📊 ARKR Key Takeaways
Is Ark Restaurants Corp. (ARKR) a Good Investment?
ARK Restaurants faces severe operational distress with deteriorating profitability, negative cash flow, and emerging liquidity challenges. The company is unprofitable, burning cash operationally, and unable to cover interest expenses, while declining revenues signal fundamental business weakness.
ARK Restaurants' fundamentals appear weak: revenue is declining, margins are thin, and earnings quality is pressured by negative operating cash flow and negative free cash flow despite reported net income. Balance sheet risk is elevated by sub-1.0 liquidity ratios, meaningful leverage, and only modest interest coverage, which limits flexibility if operating conditions remain soft.
Ark Restaurants Corp. Key Strengths (ARKR)
- Retains $11.5M in cash providing near-term liquidity buffer
- Established asset base of $131.8M with accumulated infrastructure
- Operating in established restaurant sector with long operating history
- The company remains profitable at the operating and net income level
- Asset base and positive stockholders' equity provide some balance sheet support
- Interest coverage is still above 1x, suggesting debt service remains manageable for now
ARKR Stock Risks: Ark Restaurants Corp. Investment Risks
- Negative operating income (-$563K) worsening with 25.1% YoY net income decline
- Liquidity crisis indicators: current ratio 0.88x and quick ratio 0.78x both below 1.0x
- Negative free cash flow (-$3.9M) with inability to cover interest (coverage ratio -1.7x)
- High leverage with debt/equity at 1.12x; long-term debt nearly equals stockholders equity
- Declining revenue (-9.7% YoY) with no positive momentum or insider buying activity
- Revenue declined 9.7% year over year, pointing to weakening demand or store-level performance pressure
- Liquidity is tight, with a 0.76x current ratio and 0.67x quick ratio
- Cash generation is weak, with negative operating cash flow and negative free cash flow
Key Metrics to Watch
- Operating Cash Flow trajectory and return to positive
- Revenue stabilization and path to growth
- Current Ratio improvement above 1.0x
- Net income return to profitability
- Debt reduction and interest coverage ratio recovery
- Operating cash flow and free cash flow trend
- Revenue growth and operating margin stability
Ark Restaurants Corp. (ARKR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
ARKR Profit Margin, ROE & Profitability Analysis
ARKR vs Consumer Sector: How Ark Restaurants Corp. Compares
How Ark Restaurants Corp. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Ark Restaurants Corp. Stock Overvalued? ARKR Valuation Analysis 2026
Based on fundamental analysis, Ark Restaurants Corp. shows some fundamental concerns relative to the Consumer sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Ark Restaurants Corp. Balance Sheet: ARKR Debt, Cash & Liquidity
ARKR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Ark Restaurants Corp.'s revenue has grown significantly by 39% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.08 indicates the company is currently unprofitable.
ARKR Revenue Growth, EPS Growth & YoY Performance
ARKR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $36.6M | -$912.0K | $-0.25 |
| Q1 2026 | $40.7M | $896.0K | $0.25 |
| Q3 2025 | $43.7M | $561.0K | $0.15 |
| Q2 2025 | $39.7M | -$79.0K | $-0.02 |
| Q1 2025 | $45.0M | $1.4M | $0.38 |
| Q3 2024 | $50.4M | $561.0K | $0.15 |
| Q2 2024 | $41.9M | -$79.0K | $-0.02 |
| Q1 2024 | $47.4M | $1.4M | $0.38 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Ark Restaurants Corp. Dividends, Buybacks & Capital Allocation
ARKR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Ark Restaurants Corp. (CIK: 0000779544)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ARKR
What is the AI rating for ARKR?
Ark Restaurants Corp. (ARKR) has a Combined AI Grade of C from Claude (D) and ChatGPT (C) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ARKR's key strengths?
Claude: Retains $11.5M in cash providing near-term liquidity buffer. Established asset base of $131.8M with accumulated infrastructure. ChatGPT: The company remains profitable at the operating and net income level. Asset base and positive stockholders' equity provide some balance sheet support.
What are the risks of investing in ARKR?
Claude: Negative operating income (-$563K) worsening with 25.1% YoY net income decline. Liquidity crisis indicators: current ratio 0.88x and quick ratio 0.78x both below 1.0x. ChatGPT: Revenue declined 9.7% year over year, pointing to weakening demand or store-level performance pressure. Liquidity is tight, with a 0.76x current ratio and 0.67x quick ratio.
What is ARKR's revenue and growth?
Ark Restaurants Corp. reported revenue of $77.3M.
Does ARKR pay dividends?
Ark Restaurants Corp. does not currently pay dividends.
Where can I find ARKR SEC filings?
Official SEC filings for Ark Restaurants Corp. (CIK: 0000779544) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ARKR's EPS?
Ark Restaurants Corp. has a diluted EPS of $-0.25.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is ARKR's fundamental grade?
Based on our AI fundamental analysis in June 2026, Ark Restaurants Corp. has a C grade with 86% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is ARKR stock overvalued or undervalued?
Valuation metrics for ARKR: ROE of -2.9% (sector avg: 18%), net margin of -1.2% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.
What is ARKR's AI grade for 2026?
Our dual AI analysis gives Ark Restaurants Corp. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ARKR's free cash flow?
Ark Restaurants Corp.'s operating cash flow is $-1.5M, with capital expenditures of $2.4M. FCF margin is -5.0%.
How does ARKR compare to other Consumer stocks?
Vs Consumer sector averages: Net margin -1.2% (avg: 8%), ROE -2.9% (avg: 18%), current ratio 0.88 (avg: 1.5).