MeritValue

PRECISION OPTICS CORPORATION, INC.

POCIdata completeness 100%15 fiscal years on file
The thesis, from the filings

PRECISION OPTICS CORPORATION, INC. earns about -11% on invested capital, and has bought back 49% of its shares over 5 years. The cash-flow models don't apply cleanly here — the ledger says why below.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$10.7M1$15.7M2$21M3$19.1M4$19.1M4
Net income−$102,8355−$928,4166−$144,6137−$2.95M8−$5.78M8
Operating cash flow$46,5509−$933,37110−$81,09011−$2.68M12−$3.55M12
Capital expenditure$75,92413$113,19714$16,78415$272,43516$227,20916
Free cash flow (derived)−$29,3749−$1.05M10−$97,87411−$2.96M12−$3.77M12
Total debt$017$4.68M18$5.42M19$4.39M20$3.8M20
Cash & equivalents$861,65021$605,74922$2.93M23$405,27824$1.77M24
Diluted shares13.3M5.3M5.7M6.1M6.8M

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
$18.05
your share of equity
Profit it earned you last year
−$8.51
Free cash flow it threw off
−$5.56
Debt you’d be carrying
$5.59

10 shares is a claim on $18.05 of net worth that earned you −$8.51 and generated −$5.56 of cash last year, against $5.59 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-11% avg · 5y
FY21 -3%FY22 -5%FY23 0%FY24 -15%FY25 -31%

It earned an average -11% 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
−49% shares · 5y

Share count is down 49% over 5 years — management has been buying back stock, quietly handing owners a bigger slice.

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
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
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (Revenues)
  2. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (Revenues)
  3. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (Revenues)
  4. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (Revenues)
  5. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (NetIncomeLoss)
  6. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (NetIncomeLoss)
  7. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (NetIncomeLoss)
  8. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (NetIncomeLoss)
  9. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (LongTermDebtNoncurrent)
  18. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (LongTermDebtNoncurrent)
  19. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (LongTermDebtNoncurrent)
  20. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (LongTermDebtNoncurrent)
  21. 10-K · period ending 2021-06-30 · accession 0001683168-22-006633 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2022-06-30 · accession 0001683168-23-006801 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2023-06-30 · accession 0001683168-24-006760 (CashAndCashEquivalentsAtCarryingValue)
  24. 10-K · period ending 2024-06-30 · accession 0001683168-25-007305 (CashAndCashEquivalentsAtCarryingValue)