Netcapital Inc. Common Stock (NCPL)

FairStock Score: 56/100 — STEADY

Key Financials

AI Analysis

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

As a Buffett-and-Graham-style investor, I want durable earnings, conservative finances, and a margin of safety. Netcapital is a 23-employee fintech platform that helps private companies raise capital online. It was profitable before: in fiscal 2023, the year ended 2023-04-30, it reported $8.5M revenue and $3.0M net income. Then the business deteriorated sharply. In fiscal 2024, the year ended 2024-04-30, revenue was $5.0M and net loss was $5.0M. In fiscal 2025, the year ended 2025-04-30, revenue fell to $869,460 and net loss widened to $28.3M. The latest filed quarter, fiscal Q3 2026 ended 2026-01-31, had revenue of $94,347 and a net loss of $1.8M, an extremely negative margin. FairStock calculations at the 2026-10-13 close of $1.39 show P/B 0.44, ROE -99.45%, ROCE -18.16%, and a negative P/E. A price below book value might attract a bargain hunter, but book value can disappear with continuing losses. The D/E of 0.11 suggests modest leverage, and the Piotroski F-score of 5/9 is middling, not disastrous. The FairStock Score is 56/100. Still, revenue growth of -38.21% and inconsistent earnings are serious. For a financial company, I would also want CET1, net interest margin, or combined ratio where relevant; those are not in the data. The computed Lynch category is TURNAROUND, based on a loss in the latest year after earlier profits. Until I see sustained positive earnings, the apparent cheapness may not offer real safety.

In plain English: Netcapital runs an online platform that helps private companies raise money and gives investors access to private deals. The business looks weak: it is losing money, and revenue has shrunk from $8.5 million in the year ended April 30, 2023, to $869,460 in the year ended April 30, 2025. The stock may look cheap compared with its paper value, but because losses continue, it is a speculative turnaround, not a steady business.

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

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-01-31) · fiscal Q2 2026 10-Q (period ended 2025-10-31) · fiscal Q1 2026 10-Q (period ended 2025-07-31) · fiscal Q3 2025 10-Q (period ended 2025-01-31) · FY2025 10-K (period ended 2025-04-30) · FY2024 10-K (period ended 2024-04-30) · FY2023 10-K (period ended 2023-04-30)

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