Mill City Ventures III (MCVT) AI Stock Analysis

• Market Cap: $11.62M
• Dividend Yield: N/A
• Average Volume (3M): 328.24K
• Price to Earnings (P/E): 10.0
• Beta (1Y): -0.18
• Revenue Growth: 21.09%
• EPS Growth: N/A
• Country: US
• Employees: 5
• Sector: Financial
• Sector Strength: 84
• Industry: Credit Finance
• EPS (TTM): 0.18
• Shares Outstanding: 6,385,255
• 10 Day Avg. Volume: 105,531
• 30 Day Avg. Volume: 328,238
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.60
• Price to Cash Flow (P/CF): -1.30
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Mill City Ventures III has a strong financial position with no debt and positive cash flow trends, which supports its stability. However, mixed profitability margins and a high P/E ratio suggest potential overvaluation, impacting its attractiveness. The technical analysis indicates strong upward momentum, which is a positive signal for potential investors.

Mill City Ventures III Business Overview & Revenue Model

Company Description

Mill City Ventures III (MCVT) is a specialty finance company engaged in the business of providing short-term non-bank financing solutions. The company primarily focuses on offering high-interest loans and other financial products to small and medium-sized enterprises (SMEs) that may not have access to traditional banking facilities. MCVT operates within the niche market of specialty finance, targeting businesses that require quick access to capital.

How the Company Makes Money

Mill City Ventures III generates revenue primarily through the interest and fees associated with its short-term loan offerings. The company provides loans to businesses that are typically underserved by traditional banks, allowing them to charge higher interest rates due to the increased risk associated with these loans. MCVT's revenue model is driven by its ability to assess and manage risk effectively, ensuring a steady stream of income from interest payments. Additionally, the company may engage in strategic partnerships with other financial institutions or investors to expand its lending capabilities and enhance its market reach. Other significant factors contributing to its earnings include the ability to quickly deploy capital and maintain a diversified portfolio of loans to mitigate potential losses.

Mill City Ventures III Financial Statement Overview

Summary

Overall, Mill City Ventures III demonstrates financial stability with a strong equity position and positive cash flow trends. However, profitability margins are mixed, and historical cash flow volatility suggests potential challenges. The absence of debt reduces financial risk but may limit growth opportunities.

Income Statement

Mill City Ventures III shows consistent revenue figures over recent years with a slight uptick in TTM to $3.32 million. Gross profit margin is strong at 107% in TTM, indicating efficient cost management relative to revenue. However, the net profit margin is modest at 11.2%, suggesting room for improvement in profitability. EBIT margin is low at 0.8%, and the negative EBITDA margin highlights potential challenges in operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with no debt in the TTM period, resulting in a favorable debt-to-equity ratio of 0.0. Stockholders' equity covers total assets, resulting in an equity ratio of 100%, indicating solid capital structure. However, the lack of leverage might limit growth potential in certain scenarios.

Cash Flow

Operating cash flow is positive in TTM at $3.17 million, a significant improvement from previous periods, indicating better cash management. The free cash flow has seen substantial growth, but historical volatility in cash flows suggests potential instability. The operating cash flow to net income ratio is 8.54, reflecting strong conversion of income to cash.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.30M	3.30M	3.32M	5.24M	3.24M
	Gross Profit
3.25M	3.23M	3.25M	5.17M	3.17M
	EBIT
1.33M	-420.00K	952.50K	3.89M	2.50M
	EBITDA
1.33M	-1.54M	952.50K	3.89M	563.92K
	Net Income Common Stockholders
1.17M	-1.17M	577.74K	2.83M	2.21M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
6.03M	376.02K	1.09M	1.94M	5.44M
	Total Assets
20.47M	19.11M	18.57M	16.70M	12.51M
	Total Debt
0.00	9.28K	16.56K	5.65K	26.06K
	Net Debt
-6.03M	-366.74K	-1.07M	-1.93M	-5.41M
	Total Liabilities
715.45K	516.43K	223.23K	3.28M	870.00K
	Stockholders Equity
19.76M	18.59M	18.34M	13.41M	11.64M
Cash Flow		Free Cash Flow
5.65M	-1.14M	-4.89M	-1.89M	-2.46M
	Operating Cash Flow
5.65M	-1.14M	-4.89M	-1.89M	-2.46M
	Investing Cash Flow
0.00	0.00	-3.29M	-4.82M	-3.01M
	Financing Cash Flow
0.00	424.00K	4.04M	-1.62M	-162.92K

Mill City Ventures III Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.80
• 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 MCVT, the sentiment is Negative. The current price of 1.8 is below the 20-day moving average (MA) of 1.91, below the 50-day MA of 2.36, and below the 200-day MA of 2.40, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 39.75 is Neutral, neither overbought nor oversold. The STOCH value of 49.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MCVT.

Mill City Ventures III Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAIN	74 Outperform	$5.12B	9.87	19.26%	5.14%	51.80%	12.05%
HTGC	67 Neutral	$3.28B	11.77	13.71%	8.36%	-1.49%	-29.48%
MCVT	66 Neutral	$11.62M	10.04	6.09%	―	21.09%	―
GAIN	64 Neutral	$499.88M	7.08	14.74%	7.07%	-8.68%	-3.76%
Sector *	63 Neutral	$14.38B	10.25	8.60%	4.24%	17.42%	-11.66%
TCPC	58 Neutral	$656.80M	―	-8.57%	17.62%	8.24%	-207.60%
PNNT	53 Neutral	$462.95M	28.39	3.28%	12.83%	―	-66.59%