📊 BSET Key Takeaways
Is Bassett Furniture Industries Inc. (BSET) a Good Investment?
Bassett Furniture exhibits fundamental weakness with anemic 1.6% revenue growth, perilously thin 2.1% operating margins, and negative free cash flow of -$696K despite reported profitability. While the debt-free balance sheet provides near-term stability, deteriorating cash generation and stagnant growth in a challenged furniture sector indicate limited upside and accelerating business decline.
Bassett's earnings recovery is encouraging, with modest revenue growth and a substantial improvement in net income, while its strong liquidity and negligible long-term debt provide meaningful financial resilience. However, very thin operating and net margins, weak returns on capital, and negative free cash flow indicate that the improvement has not yet developed into high-quality, durable growth.
Bassett Furniture Industries Inc. Key Strengths (BSET)
- Strong balance sheet with minimal debt ($292K long-term debt, debt/equity 0.00x) provides financial flexibility
- Healthy gross margin of 56.4% demonstrating efficient manufacturing and sourcing execution
- Adequate liquidity with current ratio of 1.97x and $35.9M cash reserves
- Net income and diluted EPS increased by approximately 163% year over year
- Strong balance sheet with $35.90M of cash and only $292K of long-term debt
- Healthy liquidity and debt-service capacity, including a 1.97x current ratio and 113.3x interest coverage
BSET Stock Risks: Bassett Furniture Industries Inc. Investment Risks
- Negative free cash flow of -$696K despite positive net income signals unsustainable cash burn and working capital deterioration
- Operating margin of 2.1% is critically thin with insufficient buffer for industry downturns or competitive pressure
- Revenue growth of only 1.6% YoY indicates structural decline in furniture demand and market share erosion
- Operating cash flow of $1.9M versus net income of $3.2M raises serious earnings quality concerns
- Zero insider purchases in 90 days reflects management's lack of confidence in business trajectory
- Operating margin of 2.1% leaves earnings highly sensitive to cost inflation or weaker demand
- Free cash flow was negative $696K because operating cash flow did not cover capital expenditures
- ROE of 1.9% and ROA of 1.0% indicate weak returns from the company's asset and equity base
Key Metrics to Watch
- Free cash flow trajectory and path to positive generation
- Operating margin expansion toward sustainable 5%+ levels
- Revenue growth acceleration and market share stabilization
- Operating margin and operating income trend
- Operating cash flow and free cash flow conversion
Bassett Furniture Industries Inc. (BSET) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Bassett Furniture Industries Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
BSET Profit Margin, ROE & Profitability Analysis
BSET vs Market Sector: How Bassett Furniture Industries Inc. Compares
How Bassett Furniture Industries Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Bassett Furniture Industries Inc. Stock Overvalued? BSET Valuation Analysis 2026
Based on fundamental analysis, Bassett Furniture Industries Inc. has mixed fundamental signals relative to the Market 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.
Bassett Furniture Industries Inc. Balance Sheet: BSET Debt, Cash & Liquidity
BSET Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Bassett Furniture Industries Inc.'s revenue has declined by 20% over the 5-year period, indicating business contraction. The most recent EPS of $-0.36 indicates the company is currently unprofitable.
BSET Revenue Growth, EPS Growth & YoY Performance
BSET Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $83.8M | $1.9M | $0.22 |
| Q1 2026 | $80.3M | $1.1M | $0.13 |
| Q3 2025 | $75.6M | $801.0K | $0.09 |
| Q2 2025 | $83.4M | $1.9M | $0.22 |
| Q1 2025 | $82.2M | -$1.2M | $-0.14 |
| Q3 2024 | $75.6M | $930.0K | $0.11 |
| Q2 2024 | $83.4M | $2.1M | $0.24 |
| Q1 2024 | $86.6M | -$1.2M | $-0.14 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Bassett Furniture Industries Inc. Dividends, Buybacks & Capital Allocation
BSET SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Bassett Furniture Industries Inc. (CIK: 0000010329)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BSET
What is the AI rating for BSET?
Bassett Furniture Industries Inc. (BSET) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 77% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are BSET's key strengths?
Claude: Strong balance sheet with minimal debt ($292K long-term debt, debt/equity 0.00x) provides financial flexibility. Healthy gross margin of 56.4% demonstrating efficient manufacturing and sourcing execution. ChatGPT: Net income and diluted EPS increased by approximately 163% year over year. Strong balance sheet with $35.90M of cash and only $292K of long-term debt.
What are the risks of investing in BSET?
Claude: Negative free cash flow of -$696K despite positive net income signals unsustainable cash burn and working capital deterioration. Operating margin of 2.1% is critically thin with insufficient buffer for industry downturns or competitive pressure. ChatGPT: Operating margin of 2.1% leaves earnings highly sensitive to cost inflation or weaker demand. Free cash flow was negative $696K because operating cash flow did not cover capital expenditures.
What is BSET's revenue and growth?
Bassett Furniture Industries Inc. reported revenue of $164.1M.
Does BSET pay dividends?
Bassett Furniture Industries Inc. pays dividends, with $3.4M distributed to shareholders in the trailing twelve months.
Where can I find BSET SEC filings?
Official SEC filings for Bassett Furniture Industries Inc. (CIK: 0000010329) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BSET's EPS?
Bassett Furniture Industries Inc. has a diluted EPS of $0.37.
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 BSET's fundamental grade?
Based on our AI fundamental analysis in August 2026, Bassett Furniture Industries Inc. has a C grade with 77% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is BSET stock overvalued or undervalued?
Valuation metrics for BSET: ROE of 1.9% (sector avg: 15%), net margin of 1.9% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is BSET's AI grade for 2026?
Our dual AI analysis gives Bassett Furniture Industries Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is BSET's free cash flow?
Bassett Furniture Industries Inc.'s operating cash flow is $1.9M, with capital expenditures of $2.6M. FCF margin is -0.4%.
How does BSET compare to other Market stocks?
Vs Default sector averages: Net margin 1.9% (avg: 12%), ROE 1.9% (avg: 15%), current ratio 1.97 (avg: 1.8).