FGI Industries Ltd (FGI) AI Stock Analysis

• Market Cap: $7.69M
• Dividend Yield: N/A
• Average Volume (3M): 52.74K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.05
• Revenue Growth: 12.30%
• EPS Growth: -499.54%
• Country: US
• Employees: 420
• Sector: Consumer Cyclical
• Sector Strength: 81
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): -0.61
• Shares Outstanding: 1,918,311
• 10 Day Avg. Volume: 41,036
• 30 Day Avg. Volume: 52,742
• PEG Ratio: 0.11
• Price to Book (P/B): 1.67
• Price to Sales (P/S): 0.28
• P/FCF Ratio: -3.85
• Enterprise Value/Market Cap: 3.60
• Enterprise Value/Revenue: 0.20
• Enterprise Value/Gross Profit: 0.78
• Enterprise Value/Ebitda: -32.42
• 1Y Price Target: $4.50
• Price Target Upside: 12.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 49 Neutral
• Price Target: $4.00 ▼(-0.25% Downside)

FGI Industries Ltd's overall stock score is primarily impacted by its financial performance, which is under pressure due to declining profitability and high leverage. The technical analysis and valuation also reflect challenges, with a lack of clear momentum and negative P/E ratio. The earnings call provided some positive insights into strategic initiatives and geographic expansion, but these are overshadowed by current financial pressures. The recent corporate event of regaining Nasdaq compliance is a positive note, but its impact is limited compared to the broader financial challenges.

Positive Factors

Sales Growth

Sales improved due to continued growth in Canada and Europe, while internal initiatives drove Sanitaryware, Bath Furniture, and Kitchen Cabinetry revenues higher.

Strategic Initiatives

Growth initiatives and quick strategy shifts help offset headwinds, with expanded geographies and higher dealer counts supporting order momentum.

Negative Factors

Demand Challenges

U.S. demand headwinds are mounting, with a multi-week demand pause impacting growth and stabilization of U.S. sales remaining dependent on market share wins.

Profitability Concerns

The company’s aggressive growth investments have come at the expense of profitability which again came in well below consensus expectations for the quarter.

FGI Industries Ltd Business Overview & Revenue Model

Company Description

FGI Industries Ltd (FGI) is a company that operates in the manufacturing and distribution sectors, focusing on providing high-quality kitchen and bath products. The company's offerings include a wide range of products such as vanities, sinks, toilets, bath furniture, and other related accessories, catering to both residential and commercial markets.

How the Company Makes Money

FGI Industries Ltd generates revenue primarily through the sale of its kitchen and bath products to retailers, wholesalers, and direct consumers. The company leverages its extensive distribution network to reach diverse markets, ensuring a broad customer base. Key revenue streams include the sale of branded and private label products, along with strategic partnerships with home improvement retailers and e-commerce platforms. These partnerships help expand their market reach and drive sales. Additionally, FGI may engage in contract manufacturing for other brands, contributing to its overall earnings.

FGI Industries Ltd Financial Statement Overview

Summary

FGI Industries Ltd faces challenges with declining profitability and high leverage, as reflected in its income statement and balance sheet. The cash flow situation is concerning, with negative cash flows and inconsistent growth. While there are some positive aspects, such as revenue growth, the overall financial health is under pressure, warranting cautious optimism.

Income Statement

FGI Industries Ltd has shown a declining trend in profitability with negative net profit margins and EBIT margins in the TTM period. The revenue growth rate is positive, indicating some recovery, but the overall profitability remains a concern. Historical data shows fluctuating revenue growth and decreasing margins, impacting the score negatively.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio, indicating significant leverage, which poses a risk. The return on equity has turned negative in the TTM period, reflecting poor profitability. However, the equity ratio remains relatively stable, providing some balance to the financial structure.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows in the TTM period, with a significant decline in free cash flow growth. The free cash flow to net income ratio is high, indicating cash flow issues relative to earnings. Historical trends show inconsistent cash flow performance, contributing to a lower score.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	135.90M	131.82M	117.24M	161.72M	181.94M	134.83M
Gross Profit	35.66M	35.43M	32.08M	31.51M	32.20M	28.40M
EBITDA	-853.99K	2.14M	4.16M	5.36M	9.57M	6.48M
Net Income	-2.81M	-1.20M	733.60K	3.68M	7.91M	4.73M
Balance Sheet
Total Assets	71.70M	75.46M	65.74M	60.37M	69.15M	45.15M
Cash, Cash Equivalents and Short-Term Investments	2.52M	4.56M	7.78M	10.07M	3.88M	4.02M
Total Debt	25.01M	27.72M	22.23M	19.19M	22.86M	20.52M
Total Liabilities	51.43M	53.90M	41.72M	37.62M	61.60M	43.62M
Stockholders Equity	21.28M	22.25M	24.18M	22.74M	7.55M	1.53M
Cash Flow
Free Cash Flow	-1.67M	-9.63M	447.08K	-83.96K	-3.28M	5.72M
Operating Cash Flow	-101.87K	-7.43M	1.39M	980.26K	-3.22M	5.80M
Investing Cash Flow	-1.65M	-2.88M	-942.61K	-1.06M	-51.89K	-76.53K
Financing Cash Flow	2.87M	7.54M	-2.84M	7.01M	3.32M	-4.25M

FGI Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.01
• 50DMA: Positive
• 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 FGI, the sentiment is Neutral. The current price of 4.01 is above the 20-day moving average (MA) of 3.91, above the 50-day MA of 3.87, and above the 200-day MA of 3.72, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 48.32 is Neutral, neither overbought nor oversold. The STOCH value of 42.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FGI.

FGI Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$17.92B	12.81	-0.76%	2.98%	1.30%	-14.28%
BSET	58 Neutral	$145.98M	59.07	1.46%	4.75%	-7.22%	―
CRWS	53 Neutral	$32.17M	13.58	-22.90%	10.49%	-0.24%	-336.30%
HOFT	51 Neutral	$116.81M	―	-5.55%	8.42%	-3.89%	-391.05%
FGI	49 Neutral	$7.69M	―	-12.48%	―	12.30%	-499.54%
NTZ	47 Neutral	$38.33M	―	-30.18%	―	-5.41%	-21.60%
NVFY	42 Neutral	$102.49M	―	-126.29%	―	-0.01%	77.86%

FGI Industries Ltd Corporate Events

FGI Industries Regains Nasdaq Compliance

On August 14, 2025, FGI Industries Ltd. announced that it has regained compliance with the Nasdaq’s minimum bid price requirement, ensuring its continued listing on the Nasdaq Capital Market. This development indicates that the company meets all necessary listing standards, which could positively impact its market perception and investor confidence.

FGI Industries Announces Reverse Share Split Effective July 31

On July 28, 2025, FGI Industries Ltd. announced a 1-for-5 reverse share split of its ordinary shares, effective July 31, 2025. This adjustment will consolidate every five shares into one, altering the par value and affecting the trading of shares and warrants on the Nasdaq Capital Market. The reverse split will proportionately adjust the number of shares issuable under equity incentive plans and the exercise prices of outstanding options, while maintaining shareholders’ percentage ownership interests.