Starco Brands (STCB) AI Stock Analysis

• Market Cap: $31.29M
• Dividend Yield: N/A
• Average Volume (3M): 18.10K
• Price to Earnings (P/E): 7.3
• Beta (1Y): 0.52
• Revenue Growth: -30.26%
• EPS Growth: N/A
• Country: US
• Employees: 29
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Chemicals - Specialty
• EPS (TTM): >-0.01
• Shares Outstanding: 784,192,000
• 10 Day Avg. Volume: 23,745
• 30 Day Avg. Volume: 18,101
• PEG Ratio: 0.03
• Price to Book (P/B): 2.12
• Price to Sales (P/S): 0.67
• P/FCF Ratio: 20.51
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 0.58
• Enterprise Value/Gross Profit: 1.67
• Enterprise Value/Ebitda: 3.51
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: $0.04 ▼(-12.50% Downside)

The overall stock score is primarily impacted by financial performance challenges and negative corporate events. While the valuation suggests the stock is undervalued, the financial instability and recent forbearance agreement amendment raise concerns. Technical indicators show neutral to slightly positive trends, but the financial and corporate event risks weigh heavily on the score.

Positive Factors

Product Innovation

Starco Brands' commitment to innovation in consumer goods positions it well for long-term growth by continuously meeting evolving consumer needs.

Market Access

Strong partnerships enhance distribution channels, increasing sales volume and brand visibility, which supports sustainable revenue growth.

Sustainable Practices

Focus on sustainability aligns with consumer trends towards eco-friendly products, potentially driving long-term brand loyalty and market share.

Negative Factors

Financial Instability

Ongoing profitability and liquidity issues could hinder operational capabilities and growth, affecting long-term financial health.

Revenue Decline

Declining revenue growth indicates potential market challenges and competitive pressures, impacting future profitability and market position.

Debt Concerns

Financial distress and debt-related challenges may limit strategic flexibility and increase risk, affecting long-term stability and investor confidence.

Starco Brands Business Overview & Revenue Model

Company Description

Starco Brands, Inc. markets consumer products through retail and online in the United States. It offers products in various categories, including household cleaning, DIY/Hardware, paints, coatings and adhesives, household, hair care, disinfectants, automotive, motorcycle, arts and crafts, personal care cosmetics, personal care FDA, sun care, food, cooking oils, beverages and spirits, and wine. The company was formerly known as Insynergy Products, Inc. and changed its name to Starco Brands, Inc. in September 2017. Starco Brands, Inc. was incorporated in 2010 and is based in Santa Monica, California.

How the Company Makes Money

Starco Brands generates revenue through multiple channels, primarily by selling its branded products through retail partnerships, e-commerce platforms, and direct-to-consumer sales. The company focuses on building a portfolio of innovative brands that can command premium pricing due to their unique value propositions. Key revenue streams include product sales in supermarkets, specialty stores, and online marketplaces. Additionally, strategic partnerships with distributors and retailers help expand market access and increase sales volume. The company may also engage in licensing agreements or collaborations that further enhance its brand visibility and drive revenue growth.

Starco Brands Financial Statement Overview

Summary

Starco Brands faces challenges in profitability and cash flow management, with negative margins and declining cash flow growth. The balance sheet shows moderate leverage and improved return on equity, suggesting some financial stability. However, the company needs to address its profitability and liquidity issues to enhance its financial health.

Income Statement

Starco Brands has experienced significant volatility in its income statement metrics. The company shows a negative net profit margin and declining revenue growth rate in the TTM period, indicating challenges in profitability and growth. However, the gross profit margin remains positive, suggesting some operational efficiency. The EBIT and EBITDA margins have improved from previous periods but remain negative, highlighting ongoing profitability issues.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating a balanced approach to leverage. The return on equity has improved significantly in the TTM period, reflecting better utilization of equity. However, the equity ratio is not provided, which limits a full assessment of asset financing. Overall, the balance sheet reflects moderate financial stability with some room for improvement.

Cash Flow

Cash flow metrics reveal a decline in free cash flow growth, indicating potential liquidity challenges. The operating cash flow to net income ratio is low, suggesting limited cash generation relative to net income. The free cash flow to net income ratio is relatively healthy, but the negative growth trend is concerning. Overall, cash flow management appears to be an area needing attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.91M	58.67M	65.21M	7.81M	673.33K	1.37M
Gross Profit	15.55M	20.86M	11.88M	7.04M	387.49K	1.18M
EBITDA	7.38M	-14.39M	-42.74M	1.06M	-3.50K	610.76K
Net Income	3.30M	-17.65M	-46.19M	809.97K	-2.28M	543.29K
Balance Sheet
Total Assets	57.45M	59.72M	83.35M	41.19M	1.36M	842.26K
Cash, Cash Equivalents and Short-Term Investments	1.47M	1.21M	1.76M	1.48M	338.86K	773.32K
Total Debt	4.23M	6.72M	8.39M	3.74M	1.53M	546.99K
Total Liabilities	24.17M	32.49M	57.67M	8.33M	4.11M	1.10M
Stockholders Equity	24.30M	18.40M	17.16M	32.77M	-2.67M	-254.17K
Cash Flow
Free Cash Flow	254.76K	1.90M	313.55K	377.78K	-1.86M	665.77K
Operating Cash Flow	520.71K	2.22M	686.66K	377.78K	-1.84M	665.77K
Investing Cash Flow	-285.95K	-439.32K	-230.01K	-1.46M	-115.64K	0.00
Financing Cash Flow	-384.44K	-2.33M	-175.80K	2.22M	1.52M	102.80K

Starco Brands Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STCB, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 57.85 is Neutral, neither overbought nor oversold. The STOCH value of 41.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for STCB.

Starco Brands Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
FSI	61 Neutral	$90.37M	49.17	5.08%	―	0.18%	-54.25%
ALTO	59 Neutral	$232.80M	-4.26	-20.64%	―	-8.00%	-35.86%
STCB	53 Neutral	$31.29M	7.25	-7.25%	―	-30.26%	―
NTIC	50 Neutral	$73.00M	4,177.78	0.02%	1.33%	-0.97%	-99.67%
LOOP	47 Neutral	$46.60M	-4.01	―	―	11013.00%	39.85%

Starco Brands Corporate Events

Starco Brands Amends Forbearance Agreement Amid Default

On November 24, 2025, Starco Brands, Inc. and its subsidiaries entered into an amendment to the Forbearance Agreement with Gibraltar Business Capital, LLC. This amendment acknowledges ongoing events of default and allows the lender to refrain from exercising remedies related to these defaults until December 31, 2025, under specified conditions, without waiving any rights or remedies.