Amcon Distributing Company (DIT) AI Stock Analysis

• Market Cap: $70.58M
• Dividend Yield: 0.9%
• Average Volume (3M): 212.00
• Price to Earnings (P/E): 67.5
• Beta (1Y): 0.36
• Revenue Growth: 3.90%
• EPS Growth: -87.36%
• Country: US
• Employees: 1,362
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): 1.28
• Shares Outstanding: 650,709
• 10 Day Avg. Volume: 102
• 30 Day Avg. Volume: 212
• PEG Ratio: -1.42
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.02
• P/FCF Ratio: 7.28
• Enterprise Value/Market Cap: 3.93
• Enterprise Value/Revenue: 0.09
• Enterprise Value/Gross Profit: 1.49
• Enterprise Value/Ebitda: 12.72
• 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: 48 Neutral
• Price Target: $107.00 ▼(-3.60% Downside)

The score is driven primarily by materially weakened profitability and elevated leverage despite strong revenue growth and better recent cash generation. Technicals remain bearish (below key moving averages with negative MACD), and valuation is stretched with a high P/E; a special dividend and governance continuity provide a smaller offset.

Positive Factors

Free Cash Flow Generation

Consistent TTM free cash flow near $40M provides durable internal funding for working capital, modest dividends, and debt service. That cash buffer helps a low-margin distributor navigate cost cycles, support capital needs, and maintain operations without immediate external financing.

Revenue Growth Momentum

A substantial TTM revenue acceleration indicates strong demand and expanded retailer penetration. Sustained top-line growth supports scale economics in distribution, enhances negotiating leverage with suppliers, and creates optionality to restore margins if cost discipline and pricing follow-through persist.

Distribution Network and Supplier Relationships

Established logistics footprint and long-term supplier relationships are structural advantages for timely service to convenience and grocery customers. These assets underpin recurring revenue, enable favorable purchasing terms, and create entry barriers for smaller competitors over the medium term.

Negative Factors

Compressed Profitability

Near-zero operating and net margins leave minimal cushion against input cost inflation, shrink pricing flexibility, and limit reinvestment capacity. In a distribution business where margins are thin by design, sustained compression materially raises the risk of losses if volume or supplier economics shift unfavorably.

Elevated Leverage

High debt relative to equity increases sensitivity to cash-flow volatility and interest-cost risk. For a low-margin distributor, elevated leverage constrains strategic flexibility, heightens refinancing risk during downturns, and reduces the firm's capacity to invest in growth or buffer margin shocks.

Sharp Decline in Return on Equity

A collapse in ROE signals that the company is generating almost no return on shareholder capital despite revenue growth. Persistently weak returns can limit reinvestment, pressure capital allocation choices, and increase scrutiny from stakeholders seeking sustainable profitability improvements.

Amcon Distributing Company Business Overview & Revenue Model

Company Description

Amcon Distributing Company (DIT) is a leading wholesale distributor of consumer products, primarily serving the convenience store and grocery sectors across the United States. The company specializes in delivering a wide range of products, including snacks, beverages, tobacco, and general merchandise, catering to the specific needs of retailers and their customers. With a strong focus on operational efficiency and customer service, Amcon Distributing has established a robust network of distribution centers that enable timely delivery and support for its retail partners.

How the Company Makes Money

Amcon Distributing Company generates revenue primarily through the wholesale distribution of consumer products. The company's revenue model is based on purchasing goods from manufacturers at a lower price and selling them to retailers at a markup. Key revenue streams include sales of snacks, beverages, and tobacco products, which are staples in convenience stores. Additionally, Amcon benefits from long-term partnerships with major suppliers and manufacturers, allowing it to secure favorable pricing and exclusive distribution agreements. The company's extensive logistics network and expertise in supply chain management also contribute to cost efficiencies, enhancing profit margins. Seasonal promotions and marketing support for retail partners further drive sales, creating a mutually beneficial relationship that supports steady revenue growth.

Amcon Distributing Company Financial Statement Overview

Summary

Strong TTM revenue growth and improved recent operating/free cash flow support the business, but profitability has deteriorated sharply (near-zero net margin and compressed EBIT margin). Elevated leverage (~1.5x debt-to-equity) amplifies risk in a thin-margin distribution model.

Income Statement

Revenue growth has been strong over time, including a sharp acceleration in TTM (Trailing-Twelve-Months) (up ~58% vs. the prior annual period). However, profitability has deteriorated materially: net margin fell from ~0.8% (2022) and ~0.5% (2023) to ~0.16% (2024) and ~0.02% in TTM (Trailing-Twelve-Months). Operating profitability also compressed (EBIT margin ~0.29% in TTM (Trailing-Twelve-Months) vs. ~1.0% in 2022–2023), indicating weaker pricing/expense leverage despite stable gross margin (~5.8% TTM vs. ~6–7% historically).

Balance Sheet

Leverage is elevated for a low-margin distributor, with debt-to-equity around ~1.5x in the latest periods (and ~1.7x in 2023), which increases sensitivity to margin pressure. Equity has grown modestly, but returns have weakened significantly: return on equity dropped from ~18% (2022) and ~11% (2023) to ~0.5% in TTM (Trailing-Twelve-Months), reflecting the steep decline in earnings. Total assets are relatively stable versus recent years, but the combination of high leverage and very low profitability is the key balance-sheet risk.

Cash Flow

Cash generation is a clear relative positive: TTM (Trailing-Twelve-Months) operating cash flow (~$46.8M) and free cash flow (~$40.6M) are strong, with free cash flow up sharply versus the prior annual period. That said, cash flow has been volatile year-to-year (notably weaker in 2023 and in the 2025 annual period), and free cash flow is not consistently tracking earnings (free cash flow is ~0.52x net income in the latest provided ratio set). Overall, liquidity support from cash flow helps offset weak margins, but consistency is a watch item.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.82B	2.71B	2.54B	2.01B	1.67B
Gross Profit	188.23M	182.35M	170.84M	127.72M	100.55M
EBITDA	11.40M	27.37M	33.43M	27.37M	21.12M
Net Income	568.74K	4.34M	11.60M	16.67M	15.55M
Balance Sheet
Total Assets	391.09M	374.11M	363.43M	289.12M	188.41M
Cash, Cash Equivalents and Short-Term Investments	744.61K	672.79K	790.93K	431.58K	519.59K
Total Debt	174.02M	168.84M	177.54M	120.48M	67.45M
Total Liabilities	278.02M	262.38M	259.26M	196.30M	110.80M
Stockholders Equity	113.07M	111.73M	104.17M	92.83M	77.61M
Cash Flow
Free Cash Flow	9.66M	47.44M	8.16M	8.20M	19.41M
Operating Cash Flow	18.67M	67.87M	19.72M	22.89M	20.94M
Investing Cash Flow	-15.02M	-42.11M	-66.27M	-14.36M	-1.47M
Financing Cash Flow	-3.57M	-25.88M	46.91M	-8.62M	-19.61M

Amcon Distributing Company Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 111.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DIT, the sentiment is Neutral. The current price of 111 is above the 20-day moving average (MA) of 107.92, above the 50-day MA of 110.14, and below the 200-day MA of 112.26, indicating a neutral trend. The MACD of -0.53 indicates Negative momentum. The RSI at 49.71 is Neutral, neither overbought nor oversold. The STOCH value of 71.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DIT.

Amcon Distributing Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WILC	81 Outperform	$402.31M	15.17	15.15%	3.55%	9.33%	72.31%
CVGW	71 Outperform	$454.72M	23.00	9.72%	3.70%	-5.33%	―
CHEF	64 Neutral	$2.56B	36.37	14.12%	―	8.88%	54.12%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
HFFG	56 Neutral	$101.31M	-2.22	-17.40%	―	4.10%	-2241.30%
UNFI	52 Neutral	$2.27B	-22.33	-6.37%	―	1.45%	-5.49%
DIT	48 Neutral	$70.58M	67.50	0.51%	0.90%	3.90%	-87.36%

Amcon Distributing Company Corporate Events

AMCON Shareholders Back Governance, Board Declares Special Dividend

At its annual meeting on December 18, 2025, AMCON Distributing Company’s shareholders re-elected six directors, ratified RSM US LLP as the independent auditor for fiscal 2026, and gave advisory approval to the company’s executive compensation program, while endorsing a three-year cadence for future say-on-pay votes, a set of outcomes that reinforces continuity in AMCON’s governance, leadership, and oversight framework. On the same day, the board declared a special cash dividend of $0.28 per common share, payable on January 30, 2026 to shareholders of record on December 29, 2025, signaling a return of capital to investors that may reflect management’s confidence in the company’s financial position and cash-generating capacity.

The most recent analyst rating on (DIT) stock is a Hold with a $119.00 price target. To see the full list of analyst forecasts on Amcon Distributing Company stock, see the DIT Stock Forecast page.