The FAQ contains no new financial data beyond previously announced guidance — the stock reaction to this filing alone should be muted. Monitor the Beacon Bank revolver extension (matures June 19, 2026) and the pace of remaining convertible conversions for near-term dilution overhang. The reverse split authorization in the proxy is a potential catalyst if Nasdaq compliance becomes an issue.
Price Chart
Executive Summary
Capstone published an investor FAQ detailing that 72% of its convertible-note principal ($4.92M of $6.82M) has been converted as of May 1, leaving $1.90M outstanding. The company reaffirmed FY2026 guidance of $72.1M revenue (up 54%), ~$18.7M gross profit, and ~$3.8M EBITDA (up 322%), with a positive EBITDA run-rate expected in Q2. The FAQ is a routine disclosure update with no new financial data beyond previously announced guidance.
Key Facts
- 72% of original $6.82M convertible-note principal converted as of May 1, leaving $1.90M outstanding
- FY2026 guidance reaffirmed: $72.1M revenue (up 54%), ~$18.7M gross profit (up 73%), ~$3.8M EBITDA (up 322%)
- Positive EBITDA run-rate expected beginning in Q2 2026
- At year-end 2025, $7.9M drawn against $11.5M Beacon Bank revolver; management expects extension but no binding commitment
- Remaining conversion-price buckets: ~$250K at $0.75 (July note); ~$91K at $0.75, ~$287K at $0.571, ~$1.27M at $1.10 (October note)
- 2026 proxy includes proposal to authorize reverse stock split; no decision to execute yet
Financial Impact
Convertible debt reduced by $4.92M (72% of original principal); remaining $1.90M outstanding. FY2026 guidance implies 54% revenue growth to $72.1M and 322% EBITDA growth to ~$3.8M.
Risk Factors
- No binding commitment to extend Beacon Bank revolver; failure to extend could create liquidity pressure
- Remaining $1.90M convertible note continues to create dilution upon conversion
- Stock trades well below $1.00 minimum bid; Nasdaq delisting risk persists without reverse split or price recovery
- FY2026 guidance is forward-looking and subject to execution risk; no GAAP reconciliation provided for EBITDA targets
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001437749-26-015014 |
| Exhibit: ex_956345.htm | 0001437749-26-015014 |
| Document: caps20260505_8k.htm | 0001437749-26-015014 |
| Document: 0001437749-26-015014-index-headers.html | 0001437749-26-015014 |
| Document: 0001437749-26-015014-index.html | 0001437749-26-015014 |
| Document: 0001437749-26-015014.txt | 0001437749-26-015014 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 21, 2026 5d ago | 8-K | $2.58 | awaiting T+60 | — | $2.61 (+1.16%) |
Oct 13, 2026 13d ago | 8-K | $0.1242 | awaiting T+60 | — | $2.61 (+2001.45%) |
Oct 1, 2026 25d ago | 8-K | $0.1492 | awaiting T+60 | — | $2.61 (+1649.33%) |
Aug 26, 2026 8w ago | 8-K | $0.1850 | awaiting T+60 | — | $2.61 (+1310.81%) |
Aug 12, 2026 10w ago | 10-Q/A | $0.2328 | awaiting T+60 | — | $2.61 (−1021.13%) |
Aug 12, 2026 10w ago | 8-K | $0.2328 | awaiting T+60 | — | $2.61 (−1021.13%) |
Aug 11, 2026 10w ago | Insider Cluster | $0.2328 | awaiting T+60 | — | $2.61 (+1021.13%) |
Jul 24, 2026 13w ago | Insider Cluster | $0.2304 $2.72 | ▲ +1080.56% | ▲ +1076.83% | $2.61 (+1032.81%) |
Jul 10, 2026 15w ago | EFFECT | $0.2564 $0.1429 | ▲ +44.27% | ▲ +46.90% | $2.61 (−917.94%) |
Jul 9, 2026 15w ago | 8-K | $0.2647 $0.1454 | ▼ −45.07% | ▼ −46.70% | $2.61 (+886.02%) |
US Market Status
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