling transportation. Essentially, they act as a behind-the-scenes partner for businesses, storing their products, picking and packing them when customers order, and ensuring they get delivered. They specialize in helping businesses, especially those from outside the U.S., navigate the complexities of selling and distributing goods within the United States.
Warehousing and fulfillment
This is Armlogi's largest business segment, accounting for about 55% of its revenue. It involves storing products in their warehouses, managing inventory levels, and then picking, packing, and shipping items when customers place orders. This service is crucial for e-commerce businesses that don't have their own large storage and shipping operations. Armlogi's warehouses are equipped to handle a variety of items, including large and bulky goods.
Cross-border logistics
Making up roughly 20% of revenue, this segment focuses on coordinating the transportation of goods from overseas into the United States. Armlogi helps manage the logistics involved in bringing products from countries like China to U.S. warehouses. This is a key service for their international clients who are selling products in the U.S. market but manufacturing elsewhere.
Customs brokerage
This segment represents about 10% of Armlogi's revenue and involves handling the necessary paperwork and procedures for clearing imported goods through U.S. customs. When products cross international borders, they must comply with customs regulations, and Armlogi's services help their clients navigate this complex process smoothly.
Trucking and drayage
This segment accounts for approximately 10% of the company's revenue and includes services like port trucking and short-haul transportation of containers. Drayage refers to the movement of goods over a short distance, typically from a port or rail yard to a warehouse. This service is essential for moving goods efficiently once they arrive in the U.S. and before they are stored or distributed.
Technology-enabled logistics services
This smaller segment, making up about 5% of revenue, involves the use of Armlogi's proprietary technology, such as their Order Management System (OMS). This system helps manage inventory, labor, and the flow of goods within their warehouses. By leveraging technology, Armlogi aims to improve efficiency and provide better visibility into the supply chain for their clients.
What management is betting on now
Armlogi's management is focused on increasing the efficiency of their operations and expanding their customer base. They are working to improve how much they use their existing warehouse space (warehouse utilization) and to optimize costs. A key strategy is to shift towards offering more value-added logistics services, which can be more profitable than basic storage and transportation. They are also investing in their own transportation network to gain more control over costs and delivery times, aiming to create a more integrated and efficient logistics platform.
Price history
How the share price has moved
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Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q1
$-4.96M
FY2025 Q2
$-6.35M
FY2025 Q3
$3.07M
FY2025 Q4
$6.81M
FY2026 Q1
$-1.99M
FY2026 Q2
$-2.05M
FY2026 Q3
$-2.27M
FY2026 Q4
$-675.48K
Revenue
$43.14M
Net income
$-5.44M
Diluted EPS
-0.13
Operating cash flow
$379.09K
Free cash flow
$-675.48K
Fetching…
Sources
Revenue
$41.68M
Net income
$-5.07M
Diluted EPS
-0.11
Operating cash flow
$-2.11M
Free cash flow
$-2.27M
Fetching…
Sources
Revenue
$51.54M
Net income
$-3.86M
Diluted EPS
-0.08
Operating cash flow
$-1.47M
Free cash flow
$-2.05M
Fetching…
Sources
Revenue
$49.47M
Net income
$-6.51M
Diluted EPS
-0.15
Operating cash flow
$-1.93M
Free cash flow
$-1.99M
Fetching…
Sources
Revenue
$50.94M
Net income
$-5.29M
Diluted EPS
-0.13
Operating cash flow
$7.10M
Free cash flow
$6.81M
Fetching…
Sources
Revenue
$45.84M
Net income
$-3.76M
Diluted EPS
-0.09
Operating cash flow
$3.59M
Free cash flow
$3.07M
Fetching…
Sources
Revenue
$51.14M
Net income
$-1.66M
Diluted EPS
-0.04
Operating cash flow
$-5.63M
Free cash flow
$-6.35M
Fetching…
Sources
Revenue
$42.48M
Net income
$-4.65M
Diluted EPS
-0.11
Operating cash flow
$-3.60M
Free cash flow
$-4.96M
Fetching…
Sources
Is it cheap or expensive?
Fair value $8.14 vs current price $2.16
Our most-likely fair value is $8.14 a share — about 277.1% away from today's price of $2.16, so the stock currently looks fairly priced.
Is it drowning in debt?
Distressed
Net debt $109.6M. Interest coverage -33.0x.
Net debt
$109.56M
Interest coverage
-32.96x
Armlogi Holding Corp.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 4 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
BTOC
BASELINE
Armlogi Holding Corp.
Total debt $111.78M Interest coverage -32.96x This is the baseline the peer rows are being compared against.
Total debt $93.12M Interest coverage 6.17x This peer still has a real interest-payment cushion, while BTOC does not.
Total debt $1.15M Interest coverage -115.81x Neither company has much profit cushion over interest right now.
Total debt $4.23M Interest coverage -43.63x Neither company has much profit cushion over interest right now.
Total debt $3.47M Interest coverage -181.61x Neither company has much profit cushion over interest right now.
Total debt $6.89M Interest coverage -3.21x Neither company has much profit cushion over interest right now.
What you should know
The case for and against BTOC
1 Reward
3 Risks
Rewards
-
Free cash flow was positive in 1/10 years.
Risks
-
Net debt grew 150.2% over 3 years.
-
Return on equity was -126.1% last year — the company lost money on shareholders' equity.
-
Operating margin compressed from 13.3% to -12.8% over 3 years.
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)
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Forward P/E
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P/B
0.77x
P/S
0.03x
EV/EBITDA
-6.46x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
-0.6%
Operating margin
-12.8%
Net margin
-11.2%
ROE
-126.1%
ROA
-8.9%
Health
Liquidity and balance-sheet strength
Debt / equity
13.95x
Current ratio
0.44x
Quick ratio
0.39x
Total debt
$111.78M
Total cash
$2.22M
Growth
How the business has been compounding
Revenue TTM
$185.84M
Revenue 5Y CAGR
5.5%
EPS TTM
-7.52
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-5.13M
Free CF TTM
$-6.98M
FCF margin
-3.8%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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