Monitor the 1818 Park mortgage refinancing — failure to execute the Fifth Omnibus Amendment or secure a long-term refinancing could trigger foreclosure. The company's cash burn rate (~$5.7M operating cash outflow in Q1 2026) and reliance on affiliate financing (Stewards International $100M facility at 8% with dilutive warrants) suggest continued liquidity pressure. The resale registration overhang (20.6M shares) may cap any upside in the thinly traded OTC stock.
Executive Summary
Stewards, Inc. filed Amendment No. 5 to its S-1 resale registration for 20.6M shares issued in a 2024/2025 private placement. The filing provides no new capital to the company and comes amidst deteriorating financials — FY2025 revenue grew 27% to $16.3M (driven by real estate acquisition), but net loss widened to $20.8M, negative working capital of $74.8M, and the $73.6M 1818 Park mortgage has reached maturity with extension/refinancing risk. Going concern disclosure was reiterated. The company's common stock trades on OTC Pink at ~$2.75 with minimal liquidity.
Key Financial Metrics
Key Facts
- FY2025 revenue $16.3M (up 27% YoY, driven by $4.6M rental income from 1818 Park acquisition), but financing/brokerage revenue declined 8.8% to $11.7M.
- FY2025 net loss widened to $20.8M from $8.7M in FY2024; net loss applicable to common stockholders was $23.1M.
- Q1 2026 revenue $3.9M (financing/brokerage down 56% YoY to $1.5M); net loss $5.7M.
- Total indebtedness ~$133.8M as of March 31, 2026, including $73.6M mortgage on 1818 Park that matured June 1, 2026 with no executed extension.
- 1818 Park has in-place DSCR of ~0.9x; Fifth Omnibus Amendment to extend maturity to August 1, 2026 not yet executed.
- Cash and cash equivalents fell 74% to $1.3M as of March 31, 2026; total cash (including restricted) $4.7M.
- Accumulated deficit of $64.1M as of March 31, 2026.
- Founders control ~87% voting power via Series B Preferred Stock; no sunset provision.
- Dolomite SPA ($10M in $DOLO tokens) remains unfunded — no milestones achieved, no tokens received.
- Resale of 20.6M shares represents ~10% of outstanding shares; fixed price range $3-$5 vs. last trade $2.75.
Financial Impact
FY2025 net loss of $20.8M on $16.3M revenue; Q1 2026 net loss of $5.7M on $3.9M revenue. Total debt $133.8M with $73.6M mortgage at maturity risk.
Risk Factors
- Foreclosure risk on 1818 Park if mortgage refinancing fails — property represents ~88% of total assets.
- Going concern risk: negative working capital of $74.8M, accumulated deficit $64.1M, and cash burn rate exceeding available liquidity.
- Dilution risk: 20.6M shares registered for resale, plus 131.6M warrants at $0.76/share, plus 71.3M shares from Series A conversion, plus 10M from Series B.
- Reliance on affiliate financing (Stewards International) at below-market prices — no third-party alternatives identified.
- Multi-class voting structure gives founders 87% control with no sunset — limits minority shareholder influence.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 2 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| S-1/A Filing (Primary) | 0001663577-26-000199 |
| Exhibit: ex10_30.htm | 0001663577-26-000199 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 7, 2026 20d ago | 8-K/A | $2.54 $2.62 | ▼ −3.15% | ▼ −2.55% | $2.91 (−14.57%) |
Sep 29, 2026 28d ago | 8-K | $2.43 $2.42 | ▼ −0.41% | ▼ −0.21% | $2.91 (+19.75%) |
Sep 24, 2026 4w ago | 8-K | $2.81 $2.61 | ▼ −7.12% | ▼ −7.66% | $2.91 (+3.56%) |
Sep 24, 2026 4w ago | Press Release | $2.81 $2.61 | ▲ +7.12% | ▲ +7.66% | $2.91 (−3.56%) |
Sep 21, 2026 5w ago | 8-K | $2.18 $2.42 | ▼ −11.01% | ▼ −11.73% | $2.91 (−33.49%) |
Sep 21, 2026 5w ago | 3 | $1.99 $2.18 | ▲ +9.55% | ▲ +9.56% | $2.91 (+46.23%) |
Sep 16, 2026 5w ago | SC 13D | $2.13 $2.15 | ▲ +0.94% | ▲ +1.06% | $2.91 (+36.62%) |
Sep 16, 2026 5w ago | SC 13D | $2.13 $2.15 | ▲ +0.94% | ▲ +1.06% | $2.91 (+36.62%) |
Sep 16, 2026 5w ago | SC 13D | $2.13 $2.15 | ▲ +0.94% | ▲ +1.06% | $2.91 (+36.62%) |
Sep 16, 2026 5w ago | SC 13D | $2.13 $2.15 | ▲ +0.94% | ▲ +1.06% | $2.91 (+36.62%) |
US Market Status
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