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AREN vs MRDN

AREN
The Arena Group Holdings, Inc.
BEARISH
Price
$2.02
Market Cap
$96.2M
Sector
Communication Services
AI Confidence
85%
MRDN
Meridian Holdings Inc.
BEARISH
Price
$6.85
Market Cap
$86.5M
Sector
Communication Services
AI Confidence
95%

Valuation

P/E Ratio
AREN
3.37
MRDN
--
Forward P/E
AREN
3.11
MRDN
--
P/B Ratio
AREN
-20.0
MRDN
1.86
P/S Ratio
AREN
0.71
MRDN
0.47
EV/EBITDA
AREN
4.2
MRDN
8.63

Profitability

Gross Margin
AREN
50.69%
MRDN
56.58%
Operating Margin
AREN
26.63%
MRDN
-3.13%
Profit Margin
AREN
92.61%
MRDN
-49.16%
ROE
AREN
--
MRDN
-116.96%
ROA
AREN
22.27%
MRDN
-1.64%

Growth

Revenue Growth
AREN
-22.0%
MRDN
8.1%
Earnings Growth
AREN
-23.6%
MRDN
--

Financial Health

Debt/Equity
AREN
--
MRDN
0.48
Current Ratio
AREN
2.1
MRDN
0.59
Quick Ratio
AREN
1.92
MRDN
0.49

Dividends

Dividend Yield
AREN
--
MRDN
--
Payout Ratio
AREN
0.0%
MRDN
0.0%

AI Verdict

AREN BEARISH

AREN presents as a classic value trap, characterized by a stable Piotroski F-Score of 4/9 but undermined by a catastrophic Price/Book ratio of -20.00, indicating negative shareholders' equity. While the P/E ratio of 3.37 and an intrinsic value estimate of $4.2 suggest deep value, these are offset by consistent double-digit declines in both revenue (-22%) and earnings (-23.6%). The extreme divergence between the operating margin (26.63%) and the net profit margin (92.61%) suggests non-operational gains are inflating the bottom line. With a technical trend of 0/100 and a 5-year price collapse of 89.1%, the fundamental deterioration outweighs the low valuation multiples.

Strengths
Extremely low P/E ratio (3.37) relative to sector averages
Strong current ratio (2.10) indicating short-term liquidity
Positive operating margin of 26.63%
Risks
Negative shareholders' equity (Price/Book of -20.00) indicates severe financial instability
Consistent negative growth in both revenue and earnings (approx -22% YoY)
Extreme bearish technical trend (0/100) and long-term price decay
MRDN BEARISH

MRDN exhibits severe financial distress, highlighted by a weak Piotroski F-Score of 2/9 and a critical liquidity position with a current ratio of 0.59. Despite a decent gross margin, the company suffers from massive negative ROE (-116.96%) and catastrophic earnings misses, including a recent surprise of -19,450%. There is a stark divergence between the bearish fundamental/technical data and the 'strong_buy' analyst consensus, which is not supported by the current cash flow or profitability profile. The stock is in a clear long-term downtrend, losing over 70% of its value in the last year.

Strengths
Positive gross margin of 56.58%
Low Price-to-Sales ratio (0.47)
Modest year-over-year revenue growth of 8.10%
Risks
Severe liquidity risk with a current ratio of 0.59 (unable to cover short-term liabilities)
Extreme profitability decay with ROE at -116.96%
Catastrophic earnings volatility and consistent misses of estimates

Compare Another Pair

AREN vs MRDN: Head-to-Head Comparison

This page compares The Arena Group Holdings, Inc. (AREN) and Meridian Holdings Inc. (MRDN) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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