MeritValue

BROADWIND, INC.

BWENdata completeness 100%17 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'; no data for concept 'interestExpense'

The thesis, from the filings

BROADWIND, INC. earns about 1% on invested capital, but has diluted owners by 19% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $1.27 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$145.6M1$176.8M2$203.5M3$143.1M4$158.1M4
Net income$2.85M5−$9.73M6$7.65M7$1.15M8$5.24M8
Operating cash flow−$12.8M9$16.6M10−$6.95M11$13.8M12−$15.4M12
Capital expenditure$1.71M13$3.1M14$6.41M15$3.62M16$3.63M16
Free cash flow (derived)−$14.5M9$13.5M10−$13.4M11$10.2M12−$19M12
Total debt$22.4M17$19.8M18$32.4M19$22.1M20$27.4M20
Cash & equivalents$852,00021$12.7M22$1.1M23$7.72M24$456,00024
Diluted shares19.4M20.3M21.5M22.0M23.0M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$28.85
your share of equity
Profit it earned you last year
$2.28
Free cash flow it threw off
−$8.27
Debt you’d be carrying
$11.93

10 shares is a claim on $28.85 of net worth that earned you $2.28 and generated −$8.27 of cash last year, against $11.93 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
1% avg · 5y
FY21 4%FY22 -14%FY23 9%FY24 2%FY25 6%

It earned an average 1% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+19% shares · 5y

Share count is up 19% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 23% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
$1.27
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$2.85M
  • growthAssumed0.0%
Graham Number
$3.86
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (RevenueFromContractWithCustomerIncludingAssessedTax)
  5. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (LongTermDebtNoncurrent)
  18. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (LongTermDebtNoncurrent)
  19. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (LongTermDebtNoncurrent)
  20. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (LongTermDebtNoncurrent)
  21. 10-K · period ending 2021-12-31 · accession 0001437749-23-005917 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2022-12-31 · accession 0001437749-24-006588 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2023-12-31 · accession 0001437749-25-006301 (CashAndCashEquivalentsAtCarryingValue)
  24. 10-K · period ending 2024-12-31 · accession 0001437749-26-007742 (CashAndCashEquivalentsAtCarryingValue)