EACO (EACO) AI Stock Analysis

EACO

(Other OTC:EACO)

Select Model

Rating:82Outperform

Price Target:$174.00▲(26.52% Upside)

Action:reiterated

Date:10/30/26

The score is primarily driven by strong financial performance with excellent balance sheet health and revenue growth. Technical indicators show positive momentum, while valuation appears reasonable at current levels.

Positive Factors

Revenue and Margin ExpansionSustained revenue growth alongside higher gross and net margins indicates improving scale economics and operating performance. If maintained, this combination can strengthen earnings power, support reinvestment, and improve the company’s competitive position over the next several quarters.

Negative Factors

Weak Cash-to-Earnings ConversionOperating cash flow materially below net income reduces confidence that reported profits are consistently converting into usable cash. Persistent conversion weakness could constrain internally funded growth, increase reliance on working-capital movements, and make earnings quality less dependable.

EACO (EACO) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $729.24M
Dividend Yield: ―
Average Volume (3M): 438
Price to Earnings (P/E): 15.2
Beta (1Y): 0.04
Revenue Growth: 25.03%
EPS Growth: 49.35%
Country: US
Employees: 684
Sector: Technology
Sector Strength: 61
Industry: Technology Distributors

EACO Business Overview & Revenue Model

Company Description

EACO Corporation, operating chiefly through its wholly owned subsidiary, Bisco Industries, Inc., specializes in the distribution and sale of electronic components and fasteners throughout the United States and Canada. Its extensive product catalog fe...

EACO Financial Statement Overview

Summary

Robust revenue growth and expanding margins in the income statement, combined with a very strong low-debt balance sheet, though cash flow shows some volatility.

Income Statement

87Very Positive

Balance Sheet

93Very Positive

Cash Flow

68Positive

Financial statement breakdown
Breakdown	TTM	Aug 2026	Aug 2025	Aug 2024	Aug 2023	Aug 2022
Income Statement
Total Revenue	535.03M	535.03M	427.93M	356.23M	319.40M	292.56M
Gross Profit	168.04M	168.04M	128.71M	106.21M	92.42M	83.50M
EBITDA	65.91M	66.37M	44.79M	23.15M	28.88M	30.81M
Net Income	48.14M	48.19M	32.22M	14.95M	21.18M	21.31M
Balance Sheet
Total Assets	283.98M	283.98M	236.79M	188.54M	162.24M	139.68M
Cash, Cash Equivalents and Short-Term Investments	45.60M	45.60M	37.74M	15.59M	35.79M	21.31M
Total Debt	13.94M	13.94M	11.36M	11.94M	14.64M	15.15M
Total Liabilities	80.06M	80.06M	80.94M	64.91M	53.52M	51.93M
Stockholders Equity	203.92M	203.92M	155.85M	123.63M	108.72M	87.75M
Cash Flow
Free Cash Flow	11.45M	11.45M	15.88M	-18.53M	12.46M	15.30M
Operating Cash Flow	14.78M	14.78M	17.17M	14.08M	13.42M	17.00M
Investing Cash Flow	-17.66M	-17.66M	-16.44M	-20.45M	-23.82M	-2.24M
Financing Cash Flow	2.85M	2.85M	5.80M	-1.37M	1.70M	-1.23M

EACO Technical Analysis

Technical Analysis SentimentPositive

Last Price137.53

Price Trends

50DMA126.86Positive

100DMA114.25Positive

200DMA102.44Positive

Market Momentum

MACD2.08Negative

RSI60.77Neutral

STOCH50.00Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EACO, the sentiment is Positive. The current price of 137.53 is above the 20-day moving average (MA) of 127.38, above the 50-day MA of 126.86, and above the 200-day MA of 102.44, indicating a bullish trend. The MACD of 2.08 indicates Negative momentum. The RSI at 60.77 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 Positive sentiment for EACO.

EACO Risk Analysis

EACO disclosed 21 risk factors in its most recent earnings report. EACO 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

EACO Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

EACO against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EACO	82Outperform	$668.59M	15.15	26.28%	―	25.03%	49.35%
CLMB	78Outperform	$758.26M	31.26	19.25%	0.42%	24.23%	10.53%
SCSC	71Outperform	$1.18B	15.64	8.66%	―	6.09%	21.23%
CNXN	69Neutral	$2.19B	21.39	10.89%	0.86%	9.53%	24.84%
IZM	63Neutral	$1.64M	1.36	7.76%	―	―	―
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TAIT	56Neutral	$11.56M	-29.86	-2.53%	7.55%	-27.27%	―

* Technology Sector Average

Performance Comparison

EACO and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
EACO	EACO Corporation	137.53	62.37	82.98%
CNXN	Pc Connection	86.83	27.81	47.13%
SCSC	ScanSource Inc	57.71	15.43	36.49%
TAIT	Taitron Components	1.92	-0.19	-9.09%
CLMB	Climb Global Solutions, Inc.	40.64	11.44	39.19%
IZM	ICZOOM Group, Inc. Class A	0.68	-7.47	-91.63%

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: Oct 30, 2026

EACO AI Stock Analysis