Compx International (CIX) AI Stock Analysis

• Market Cap: $297.99M
• Dividend Yield: 5%
• Average Volume (3M): 2.42K
• Price to Earnings (P/E): 16.6
• Beta (1Y): 0.96
• Revenue Growth: -9.51%
• EPS Growth: -26.61%
• Country: US
• Employees: 510
• Sector: Industrials
• Sector Strength: 83
• Industry: Security & Protection Services
• EPS (TTM): 0.42
• Shares Outstanding: 12,318,557
• 10 Day Avg. Volume: 2,954
• 30 Day Avg. Volume: 2,422
• PEG Ratio: 0.40
• Price to Book (P/B): 1.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.28
• Enterprise Value/Market Cap: 0.68
• Enterprise Value/Revenue: 0.33
• Enterprise Value/Gross Profit: 4.59
• Enterprise Value/Ebitda: 2.22
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ―

Compx International's overall stock score reflects its strong balance sheet and positive technical indicators, but is moderated by financial performance concerns, particularly revenue decline and cash flow issues. The moderate valuation with a decent dividend yield remains attractive, but recent declines in key sales segments warrant caution.

Compx International Business Overview & Revenue Model

Company Description

CompX International Inc. manufactures and sells security products and recreational marine components primarily in North America. It operates in two segments, Security Products and Marine Components. The Security Products segment manufactures mechanical and electrical cabinet locks, and other locking mechanisms used in various applications, including ignition systems, mailboxes, file cabinets, desk drawers, tool storage cabinets, high security medical cabinetry, integrated inventory and access control secured narcotics boxes, electrical circuit panels, storage compartments, gas station security, and vending and cash containment machines. This segment serves recreational transportation, postal, office and institutional furniture, cabinetry, tool storage, healthcare, and other industries. The Marine Components segment manufactures and distributes stainless steel exhaust headers, exhaust pipes, mufflers, and other exhaust components; gauges, such as GPS speedometers and tachometers; mechanical and electronic controls and throttles; wake enhancement systems, trim tabs, steering wheels, and billet aluminum accessories; dash panels, LED indicators, and wire harnesses; and grab handles, pin cleats, and related hardware and accessories primarily for performance and ski/wakeboard boats for the recreational marine and other industries. The company sells its products directly to original equipment manufacturers, as well as through distributors. The company was incorporated in 1993 and is based in Dallas, Texas. CompX International Inc. is a subsidiary of NL Industries, Inc.

How the Company Makes Money

Compx International generates revenue primarily through the manufacturing and sale of security products and precision components. The company's key revenue streams include sales of locks and locking mechanisms used in office furniture and cabinetry, drawer slides, and performance marine components. Compx leverages its expertise in engineering and manufacturing to serve a broad customer base across different industries. Significant partnerships with furniture manufacturers and suppliers contribute to its earnings by providing a consistent demand for its products. Additionally, the company's focus on high-quality manufacturing and innovation in product development helps maintain its competitive edge and sustain its revenue streams.

Compx International Financial Statement Overview

Summary

Compx International demonstrates a robust balance sheet with no debt and a high equity ratio, which enhances financial stability. Profitability metrics are solid, but the revenue decline and absence of cash flow data in 2024 suggest potential operational inefficiencies or strategic shifts.

Income Statement

Compx International has shown a stable performance with notable profitability metrics. The Gross Profit Margin for 2024 was approximately 28.34%, and the Net Profit Margin stood at 11.37%. Despite a revenue decline of 9.52% from 2023 to 2024, the company effectively managed its costs, maintaining a respectable EBIT Margin of 11.66% and EBITDA Margin of 11.66%. The company has experienced fluctuations in revenue, which could be a concern if the trend continues.

Balance Sheet

The balance sheet of Compx International is robust, with strong equity and no debt. The Debt-to-Equity Ratio is 0, indicating no leverage risk. The Return on Equity (ROE) for 2024 was 11.35%, reflecting efficient use of equity capital. The Equity Ratio is high at 89.64%, highlighting the company's strong capital structure and low liability levels, suggesting financial stability.

Cash Flow

Cash flow analysis reveals potential concerns as operating cash flow was not reported for 2024, which is unusual. In 2023, the Operating Cash Flow to Net Income Ratio was 1.14, indicating good cash conversion. However, the Free Cash Flow showed variability, with no reported Free Cash Flow or capital expenditures in 2024, suggesting potential operational challenges or strategic shifts.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
148.24M	145.94M	161.29M	166.60M	140.80M	114.50M
	Gross Profit
43.86M	41.36M	49.22M	48.80M	42.70M	32.80M
	EBIT
19.18M	17.02M	25.43M	25.40M	20.50M	7.97M
	EBITDA
21.97M	20.71M	29.41M	29.41M	24.36M	15.64M
	Net Income Common Stockholders
17.96M	16.59M	22.59M	20.87M	16.57M	10.32M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
56.13M	60.78M	76.75M	59.90M	76.58M	70.64M
	Total Assets
162.21M	163.04M	187.60M	177.39M	192.45M	184.04M
	Total Debt
0.00	0.00	0.00	0.00	0.00	0.00
	Net Debt
-56.13M	-60.78M	-41.39M	-26.75M	-76.58M	-70.64M
	Total Liabilities
14.63M	16.90M	18.75M	18.95M	19.36M	16.39M
	Stockholders Equity
147.58M	146.15M	168.85M	158.44M	173.09M	167.66M
Cash Flow		Free Cash Flow
19.18M	21.51M	24.68M	13.20M	6.38M	13.76M
	Operating Cash Flow
21.13M	22.94M	25.81M	16.89M	10.47M	15.50M
	Investing Cash Flow
22.55M	35.87M	1.15M	-31.10M	6.71M	-3.14M
	Financing Cash Flow
-2.00K	-39.42M	-12.31M	-35.62M	-11.24M	-4.98M

Compx International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 23.99
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CIX, the sentiment is Negative. The current price of 23.99 is below the 20-day moving average (MA) of 24.55, below the 50-day MA of 24.64, and below the 200-day MA of 25.62, indicating a bearish trend. The MACD of -0.28 indicates Positive momentum. The RSI at 46.68 is Neutral, neither overbought nor oversold. The STOCH value of 25.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CIX.

Compx International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NSSC	81 Outperform	$1.02B	23.21	27.48%	1.96%	-1.05%	-2.78%
BRC	76 Outperform	$3.21B	16.77	17.80%	1.42%	8.62%	3.59%
REZI	76 Outperform	$3.13B	52.82	2.58%	―	14.02%	-69.91%
CIX	73 Outperform	$297.99M	16.59	11.35%	5.00%	-9.51%	-26.61%
NL	67 Neutral	$332.16M	5.44	15.93%	5.29%	-6.25%	442.27%
Sector *	66 Neutral	$4.46B	12.15	5.40%	4.71%	4.16%	-11.97%
MG	56 Neutral	$242.49M	16.23	7.70%	―	-2.09%	―

Compx International Corporate Events

Compx International Reports Decline in 2024 Financials

CompX International reported a decline in financial performance for the fourth quarter and full year of 2024 compared to 2023. The decrease in net sales and operating income was primarily due to reduced sales in Security Products, particularly from a government pilot project that did not continue, and lower Marine Components sales. Despite these challenges, the company saw some offset from increased Marine Components sales to the towboat and government markets.