Aug. 28 at 10:01 AM
Negative Enterprise Value is a metric of extreme undervaluation, but it can be tricky: If a microcap has made a stock offering/ATM and the share price has dropped, then it could show a negative EV, but it isn't a sign of vast healthy undervaluation.
So, let's see some stocks under
$10 million market cap with Negative EV but without dilution:
ARBB, with zero dilution from its IPO, a few years ago. Prices/Sales 0.12 only. High growth in revenues, narrowing its losses.
$KRKR plenty of cash, very low debt, etc, but the market is cautious with Chinese small caps metrics.
$PETZ no remarkable dilution from 2021, the company has high non-operating income.
$EBON here the negative EV is too deep, but the market ignores it, like it needs a confirmation that the cash exists. Also Chinese.
$NEON low sales but with a one-time gain of a
$19.39 million from a patent assignment. In legal fight with AAPL to get more, the first round was for AAPL.
