ALT5 Sigma Corporation (ALTS)
NASDAQ:ALTS
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ALT5 Sigma Corporation
(NASDAQ:ALTS)
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Rating:49Neutral
Price Target:
$2.00
▲(69.49% Upside)
Action:ReiteratedDate:02/04/26
The score is held back primarily by weak core operating performance and negative TTM cash flow despite improved revenue, suggesting cash burn risk. Technicals are only mildly supportive in the near term but remain weak over longer timeframes. Valuation is constrained by a negative P/E and no dividend support, while corporate events are mixed with added governance/financing positives offset by filing delay and legal/data-breach risk.
Positive Factors
Revenue rebound and solid gross margin
TTM revenue materially increased vs. 2024 while gross margin remained near 47%, indicating durable demand and reasonably scalable unit economics. Sustained top-line recovery plus healthy gross margins improve the odds that future operating leverage can convert growth into persistent operating profitability over coming quarters.
Negative Factors
Negative operating and free cash flow
Sizable negative operating and free cash flow despite revenue growth signals ongoing cash burn and weak cash conversion. This increases dependence on external financing or asset-backed funding, creating dilution or covenant risk if operating cash generation does not improve within the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue rebound and solid gross margin
TTM revenue materially increased vs. 2024 while gross margin remained near 47%, indicating durable demand and reasonably scalable unit economics. Sustained top-line recovery plus healthy gross margins improve the odds that future operating leverage can convert growth into persistent operating profitability over coming quarters.
Read all positive factors
ALT5 Sigma Corporation (ALTS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$146.55M
Dividend YieldN/A
Average Volume (3M)4.77M
Price to Earnings (P/E)1.0
Beta (1Y)0.40
Revenue Growth926.05%
EPS Growth68.96%
CountryUS
Employees10
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)N/A
Shares Outstanding126,339,130
10 Day Avg. Volume3,126,422
30 Day Avg. Volume4,771,777
Financial Highlights & Ratios
PEG Ratio0.12
Price to Book (P/B)2.48
Price to Sales (P/S)4.14
P/FCF Ratio29.17
Enterprise Value/Market Cap1.07
Enterprise Value/Revenue6.31
Enterprise Value/Gross Profit15.82
Enterprise Value/Ebitda2.78
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)-0.6
Revenue Forecast (FY)$35.75M
ALT5 Sigma Corporation Business Overview & Revenue Model
Company Description
ALT5 Sigma Corporation operates a next generation blockchain platform. It engages in the tokenization, trading, clearing settlement, payment, and safe keeping of digital assets. The company's products include ALT 5 Prime, an electronic over-the-co...
How the Company Makes Money
ALT5 Sigma Corporation generates revenue primarily through its digital asset trading platforms and custody services. The company charges transaction fees for trades executed on its platforms, which serve as a significant revenue stream. Additional...
ALT5 Sigma Corporation Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
72
Positive
Cash Flow
28
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 24.89M | 12.53M | 0.00 | 0.00 | 40.02M | 33.87M |
| Gross Profit | 9.92M | 6.29M | 0.00 | 0.00 | 8.87M | 8.83M |
| EBITDA | 56.45M | -4.97M | -3.29M | -3.15M | 1.90M | -4.30M |
| Net Income | 33.12M | -6.25M | -7.81M | 10.99M | -16.89M | -8.50M |
Balance Sheet | ||||||
| Total Assets | 1.64B | 82.44M | 18.49M | 46.76M | 15.16M | 24.35M |
| Cash, Cash Equivalents and Short-Term Investments | 7.32M | 7.18M | 5.00K | 61.00K | 705.00K | 379.00K |
| Total Debt | 17.81M | 13.07M | 707.00K | 7.67M | 6.64M | 6.63M |
| Total Liabilities | 83.95M | 57.63M | 21.80M | 44.45M | 23.84M | 21.98M |
| Stockholders Equity | 1.55B | 20.89M | -3.31M | 2.31M | -8.68M | 2.37M |
Cash Flow | ||||||
| Free Cash Flow | -17.42M | 1.78M | 1.46M | -3.06M | -7.02M | -1.45M |
| Operating Cash Flow | -17.42M | 1.78M | 1.46M | -3.06M | -5.29M | -617.00K |
| Investing Cash Flow | -711.30M | 5.85M | -155.00K | -1.51M | -1.72M | -834.00K |
| Financing Cash Flow | 723.40M | 6.09M | -1.44M | 3.98M | 7.37M | 1.40M |
ALT5 Sigma Corporation Technical Analysis
Negative
1.18
Price Trends
1.54
Negative
1.60
Negative
3.44
Negative
Market Momentum
-0.10
Positive
36.85
Neutral
25.14
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALTS, the sentiment is Negative. The current price of 1.18 is below the 20-day moving average (MA) of 1.31, below the 50-day MA of 1.54, and below the 200-day MA of 3.44, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 36.85 is Neutral, neither overbought nor oversold. The STOCH value of 25.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ALTS.
ALT5 Sigma Corporation Risk Analysis
ALT5 Sigma Corporation disclosed 19 risk factors in its most recent earnings report. ALT5 Sigma Corporation reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
ALT5 Sigma Corporation Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $402.94M | -28.83 | -5.64% | ― | -0.68% | -146.14% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
57 Neutral | $345.05M | 39.18 | 1.68% | ― | 1.62% | ― | |
54 Neutral | $288.34M | -6.33 | -25.34% | ― | -24.30% | -181.62% | |
50 Neutral | $224.41M | -10.03 | -48.65% | ― | 2.97% | 53.53% | |
49 Neutral | $146.55M | 1.00 | 8.17% | ― | 926.05% | 68.96% | |
46 Neutral | $238.75M | -10.79 | -32.94% | ― | 6.33% | -66.34% |
* Technology Sector Average
ALTS
ALT5 Sigma Corporation
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ALT5 Sigma Corporation Corporate Events
Business Operations and StrategyExecutive/Board Changes
ALT5 Sigma Adds Blockchain Expert Adel ElMessiry to Board
Positive
Feb 4, 2026
On January 26, 2026, ALT5 Sigma Corporation’s board appointed fintech and blockchain specialist Dr. Adel ElMessiry as an independent director, a role he accepted on January 29, 2026, after the board confirmed his independence under Nasdaq ru...
Business Operations and StrategyStock BuybackPrivate Placements and Financing
ALT5 Sigma Secures $15 Million WLFI-Backed Loan
Positive
Feb 2, 2026
On January 29, 2026, ALT5 Sigma Corporation and its subsidiary ALT5 Digital Holdings, Inc. entered into a secured, non-recourse Master Loan and Security Agreement with World Liberty Financial LLC for collateralized loans of up to $15 million, back...
Business Operations and StrategyExecutive/Board Changes
ALT5 Sigma Finalizes CFO Employment Agreement and Compensation
Positive
Jan 28, 2026
On November 21, 2025, ALT5 Sigma Corporation appointed veteran CPA Steven M. Plumb, formerly an auditor with PricewaterhouseCoopers and KPMG and long-time president of consulting firm Clear Financial Solutions, as its Chief Financial Officer and p...
Regulatory Filings and ComplianceShareholder Meetings
ALT5 Sigma Sets 2025 Virtual Annual Shareholder Meeting
Neutral
Jan 2, 2026
ALT5 Sigma Corporation has scheduled its 2025 Annual Meeting of Stockholders to be held virtually on February 27, 2026, with stockholders of record as of the close of business on January 30, 2026 entitled to receive notice and vote at the meeting....
Executive/Board Changes
ALT5 Sigma CEO Departure and Transition Agreement
Neutral
Dec 12, 2025
On December 12, 2025, ALT5 Sigma Corporation and its former CEO, Peter Tassiopoulos, agreed to a Separation Agreement, concluding his employment on December 15, 2025. The agreement includes payment of all due compensation and mutual release of cla...
Legal Proceedings
ALT5 Sigma Settles Multiple Legal Disputes
Neutral
Dec 12, 2025
On December 10, 2025, ALT5 Sigma Corporation reached a settlement with Wellington Peel, LLC, Jean-Francois Amyot, Hugues Benoit, and Prime Delta Corp., resolving litigation disclosed in November 2025. The settlement involved the WP Parties certify...
Delistings and Listing ChangesRegulatory Filings and Compliance
ALT5 Sigma Faces Nasdaq Compliance Deadline
Neutral
Dec 3, 2025
On December 2, 2025, ALT5 Sigma Corporation announced it received a notification from Nasdaq regarding a delay in filing its Form 10-Q for the period ending September 27, 2025. This delay means the company is not in compliance with Nasdaq’s ...
Executive/Board Changes
ALT5 Sigma Corporation Announces Leadership Changes in November 2025
Neutral
Nov 26, 2025
ALT5 Sigma Corporation announced significant leadership changes effective November 2025. Jonathan Hugh’s roles as Chief Financial Officer and Acting Chief Executive Officer concluded without cause, and Ron Pitters’ consulting agreement...
Financial DisclosuresRegulatory Filings and Compliance
ALT5 Sigma Delays Q3 2025 Financial Report Filing
Negative
Nov 18, 2025
ALT5 Sigma Corporation has announced a delay in filing its Quarterly Report on Form 10-Q for the quarter ended September 27, 2025, due to various factors. The company will provide updates to its stockholders once more information is available rega...
Legal Proceedings
ALT5 Sigma Files Lawsuit Over Data Breach
Negative
Nov 5, 2025
On October 23, 2025, ALT5 Sigma Corporation discovered that a former consultant had accessed and transmitted company emails and files without authorization to a competing business. The company took immediate action by terminating the consultant...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.