Descripción de la empresa
Yunhong Green CTI Ltd. operates within the consumer cyclical sector, specifically focusing on the packaging and containers industry, where it develops, produces, distributes, and sells a variety of consumer products for markets in the United States and internationally. The company's product portfolio is centered on novelty items, including foil and latex balloons, as well as inflatable latex goods such as punch balls, water bombs, and custom-shaped twisted balloons. With a total market capitalization of $7.77 million and an annualized revenue of $19.70 million over the trailing twelve months, the enterprise employs a workforce of 52 individuals to execute its operations. These financial metrics indicate that the company functions as a small-cap entity with a relatively modest revenue base compared to large-scale industrial packaging competitors, suggesting a niche positioning within the broader consumer goods landscape where scale is not yet a primary driver of dominance.
Salud financiera
The company reported trailing twelve-month revenue of $19.70 million, yet generated a net income of -$2,702,000, revealing a significant structural gap where operating expenses and losses substantially erode gross receipts. While the EBITDA stands at $263,000, providing a measure of operational profitability before interest and taxes, the free cash flow remains negative at -$1,407,000, indicating that capital expenditures and working capital requirements currently exceed the cash generated from operations. The gross margin sits at 18.2%, reflecting the cost of goods sold relative to sales, while the operating margin is 11.8%, showing the efficiency of core business operations before interest and taxes. However, the profit margin is -12.8%, confirming that the bottom line remains in deficit due to high cost structures or non-operating expenses that outweigh operating profits. On the balance sheet, the firm holds $97,000 in cash against $11.13 million in debt, resulting in a debt-to-equity ratio of 130.07% that characterizes a highly leveraged financial position rather than a conservative one. The current ratio of 1.41 suggests the company possesses sufficient short-term assets to cover its immediate liabilities, though the margin of safety is moderate given the heavy debt load. Furthermore, the return on equity is -26.3% and the return on assets is -1.0%, metrics that reveal management has not yet achieved positive returns on the capital invested or utilized, highlighting ongoing challenges in generating value for shareholders.
Evaluación de valoración
Valuation multiples for Yunhong Green CTI Ltd. are unavailable as the P/E ratio (TTM) and forward P/E are both N/A, a direct consequence of the reported net losses which prevents the calculation of traditional earnings-based valuations. Consequently, the price-to-book ratio of 1.10 serves as a primary indicator, showing that the market values the company slightly above its tangible book value, though this premium is limited by the lack of earnings growth. The price-to-sales ratio stands at 0.39, suggesting the company trades at a fraction of its revenue, while the EV/EBITDA multiple is 77.18, a figure that appears elevated when compared to profitable peers but must be interpreted within the context of the firm's negative net income and high debt levels. Price action analysis shows a 52-week high of $11.50 and a 52-week low of $2.38, placing the current trading price significantly below the annual peak and indicating a period of consolidation or decline relative to the recent high. The stock exhibits a beta of 0.38, which implies that the share price is substantially less volatile than the broader market, moving with a dampened intensity that may appeal to risk-averse investors despite the underlying financial leverage.
Growth & Income
Revenue growth over the last year is recorded at 5.3%, whereas earnings growth is N/A due to the negative net income, illustrating that top-line expansion is occurring without a corresponding improvement in bottom-line profitability. The company does not distribute dividends, evidenced by a dividend yield of N/A and a payout ratio of 0.0%, meaning all available earnings are retained to fund operations, pay down debt, or attempt to fuel future growth initiatives rather than being returned to shareholders. The absence of a dividend policy combined with negative earnings suggests the firm is in a reinvestment phase, prioritizing operational survival and market share maintenance over income generation for investors. Overall, the growth and income profile presents a scenario of moderate top-line expansion offset by significant earnings deficits, with no current income stream provided to shareholders through dividends or capital appreciation driven by earnings growth.