Quest Resource Holding Corporation (QRHC) AI Stock Analysis

NASDAQ: QRHCAI research summary: business, growth, valuation, analysts, bull and bear case.

QRHC AI stock analysis summary

AI Research

Quest Resource Holding Corporation provides waste management, recycling, and landfill diversion solutions across the United States. In FY2025, revenue fell 13.3% to $250.2M with a net income of -$15.4M, though operating cash flow reached $9.6M. For the trailing twelve months ended June 30, 2026, revenue stood at $248.1M with quarterly revenue growing 7.6% year-over-year.

Market cap
$24.0M
Revenue (TTM)
$248.1M
P/E
—
fwd 9.9x
1Y return
-10.9%
S&P 500 16.8%
Avg. target
$3.25
185.1% vs last close

Bull case

  • Free cash flow turned positive to $9.3M in FY2025 compared to -$12.1M in FY2024.
  • In the latest quarter ended June 30, 2026, quarterly revenue grew 7.6% and quarterly earnings improved 66.7% year-over-year.
  • Analysts forecast a return to positive annual profitability next fiscal year with EPS estimated at $0.04 alongside a mean price target of $3.25.

Bear case

  • The company recorded consecutive annual net losses from FY2022 through FY2025, including a loss of -$15.4M in FY2025.
  • Total debt stood at $61.4M as of June 30, 2026, heavily outweighing cash and short-term investments of $1.0M.
  • Annual gross margin declined from 18.4% in FY2021 to 14.9% in FY2025.

What Quest Resource does

Quest Resource Holding Corporation specializes in providing comprehensive solutions for the management, recycling, and disposal of diverse waste streams and recyclables across the United States. Its services cover materials such as motor oil, automotive lubricants, scrap tires, plastics, cardboard, metal, glass, food waste, and hazardous materials. Quest Resource also offers ancillary services, including antifreeze distribution, dumpster and compacting equipment rentals, and landfill diversion services. The company serves a diverse client base, including big box retailers, grocery stores, automotive maintenance facilities, manufacturing plants, restaurant chains, and construction sites across sectors like automotive, hospitality, retail, and property management.

Growth and profitability

Quest Resource generated a 5-year revenue CAGR of 20.5% from FY2020 to FY2025. Annual revenue expanded from $155.7M in FY2021 to $284.0M in FY2022, $288.4M in FY2023, and $288.5M in FY2024, before declining 13.3% to $250.2M in FY2025. Gross margin contracted from 18.4% in FY2021 to 14.9% in FY2025, while operating margin moved from 2.9% to -0.1%. Net income shifted from $1.7M in FY2021 to -$15.4M in FY2025. Over the trailing twelve months, revenue reached $248.1M with an operating margin of 1.8% and a net margin of -7.1%. For the latest quarter ended June 30, 2026, revenue increased 7.6% year-over-year, and earnings grew 66.7%.

QRHC income statement →

Balance sheet and cash flow

As of June 30, 2026, Quest Resource held $1.0M in cash and short-term investments against total debt of $61.4M, resulting in net debt of $60.4M. Shareholders' equity was $26.8M, yielding a debt-to-equity ratio of 2.29 and a current ratio of 1.18. In FY2025, operating cash flow turned positive to $9.6M and free cash flow reached $9.3M, up from -$12.1M in FY2024. Capital expenditures for FY2025 totaled $251,000, while the share count expanded 11.2% over 5 years.

QRHC balance sheet →

Valuation and performance

Quest Resource trades at a forward P/E of 9.9x, below the 17.2x median of its US-listed Industrials peers. Its EV to EBITDA ratio is 12.6x, compared to the peer median of 13.9x, and its price-to-sales ratio is 0.1x versus the peer median of 1.5x. Over the past year, QRHC shares fell 10.9%, trailing the S&P 500 return of 16.8%. Over a 5-year span, the stock fell 82.2% while the S&P 500 gained 83.0%.

QRHC key metrics →

What analysts expect

Wall Street sentiment includes 2 Strong Buy ratings and no Buy, Hold, Sell, or Strong Sell ratings. The mean price target is $3.25, representing a 185.1% premium above the last close of $1.14. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $257.0M and EPS of -$0.12. For the following fiscal year, 2 analysts forecast revenue of $271.8M and EPS of $0.04. Quest Resource beat EPS estimates in 1 of the last 4 quarters, and its next earnings date is November 9, 2026.

QRHC forecast and price target →

Key risks and what to watch

  • Financial leverage is high, evidenced by a debt-to-equity ratio of 2.29 and net debt of $60.4M.
  • Shareholder value faces dilution from an 11.2% expansion in the share count over 5 years.
  • Earnings execution has been uneven, with the company beating EPS estimates in only 1 of the last 4 quarters.

AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer

About this QRHC AI stock analysis

This page is an AI-written research summary of Quest Resource Holding Corporation (QRHC). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: QRHC income statement, QRHC balance sheet, QRHC key metrics, QRHC analyst forecast, QRHC chart. See the QRHC stock overview for the latest quote and news.

QRHC AI stock analysis FAQ

What does Quest Resource Holding Corporation do?

Quest Resource Holding Corporation provides waste management, recycling, and landfill diversion solutions across the United States. It handles diverse streams including motor oil, scrap tires, plastics, food waste, and hazardous materials.

When is Quest Resource's next earnings date?

The company's next earnings date is November 9, 2026.

What is the consensus analyst target for QRHC stock?

The mean price target is $3.25, which is 185.1% above the last close of $1.14.

Does Quest Resource pay a dividend?

Quest Resource does not have dividend information reported.

What are Quest Resource's total debt and cash balances?

As of June 30, 2026, the company held $1.0M in cash and short-term investments and $61.4M in total debt, resulting in net debt of $60.4M.

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