Positioning no disclosures inside 60 days, left as found
Options no verdict drawn today, left as found
Ethical does not pass the values gate
Price0.30 USD
Fair value3.30
Ethical score70.0/100
RatingAVOID
Our investment reviews on this name
2026-09-05Read Distribution2.03-85.2% to today ✓
2026-08-05Read Markup2.03-85.2% to today
2026-07-02Read Distribution2.03-85.2% to today ✓
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Meritage Hospitality Group Inc. holds its Distribution at $0.30. The statistical read favours the buyers, held for 2 days.
As held on the ledger · 2026-09-18
Phase
Distribution · caution
Quantitative state
The statistical read favours the buyers, held for 2 days
Price at the screen
$0.30
Valuation
N/A trailing · 0.31 forward price to earnings
Values screen
FAIL· score 70.0
Beta
-0.10
The Workings
Five Screens, Shown in Full
Does not pass. Debt ratio
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
236.57%
Below 33%
Interest-bearing debt is 236.6% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
14.36%
Below 33%
Cash held in interest-bearing accounts and securities is 14.4% of assets, under the one-third limit.
Pass
Receivables
0.00%
Below 49%
Money owed to the company is 0.0% of assets, under the 49% limit.
Pass
Revenue purity
0.00%
Below 5%
Only 0.0% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
What the Numbers Say It Is Worth
The Fair Value Range
Our framework reads AVOID: it trades at roughly a 1000% discount to our $3.30 fair value, weak competitive moat, 5.20% revenue growth.
Fair value range in USD, drawn from the 2026-09-18 screen. The gold marker is the market price at the same screen. A 1,000.0% margin of safety to the base estimate.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-09-18 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Why it gives us pause
At 0.3x forward earnings, the price already runs ahead of the business. Our fair value sits at $3.30, below where it trades today. The weak moat is real, but quality alone does not make an expensive price cheap.
The risks · The things to watch: it's a small-cap, so the share price can swing harder than the market; it carries a real debt load, which raises the stakes if revenue slips.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
MHGU trades on OQX. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-09-05Distribution · changed$2.03+0.0%Entry 5
The framework has shifted from markup to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 83%. Our forward projection puts the odds of a 10% gain over the next month near 13%.
2026-08-05Markup · changed$2.03+0.0%Entry 4
The framework has shifted from distribution to markup since the last review. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 83%. Our forward projection puts the odds of a 10% gain over the next month near 13%.
2026-07-18Distribution$2.03+0.0%Entry 3
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 83%. Our forward projection puts the odds of a 10% gain over the next month near 13%.
2026-07-03Distribution$2.03+0.0%Entry 2
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns.
2026-07-02Distribution$2.03Entry 1
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
What Holding Actually Paid · Price Plus Dividends
If $1,000 had been placed · historical, not a promise
Period
Price then
Price return
Divs per share
$1,000 became
Total return
1 month
$2.06
+7.8%
·
$1,078
+7.8%
2 months
$2.25
-1.3%
·
$987
-1.3%
3 months
$2.76
-19.6%
·
$804
-19.6%
6 months
$3.87
-42.6%
·
$574
-42.6%
1 year
$13.24
-83.2%
·
$168
-83.2%
2 years
$17.41
-87.3%
$0.06
$131
-86.9%
3 years
$19.94
-88.9%
$0.24
$123
-87.7%
5 years
$21.16
-89.5%
$0.78
$142
-85.8%
Historical returns from market close data. Past performance does not guarantee future results.
The Ledger's Promise
This entry now belongs to the ledger. Whatever MHGU does next, these words stay.
Meritage Hospitality Group Inc. · MHGU · Distribution · $0.30
Recorded 2026-09-18 · before the outcome · scored mechanically