Watch for definitive merger agreement by May 30 deadline — if completed, TOMZ could re-rate dramatically. In the meantime, core business shows improving cash flow but needs margin recovery. The non-binding LOI carries execution risk.
Price Chart
Executive Summary
TOMI reported Q1 2026 revenue of $1.65M (up 5% YoY but missed the $1.7M consensus) and EPS of -$0.04 (in line). More importantly, the company announced a non-binding LOI to merge with Carbonium Core at a $120M enterprise valuation — over 8x TOMI's current market cap — with a definitive target by May 30, 2026. Core operations improved, with operating expenses down 15% and operating cash flow positive at $296K.
Key Financial Metrics
Key Facts
- Q1 2026 revenue $1.65M (+5% YoY) vs consensus $1.7M (miss)
- GAAP EPS -$0.04 vs consensus -$0.04 (in line)
- Gross margin declined to 50% from 60% due to equipment mix
- Operating loss improved to -$626K from -$754K
- Operating cash flow positive $296K, up $572K YoY
- Post-quarter: LOI to merge with Carbonium Core at $120M enterprise valuation
- Definitive agreement targeted by May 30, 2026
Financial Impact
LOI implies ~$120M enterprise value for Carbonium Core, dwarfing TOMI's $15M market cap; core business still unprofitable but cash flow positive
Risk Factors
- Merger may not materialize (non-binding LOI, subject to due diligence and stockholder approval)
- Significant dilution from preferred stock conversion
- Core business still unprofitable with declining gross margins
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001654954-26-004629 |
| Document: tomz_8k.htm | 0001654954-26-004629 |
| Document: 0001654954-26-004629-index-headers.html | 0001654954-26-004629 |
| Document: 0001654954-26-004629-index.html | 0001654954-26-004629 |
| Document: 0001654954-26-004629.txt | 0001654954-26-004629 |
| 8-K Data (Synthetic) | 0001654954-26-004629 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 16, 2026 10d ago | 8-K | $1.44 | awaiting T+20 | — | $1.43 (−0.69%) |
Oct 15, 2026 12d ago | Press Release | $1.50 | awaiting T+20 | — | $1.43 (−4.67%) |
Oct 1, 2026 26d ago | Press Release | $1.36 | awaiting T+20 | — | $1.43 (+5.15%) |
Sep 21, 2026 5w ago | 8-K | $1.46 $1.47 | ▲ +0.68% | ▲ +1.24% | $1.43 (−2.05%) |
Sep 21, 2026 5w ago | Press Release | $1.46 $1.47 | ▲ +0.68% | ▲ +1.24% | $1.43 (−2.05%) |
Sep 18, 2026 5w ago | Press Release | $1.46 $1.47 | ▲ +0.68% | ▲ +0.48% | $1.43 (−2.05%) |
Sep 2, 2026 7w ago | 8-K | $1.66 $1.36 | ▼ −18.07% | ▼ −17.92% | $1.43 (−13.86%) |
Aug 14, 2026 10w ago | 8-K | $1.75 $1.58 | ▼ −9.71% | ▼ −7.72% | $1.43 (−18.29%) |
Aug 14, 2026 10w ago | Press Release | $1.75 $1.58 | ▼ −9.71% | ▼ −7.72% | $1.43 (−18.29%) |
Jul 29, 2026 12w ago | 8-K | $1.52 $1.73 | ▲ +13.82% | ▲ +8.80% | $1.43 (−5.92%) |
US Market Status
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