MeritValue

Climb Global Solutions, Inc.

CLMBdata completeness 88%17 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Climb Global Solutions, Inc. earns about 31% on invested capital, but has diluted owners by 6% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $28.63 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$282.6M1$304.3M2$352M2$465.6M3$652.5M3
Net income$9.2M4$12.5M5$12.3M6$18.6M6$21.3M6
Operating cash flow$4.71M7$4.56M8$42.1M9$33.7M9$16.6M9
Capital expenditure—————
Free cash flow (derived)—————
Total debt$010$1.8M11$2.59M12$751,00013$191,00013
Cash & equivalents$29.3M14$20.2M15$36.3M16$29.8M17$36.6M17
Diluted shares4.3M4.3M4.4M4.5M4.5M

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
$257.69
your share of equity
Profit it earned you last year
$47.15
Free cash flow it threw off
—
Debt you’d be carrying
$0.42

10 shares is a claim on $257.69 of net worth that earned you $47.15 last year, against $0.42 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
31% avg · 5y
FY21 40%FY22 30%FY23 30%FY24 30%FY25 27%

It earned an average 31% 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
+6% shares · 5y

Share count is up 6% over 5 years — owners have been diluted. Worth asking what they got for it.

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 v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$28.63
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$12.5M
  • growthAssumed0.0%
Graham Number
$51.87
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 0001558370-23-004053 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001558370-24-002476 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2024-12-31 · accession 0001437749-26-006072 (Revenues)
  4. 10-K · period ending 2021-12-31 · accession 0001558370-23-004053 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001558370-24-002476 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001437749-26-006072 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001558370-23-004053 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001558370-24-002476 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001437749-26-006072 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001558370-23-004053 (LongTermDebt)
  11. 10-K · period ending 2022-12-31 · accession 0001558370-24-002476 (LongTermDebt)
  12. 10-K · period ending 2023-12-31 · accession 0001437749-25-006986 (LongTermDebtNoncurrent)
  13. 10-K · period ending 2024-12-31 · accession 0001437749-26-006072 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2021-12-31 · accession 0001558370-23-004053 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2022-12-31 · accession 0001558370-24-002476 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2023-12-31 · accession 0001437749-25-006986 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2024-12-31 · accession 0001437749-26-006072 (CashAndCashEquivalentsAtCarryingValue)