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Eplus Inc. (PLUS) Fundamental Analysis & AI Grade 2026

PLUS Nasdaq Wholesale-Computers & Peripheral Equipment & Software DE CIK: 0001022408
Updated This Month • Analysis: May 30, 2026 • SEC Data: 2026-03-31
Combined AI Grade
B
65% Confidence
N/A
B
65% Conf
Pending
Analysis scheduled

📊 PLUS Key Takeaways

Revenue: $2.4B
Net Margin: 5.4%
Free Cash Flow: $-120.7M
Current Ratio: 2.24x
Debt/Equity: 0.04x
EPS: $5.03
AI Grade: B with 65% confidence
Eplus Inc. (PLUS) receives a B fundamental grade with 65% confidence from our AI analysis based on SEC 10-K filings. With revenue of $2.4B, net profit margin of 5.4%, and return on equity (ROE) of 12.4%, Eplus Inc. demonstrates mixed fundamentals in the Technology sector. Below is our complete PLUS stock analysis for 2026.

Is Eplus Inc. (PLUS) a Good Investment?

Claude

EPLUS demonstrates impressive profitability growth (revenue +22.1%, earnings +26.8%, EPS +28.0%) with a fortress balance sheet (0.04x debt/equity, $410.8M cash). However, severely negative operating cash flow (-$116.2M) and free cash flow (-$120.7M) despite positive net income raise quality-of-earnings concerns and working capital management issues that must be resolved before upgrading.

Eplus Inc. Key Strengths (PLUS)

Claude
  • + Strong top-line and earnings growth exceeding revenue growth rate (22.1% revenue, 26.8% net income, 28.0% EPS)
  • + Fortress balance sheet with minimal debt (0.04x D/E), exceptional liquidity (2.24x current ratio, 1.92x quick ratio), and substantial cash reserves ($410.8M)
  • + Healthy profitability margins (25.2% gross, 6.8% operating, 5.4% net) appropriate for wholesale/distribution sector

PLUS Stock Risks: Eplus Inc. Investment Risks

Claude
  • ! Critical divergence between earnings and cash flow: negative $120.7M free cash flow against positive $132.6M net income signals working capital deterioration or earnings quality issues
  • ! Wholesale/distribution sector working capital challenges (inventory buildup, receivables collection, payables timing) may indicate operational stress despite accounting profitability
  • ! Negative free cash flow margin (-4.9%) is unsustainable long-term and requires immediate management attention and operational correction

Key Metrics to Watch

Claude
  • * Operating cash flow trajectory and working capital components (inventory turns, days sales outstanding, accounts payable trends)
  • * Cash conversion cycle and operating cash flow margin improvement toward positive territory
  • * Inventory and accounts receivable growth rates relative to revenue growth to assess working capital efficiency

Eplus Inc. (PLUS) Financial Metrics & Key Ratios

Revenue
$2.4B
Net Income
$132.6M
EPS (Diluted)
$5.03
Free Cash Flow
$-120.7M
Total Assets
$1.8B
Cash Position
$410.8M

💡 AI Analyst Insight

Strong liquidity with a 2.24x current ratio provides a solid financial cushion.

PLUS Profit Margin, ROE & Profitability Analysis

Gross Margin 25.2%
Operating Margin 6.8%
Net Margin 5.4%
ROE 12.4%
ROA 7.4%
FCF Margin -4.9%

PLUS vs Technology Sector: How Eplus Inc. Compares

How Eplus Inc. compares to Technology sector averages

Net Margin
PLUS 5.4%
vs
Sector Avg 18.0%
PLUS Sector
ROE
PLUS 12.4%
vs
Sector Avg 22.0%
PLUS Sector
Current Ratio
PLUS 2.2x
vs
Sector Avg 2.5x
PLUS Sector
Debt/Equity
PLUS 0.0x
vs
Sector Avg 0.5x
PLUS Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Eplus Inc. Stock Overvalued? PLUS Valuation Analysis 2026

Based on fundamental analysis, Eplus Inc. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
12.4%
Sector avg: 22%
Net Profit Margin
5.4%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.04x
Sector avg: 0.5x

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.

Eplus Inc. Balance Sheet: PLUS Debt, Cash & Liquidity

Current Ratio
2.24x
Quick Ratio
1.92x
Debt/Equity
0.04x
Debt/Assets
40.6%
Interest Coverage
43.99x
Long-term Debt
$38.8M

PLUS Revenue & Earnings Growth: 5-Year Financial Trend

PLUS 5-year financial data: Year 2021: Revenue $1.5B, Net Income N/A, EPS N/A. Year 2022: Revenue $1.8B, Net Income $69.1M, EPS $2.57. Year 2023: Revenue $2.0B, Net Income $74.4M, EPS $2.77. Year 2024: Revenue $2.2B, Net Income $105.6M, EPS $3.93. Year 2025: Revenue $2.2B, Net Income $119.4M, EPS $4.48.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Eplus Inc.'s revenue has grown significantly by 42% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.41 reflects profitable operations.

PLUS Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-4.9%
Free cash flow / Revenue

PLUS Quarterly Earnings & Performance

Quarterly financial performance data for Eplus Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $483.4M $24.1M $0.91
Q2 2025 $486.1M $27.3M $1.17
Q1 2025 $533.1M $27.3M $1.02
Q3 2024 $487.5M $22.3M $1.02
Q2 2024 $473.9M $22.3M $1.07
Q1 2024 $444.7M $22.3M $0.84
Q3 2023 $479.6M $22.3M $0.98
Q2 2023 $432.1M $22.3M $1.07

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Eplus Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$116.2M
Cash generated from operations
Stock Buybacks
$30.6M
Shares repurchased (TTM)
Capital Expenditures
$4.4M
Investment in assets
Dividends Paid
$19.7M
Returned to shareholders

PLUS SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Eplus Inc. (CIK: 0001022408)

📋 Recent SEC Filings

Date Form Document Action
May 28, 2026 10-K ef20070470_10k.htm View →
May 28, 2026 8-K ef20075008_8k.htm View →
May 12, 2026 4 xslF345X06/form4.xml View →
May 8, 2026 4 xslF345X06/form4.xml View →
Apr 3, 2026 4 xslF345X06/form4.xml View →

Frequently Asked Questions about PLUS

What is the AI rating for PLUS?

Eplus Inc. (PLUS) has an AI grade of B with 65% confidence, based on fundamental analysis of SEC EDGAR filings.

What are PLUS's key strengths?

Claude: Strong top-line and earnings growth exceeding revenue growth rate (22.1% revenue, 26.8% net income, 28.0% EPS). Fortress balance sheet with minimal debt (0.04x D/E), exceptional liquidity (2.24x current ratio, 1.92x quick ratio), and substantial cash reserves ($410.8M).

What are the risks of investing in PLUS?

Claude: Critical divergence between earnings and cash flow: negative $120.7M free cash flow against positive $132.6M net income signals working capital deterioration or earnings quality issues. Wholesale/distribution sector working capital challenges (inventory buildup, receivables collection, payables timing) may indicate operational stress despite accounting profitability.

What is PLUS's revenue and growth?

Eplus Inc. reported revenue of $2.4B.

Does PLUS pay dividends?

Eplus Inc. pays dividends, with $19.7M distributed to shareholders in the trailing twelve months.

Where can I find PLUS SEC filings?

Official SEC filings for Eplus Inc. (CIK: 0001022408) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is PLUS's EPS?

Eplus Inc. has a diluted EPS of $5.03.

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 PLUS's fundamental grade?

Based on our AI fundamental analysis in June 2026, Eplus Inc. has a B grade with 65% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is PLUS stock overvalued or undervalued?

Valuation metrics for PLUS: ROE of 12.4% (sector avg: 22%), net margin of 5.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

What is PLUS's AI grade for 2026?

Our dual AI analysis gives Eplus Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is PLUS's free cash flow?

Eplus Inc.'s operating cash flow is $-116.2M, with capital expenditures of $4.4M. FCF margin is -4.9%.

How does PLUS compare to other Technology stocks?

Vs Technology sector averages: Net margin 5.4% (avg: 18%), ROE 12.4% (avg: 22%), current ratio 2.24 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 30, 2026 | Data as of: 2026-03-31 | Powered by Claude AI