MNTN, Inc Class A (MNTN) AI Stock Analysis

• Market Cap: $727.39M
• Dividend Yield: N/A
• Average Volume (3M): 555.36K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: 31.28%
• EPS Growth: -22.05%
• Country: US
• Employees: 499
• Sector: Technology
• Sector Strength: 88
• Industry: Advertising Agencies
• EPS (TTM): N/A
• Shares Outstanding: 56,796,623
• 10 Day Avg. Volume: 706,478
• 30 Day Avg. Volume: 555,357
• PEG Ratio: 11.86
• Price to Book (P/B): 19.88
• Price to Sales (P/S): 20.95
• P/FCF Ratio: 107.63
• Enterprise Value/Market Cap: 0.67
• Enterprise Value/Revenue: 1.68
• Enterprise Value/Gross Profit: 2.17
• Enterprise Value/Ebitda: 18.46
• 1Y Price Target: $20.42
• Price Target Upside: 110.08% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: $10.50 ▲(8.02% Upside)
• Action: Reiterated Date: 02/12/26
• Date: Action: Reiterated 02/12/26

The score is driven by improving fundamentals (strong margins, strong operating cash flow, and a much stronger balance sheet with zero debt) and a very upbeat earnings update with strong growth and guidance. These positives are meaningfully offset by weak technical momentum (below key moving averages with negative MACD), ongoing trailing net losses/negative P/E, and volatility in free cash flow.

Positive Factors

High and improving gross margins

Sustained high gross margins (79% in Q3) signal structural pricing power or a capital-light delivery model in advertising services. Higher gross margins improve operating leverage, supporting durable cash generation and reinvestment capacity even if top-line growth moderates.

Zero debt, materially stronger balance sheet

A debt-free balance sheet with positive equity reduces financial risk and gives management room to invest in product development or M&A. This structural flexibility supports long-run resilience, lowers bankruptcy risk, and improves ability to weather advertising cyclicality.

Product innovation and expanding customer base

QuickFrame AI and a 67% YoY rise in active PTV customers indicate scalable product-led growth and stronger unit economics. New tooling lowers customer acquisition friction, broadens TAM access to SMBs, and supports durable adoption if product reduces time/cost to run TV campaigns.

Negative Factors

Concentration in small and medium-sized businesses

Heavy reliance on SMB customers tends to increase churn and revenue volatility versus enterprise-focused models. SMBs are more price sensitive and shorter-tenured, which can make ARR-like predictability weaker and raise marketing/sales costs to sustain growth over multiple quarters.

Profitability not yet consistently established

A single GAAP-profitable quarter demonstrates progress but TTM net income and returns remain negative. This inconsistency implies earnings could reverse if revenue growth slows or expenses rise, limiting visibility into sustainable bottom-line improvement for shareholders.

Free cash flow volatility and rising operating expenses

Positive FCF is encouraging, but a ~68% YoY drop signals volatility in cash conversion and higher reinvestment or cost pressure. Combined with rising operating expenses noted in Q3, this could constrain sustainable investment or margin expansion if cash conversion doesn't stabilize.

MNTN, Inc Class A Business Overview & Revenue Model

Company Description

MNTN, Inc., a performance TV software company, provides performance advertising services in the United States. The company offers Performance TV software platform, enables marketers to target audiences through MNTN Matched technology and then directly attribute each view to a purchase or other action. Its platform provides segmentation tools, intelligent campaign planning, advance audience targeting, prospecting, creative ad builder, and data analytics reporting. MNTN, Inc. was formerly known as Steel House, Inc. and changed its name to MNTN, Inc. in June 2021. The company was incorporated in 2009 and is headquartered in Austin, Texas.

How the Company Makes Money

MNTN generates revenue primarily through its advertising services, where clients pay for access to its programmatic advertising platform and related solutions. The company's revenue model is built on a combination of subscription fees, usage-based billing, and performance-based pricing structures. Key revenue streams include fees from advertisers who utilize the platform to run campaigns, as well as additional revenue from analytics and reporting services that help clients measure the effectiveness of their advertising efforts. Significant partnerships with major digital platforms and data providers also enhance MNTN's capabilities, allowing the company to offer comprehensive solutions that attract a wide range of clients across various industries.

MNTN, Inc Class A Financial Statement Overview

Summary

Financials are improving: revenue is up (~6% TTM) with very strong gross margins (~77%), operating cash flow is strong (~$56M) and free cash flow is positive (~$11M). Balance sheet strength is a major positive (zero debt and positive equity). Offsetting this, the company is still net-loss making on a TTM basis and free cash flow fell sharply year-over-year (~68%), signaling profitability and cash conversion are not yet stable.

Income Statement

TTM (Trailing-Twelve-Months) results show solid top-line momentum (revenue up ~6% vs. the prior year) and strong gross profitability (gross margin ~77%). Profitability has improved meaningfully versus 2024 and 2023, with EBITDA turning positive and net losses narrowing to ~2% of revenue. The key weakness is that the business is still not consistently profitable at the bottom line (net income remains negative), and operating profitability remains pressured despite the improvement.

Balance Sheet

The balance sheet in TTM (Trailing-Twelve-Months) looks materially stronger than prior years: total debt is reported at zero and equity is positive (~$306M), implying a low financial risk profile and better flexibility. This is a notable turnaround from 2021–2024 when equity was negative and leverage metrics were distorted by that. The main weakness is returns on equity are still negative in TTM (driven by net losses), so improved capital structure has not yet translated into attractive shareholder returns.

Cash Flow

Cash generation is a clear positive in TTM (Trailing-Twelve-Months): operating cash flow is strong (~$56M) and free cash flow is positive (~$11M). However, free cash flow fell sharply versus the prior year (down ~68%), indicating volatility and/or higher reinvestment needs. Despite net losses, the company is producing cash, but the year-over-year free-cash-flow drop is the key near-term concern.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	290.09M	225.57M	176.30M	134.19M	99.31M
Gross Profit	221.31M	161.52M	123.41M	72.42M	65.97M
EBITDA	-2.65M	-11.83M	-25.28M	-76.18M	-15.18M
Net Income	-6.43M	-32.88M	-53.28M	-94.47M	-12.16M
Balance Sheet
Total Assets	378.30M	238.74M	194.80M	203.40M	249.14M
Cash, Cash Equivalents and Short-Term Investments	210.16M	82.56M	54.97M	50.91M	97.03M
Total Debt	0.00	50.25M	49.33M	53.55M	48.62M
Total Liabilities	72.57M	346.34M	300.71M	291.36M	280.67M
Stockholders Equity	305.74M	-107.60M	-105.91M	-87.97M	-31.53M
Cash Flow
Free Cash Flow	56.47M	32.60M	-3.05M	-61.02M	-5.02M
Operating Cash Flow	56.47M	42.55M	-3.05M	-56.95M	-1.10M
Investing Cash Flow	-17.11M	-9.95M	37.79M	-4.07M	-1.36M
Financing Cash Flow	88.24M	-5.00M	-34.88M	14.90M	91.71M

MNTN, Inc Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MNTN	65 Neutral	$727.39M	-99.59	―	―	31.28%	-22.05%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AIRG	50 Neutral	$53.66M	-8.11	-19.65%	―	-1.53%	55.08%
WLDS	41 Neutral	$4.96M	-0.10	-268.12%	―	-9.05%	77.41%