Marketing Alliance (MAAL) AI Stock Analysis

• Market Cap: $10.77M
• Dividend Yield: N/A
• Average Volume (3M): 1.94K
• Price to Earnings (P/E): 22.5
• Beta (1Y): -0.45
• Revenue Growth: 9.74%
• EPS Growth: -59.57%
• Country: US
• Employees: 32
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Brokers
• EPS (TTM): 0.04
• Shares Outstanding: 8,008,081
• 10 Day Avg. Volume: 60
• 30 Day Avg. Volume: 1,940
• PEG Ratio: -0.38
• Price to Book (P/B): 1.70
• Price to Sales (P/S): 0.43
• P/FCF Ratio: 5.90
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 0.46
• Enterprise Value/Gross Profit: 2.20
• Enterprise Value/Ebitda: 8.41
• 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: 60 Neutral
• Price Target: $1.50 ▲(8.70% Upside)
• Action: Downgraded Date: 01/28/26
• Date: Action: Downgraded 01/28/26

The score is supported primarily by improving fundamentals—especially strong free cash flow growth and better leverage—partly offset by low/declining margins. The biggest drag is weak technicals, with the stock trading below key moving averages and bearish momentum indicators. Valuation appears reasonable but not compelling without dividend support.

Positive Factors

Free cash flow recovery

A 408.5% jump in free cash flow signals a durable improvement in cash generation, increasing self‑funding capacity for capex, working capital and debt paydown. Strong FCF reduces reliance on external financing and supports strategic investments over the next several quarters.

Improved leverage

A reduced debt-to-equity ratio (~0.49) materially improves balance sheet flexibility and lowers interest burden. This gives management durable room to weather downturns, pursue acquisitions or reinvest cash flow without materially increasing financial risk in the medium term.

Revenue recovery

Return to revenue growth (~7.4%) indicates regained market traction and demand stabilization. Sustained top-line expansion provides a platform to leverage fixed costs and improve margins if management maintains revenue mix and controls operating expenses over the coming quarters.

Negative Factors

Very low net margin

A net margin near 2.2% leaves little buffer against cost inflation or revenue pressure, constraining retained earnings and reinvestment. Persistent low profitability undermines cash retention and makes the business sensitive to modest adverse industry or expense shocks over time.

Earnings volatility

A near-60% decline in EPS indicates volatile profitability and earnings instability. Such swings complicate planning, reduce confidence in recurring earnings power, and can limit the firm’s ability to commit to long-term investments or consistent shareholder returns in the medium term.

Modest ROE & falling operating margins

An ROE around 8.6% combined with deteriorating EBIT/EBITDA margins suggests capital is not being converted into strong returns and operating efficiency has weakened. This limits the company’s capacity to generate attractive long-term shareholder value without operational improvement.

Marketing Alliance Business Overview & Revenue Model

Company Description

The Marketing Alliance, Inc. operates as a wholesale distributor of life insurance, annuities, and other financial service products in the United States. It also provides long term care insurance, disability insurance, and medicare supplement products. In addition, the company operates family entertainment space in Florida, Missouri, and North Carolina under the name of Monkey Joe's; and provides construction, heavy equipment, and trenching services in Iowa. The Marketing Alliance, Inc. was incorporated in 1996 and is headquartered in St. Louis, Missouri.

How the Company Makes Money

Marketing Alliance generates revenue through multiple streams, primarily from service fees charged for its marketing services. This includes monthly retainers for ongoing digital marketing campaigns, one-time project fees for specific initiatives, and performance-based pricing models where fees are contingent on achieving predefined marketing results. Additionally, MAAL partners with technology platforms for affiliate marketing, earning commissions on referrals and leads generated through their services. The company also offers training and consulting services to businesses looking to improve their own marketing strategies, providing yet another revenue source. Strategic partnerships with key industry players enhance MAAL's market reach and contribute to its overall earnings.

Marketing Alliance Financial Statement Overview

Summary

Financials are moderately strong: revenue returned to growth (7.37%) and free cash flow improved sharply (+408.5%), while leverage is better managed (debt-to-equity 0.49). The main offset is weaker profitability, with low net margin (2.18%) and reduced EBIT/EBITDA margins.

Income Statement

The company shows a positive revenue growth rate of 7.37% in the latest year, indicating a recovery from previous declines. However, margins have decreased compared to prior years, with a net profit margin of 2.18% and a gross profit margin of 21.16%. The EBIT and EBITDA margins are also lower, suggesting reduced operational efficiency. Overall, the income statement reflects moderate growth with some profitability challenges.

Balance Sheet

The debt-to-equity ratio has improved to 0.49, indicating better leverage management compared to previous years. Return on equity is at 8.56%, showing a decline but still positive. The equity ratio is stable, reflecting a balanced asset structure. The balance sheet suggests improved financial stability, though profitability has weakened.

Cash Flow

Free cash flow growth is strong at 408.5%, indicating significant improvement in cash generation. The operating cash flow to net income ratio is 0.16, and the free cash flow to net income ratio is 0.98, showing efficient cash conversion. The cash flow statement reflects robust cash management and operational efficiency.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Mar 2021	Jun 2020
Income Statement
Total Revenue	21.85M	21.37M	19.59M	17.38M	24.34M	32.14M
Gross Profit	4.56M	4.52M	4.91M	4.76M	6.36M	5.47M
EBITDA	1.19M	992.40K	1.90M	1.36M	3.15M	4.70M
Net Income	791.08K	465.60K	1.04M	893.63K	2.62M	1.44M
Balance Sheet
Total Assets	14.09M	15.84M	17.50M	18.53M	23.39M	24.94M
Cash, Cash Equivalents and Short-Term Investments	4.25M	4.67M	6.36M	6.10M	6.83M	6.85M
Total Debt	899.27K	2.65M	4.29M	4.83M	5.56M	6.12M
Total Liabilities	8.46M	10.41M	10.78M	11.64M	15.61M	17.63M
Stockholders Equity	5.63M	5.44M	6.72M	6.89M	7.78M	7.31M
Cash Flow
Free Cash Flow	1.25M	1.57M	340.75K	1.76M	1.89M	1.16M
Operating Cash Flow	1.28M	1.60M	817.51K	1.78M	2.01M	1.40M
Investing Cash Flow	331.43K	501.94K	1.25M	554.16K	643.40K	2.98M
Financing Cash Flow	-2.17M	-3.49M	-1.62M	-2.58M	-2.63M	-1.68M

Marketing Alliance Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MAAL, the sentiment is Negative. The current price of 1.38 is above the 20-day moving average (MA) of 1.35, above the 50-day MA of 1.36, and above the 200-day MA of 1.36, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.78 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MAAL.

Marketing Alliance Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MAAL	60 Neutral	$10.77M	22.49	―	―	9.74%	-59.57%
SLQT	55 Neutral	$151.63M	-13.07	16.44%	―	13.16%	―
EHTH	52 Neutral	$40.39M	-2.83	4.22%	―	16.79%	―
HUIZ	46 Neutral	$20.28M	8.06	4.56%	―	19.30%	-17.56%
GOCO	44 Neutral	$22.05M	-0.09	-142.05%	―	7.56%	-344.04%
TIRX	43 Neutral	$5.31M	-0.01	-11.18%	―	624.24%	85.46%