Futurefuel (FF) AI Stock Analysis

• Market Cap: $176.09M
• Dividend Yield: 6.15%
• Average Volume (3M): 263.71K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 1.14
• Revenue Growth: -33.92%
• EPS Growth: -58.53%
• Country: US
• Employees: 537
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Chemicals
• EPS (TTM): -0.40
• Shares Outstanding: 43,803,240
• 10 Day Avg. Volume: 404,539
• 30 Day Avg. Volume: 263,711
• PEG Ratio: 0.09
• Price to Book (P/B): 1.16
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.59
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 0.28
• Enterprise Value/Gross Profit: 4.04K
• Enterprise Value/Ebitda: 2.43
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: ―

Futurefuel's overall stock score reflects the challenges it faces with declining financial performance and bearish technical indicators. These are somewhat offset by its attractive valuation, with a reasonable P/E ratio and high dividend yield providing some investment appeal. However, the uncertainty surrounding its financial stability and negative market momentum results in a cautious outlook.

Futurefuel Business Overview & Revenue Model

Company Description

Futurefuel (FF) is a company operating in the renewable energy sector, focusing on the development and production of sustainable biofuels. These biofuels are designed to serve as cleaner alternatives to traditional fossil fuels, catering to industries such as transportation, power generation, and various manufacturing sectors that are seeking to reduce their carbon footprint. Futurefuel aims to contribute to a more sustainable future by leveraging advanced technologies to convert renewable resources into efficient energy solutions.

How the Company Makes Money

Futurefuel generates revenue primarily through the sale of biofuels to a range of customers, including transportation companies, utility providers, and industrial manufacturers. The company capitalizes on long-term supply agreements and strategic partnerships with key players in these industries to ensure a steady demand for its products. Additionally, Futurefuel may receive government incentives and tax breaks aimed at promoting renewable energy initiatives, which can further enhance its financial performance. The company also invests in research and development to improve production efficiencies and to innovate new biofuel technologies, potentially opening new revenue streams in the future.

Futurefuel Financial Statement Overview

Summary

Futurefuel is facing challenging financial conditions with declining revenues and potential financial reporting issues. Although historically low leverage was maintained, recent concerns about liabilities and equity put financial stability into question. Cash flow generation is strong but declining net income and fluctuating free cash flow pose risks. Overall, financial health is under pressure.

Income Statement

Futurefuel's revenue has been declining over the recent years, with a significant drop from $368M in 2023 to $243M in 2024. Gross profit margin has been inconsistent, and the most recent year shows a concerning 100% gross profit margin due to a likely classification error. Net income has also decreased sharply, impacting net profit margins. While EBITDA margin remains positive, the overall profitability is under pressure.

Balance Sheet

The balance sheet reveals a concerning lack of liabilities and equity recorded in 2024, suggesting potential reporting issues or a significant restructuring. Historically, the company maintained a healthy equity ratio and low debt levels compared to equity. However, the absence of liabilities and equity in the latest report raises questions about the company's financial stability.

Cash Flow

Futurefuel's cash flow position shows a mixed picture. Operating cash flow has been relatively stable, but free cash flow experienced fluctuations with a decline in the latest year. The operating cash flow to net income ratio indicates strong cash generation relative to net income despite recent net income decline. Nevertheless, the cash flow trajectory needs monitoring due to volatility and potential impacts from financial restructuring.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	202.60M	243.34M	368.25M	396.01M	321.39M	204.50M
Gross Profit	74.00K	19.64M	40.98M	28.99M	23.54M	31.31M
EBITDA	2.76M	25.64M	47.87M	24.32M	23.35M	33.49M
Net Income	-6.47M	15.50M	37.38M	15.21M	26.25M	46.56M
Balance Sheet
Total Assets	227.67M	247.69M	367.08M	355.97M	344.33M	441.30M
Cash, Cash Equivalents and Short-Term Investments	97.07M	109.54M	219.44M	212.77M	184.71M	262.53M
Total Debt	0.00	0.00	389.00K	630.00K	644.00K	491.00K
Total Liabilities	39.27M	41.87M	57.20M	72.97M	55.40M	69.42M
Stockholders Equity	188.40M	205.82M	309.88M	283.00M	288.93M	371.88M
Cash Flow
Free Cash Flow	15.22M	10.13M	15.28M	47.76M	42.63M	91.94M
Operating Cash Flow	31.62M	24.80M	21.30M	52.54M	44.08M	96.40M
Investing Cash Flow	-15.39M	-14.79M	33.02M	-3.83M	14.99M	474.00K
Financing Cash Flow	-120.28M	-119.91M	-10.52M	-10.50M	-119.68M	-142.09M

Futurefuel Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FF, the sentiment is Negative. The current price of 3.95 is below the 20-day moving average (MA) of 4.01, below the 50-day MA of 3.99, and below the 200-day MA of 4.75, indicating a bearish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 46.87 is Neutral, neither overbought nor oversold. The STOCH value of 18.29 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FF.

Futurefuel Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SMID	75 Outperform	$161.84M	21.95	20.22%	―	31.77%	857.28%
FF	54 Neutral	$176.09M	11.43	-3.29%	6.15%	-33.92%	-58.53%
ALTO	53 Neutral	$88.02M	―	-24.43%	―	-17.27%	-112.62%
PLL	50 Neutral	$124.65M	―	-19.11%	―	―	―
LWLG	49 Neutral	$151.30M	―	-62.70%	―	24.23%	2.59%
Sector *	44 Neutral	C$953.01M	-6.70	-13.31%	2.75%	17.55%	-32.28%
IONR	40 Underperform	$165.25M	―	-4.74%	―	―	-173.39%

Futurefuel Corporate Events

FutureFuel Expands Board, Appoints Pamela R. Butcher

On April 3, 2025, FutureFuel Corp. announced the expansion of its Board of Directors to nine members and the appointment of Pamela R. Butcher as a Class C member. Ms. Butcher brings extensive experience in business management and marketing within the chemical industry, having served on multiple boards and held executive roles at prominent companies. Her appointment is expected to enhance FutureFuel’s strategic direction and industry positioning, with her compensation aligned with the company’s director arrangements and an option to purchase 10,000 shares of common stock.

FutureFuel Announces Departure of Chief Commercial Officer

On February 26, 2025, FutureFuel Corp. announced the termination of Charles W. Lyon’s employment as Chief Commercial Officer, effective March 31, 2025. The company entered into a Separation Agreement with Mr. Lyon, which includes a total separation payment of $330,187 and additional compensation for COBRA coverage. Mr. Lyon agreed to release the company from all claims and adhere to confidentiality, non-solicitation, and non-competition covenants. Following his departure, FutureFuel plans to merge the roles of Chief Commercial Officer and Chief Executive Officer to streamline operations and enhance growth and product innovation.