MeritValue

TORO CORP.

TOROdata completeness 88%5 fiscal years on file
The thesis, from the filings

TORO CORP. earns about 11% on invested capital, but has diluted owners by 89% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $14.6 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$15M1$02$3.25M3$1.31M3$03
Net income−$1.43M4$49.9M5$140.6M6$25.2M6$5.93M6
Operating cash flow−$4.42M7$41.5M7$56.1M7$10.8M8−$6.34M8
Capital expenditure$111.3M9$295,69210$72.2M11$119,30411$66.8M11
Free cash flow (derived)−$115.7M7$41.2M7−$16.1M7$10.7M8−$73.1M8
Total debt$16M12$13.1M13$5.21M13——
Cash & equivalents$4.96M14$41.8M14$151.8M15$37.2M16$87.4M16
Diluted shares9.5M42.7M48.7M17.4M17.9M

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
$91.47
your share of equity
Profit it earned you last year
$3.32
Free cash flow it threw off
−$40.88
Debt you’d be carrying
—

10 shares is a claim on $91.47 of net worth that earned you $3.32 and generated −$40.88 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
11% avg · 5y
FY21 -0%FY22 7%FY23 40%FY24 3%FY25 7%

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
+89% shares · 5y

Share count is up 89% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 67% — deleveraging.

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
$14.6
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$25.2M
  • growthAssumed0.0%
Graham Number
$4.06
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0001140361-24-012747 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 20-F · period ending 2022-12-31 · accession 0001140361-25-013963 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 20-F · period ending 2023-12-31 · accession 0001140361-26-014706 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 20-F · period ending 2021-12-31 · accession 0001140361-24-012747 (NetIncomeLoss)
  5. 20-F · period ending 2022-12-31 · accession 0001140361-25-013963 (NetIncomeLoss)
  6. 20-F · period ending 2023-12-31 · accession 0001140361-26-014706 (NetIncomeLoss)
  7. 20-F · period ending 2021-12-31 · accession 0001140361-24-012747 (NetCashProvidedByUsedInOperatingActivities)
  8. 20-F · period ending 2024-12-31 · accession 0001140361-26-014706 (NetCashProvidedByUsedInOperatingActivitiesContinuingOperations)
  9. 20-F · period ending 2021-12-31 · accession 0001140361-24-012747 (PaymentsToAcquirePropertyPlantAndEquipment)
  10. 20-F · period ending 2022-12-31 · accession 0001140361-25-013963 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 20-F · period ending 2023-12-31 · accession 0001140361-26-014706 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 20-F · period ending 2021-12-31 · accession 0001140361-23-010601 (LongTermDebt)
  13. 20-F · period ending 2022-12-31 · accession 0001140361-24-012747 (LongTermDebt)
  14. 20-F · period ending 2021-12-31 · accession 0001140361-24-012747 (CashAndCashEquivalentsAtCarryingValue)
  15. 20-F · period ending 2023-12-31 · accession 0001140361-25-013963 (CashAndCashEquivalentsAtCarryingValue)
  16. 20-F · period ending 2024-12-31 · accession 0001140361-26-014706 (CashAndCashEquivalentsAtCarryingValue)