PRECISION OPTICS CORPORATION, INC. — Form 10-K
Filed September 28, 2026 · analyzed by the Periodic Agent
10-K
▼ Likely negative
significance 72/100
What the filing says
On September 25, 2026, Precision Optics and Main Street Bank amended the company's loan agreement (originally $500K revolver increased to $1.25M, plus $2.6M term loan). The company failed to meet its 1.20x minimum debt service coverage ratio for FY 6/30/2026. The bank waived this covenant but imposed a new $2M minimum liquidity covenant tied to a Main Street Bank account (failure = event of default), capped the $1.25M line of credit at $750K accessible immediately (remaining $500K blocked until DSCR recovers to 1.20x for 4 consecutive quarters), and charged a $5K modification fee.
Why this rating
Covenant breach on 8.4% of company market cap signals distress; new restrictions on $1.25M credit line (40% of market value) materially constrain liquidity and operational flexibility.
Price action (we called it negative)
before filing · preread $4.59 | at our read pending | +10 min pending | +30 min pending | +1 hr pending | +4 hrs pending |
Quotes via Yahoo Finance at capture time; for filings arriving outside market hours the clock starts at the next open. Not investment advice. How accurate are our calls? →
See more from September 28, 2026.
EDGAR·FLOW summarizes public SEC EDGAR filings with automated analysis. Materiality scores and stock-impact predictions are algorithmically generated and are not investment advice. Always verify against the source filing on SEC.gov.