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Amcon Distributing Company (DIT)
:DIT
US Market

Amcon Distributing Company (DIT) AI Stock Analysis

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Amcon Distributing Company

(NYSE MKT:DIT)

Rating:64Neutral
Price Target:
$120.00
▲(3.90%Upside)
The overall stock score for Amcon Distributing Company is driven by solid revenue growth and operational efficiency, moderated by concerns over declining net profitability and cash flow challenges. Technical indicators suggest a bearish outlook, compounded by a high P/E ratio indicating potential overvaluation. The dividend yield is modest, offering limited income for investors.

Amcon Distributing Company (DIT) vs. SPDR S&P 500 ETF (SPY)

Amcon Distributing Company Business Overview & Revenue Model

Company DescriptionAMCON Distributing Company, together with its subsidiaries, engages in the wholesale distribution of consumer products in the Central, Rocky Mountain, and Mid-South regions of the United States. It operates through Wholesale Distribution and Retail Health Food segments. The Wholesale Distribution segment distributes consumer products, including cigarettes and tobacco products, candy and other confectionery, beverages, groceries, paper products, health and beauty care products, frozen and refrigerated products, and institutional foodservice products. It serves retailers, such as convenience stores, discount and general merchandise stores, grocery stores, drug stores, liquor stores, tobacco shops, and gas stations; and institutional customers, including restaurants and bars, schools, and sports complexes, as well as other wholesalers. This segment also markets private label lines of water, candy products, batteries, and other products. In addition, the Retail Health Food segment is involved in the retail of natural, organic, and specialty foods consisting of produce, baked goods, frozen foods, nutritional supplements, personal care items, and general merchandise. Further, the company operates twenty retail health food stores under the Chamberlin's Natural Foods, Akin's Natural Foods, and Earth Origins Market brands. AMCON Distributing Company was incorporated in 1986 and is based in Omaha, Nebraska.
How the Company Makes MoneyAMCON Distributing Company makes money primarily through the wholesale distribution of consumer products to retailers such as convenience stores and small grocery chains. Its key revenue streams include the sale of tobacco products, which form a significant portion of its business, followed by candy, beverages, groceries, and other convenience store products. The company also generates revenue through its retail health food segment, which involves the operation of health food retail stores offering natural and organic products. Strategic partnerships with manufacturers and suppliers, as well as the company's expansive distribution network, contribute significantly to its earnings by enabling efficient product distribution and competitive pricing.

Amcon Distributing Company Financial Statement Overview

Summary
Amcon Distributing Company demonstrates solid revenue growth and operational efficiency, but faces challenges with declining net profitability and free cash flow generation in the TTM period. The company maintains a stable balance sheet with manageable leverage, although rising debt levels could pose future risks. Overall, the financial statements indicate a need for strategic management of cash flows and profitability to sustain growth.
Income Statement
78
Positive
Amcon Distributing Company shows strong revenue growth with a 10.4% increase from 2023 to TTM, and a solid gross profit margin of 6.6% for TTM. However, net profit margin declined to 0.05% due to lower net income. The EBIT and EBITDA margins are relatively stable, indicating efficient operational performance despite recent profit challenges.
Balance Sheet
72
Positive
The balance sheet reflects a stable equity position with a debt-to-equity ratio of 0.31, suggesting manageable leverage. Equity ratio is also favorable at 28.4%, indicating a strong asset base. However, recent increases in total debt warrant monitoring for potential future risks.
Cash Flow
65
Positive
Cash flow analysis reveals a decrease in free cash flow, impacted by increased capital expenditures, resulting in negative free cash flow for TTM. Operating cash flow to net income ratio is strong at 5.84, signaling good cash generation relative to net income. The free cash flow to net income ratio is negative due to the drop in free cash flow.
BreakdownTTMSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income Statement
Total Revenue2.79B2.71B2.54B2.01B1.67B1.52B
Gross Profit184.25M182.35M170.84M127.72M100.55M87.73M
EBITDA24.20M27.37M33.43M26.25M20.92M12.68M
Net Income1.48M4.34M11.60M16.67M12.19M5.54M
Balance Sheet
Total Assets392.00M374.11M363.43M289.12M188.41M188.00M
Cash, Cash Equivalents and Short-Term Investments685.85K672.79K790.93K431.58K519.59K661.20K
Total Debt190.17M168.84M177.54M120.48M67.45M84.73M
Total Liabilities280.65M262.38M259.26M196.30M110.80M123.21M
Stockholders Equity111.35M111.73M104.17M92.83M77.61M64.79M
Cash Flow
Free Cash Flow-7.13M47.44M8.16M8.20M19.41M11.85M
Operating Cash Flow8.67M67.87M19.72M22.89M20.94M15.20M
Investing Cash Flow-43.77M-42.11M-66.27M-14.36M-1.47M-13.31M
Financing Cash Flow34.84M-25.88M46.91M-8.62M-19.61M-1.57M

Amcon Distributing Company Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price115.50
Price Trends
50DMA
110.73
Positive
100DMA
118.58
Negative
200DMA
125.55
Negative
Market Momentum
MACD
0.79
Negative
RSI
58.23
Neutral
STOCH
88.22
Negative
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 115.5 is above the 20-day moving average (MA) of 106.28, above the 50-day MA of 110.73, and below the 200-day MA of 125.55, indicating a neutral trend. The MACD of 0.79 indicates Negative momentum. The RSI at 58.23 is Neutral, neither overbought nor oversold. The STOCH value of 88.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DIT.

Amcon Distributing Company Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
SYSYY
78
Outperform
$37.41B19.9694.91%2.78%3.55%-5.79%
77
Outperform
$18.14B36.0311.16%6.32%5.69%
76
Outperform
$13.87B36.999.05%6.20%-10.58%
71
Outperform
$900.39M2,245.98-1.38%3.31%0.26%-119.66%
66
Neutral
£10.46B6.174.94%3.10%-0.88%2.57%
DIDIT
64
Neutral
$74.55M48.081.35%0.62%6.03%-83.00%
58
Neutral
$1.41B-4.11%6.62%53.12%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DIT
Amcon Distributing Company
115.50
-33.82
-22.65%
SPTN
SpartanNash Co
26.60
9.28
53.58%
SYY
Sysco
77.18
9.39
13.85%
UNFI
United Natural Foods
23.26
10.87
87.73%
PFGC
Performance Food Group
88.87
25.47
40.17%
USFD
US Foods Holding
78.42
26.80
51.92%
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.Date of analysis: Jun 27, 2025