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FRHC

BEARISH
$151.15 Live
Freedom Holdings Corp. · NASDAQ
$107.97 52W Range $194.01

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AI Analysis

AI-powered fundamental assessment

Confidence
95%
FRHC exhibits a severe disconnect between its market price and fundamental value, highlighted by a Piotroski F-Score of 4/9 (Stable/Weak) and a Graham Number of $3.2 against a current price of $151.15. The company is currently trading at an astronomical P/E ratio of 7557.50, while reporting negative YoY revenue growth (-14.10%) and dismal profitability metrics (ROE of 0.22%). Despite a positive 5-year price trajectory, recent quarterly earnings have consistently missed estimates with an average surprise of -129.39%, suggesting a bubble-like valuation unsupported by current cash flow or earnings power.

Key Strengths

Strong Gross Margin (77.79%)
Positive long-term 5-year price appreciation (+190.3%)
Current Ratio of 1.22 indicates adequate short-term liquidity
Slight Q/Q revenue recovery (+4.82%)
Market capitalization provides significant scale ($9.25B)

Key Risks

Extreme overvaluation (P/E of 7557.50)
Negative YoY Revenue and Earnings growth
Severe earnings misses (0/4 beats in last 4 quarters)
Negligible profitability (Profit Margin 0.18%, ROE 0.22%)
High Debt/Equity ratio (1.56) relative to sector peers
AI Fair Value Estimate
Based on comprehensive analysis
$4.5
-97.0% below current price

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Sector Comparison & Peer Analysis

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