Pipehawk (PIP) AI Stock Analysis

• Market Cap: £435.75K
• Dividend Yield: N/A
• Average Volume (3M): 31.84K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.22
• Revenue Growth: -24.40%
• EPS Growth: 19.80%
• Country: UK
• Employees: 108
• Sector: Technology
• Sector Strength: 77
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.03
• Shares Outstanding: 36,312,824
• 10 Day Avg. Volume: 48,186
• 30 Day Avg. Volume: 31,841
• PEG Ratio: -0.18
• Price to Book (P/B): -0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.10
• 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

• Rating: 44 Neutral
• Price Target: 1.00p ▼(-16.67%Downside)

Pipehawk's overall stock score is primarily influenced by its poor financial performance, which poses significant risks due to high leverage and inconsistent cash flow. Despite some positive corporate developments indicating strategic growth and a return to profitability, the technical indicators and valuation concerns reflect ongoing market challenges and financial instability.

Pipehawk Business Overview & Revenue Model

Company Description

PipeHawk plc engages in the development, assembly, and sale of test system solutions and ground probing radar (GPR) equipment primarily for civil engineering and land mine detection applications in Europe and internationally. It operates through Utility Detection and Mapping Services; Development, Assembly, and Sale of GPR Equipment; and Automation and Test System Solutions segments. The company offers service avoidance, utility mapping, and reinstatement measurement solutions, as well as accessories; provides GPR based services; and undertakes complementary research and development assignments. It also provides utility detection and mapping solutions; solutions and services for electronic system design and manufacture, test equipment, transfer systems, and automation and assembly solutions to the automotive, aerospace, rail, and other related industries; and turnkey solutions for automated assembly process. In addition, the company produces machines, attachments, and tools for railway track renewal and maintenance; manufactures and provides service for specialist equipment to test the skid resistance characteristics of vehicle and pedestrian surfaces; and offers specialist surveying services. PipeHawk plc was incorporated in 2000 and is based in Aldershot, the United Kingdom.

How the Company Makes Money

Pipehawk generates revenue primarily through the sale and leasing of its ground probing radar systems and other associated technologies. The company's revenue streams include direct sales to construction firms, utility companies, and government agencies that require accurate underground detection solutions. Additionally, Pipehawk offers service contracts for utility detection and mapping, which provide recurring revenue through maintenance and support agreements. The company may also engage in strategic partnerships with larger infrastructure firms to enhance its market reach and service capabilities.

Pipehawk Financial Statement Overview

Summary

Pipehawk faces significant financial challenges with increasing losses, high leverage, and inconsistent cash flow. While revenue growth is a positive sign, it is overshadowed by operational inefficiencies and financial instability. The company needs to address its high debt levels and improve profitability to stabilize its financial position.

Income Statement

Pipehawk's income statement shows a concerning trend with persistent losses. Gross profit margin has improved recently, but the company has been unable to translate this into net profit, with net losses increasing. The revenue growth rate is positive but insufficient to offset significant EBIT and net income losses, indicating operational inefficiencies.

Balance Sheet

The balance sheet reflects high leverage with a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is not meaningful due to negative equity, and the equity ratio is also negative, showing potential solvency issues. The company is heavily reliant on debt, which poses significant financial risk.

Cash Flow

Cash flow analysis reveals inconsistent cash generation with negative operating and free cash flows in the latest period. Although there was a positive operating cash flow in the previous year, the consistency is lacking, and the current free cash flow to net income ratio is negative, suggesting difficulties in generating cash from operations.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
6.66M	9.14M	6.47M	6.19M	6.67M	8.32M
	Gross Profit
1.34M	3.90M	5.89M	2.55M	3.73M	4.18M
	EBIT
-978.00K	-1.22M	-2.90M	-1.31M	257.00K	405.00K
	EBITDA
-479.00K	-596.00K	-2.32M	-888.00K	449.00K	596.00K
	Net Income Common Stockholders
-321.00K	-1.69M	-2.48M	-868.00K	522.00K	590.00K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
49.00K	95.00K	148.00K	4.00K	920.00K	250.00K
	Total Assets
1.76M	1.93M	7.74M	8.18M	5.79M	4.61M
	Total Debt
6.81M	6.71M	7.80M	8.29M	5.36M	5.39M
	Net Debt
6.76M	6.61M	7.65M	8.28M	4.44M	5.14M
	Total Liabilities
7.98M	8.20M	13.19M	11.14M	8.01M	7.35M
	Stockholders Equity
-6.21M	-6.27M	-5.45M	-2.97M	-2.22M	-2.74M
Cash Flow		Free Cash Flow
528.00K	-280.00K	1.20M	-1.16M	937.00K	-735.00K
	Operating Cash Flow
569.00K	-230.00K	1.31M	-833.00K	1.07M	-261.00K
	Investing Cash Flow
-41.00K	-50.00K	-111.00K	-325.00K	-88.00K	-451.00K
	Financing Cash Flow
-542.00K	227.00K	-1.06M	242.00K	-309.00K	188.00K

Pipehawk Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PIP, the sentiment is Negative. The current price of 1.2 is below the 20-day moving average (MA) of 1.52, below the 50-day MA of 1.59, and below the 200-day MA of 1.74, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 0.59 is Positive, neither overbought nor oversold. The STOCH value of 29.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:PIP.

Pipehawk Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SDI	72 Outperform	£75.28M	21.69	7.69%	―	-5.19%	115.58%
Sector *	61 Neutral	$11.29B	10.17	-6.88%	2.97%	7.41%	-8.93%
XAR	61 Neutral	£83.18M	―	-15.96%	―	-13.04%	-387.05%
TRAK	46 Neutral	£4.37M	―	-6.32%	―	-19.57%	-206.79%
PIP	44 Neutral	£435.75K	―		―	-24.40%	19.80%
ZYT		$4.49M	―		―	―	―
TRAC		£1.25M	―		―	―	―

Pipehawk Corporate Events

PipeHawk PLC Returns to Profitability Amidst Strategic Growth and Market Challenges

PipeHawk PLC reported a return to net profitability despite a significant decrease in turnover due to the administration of QM Systems Limited. The company’s remaining subsidiaries performed well, with a strong order book and positive outlook for future projects. Thomson Engineering Design Ltd continues to strengthen its market position through strategic partnerships and international exhibitions, while Adien has secured new clients and projects, maintaining high operational capacity. Utsi Electronics Ltd anticipates a brighter future with a more stable order outlook, despite initial slowdowns. The company’s financial position is supported by deferred director fees and renewed financial support.