The Arena Group Holdings Inc. Common Stock (AREN)
FairStock Score: 64/100 — STEADY
Key Financials
| Current Price | $1.03 |
| Market Cap | $101M |
| P/E Ratio | 5.42 |
| ROE | —% |
| Dividend Yield | —% |
| Sector | Communication Services |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
I approach this as a Graham-style bargain hunt, but the first question is survival. The company runs digital media brands and an AI platform for content and monetization. In the latest reported quarter, fiscal Q2 2026, revenue was $22.2 million and net income was a loss of $0.176 million, a margin of -0.79%. The provided revenue growth is -50.72% and profit growth is -100.16%, which tells me the business is shrinking fast and earnings quality is poor. The moat is not evident: content brands can be copied, audiences can migrate, and advertising is cyclical. Financial health is the main worry. The FairStock-calculated Altman Z-Score is -3.69, a distress signal. The Piotroski F-Score is 6/9, middling, and P/B, ROE, and D/E are not available, leaving holes in the picture. On the positive side, trailing free cash flow is $20.1 million, a 19.8% FCF yield against a $101.4 million market cap. ROCE is 10.15%, EV/EBITDA is 6.94, and the P/E is 5.42 based on the 2026-09-11 close. That looks cheap if those numbers are sustainable. But with revenue halved and profits collapsing, sustainability is the crux. The stock at $1.03 sits near the low of its $0.81-$5.95 52-week range, and the market cap is small. FairStock score 64/100 is not a ringing endorsement. I would demand a much clearer path to stable revenue and cash generation before calling this a margin-of-safety bargain.
In plain English: The company runs digital media brands and an AI platform for content and advertising. In fiscal Q2 2026, revenue was $22.2 million and it had a small net loss, while sales and profits have fallen sharply, so the business looks weak. At $1.03 a share, some cash-flow and earnings measures make it look cheap, but the weak financial position means that cheapness is not clearly safe.
The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.
Data as of 2026-09-11 close · note generated 2026-10-15 · model deepseek-flash
Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer