Burnham Holdings (BURCA) AI Stock Analysis

• Market Cap: $94.20M
• Dividend Yield: 3.65%
• Average Volume (3M): 1.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: 9.47%
• EPS Growth: 9.19%
• Country: US
• Employees: 840
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): -6.66
• Shares Outstanding: 2,960,000
• 10 Day Avg. Volume: 1,159
• 30 Day Avg. Volume: 1,175
• PEG Ratio: 0.01
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.45
• P/FCF Ratio: -14.90
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 1.65
• Enterprise Value/Ebitda: 6.43
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $25.00 ▲(0.81% Upside)
• Action: Reiterated Date: 03/24/26
• Date: Action: Reiterated 03/24/26

The score is primarily weighed down by weak 2025 fundamentals—profitability turning to a loss and materially negative free cash flow. Technicals are mixed but not deeply bearish, and valuation is only modestly supported by the dividend yield given the negative P/E.

Positive Factors

Manageable leverage

Sustained modest leverage and a sizable equity base provide structural financial flexibility for a cyclical construction firm. This cushion supports capital spending, bidding ability and downturn resilience over months, limiting refinancing pressure while operations stabilize.

Historical cash generation

Demonstrated ability to produce strong operating and free cash flow in 2023–2024 indicates the business model can convert revenue into cash when execution and demand normalize. That structural cash-generation capability supports investments and debt service once near-term headwinds abate.

Stable gross margins

A consistent low-20% gross margin signals durable core pricing and cost structure at the project level, suggesting revenue mix or below-the-line items, not core operations, drove 2025 earnings weakness. Stable gross margins underpin recovery potential as SG&A or financing pressures ease.

Negative Factors

Profitability collapse

A sharp shift to a sizable net loss and materially negative margins reduces internal reinvestment capacity and damages return metrics. Persistent below-the-line losses over multiple quarters would erode equity returns and could force cost cuts, asset sales, or capital raises within months if not reversed.

Weak operating cash flow

Material deterioration in operating and free cash flow undermines liquidity and execution of backlog or new contracts. Even with prior cash generation, sustained negative free cash flow increases near-term funding risk, may constrain working capital, and pressures strategic investment decisions over the next several quarters.

Revenue decline trend

A reversal from modest growth to sales decline indicates weakening demand or execution slippage. Continued top-line contraction compresses operating leverage, making margin recovery harder and increasing reliance on cost cuts or market share wins, which can be slow and costly to achieve in construction markets.

Burnham Holdings Business Overview & Revenue Model

Company Description

Burnham Holdings, Inc. designs, manufactures, and sells boilers and related heating, ventilation, and air conditioning products and accessories for residential, commercial, and industrial applications in the United States and internationally. Its residential hydronic heating products include cast iron, stainless steel, aluminum, and steel boilers; cast iron and steel heat distribution products; and warm air furnaces and central air conditioning systems for the residential heating and cooling markets. The company's commercial and industrial heating products comprise a range of cast iron, stainless steel, fire tube, water tube, and copper tube boilers; and boiler room accessories that are used for various applications, such as military bases, multi-unit residential buildings, health care, government, education, and hospital facilities. It sells its residential products through wholesale distributors to builders, heating contractors, fuel dealers, and utilities for resale to end-use customers; and commercial products primarily through independent sales representatives, directly to contractors, or end users. Burnham Holdings, Inc. is based in Lancaster, Pennsylvania.

Burnham Holdings Financial Statement Overview

Summary

Financial results weakened sharply in 2025: revenue declined, profitability swung to a sizable net loss, and margins deteriorated. While leverage remains manageable and equity is relatively strong, operating cash flow fell to a very low level and free cash flow turned meaningfully negative, raising near-term funding/execution risk.

Income Statement

Revenue growth has weakened meaningfully, shifting from modest growth in 2023–2024 to a decline in 2025. Profitability deteriorated sharply in 2025 with net income turning to a sizable loss and net margin moving from positive to materially negative, alongside lower EBIT and EBITDA margins versus the prior two years. Offsetting this, gross margin has been relatively steady over time (generally low-20% range recently), suggesting the primary issue is below-the-gross-line cost pressure rather than core pricing alone.

Balance Sheet

Leverage appears manageable, with debt-to-equity improving over the multi-year period and remaining modest in the latest year, providing balance-sheet flexibility for a cyclical construction environment. Equity remains sizable relative to total assets, which helps cushion volatility. The key weakness is profitability-driven: return on equity flipped deeply negative in 2025, indicating the balance sheet is currently not producing acceptable returns despite reasonable leverage.

Cash Flow

Cash generation weakened substantially in 2025: operating cash flow dropped to a very low level and free cash flow turned meaningfully negative after being solidly positive in 2023–2024. Cash conversion versus earnings also deteriorated, with operating cash flow providing minimal support relative to results and free cash flow materially negative in a loss year. While prior years show the business can generate strong operating and free cash flow, the latest period raises near-term funding and execution risk if weakness persists.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	258.11M	270.19M	252.98M	240.55M	218.51M
Gross Profit	59.31M	61.03M	59.76M	45.68M	35.02M
EBITDA	15.88M	23.21M	20.24M	14.36M	6.39M
Net Income	-28.39M	11.95M	9.43M	5.07M	1.02M
Balance Sheet
Total Assets	175.32M	194.34M	184.67M	176.26M	167.47M
Cash, Cash Equivalents and Short-Term Investments	7.66M	6.35M	5.88M	6.99M	5.65M
Total Debt	22.01M	28.46M	31.54M	35.51M	24.28M
Total Liabilities	71.73M	81.06M	83.24M	85.17M	72.30M
Stockholders Equity	103.59M	113.28M	101.44M	92.56M	95.17M
Cash Flow
Free Cash Flow	-7.86M	10.96M	11.75M	-6.08M	994.00K
Operating Cash Flow	1.34M	22.11M	21.12M	1.20M	10.53M
Investing Cash Flow	15.34M	-12.25M	-11.80M	-7.90M	-10.34M
Financing Cash Flow	-15.35M	-9.39M	-10.44M	7.77M	-295.00K

Burnham Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 24.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BURCA, the sentiment is Neutral. The current price of 24.8 is below the 20-day moving average (MA) of 26.34, below the 50-day MA of 25.31, and above the 200-day MA of 24.41, indicating a neutral trend. The MACD of 0.12 indicates Positive momentum. The RSI at 47.44 is Neutral, neither overbought nor oversold. The STOCH value of -0.26 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BURCA.

Burnham Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PPIH	73 Outperform	$233.51M	8.88	17.57%	―	30.74%	-13.58%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ROCK	54 Neutral	$1.21B	15.14	9.87%	―	-9.21%	-97.43%
NX	52 Neutral	$792.82M	-52.26	-30.23%	2.12%	43.81%	-584.11%
BURCA	46 Neutral	$94.20M	-4.13	-19.36%	3.65%	9.47%	9.19%
BXC	45 Neutral	$387.28M	2,188.09	2.20%	―	-0.19%	-50.51%
JELD	41 Neutral	$111.94M	-0.34	-155.46%	―	-15.28%	-350.51%