Aterian Inc. Common Stock (ATER)

FairStock Score: 37/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a durable business earning consistent profits, bought at a sensible price. Aterian does not fit that mold. In fiscal year 2023, the year ended 2023-12-31, it reported revenue of $142.6 million and a net loss of $74.6 million. In fiscal year 2024, the year ended 2024-12-31, revenue fell to $99.0 million and net loss was $11.9 million. In fiscal year 2025, the year ended 2025-12-31, revenue dropped to $69.0 million and net loss was $19.0 million. The deterioration has become extreme in fiscal Q1 2026, the quarter ended 2026-03-31, with revenue of $18,000 and a net loss of $6.1 million, and fiscal Q2 2026, the quarter ended 2026-06-30, with revenue of $7,000 and a net loss of $491,000. Those are not the numbers of a business with pricing power; they suggest the operating business has almost disappeared. The company owns niche consumer brands and has no debt according to the D/E of 0.00, but online retail is brutally competitive and I see no moat. FairStock calculations at the 2026-10-13 close of $0.57 show a P/B of 0.42, a P/E of -0.25, ROE of -104.03%, ROCE of -26.11%, and FCF yield of -25.3% on trailing free cash flow of -$2.6 million. The Piotroski F-Score is 5/9, Altman Z-Score is -43.23, and FairStock assigns no Peter Lynch category because it lost money in each of the last four years. A low price relative to book value can be a trap when book value is being consumed by losses. Without evidence of stabilized revenue, positive cash flow, and a credible path to profits, I see no margin of safety.

In plain English: Aterian sells home, kitchen, air quality and personal-care products under brands like Squatty Potty, Mueller Living and PurSteam, mainly through online retail. The business looks weak: sales have shrunk sharply and it keeps losing money. The share price is very low and trades below its accounting value, but with continuing losses the price does not look like a safe bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

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