United Labels (ULC) AI Stock Analysis

• Market Cap: €8.32M
• Dividend Yield: N/A
• Average Volume (3M): 2.02K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: -7.67%
• EPS Growth: -107.69%
• Country: DE
• Employees: 23
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Leisure
• EPS (TTM): N/A
• Shares Outstanding: 6,930,000
• 10 Day Avg. Volume: 2,104
• 30 Day Avg. Volume: 2,021
• PEG Ratio: -0.97
• Price to Book (P/B): 4.16
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 16.22
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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: 55 Neutral
• Price Target: €1.50 ▲(18.11% Upside)

United Labels' overall stock score is primarily influenced by its mixed financial performance and technical analysis. While operational efficiency and cash flow generation are strengths, high leverage and inconsistent revenue growth are significant concerns. The technical analysis indicates short-term bullish momentum, but overbought conditions suggest caution. The valuation is weak due to a negative P/E ratio and lack of dividend yield.

Positive Factors

Operational Efficiency

Operational efficiency allows United Labels to maximize output while minimizing costs, enhancing profitability and competitive positioning over time.

Cash Flow Generation

Consistent cash flow generation supports operational funding and strategic investments, providing financial stability and growth potential.

Gross Profit Margin Improvement

Improved gross profit margins reflect effective cost management, which can lead to enhanced profitability and competitive advantage.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in growth opportunities and weather economic downturns.

Inconsistent Revenue Growth

Inconsistent revenue growth can hinder long-term strategic planning and investment, affecting the company's market position and investor confidence.

Volatile Net Profit Margin

Volatile net profit margins indicate instability in earnings, which can impact the company's ability to sustain operations and invest in future growth.

United Labels Business Overview & Revenue Model

Company Description

United Labels (ULC) is a leading provider of licensing and merchandise solutions, specializing in the design, production, and distribution of branded consumer goods. The company operates primarily in the entertainment and lifestyle sectors, offering a diverse range of products including collectible figurines, apparel, and accessories that feature popular characters and franchises from various media. ULC partners with well-known brands to create unique merchandise that appeals to fans and collectors alike, leveraging its expertise in licensing to drive brand value and consumer engagement.

How the Company Makes Money

United Labels generates revenue through multiple channels, primarily by licensing agreements with popular entertainment franchises, which allows them to produce and sell merchandise featuring these brands. Key revenue streams include direct sales of products through retail partnerships, e-commerce platforms, and their own branded online store. The company also benefits from strategic partnerships with distributors and retailers, enhancing their market reach. Additionally, ULC may earn income through royalties from licensing agreements, where they receive a percentage of sales from products sold under licensed brands, further diversifying their income sources.

United Labels Financial Statement Overview

Summary

United Labels exhibits a mixed financial performance. Strengths include operational efficiency and strong cash flow generation. However, challenges with revenue growth and high leverage pose financial risks. The balance sheet shows potential risks due to significant liabilities, but some stability is maintained with positive equity.

Income Statement

United Labels shows a mixed performance in its income statement. The gross profit margin has improved over the years, indicating better cost management. However, the net profit margin has been volatile, with a significant drop in net income in the latest year. Revenue growth has been inconsistent, with a decline in the most recent period. The EBIT and EBITDA margins show some improvement, reflecting operational efficiency, but the overall profitability remains a concern.

Balance Sheet

The balance sheet of United Labels presents a moderate risk profile. The debt-to-equity ratio is high, suggesting significant leverage, which could pose financial risks. However, the company has managed to maintain a positive equity ratio, indicating some stability. Return on equity has fluctuated, showing potential for improvement in shareholder returns. The company's assets have grown, but the high liabilities remain a concern.

Cash Flow

United Labels demonstrates a strong cash flow position with consistent free cash flow generation. The operating cash flow to net income ratio is healthy, indicating efficient cash conversion. Free cash flow growth has been positive, supporting the company's ability to fund operations and investments. However, fluctuations in investing and financing cash flows suggest potential volatility in future cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.53M	22.45M	24.82M	22.34M	17.97M	13.16M
Gross Profit	7.54M	8.33M	6.76M	6.94M	4.94M	4.73M
EBITDA	1.05M	2.05M	1.58M	1.60M	909.75K	1.90M
Net Income	-317.52K	156.20K	632.25K	444.68K	-212.79K	767.95K
Balance Sheet
Total Assets	27.33M	26.98M	20.95M	24.60M	18.43M	18.50M
Cash, Cash Equivalents and Short-Term Investments	-27.25K	413.60K	762.48K	263.53K	128.27K	237.99K
Total Debt	8.75M	8.04M	7.61M	7.29M	7.73M	8.00M
Total Liabilities	24.47M	24.21M	18.25M	22.38M	17.45M	17.52M
Stockholders Equity	2.85M	2.75M	2.68M	2.20M	966.60K	959.16K
Cash Flow
Free Cash Flow	957.00K	705.00K	583.00K	1.00K	1.06M	808.00K
Operating Cash Flow	446.00K	1.63M	800.00K	1.72K	1.59M	1.16M
Investing Cash Flow	-586.00K	-788.00K	-217.00K	-717.00	-533.00K	-348.00K
Financing Cash Flow	75.00K	-1.19M	-85.00K	-868.00	-1.17M	-963.00K

United Labels Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.27
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:ULC, the sentiment is Positive. The current price of 1.27 is above the 20-day moving average (MA) of 1.18, above the 50-day MA of 1.20, and below the 200-day MA of 1.43, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 58.91 is Neutral, neither overbought nor oversold. The STOCH value of 29.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:ULC.

United Labels Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TNIE	79 Outperform	€1.10B	35.77	8.50%	―	29.34%	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
ULC	55 Neutral	€8.32M	―	-1.47%	―	-7.67%	-107.69%
ACX	48 Neutral	€18.18M	-5.51	-12.47%	―	9.83%	-43.74%