SPAR Group, Inc.

SGRP

IndustrialsSpecialty Business ServicesNASDAQ

$0.68

Market Cap: $16.47M

SPAR Group, Inc. (SGRP) Valuation Summary

Updated May 11, 2026 06:30

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$0.25 – $8.82	$1.75	+156.3%
Revenue DCF 10Y	—	N/A	—
▸ Trading Multiples
EV/Revenue	$3.16 – $198.73	$13.66	+1901.0%

Valuation History

DCF Analysis

SPAR Group, Inc. (SGRP) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$1.75

Market Price

$0.68

Upside / Downside

+156.3%

Verdict

Undervalued

Using a Revenue DCF model with operating margin convergence from -12.4% to a target of 10.3% over 5 years, discounted at a WACC of 8.9%, SPAR Group, Inc. (SGRP) has an intrinsic value of $1.75 per share (range: $0.25 – $8.82).

Key Assumptions

Current Operating Margin

-12.4%

Target Operating Margin

10.3%

WACC

8.9%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

1.8%

Target CapEx/Rev

6.0%

D&A/Revenue

3.0%

Tax Rate

40.0%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	141	3.6%	-7.9%	-11	-11	4	(4)	31	-41	-39
2027	146	3.6%	-3.3%	-5	-5	4	(5)	2	-7	-6
2028	151	3.6%	1.2%	2	1	5	(7)	2	-3	-2
2029	136	-10.0%	5.8%	8	5	4	(7)	-5	7	5
2030	122	-10.0%	10.3%	13	8	4	(7)	-5	9	6

Enterprise Value Bridge

Sum of PV(FCFF)-37

Terminal Value (Gordon Growth at 3.0%)150

PV of Terminal Value102

Enterprise Value65

(–) Net Debt24

Equity Value41

(÷) Shares Outstanding24

Fair Value per Share$1.75

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.3%	7.3%	10.3%	13.3%	16.3%
6.9%	$0	$2	$5	$7	$9
7.9%	$-1	$1	$3	$5	$6
8.9%	$-1	$0	$2	$3	$5
9.9%	$-1	$-0	$1	$2	$3
10.9%	$-2	$-1	$0	$1	$2

Current price: $0.68. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 34.3% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$13.66

Market Price

$0.68

Upside / Downside

+1901.0%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), SPAR Group, Inc. (SGRP) has a fair value of $13.66 based on 7 comparable companies in the Specialty Business Services industry.

EV/Revenue Valuation — Specialty Business Services

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
SPAR Group, Inc.SGRP	16	0.3x	0.2x
Sidus Space, Inc.SIDU	104	34.7x	9.9x
Globus Maritime LimitedGLBS	47	2.9x	4.1x
Ming Shing Group Holdings LimitedMSW	23	0.9x	—
LiqTech International, Inc.LIQT	23	2.1x	2.0x
Performance Shipping Inc.PSHG	23	0.3x	0.2x
ParaZero Technologies Ltd.PRZO	14	43.6x	—
Armlogi Holding Corp. common stockBTOC	13	0.7x	0.7x
Industry Median		2.1x	2.0x
(*) Revenue		136	207
= Enterprise Value		287	406
(-) Net Debt		24	24
Equity Value		263	382
(/) Outstanding shares		24	24
Fair Price		$11	$16

Selected Fair Value (avg of trailing + forward)

$13.66

+1901.0%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$0.25 – $8.82

$1.75

+156.3%

Revenue DCF 10Y

—

N/A

—

▸ Trading Multiples

EV/Revenue

$3.16 – $198.73

$13.66

+1901.0%

DCF Analysis

SPAR Group, Inc. (SGRP) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$1.75

Market Price

$0.68

Upside / Downside

+156.3%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-12.4%

Target Operating Margin

10.3%

WACC

8.9%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

1.8%

Target CapEx/Rev

6.0%

D&A/Revenue

3.0%

Tax Rate

40.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	141	3.6%	-7.9%	-11	-11	4	(4)	31	-41	-39
2027	146	3.6%	-3.3%	-5	-5	4	(5)	2	-7	-6
2028	151	3.6%	1.2%	2	1	5	(7)	2	-3	-2
2029	136	-10.0%	5.8%	8	5	4	(7)	-5	7	5
2030	122	-10.0%	10.3%	13	8	4	(7)	-5	9	6

Enterprise Value Bridge

Sum of PV(FCFF)-37

Terminal Value (Gordon Growth at 3.0%)150

PV of Terminal Value102

Enterprise Value65

(–) Net Debt24

Equity Value41

(÷) Shares Outstanding24

Fair Value per Share$1.75

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.3%	7.3%	10.3%	13.3%	16.3%
6.9%	$0	$2	$5	$7	$9
7.9%	$-1	$1	$3	$5	$6
8.9%	$-1	$0	$2	$3	$5
9.9%	$-1	$-0	$1	$2	$3
10.9%	$-2	$-1	$0	$1	$2

Current price: $0.68. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 34.3% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$13.66

Market Price

$0.68

Upside / Downside

+1901.0%

Verdict

Undervalued

EV/Revenue Valuation — Specialty Business Services

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
SPAR Group, Inc.SGRP	16	0.3x	0.2x
Sidus Space, Inc.SIDU	104	34.7x	9.9x
Globus Maritime LimitedGLBS	47	2.9x	4.1x
Ming Shing Group Holdings LimitedMSW	23	0.9x	—
LiqTech International, Inc.LIQT	23	2.1x	2.0x
Performance Shipping Inc.PSHG	23	0.3x	0.2x
ParaZero Technologies Ltd.PRZO	14	43.6x	—
Armlogi Holding Corp. common stockBTOC	13	0.7x	0.7x
Industry Median		2.1x	2.0x
(*) Revenue		136	207
= Enterprise Value		287	406
(-) Net Debt		24	24
Equity Value		263	382
(/) Outstanding shares		24	24
Fair Price		$11	$16

Selected Fair Value (avg of trailing + forward)

$13.66

+1901.0%