Emerson Radio Corp (NYSE: MSN)

Sector: Technology Industry: Consumer Electronics CIK: 0000032621
Market Cap 8.66 Mn
P/B 0.45
P/E -1.71
P/S 0.99
ROIC (Qtr) -28.55
Div Yield % 0.00
Rev 1y % (Qtr) -55.62
Total Debt (Qtr) 401,000.00
Debt/Equity (Qtr) 0.02

About

Price action

Investment thesis

Bull case

  • Healthy cash reserves of 956000 provide 6.21x coverage of short-term debt 154000, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 20.72M provides 51.68x coverage of total debt 401000, indicating robust asset backing and low credit risk.
  • Tangible assets of 20.72M provide exceptional 647.59x coverage of deferred revenue 32000, showing strong service capability backing.
  • Operating cash flow of (3.23M) fully covers other non-current liabilities (32000) by 100.94x, showing strong long-term stability.
  • Short-term investments of 12.54M provide solid 392.03x coverage of other current liabilities 32000, indicating strong liquidity.

Bear case

  • Operating cash flow of (3.23M) barely covers its investment activities of 3.72M, with a coverage ratio of -0.87, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • With cash reserves of 956000 against inventory of 4.98M, the 0.19 cash-to-inventory ratio suggests potential liquidity risks if inventory turnover slows, particularly concerning given current supply chain volatilities.
  • Operating cash flow of (3.23M) provides insufficient coverage of deferred revenue obligations of 32000, which is -100.94x, raising concerns about future service delivery capabilities.
  • Short-term investments of 12.54M significantly exceed cash reserves of 956000, which is 13.12x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • Free cash flow of (3.24M) provides weak coverage of capital expenditures of 8000, with a -404.75 ratio suggesting additional external financing needs for growth initiatives.

Customer Breakdown of Revenue (2025)

Product and Service Breakdown of Revenue (2025)

Peer comparison

Companies in the Consumer Electronics
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 AAPL Apple Inc. 3,878.78 Bn 34.63 9.32 98.66 Bn
2 SONY Sony Group Corp 150.52 Bn 19.23 1.76 13.01 Bn
3 LPL LG Display Co., Ltd. 2.14 Bn -16.47 0.11 9.69 Bn
4 SONO Sonos Inc 1.99 Bn -32.61 1.38 0.05 Bn
5 ZEPP Zepp Health Corp 0.42 Bn -6.30 1.78 0.21 Bn
6 TBCH Turtle Beach Corp 0.26 Bn 14.29 0.75 0.09 Bn
7 VUZI Vuzix Corp 0.26 Bn -6.90 48.49 0.00 Bn
8 GPRO GoPro, Inc. 0.23 Bn -1.92 0.36 0.20 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.36 1.60
EV to Cash from Ops. EV/CFO -2.30 12.05
EV to Debt EV to Debt 18.54 190.88
EV to EBIT EV/EBIT -1.47 -26.74
EV to EBITDA EV/EBITDA -1.34 5.01
EV to Free Cash Flow [EV/FCF] EV/FCF -2.30 91.29
EV to Market Cap EV to Market Cap 0.86 4.51
EV to Revenue EV/Rev 0.85 3.74
Price to Book Value [P/B] P/B 0.45 4.74
Price to Earnings [P/E] P/E -1.71 -22.81
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -85.09
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 1.06
Dividend per Basic Share Div per Share (Qtr) 0.00 0.06
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 0.86
Interest Coverage Interest Coverage 0.00 -21.34
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 96.38 -25,917.65
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 106.03 24.14
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -3.99
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -61.14 -460.09
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -39.57 -135.96
EBIT Growth (1y) % EBIT 1y % (Qtr) -61.39 574.68
EBT Growth (1y) % EBT 1y % (Qtr) -61.39 39.32
EPS Growth (1y) % EPS 1y % (Qtr) -60.00 -8.06
FCF Growth (1y) % FCF 1y % (Qtr) 21.60 -2,232.41
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -65.58 60.40
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.42 0.77
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.01
Cash Ratio Cash Ratio (Qtr) 0.82 0.81
Current Ratio Curr Ratio (Qtr) 17.25 3.16
Debt to Equity Ratio Debt/Equity (Qtr) 0.02 3.74
Interest Cover Ratio Interest Cover Ratio 0.00 -21.34
Times Interest Earned Times Interest Earned 0.00 -21.34
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -55.50 -156.08
EBIT Margin % EBIT Margin % (Qtr) -58.03 393.83
EBT Margin % EBT Margin % (Qtr) -58.03 -168.19
Gross Margin % Gross Margin % (Qtr) 5.10 19.36
Net Profit Margin % Net Margin % (Qtr) -58.00 -169.48