Alpine 4 Holdings, Inc. (ALPP) Stock Price & Analysis

Alpine 4 Holdings, Inc. (ALPP) Industrial Operations Profile

Alpine 4 Holdings, Inc. operates as a diversified technology holding company, specializing in electronic contract manufacturing, automotive safety technologies, and industrial fabrication services. The company also extends into logistics, nutritional supplement production, and geospatial data, positioning itself within the industrials sector with a broad operational footprint and a focus on acquiring and developing synergistic businesses.

What Is the Investment Thesis for ALPP?

Alpine 4 Holdings, Inc. presents an investment thesis centered on its highly diversified technology holding company model, aiming to generate value through the acquisition and integration of synergistic businesses across multiple industrial and technology sectors. The company's broad operational footprint, spanning electronic contract manufacturing, automotive technologies, industrial fabrication, logistics, and geospatial data services, offers multiple avenues for potential revenue generation and market penetration. Key growth catalysts include the increasing demand for connected car technologies like 6th Sense Auto, the ongoing need for specialized industrial fabrication, and the expanding market for efficient logistics and advanced geospatial data services in infrastructure and resource industries. However, the company currently faces significant financial challenges, as evidenced by a negative profit margin of -54.4%, a negative Return on Equity (ROE) of -118.5%, and a high Debt-to-Equity ratio of 255.84. Its trading on the OTC market, coupled with a high Beta of 8.92, suggests considerable price volatility and liquidity considerations. For investors, the long-term viability hinges on the company's ability to achieve profitability across its diverse segments, manage its debt, and effectively integrate its acquisitions to realize operational efficiencies and market share gains, while navigating the inherent risks of a multi-industry conglomerate.

Based on FMP financials and quantitative analysis

ALPP Key Highlights

Alpine 4 Holdings, Inc. currently reports a market capitalization of $0.00B, reflecting its status as a micro-cap entity.

• The company's Profit Margin stands at -54.4%, indicating significant unprofitability from its operations.
• A Gross Margin of 21.1% suggests that while the company maintains a positive spread between revenue and cost of goods sold, operational expenses are substantial.
• Return on Equity (ROE) is significantly negative at -118.5%, highlighting a substantial loss relative to shareholder equity.
• The Debt-to-Equity ratio is 255.84, indicating a highly leveraged capital structure with a substantial reliance on debt financing.

Who Are ALPP's Competitors?

ALPP is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are ALPP's Key Strengths?

Highly diversified business model across multiple industrial and technology sectors, potentially mitigating risk from any single market downturn.

• Proprietary automotive technologies (6th Sense Auto, BrakeActive) offer unique product offerings and market differentiation.
• Specialized capabilities in industrial fabrication, including custom metalwork and ventilation systems, cater to niche market demands.
• Presence in high-growth areas such as geospatial data services and specialized logistics.
• Established operational base in Phoenix, Arizona, with a workforce of 495 employees.

What Are ALPP's Weaknesses?

Significant unprofitability, as indicated by a -54.4% Profit Margin and -118.5% Return on Equity.

• Highly leveraged capital structure with a Debt-to-Equity ratio of 255.84, posing financial risk.
• Trading on the OTC market, which typically implies lower liquidity and less stringent disclosure requirements compared to major exchanges.
• High Beta of 8.92 suggests extreme price volatility, which can deter certain investor segments.
• Managing a highly diversified portfolio can lead to challenges in achieving operational synergies and maintaining focus across disparate business units.

What Are the Key Risks for ALPP?

Financial-distress signal — its Altman Z-Score of -2.46 sits in the distress zone (elevated bankruptcy risk).

• Negative return on equity (-18.2%) — the business is not currently generating profit on shareholder capital.
• Inconsistent delivery — missed Wall Street EPS estimates in 5 of the last 8 reported quarters.
• The company faces significant financial challenges, including a negative Profit Margin of -54.4% and a negative Return on Equity of -118.5%, indicating persistent unprofitability.
• A high Debt-to-Equity ratio of 255.84 suggests a heavily leveraged capital structure, posing risks related to debt servicing and financial stability.
• Trading on the OTC Other market implies lower liquidity, less stringent disclosure requirements, and higher potential for price volatility, as evidenced by a Beta of 8.92.
• Intense competition across its highly diversified business segments could pressure pricing, market share, and profitability in various markets.
• The ability to effectively manage and integrate a broad portfolio of disparate businesses may prove challenging, potentially hindering operational synergies and overall corporate focus.

What Threats Does ALPP Face?

• Intense competition across all its diverse business segments from both specialized niche players and larger conglomerates.
• Economic downturns or sector-specific slowdowns impacting demand for industrial fabrication, automotive, or logistics services.
• Regulatory changes in manufacturing, automotive safety, or environmental standards that could increase operational costs.
• Challenges in securing additional capital for growth or debt servicing given its current financial performance and OTC listing.
• Technological obsolescence or rapid innovation in any of its core technology areas requiring continuous investment and adaptation.

What Are ALPP's Competitive Advantages?

• Diversified portfolio of businesses across multiple industrial and technology sectors, potentially creating cross-segment synergies.
• Proprietary automotive technologies like 6th Sense Auto and BrakeActive offer unique product differentiators in the vehicle safety and dealership efficiency markets.
• Specialized capabilities in industrial fabrication, including custom ductwork and architectural metalwork, cater to niche market demands.
• Expertise in critical logistics services for sensitive sectors such as medical and disaster relief, building specialized client relationships.
• Offering advanced geospatial and 3D data services provides a competitive edge in data-driven industrial planning and execution.

What Does ALPP Do?

Alpine 4 Holdings, Inc., incorporated in 2014 and headquartered in Phoenix, Arizona, functions as a technology holding company with a diversified portfolio of businesses. Initially known as Alpine 4 Technologies, Ltd., the company rebranded to its current name in March 2021, reflecting its evolving strategic focus. Alpine 4's operational scope is broad, encompassing several distinct segments within the industrials sector. One core area is electronic contract manufacturing, providing essential solutions within the United States. Beyond this, the company is active in automotive technologies, offering proprietary products like 6th Sense Auto, a connected car technology designed to enhance productivity, profitability, and customer retention for automotive dealerships. Another automotive safety product is BrakeActive, a device engineered to improve a vehicle's third brake light's effectiveness in preventing rear-end collisions. In the realm of industrial fabrication, Alpine 4 designs, fabricates, and installs a wide array of products, including dust collectors, commercial ductwork, kitchen hoods, and industrial ventilation systems. This segment also handles machine guards, architectural metalwork, water furnaces, and specialized spiral ductwork, catering to various commercial and industrial clients. The company further extends its services into logistics, providing critical supply chain solutions for industries such as medical, consumer electronics, energy, and disaster relief, highlighting its capability to manage complex logistical challenges. Alpine 4 also engages in contract manufacturing for dietary and nutritional supplements, tapping into the growing health and wellness market. Its international contracting, fabricator, and project management services demonstrate a global reach and capacity for large-scale project execution. Moreover, the company offers geospatial and 3D data services, which are vital for industries like construction, oil/gas, mining, and quarries, enabling precise planning and operational efficiency. Completing its diverse offerings, Alpine 4 manufactures and sells electronic components and designs, manufactures, and distributes commercial LED lighting and electronics, including televisions, mounting solutions, projectors, screens, audio equipment, digital signage, and mobile audio/video systems, alongside various wire and connecting products. This multi-faceted approach aims to leverage synergies across its varied business units.

What Products and Services Does ALPP Offer?

• Provide electronic contract manufacturing solutions in the United States.
• Offer automotive technologies like 6th Sense Auto (connected car tech) and BrakeActive (safety device).
• Design, fabricate, and install industrial products such as dust collectors, ductwork, and ventilation systems.
• Provide logistics services for medical, consumer electronics, energy, and disaster relief industries.
• Manufacture dietary and nutritional supplements under contract.
• Offer international contracting, fabrication, and project management services.
• Provide geospatial and 3D data services for construction, oil/gas, mining, and quarries.
• Manufacture electronic components and distribute commercial LED lighting and electronics.

How Does ALPP Make Money?

• Generates revenue through fees for electronic contract manufacturing services.
• Sells proprietary automotive technology products (6th Sense Auto, BrakeActive) to dealerships and potentially OEMs.
• Earns income from custom industrial fabrication projects, including design, installation, and specialized product sales.
• Charges for logistics services based on scope, volume, and complexity for various industries.
• Receives fees for contract manufacturing of dietary and nutritional supplements.
• Provides project-based income from international contracting, fabrication, and project management services.
• Offers geospatial and 3D data services on a project or subscription basis to industrial clients.

What Industry Does ALPP Operate In?

Alpine 4 Holdings, Inc. operates within the broad Industrials sector, specifically touching upon the Manufacturing - Metal Fabrication industry, among others. Its diversified business model positions it across several distinct market segments, including electronic manufacturing, automotive technology, industrial fabrication, logistics, and geospatial data services. This multi-segment approach means Alpine 4 is influenced by various market trends, such as the increasing digitalization in the automotive sector driving demand for connected car solutions, the consistent need for specialized fabrication in construction and industrial infrastructure, and the growing reliance on efficient supply chains and precise 3D data for complex projects. The competitive landscape for Alpine 4 is highly fragmented, with numerous specialized players in each of its operational areas. While its diversification could offer resilience, it also means competing against established entities in distinct, often mature, markets. The company's ability to carve out niche advantages in each segment will be crucial for its market positioning and growth.

Who Are ALPP's Key Customers?

• Automotive dealerships for connected car technology and safety devices.
• Industrial clients and commercial businesses requiring specialized metal fabrication and ventilation systems.
• Companies in the medical, consumer electronics, energy, and disaster relief sectors needing logistics support.
• Brands and companies seeking contract manufacturing for dietary and nutritional supplements.
• International clients for contracting, fabrication, and project management services.
• Construction, oil/gas, mining, and quarry companies utilizing geospatial and 3D data services.
• Businesses and consumers purchasing electronic components and commercial LED lighting solutions.

Alpine 4 Holdings, Inc.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of -2.46 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Alpine 4 Holdings, Inc. stands at -18.2%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -8.8%, showing how much profit it generates from its asset base. A current ratio of 1.47 indicates the company holds enough short-term assets to cover its near-term obligations.

Company Profile

Alpine 4 Holdings, Inc. operates in the Manufacturing - Metal Fabrication industry within the Industrials sector. It is headquartered in Phoenix, US. The company is led by CEO Kent Brian Wilson. ALPP has traded publicly since 2017.

Alpine 4 Holdings, Inc. has missed Wall Street's EPS estimate in 5 of its last 8 reported quarters — a recurring pattern of falling short of estimates. Reported results have landed about 145.3% below estimates on average.

Insider Activity

12 transactions · 0 purchases, 0 sales, 12 other transactions · 5 identified insiders · most recent available transactions. Purchases and sales use the reported transaction category. Other transactions include awards, exercises, gifts, withholding and unclassified activity; an acquisition or disposition alone is not a purchase or sale. These records do not establish intent.

ALPP Financials

ALPP Latest News

ALPP Analyst Consensus

ALPP MoonshotScore

Alpine 4 Holdings, Inc. Industrials Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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