CluenexEverforth EFOR
Everforth scores weak on business quality (2.8 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Everforth does
Everforth provides IT services and consulting, earning revenue from corporate and government clients for specialized technology deployments. The business is navigating a period of revenue contraction while maintaining cash generation through managed technology services.
- What it does best
Everforth delivers IT consulting services supported by government contracts, highlighted in recent news alongside defense wins. Its gross margin of 28.5% edges out peer KD at 21.8%, reflecting sticky client engagements in specialized tech sectors.
- The main risk
Interest coverage sits at a fragile 3.1x, meaning debt servicing consumes a significant slice of operating income if earnings dip further. Net debt of $1.0B leaves little margin for error as revenue declines persist.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin stands at 5.5% with an ROE of 4.6%, placing profitability in the bottom quartile of the technology sector. Margins compress as revenue scales down.
The company holds a niche client base in government and IT services, but sits in the bottom quartile of its sector for gross margin at 11th percentile, limiting true competitive insulation.
Revenue fell 2.9% to $3.9B, continuing a multi-year downward trend from $4.6B in 2022. Growth is fading across core segments as historical figures show persistent top-line compression.
Total debt of $1.2B outweighs $161M of cash, leaving a net debt position of $1.0B. Free cash flow came in at $221M, down from prior years, showing a softer balance sheet.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
No open market buys or unplanned sales by executives or directors.
Our sealed record on EFOR
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Everforth scores weak on the Cluenex quality check (2.8 of 10), measured against its own industry. Profitability is weak, moat fair, growth slow and financial health weak.
In the last 90 days of SEC Form 4 filings: No open market buys or unplanned sales by executives or directors.
Oct 28, 2026, after the close.
See EFOR today
- Today's verdict on EFOR, and why
- Fair value with cautious, base and optimistic cases
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Cite this page: Cluenex, “Everforth (EFOR)”, https://cluenex.com/stocks/efor/, data as of Oct 10, 2026.