Does TARGET HOSPITALITY CORP. have an economic moat?

Based on its FY2025 SEC filings, the Moat Index scores TARGET HOSPITALITY CORP. (TH) 42.8 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 64, returns on capital 26, balance-sheet safety 55, capital discipline 24.

Is TH stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $7.93 per share versus a recent price of $16.36 — 106% above value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has TH's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 42.8 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

TARGET HOSPITALITY CORP.

TH · Consumer Discretionary · $1.6B mkt cap · FY2025 filings · Shallow moat ·

Doesn't clear the bar

Shallow moat

The four filters

Pricing power64

Median gross margin 56.3% over 9y, variable.

Returns on capital26

Median ROIC 7.4%, above the 9% hurdle in 44% of years.

Balance-sheet safety55

Net cash position — no leverage risk.

Capital discipline24

Owner earnings trend unclear, share count growing (dilution).

Margin of safety

Above valueOn sale

106% above value

Owner earnings (normalized): $71.3M
Est. intrinsic value / share: $7.93
Recent price: $16.36
Discount to value: 106% above value

Conservative model: 9% discount rate, 0% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

10 years of fundamentals

The business, in plain English

TARGET HOSPITALITY CORP. booked $274.8M of revenue in FY2025 in the Consumer Discretionary sector and kept 15.5% of it as gross profit — a thin-margin business by that measure. After every other cost, −13.5% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $75.4M (FY2017) to $274.8M (FY2025) — about 17.5% a year compounded over 8 years.

It earned −7.1% on invested capital in FY2025, with a median of 7.4% across 9 filed years. The Returns on Capital filter above scores it 26/100.

The balance sheet carried $3.8M of total debt in FY2025. Balance-Sheet Safety scores it 55/100.

The share count rose 33.4% between FY2018 and FY2025 — existing owners have been diluted over the record. Capital Discipline scores it 24/100.

Put together: Pricing Power is the strongest of the four filters (64/100) and Capital Discipline the weakest (24/100), which is how TH lands at 43/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$274.8M FY2025

Gross marginRevenue kept after cost of goods15.5% FY2025

Return on invested capitalOperating profit on the capital employed−7.1% FY2025

Owner earningsCash an owner could take out−$37.1M FY2025

Gaps in a line mean that item isn’t in TH’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale42.8 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — TH has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Consumer Discretionary context

#193 of 340 scored Consumer Discretionary companies, ranked by Moat Score.

Nearest peers by Moat Score

#191CRL CHARLES RIVER LABORATORIES INTERNATIONAL, INC.42.9 out of 100, Shallow moatShallow moat
#192SMP STANDARD MOTOR PRODUCTS, INC.42.8 out of 100, Shallow moatShallow moat
#194GME GameStop Corp.42.6 out of 100, Shallow moatShallow moat
#195ONEW OneWater Marine Inc.42.5 out of 100, Shallow moatShallow moat

Compare TH with its nearest peers →All Consumer Discretionary companies on the Index →

Common questions about TH

Does TARGET HOSPITALITY CORP. have an economic moat?: Based on its FY2025 SEC filings, the Moat Index scores TARGET HOSPITALITY CORP. (TH) 42.8 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 64, returns on capital 26, balance-sheet safety 55, capital discipline 24.
Is TH stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $7.93 per share versus a recent price of $16.36 — 106% above value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has TH's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 42.8 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell TH. See the disclaimer.