Naturhouse Health (NTH) AI Stock Analysis

• Market Cap: €160.66M
• Dividend Yield: 11.15%
• Average Volume (3M): 24.74K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.14
• Revenue Growth: -4.18%
• EPS Growth: 4.98%
• Country: US
• Employees: 191
• Sector: Healthcare
• Sector Strength: 45
• Industry: Packaged Foods
• EPS (TTM): 0.16
• Shares Outstanding: 60,000,000
• 10 Day Avg. Volume: 17,416
• 30 Day Avg. Volume: 24,740
• PEG Ratio: -0.64
• Price to Book (P/B): 3.14
• Price to Sales (P/S): 2.01
• P/FCF Ratio: 8.87
• 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): 0.16
• Revenue Forecast (FY): €48.80M

• Rating: 73 Outperform
• Price Target: €3.00 ▲(30.43% Upside)

Naturhouse Health's overall stock score is driven by strong technical momentum and attractive valuation, despite concerns over declining revenue and cash flow growth. The stock's bullish trend and high dividend yield are significant positives, but the company needs to address its revenue and cash flow challenges to sustain long-term growth.

Positive Factors

High gross margins

Sustained gross margins above 70% indicate durable product-level profitability driven by proprietary nutrition products and low cost of goods. High gross margins provide structural cushioning for operating expenses and support long-term margin sustainability even if revenues fluctuate.

Low leverage and strong equity

A low debt-to-equity ratio and strong equity base give the company financial flexibility to fund network expansion or weather downturns without heavy interest burdens. This capital structure supports steady investment in centers and long-term strategic initiatives.

Service + recurring product sales model

The hybrid model ties recurring product sales to ongoing service engagements, creating sticky revenue from repeat purchases and enabling scalable franchise economics. This structural mix supports steady customer lifetime value and predictable mid-term revenue streams.

Negative Factors

Declining revenue trend

A multi-year revenue decline, including a sharp 2024 drop, undermines top-line durability. Even with healthy margins, shrinking sales reduce absolute profits, constrain reinvestment, and increase reliance on margin preservation or cost cuts to maintain returns over the next several quarters.

Negative free cash flow growth

Declining or negative free cash flow growth limits the firm's ability to fund expansion, pay dividends, or accumulate reserves. Over 2-6 months this constrains strategic flexibility and raises risk if operating cash generation does not recover to support franchising and product supply investments.

Shrinking total assets

A declining asset base can signal reduced investment in the network or contracting operations, which may impede capacity to scale franchises and maintain distribution. Persistently shrinking assets reduce operational optionality and may constrain medium-term growth initiatives.

Naturhouse Health Business Overview & Revenue Model

Company Description

Naturhouse Health (NTH) is a global leader in the health and wellness sector, specializing in nutritional counseling and weight management solutions. The company operates through a franchise model, providing its clients with personalized dietary plans, supplements, and a range of health-related products. NTH focuses on promoting healthy lifestyles through its innovative programs that cater to individual needs, making it a trusted partner in achieving weight loss and overall well-being.

How the Company Makes Money

Naturhouse Health generates revenue primarily through its franchise operations, where franchisees pay initial setup fees and ongoing royalties based on their sales. Additionally, the company earns money by selling its proprietary nutritional products and supplements directly to both franchisees and customers. A significant portion of its earnings also comes from strategic partnerships with health professionals and wellness centers, which help to expand its reach and credibility in the market. The company's continued investment in marketing and brand development further enhances its revenue potential by attracting new customers and retaining existing ones.

Naturhouse Health Financial Statement Overview

Summary

Naturhouse Health shows strong profitability with consistent margins and low leverage. However, declining revenue and free cash flow growth are significant concerns that need to be addressed to ensure long-term sustainability.

Income Statement

Naturhouse Health's income statement reflects a mixed performance. The company has maintained strong gross profit margins consistently above 70%, indicating efficient cost management. However, the revenue has been declining over the years, with a significant drop in 2024. The net profit margin remains healthy at around 20%, but the declining revenue growth rate is a concern. EBIT and EBITDA margins are stable, but the overall revenue trajectory needs improvement.

Balance Sheet

The balance sheet shows a strong equity position with a low debt-to-equity ratio, indicating financial stability and low leverage risk. Return on equity is robust, reflecting effective use of equity to generate profits. The equity ratio is healthy, suggesting a solid financial foundation. However, the declining total assets over the years could be a potential risk if not addressed.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth, which is concerning. The operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. However, the negative free cash flow growth rate in recent years highlights potential challenges in maintaining cash reserves. The company needs to focus on improving cash flow generation to support future growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	47.81M	49.42M	50.41M	52.40M	57.59M	55.08M
Gross Profit	34.47M	35.46M	25.11M	37.48M	41.26M	38.97M
EBITDA	13.43M	15.63M	17.93M	15.61M	20.80M	16.96M
Net Income	10.23M	9.86M	11.29M	9.63M	13.36M	9.38M
Balance Sheet
Total Assets	43.70M	42.59M	48.85M	42.82M	49.00M	42.58M
Cash, Cash Equivalents and Short-Term Investments	23.34M	21.67M	27.10M	14.78M	27.25M	21.61M
Total Debt	2.72M	4.27M	5.05M	5.38M	4.37M	7.03M
Total Liabilities	17.86M	10.91M	18.21M	14.96M	12.92M	16.55M
Stockholders Equity	25.83M	31.68M	30.63M	27.81M	36.02M	25.96M
Cash Flow
Free Cash Flow	10.91M	11.22M	20.38M	6.13M	16.12M	14.38M
Operating Cash Flow	11.64M	11.56M	20.95M	7.10M	16.17M	14.58M
Investing Cash Flow	163.00K	862.00K	-459.00K	-5.22M	-4.27M	112.00K
Financing Cash Flow	-14.92M	-16.10M	-7.70M	-16.98M	-6.27M	-3.39M

Naturhouse Health Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:NTH, the sentiment is Positive. The current price of 2.3 is below the 20-day moving average (MA) of 2.38, above the 50-day MA of 2.22, and above the 200-day MA of 1.92, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 86.43 is Negative, neither overbought nor oversold. The STOCH value of 91.62 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES:NTH.

Naturhouse Health Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NTH	73 Outperform	€160.66M	14.60	38.28%	11.15%	-4.18%	4.98%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%