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Newegg Commerce, Inc. (NEGG)
NASDAQ:NEGG
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Newegg Commerce (NEGG) AI Stock Analysis

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NEGG

Newegg Commerce

(NASDAQ:NEGG)

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Neutral 42 (OpenAI - 5.2)
Rating:42Neutral
Price Target:
$12.50
▼(-83.66% Downside)
Action:Reiterated
Date:07/03/26
The score is primarily held down by weak financial quality—especially large negative operating and free cash flow—despite modest TTM profitability and improved leverage. Technicals also reflect a strong downtrend with negative momentum. Valuation provides little support given the high P/E and no dividend yield data.
Positive Factors
Profitability Turnaround
Newegg's shift from multi-year losses to slight TTM profitability and positive adjusted EBITDA reflects durable operational fixes (pricing discipline, inventory management). This stabilizes core earnings, enabling reinvestment or debt reduction rather than persistent restructuring, improving long-term viability.
Negative Factors
Negative Cash Generation
Sustained negative operating and free cash flow is a material durability risk: it forces reliance on external financing or asset sales, limits capex and working-capital flexibility, and increases vulnerability to demand shocks. Without cash-flow recovery, operational plans may be constrained for months.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability Turnaround
Newegg's shift from multi-year losses to slight TTM profitability and positive adjusted EBITDA reflects durable operational fixes (pricing discipline, inventory management). This stabilizes core earnings, enabling reinvestment or debt reduction rather than persistent restructuring, improving long-term viability.
Read all positive factors

Newegg Commerce (NEGG) vs. SPDR S&P 500 ETF (SPY)

Newegg Commerce Business Overview & Revenue Model

Company Description
Newegg Commerce, Inc. operates as an electronics-focused e-retailer in North America. The company offers desktops, laptops, gaming laptops, peripherals, and accessories; CPU/processors, graphic cards, motherboards, storage devices, and computer ac...
How the Company Makes Money
Newegg primarily makes money through (1) direct product sales (first-party retail), where it purchases inventory from suppliers and sells to customers, earning revenue at the gross selling price and profit from the spread between selling price and...

Newegg Commerce Financial Statement Overview

Summary
Earnings have improved to slightly positive in TTM and leverage has become more manageable, but this is outweighed by materially negative operating and free cash flow (about -$77M and -$80M TTM). Revenue is also down (~2.8% TTM) and margins remain very thin, increasing financial risk.
Income Statement
46
Neutral
Balance Sheet
58
Neutral
Cash Flow
25
Negative
BreakdownMar 2026Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.44B1.24B1.50B1.72B2.38B
Gross Profit168.46M120.78M167.56M216.63M325.98M
EBITDA5.73M-32.95M-45.69M-31.62M41.88M
Net Income-4.88M-43.33M-58.99M-57.43M36.26M
Balance Sheet
Total Assets468.91M407.32M499.05M542.10M626.58M
Cash, Cash Equivalents and Short-Term Investments107.80M99.74M102.51M122.56M99.99M
Total Debt63.25M73.00M90.56M96.83M107.23M
Total Liabilities308.20M301.23M369.65M386.87M444.30M
Stockholders Equity160.71M106.09M129.39M155.22M182.28M
Cash Flow
Free Cash Flow-29.66M-4.44M-34.10M11.29M-67.13M
Operating Cash Flow-26.97M-821.00K-3.84M20.48M-53.29M
Investing Cash Flow105.00K2.44M-14.25M-3.77M-13.84M
Financing Cash Flow35.58M-6.05M1.56M1.55M12.74M

Newegg Commerce Technical Analysis

Technical Analysis Sentiment
Negative
Last Price76.49
Price Trends
50DMA
18.42
Negative
100DMA
29.35
Negative
200DMA
44.24
Negative
Market Momentum
MACD
-1.67
Negative
RSI
26.25
Positive
STOCH
22.34
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NEGG, the sentiment is Negative. The current price of 76.49 is above the 20-day moving average (MA) of 15.36, above the 50-day MA of 18.42, and above the 200-day MA of 44.24, indicating a bearish trend. The MACD of -1.67 indicates Negative momentum. The RSI at 26.25 is Positive, neither overbought nor oversold. The STOCH value of 22.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NEGG.

Newegg Commerce Risk Analysis

Newegg Commerce disclosed 70 risk factors in its most recent earnings report. Newegg Commerce reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Newegg Commerce Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$49.75B24.9044.12%1.38%13.15%5.89%
67
Neutral
$18.00B15.7940.05%5.46%0.99%31.91%
66
Neutral
$8.57B44.5344.82%6.14%-32.48%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
57
Neutral
$11.79B-38.3310.98%6.80%18.24%
51
Neutral
$17.18B283.681.31%3.33%4.79%-92.77%
42
Neutral
$272.44M57.33-3.99%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NEGG
Newegg Commerce
12.99
-13.35
-50.68%
BBY
Best Buy Co
85.41
22.72
36.24%
EBAY
eBay
112.06
34.03
43.62%
GPC
Genuine Parts Company
124.82
5.21
4.36%
W
Wayfair
89.31
32.89
58.29%
CHWY
Chewy
20.93
-16.96
-44.76%

Newegg Commerce Corporate Events

Newegg Commerce Swings to Q1 2026 Profit Despite Sales Decline
May 28, 2026
Newegg Commerce reported first-quarter 2026 results on May 28, 2026, showing that net sales fell 11.8% year over year to $306.2 million and GMV declined 12.1% to $377.5 million amid memory supply constraints, industrywide pricing pressure and weak...
Newegg Swings to Positive Adjusted EBITDA on 2025 Growth, Targets Profit in 2026
Apr 28, 2026
On April 28, 2026, Newegg Commerce reported fiscal 2025 results showing a sharp turnaround, with GMV up 15.4% to $1.77 billion, net sales rising 16.9% to $1.44 billion and gross profit climbing to $168.5 million, while narrowing its net loss to $4...
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: Jul 03, 2026