Avalon Holdings (AWX) AI Stock Analysis

• Market Cap: $10.37M
• Dividend Yield: N/A
• Average Volume (3M): 110.78K
• Price to Earnings (P/E): 57.7
• Beta (1Y): 0.09
• Revenue Growth: -4.84%
• EPS Growth: -81.73%
• Country: US
• Employees: 882
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.49
• Shares Outstanding: 3,287,647
• 10 Day Avg. Volume: 32,365
• 30 Day Avg. Volume: 110,778
• PEG Ratio: -0.07
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 0.18
• P/FCF Ratio: 13.47
• Enterprise Value/Market Cap: 3.75
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 2.47
• Enterprise Value/Ebitda: 6.92
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: $2.50 ▼(-6.02% Downside)

Avalon Holdings' overall stock score is primarily influenced by its financial performance challenges, particularly in profitability and cash flow management. The technical analysis suggests some medium-term support, but short-term momentum is weak. The high P/E ratio indicates potential overvaluation, further impacting the stock's attractiveness.

Positive Factors

Diversified Revenue Streams

The company's diversified revenue streams from leisure and environmental services provide stability and reduce reliance on any single income source.

Partnerships with Local Governments

Partnerships with local governments for waste management ensure a steady income stream, enhancing long-term revenue stability and market position.

Balanced Asset Structure

A balanced asset structure indicates prudent financial management, supporting long-term stability and potential for growth.

Negative Factors

Profitability Challenges

Persistent profitability challenges can hinder reinvestment and growth, impacting the company's ability to compete and expand in the long term.

Weak Cash Flow Performance

Weak cash flow performance limits the company's ability to fund operations and investments, posing a risk to financial health and strategic initiatives.

Declining Revenue Growth

Declining revenue growth suggests potential market share loss or demand issues, which could affect long-term competitiveness and profitability.

Avalon Holdings Business Overview & Revenue Model

Company Description

Avalon Holdings (AWX) is a diversified company operating primarily in the hospitality and leisure sectors. It is engaged in providing various services including golf course management, real estate development, and waste management. The company focuses on creating value through its recreational facilities and real estate investments, catering to a broad range of customers seeking leisure and business amenities.

How the Company Makes Money

Avalon Holdings generates revenue through multiple streams including the operation of golf courses, where it earns from greens fees, memberships, and event hosting. Additionally, the company engages in real estate development projects which contribute to its earnings through property sales and leasing activities. In the waste management sector, Avalon provides services to both commercial and residential clients, generating consistent income from service contracts. Strategic partnerships with local governments and businesses also enhance its market presence and revenue potential, allowing for expanded service offerings and increased customer base.

Avalon Holdings Financial Statement Overview

Summary

Avalon Holdings faces challenges in profitability and cash flow management, despite some revenue growth. The balance sheet shows moderate leverage, but the company needs to enhance its operational efficiency and cash generation to improve financial stability.

Income Statement

Avalon Holdings shows modest revenue growth in the TTM period, but profitability remains a challenge with low net profit margins and declining EBIT and EBITDA margins. The gross profit margin has decreased compared to previous years, indicating pressure on cost management.

Balance Sheet

The company's debt-to-equity ratio is relatively stable, but slightly high for the industry, indicating moderate leverage. Return on equity is low, reflecting limited profitability. However, the equity ratio is reasonable, suggesting a balanced asset structure.

Cash Flow

Cash flow performance is weak, with negative free cash flow growth and a negative free cash flow to net income ratio. Operating cash flow coverage is low, indicating potential liquidity concerns. The company needs to improve cash generation to support operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	79.71M	83.80M	80.52M	81.18M	70.38M	58.72M
Gross Profit	15.74M	17.23M	13.78M	13.96M	13.55M	11.71M
EBITDA	5.63M	6.99M	3.94M	4.06M	6.01M	4.17M
Net Income	180.00K	1.32M	-1.77M	-583.00K	1.97M	14.00K
Balance Sheet
Total Assets	90.69M	86.19M	87.97M	89.75M	78.04M	77.95M
Cash, Cash Equivalents and Short-Term Investments	4.55M	2.80M	1.19M	1.62M	3.25M	4.21M
Total Debt	34.65M	34.71M	35.02M	33.69M	22.76M	26.16M
Total Liabilities	53.32M	49.13M	51.87M	51.61M	39.06M	40.98M
Stockholders Equity	38.71M	38.03M	36.72M	38.49M	39.07M	37.09M
Cash Flow
Free Cash Flow	1.09M	1.12M	-1.54M	-4.13M	-2.06M	-1.98M
Operating Cash Flow	2.93M	3.37M	2.35M	2.26M	2.36M	2.57M
Investing Cash Flow	-1.83M	-2.25M	-3.90M	-6.39M	-4.42M	-4.51M
Financing Cash Flow	-932.00K	-818.00K	944.00K	11.23M	-1.09M	1.40M

Avalon Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.66
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AWX, the sentiment is Neutral. The current price of 2.66 is below the 20-day moving average (MA) of 2.69, below the 50-day MA of 2.76, and above the 200-day MA of 2.62, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 47.72 is Neutral, neither overbought nor oversold. The STOCH value of 33.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AWX.

Avalon Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
QRHC	51 Neutral	$43.83M	-1.89	-44.35%	―	-9.25%	-189.37%
CHNR	48 Neutral	$4.70M	-10.66	―	―	―	―
AWX	47 Neutral	$10.37M	57.70	0.47%	―	-4.84%	-81.73%
CDTG	45 Neutral	$5.41M	21.41	―	―	-14.18%	-78.84%
AQMS	36 Underperform	$16.13M	-0.06	-187.08%	―	―	-106.93%

Avalon Holdings Corporate Events

Avalon Holdings Amends Credit Line Agreement

On September 24, 2025, Avalon Holdings Corporation and its subsidiaries entered into a Change in Terms Agreement with Wesbanco Bank, Inc., amending their existing Line of Credit Agreement dated September 23, 2024. This agreement extends the maturity date of the credit line from July 31, 2026, to July 31, 2027, with $3,200,000 drawn under the agreement as of the date of the amendment.