Titon Holdings (TON) AI Stock Analysis

• Market Cap: £10.12M
• Dividend Yield: 1.33%
• Average Volume (3M): 8.06K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.17
• Revenue Growth: -27.62%
• EPS Growth: -228.90%
• Country: UK
• Employees: 134
• Sector: Industrials
• Sector Strength: 89
• Industry: Construction
• EPS (TTM): -0.01
• Shares Outstanding: 11,248,750
• 10 Day Avg. Volume: 8,713
• 30 Day Avg. Volume: 8,061
• PEG Ratio: 0.15
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.66
• 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: 43 Neutral
• Price Target: 1.00p ▲(11.11%Upside)

Titon Holdings has a low overall stock score due to significant financial challenges and valuation concerns. The financial performance is the most impactful factor, showing declining revenues and profitability. Technical analysis provides mixed signals, with an overbought RSI suggesting potential downside risk. The lack of a dividend yield and negative P/E ratio further contribute to the low valuation score.

Titon Holdings Business Overview & Revenue Model

Company Description

Titon Holdings (TON) is a multinational company specializing in the design, manufacture, and distribution of ventilation systems and window and door hardware. The company primarily operates within the housing and construction sectors, providing innovative and energy-efficient solutions to enhance indoor air quality and building performance. Titon's core products include trickle vents, window handles, and mechanical ventilation systems, which cater to both residential and commercial markets.

How the Company Makes Money

Titon Holdings makes money through the sale of its ventilation systems and window and door hardware products. The company's revenue streams are primarily derived from direct sales to construction companies, distributors, and retailers across various global markets. Additionally, Titon benefits from strategic partnerships with building contractors and developers, enabling the integration of its products into large-scale construction projects. The company's focus on energy efficiency and compliance with environmental regulations further drives demand for its products, contributing to its earnings.

Titon Holdings Financial Statement Overview

Summary

Titon Holdings faces significant financial challenges, with declining revenues and profitability. The income statement indicates substantial losses, and cash flow issues persist despite a strong equity base and low leverage. Improvement in operational efficiency is necessary for better financial health.

Income Statement

The income statement shows a concerning decline in both revenue and profitability. The company's gross profit margin has decreased to 28.0%, and net profit margin is negative at -23.9%, indicating losses. There is a significant decline in revenue growth, with a 30.7% drop from the previous year. EBIT and EBITDA margins are also negative, at -5.8% and -9.3% respectively, highlighting operational inefficiencies and cost challenges.

Balance Sheet

The balance sheet reflects moderate stability with a debt-to-equity ratio of 0.04, indicating low leverage. However, the return on equity is negative at -33.8%, due to net losses impacting shareholder returns. The equity ratio stands at 76.6%, suggesting a strong equity base relative to total assets. Overall, while leverage is low, profitability issues present a risk.

Cash Flow

Cash flow results show a mixed picture. While operating cash flow is positive at $602,000, free cash flow has decreased by 43.8% year-over-year. The operating cash flow to net income ratio is negative due to losses, indicating reliance on cash reserves rather than income. The free cash flow to net income ratio is also negative, reflecting cash flow challenges amid operational losses.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	15.48M	22.33M	22.09M	23.41M	20.65M
Gross Profit	4.33M	5.92M	5.52M	7.10M	5.22M
EBITDA	-1.51M	434.00K	-62.00K	2.04M	1.02M
Net Income	-3.70M	-686.00K	-436.00K	1.03M	58.00K
Balance Sheet
Total Assets	14.28M	19.36M	21.61M	21.97M	21.92M
Cash, Cash Equivalents and Short-Term Investments	2.28M	2.24M	1.73M	4.79M	5.57M
Total Debt	479.00K	632.00K	610.00K	595.00K	808.00K
Total Liabilities	3.38M	4.60M	5.66M	5.15M	5.11M
Stockholders Equity	10.94M	14.70M	15.65M	16.41M	15.94M
Cash Flow
Free Cash Flow	289.00K	514.00K	-2.48M	215.00K	2.17M
Operating Cash Flow	602.00K	1.15M	-1.80M	1.13M	2.69M
Investing Cash Flow	-278.00K	-285.00K	-630.00K	-889.00K	-471.00K
Financing Cash Flow	-241.00K	-377.00K	-684.00K	-945.00K	-1.26M

Titon Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TON, the sentiment is Positive. The current price of 0.9 is above the 20-day moving average (MA) of 0.83, above the 50-day MA of 0.77, and above the 200-day MA of 0.75, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 95.30 is Negative, neither overbought nor oversold. The STOCH value of 65.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:TON.

Titon Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPWN	78 Outperform	£140.76M	8.85	16.03%	4.21%	-6.20%	83.31%
NTBR	76 Outperform	£11.96M	7.89	6.83%	459.77%	-4.53%	19.89%
HSM	71 Outperform	£7.86M	10.23	6.39%	290.32%	0.40%	-10.09%
Sector *	67 Neutral	£2.80B	13.39	4.69%	218.68%	2.40%	-24.53%
ALU	65 Neutral	£127.00M	13.36	29.95%	197.18%	19.86%	19.09%
TON	43 Neutral	£10.12M	―	-11.61%	1.33%	-27.62%	-228.90%

Titon Holdings Corporate Events

Titon Holdings Chair Increases Stake with Share Purchase

Titon Holdings Plc announced that Jamie Brooke, the Non-Executive Chair, purchased 10,000 ordinary shares at 85.0 pence each, increasing his stake to approximately 1.5% of the company’s total voting rights. This transaction, conducted on the London Stock Exchange, reflects a significant vote of confidence in the company’s future prospects and may positively influence stakeholder perceptions.

Titon Holdings Announces Share Option Grants and CEO Share Purchase

Titon Holdings Plc has announced the grant of 1,586,720 options over ordinary shares to certain employees, including three directors, under its 2025 Enterprise Management Incentive Scheme. The options, which vest annually over five years, are exercisable at 74 pence per share and could potentially dilute the company’s issued share capital by 14.7% if fully exercised. Additionally, CEO Tom Carpenter has purchased 13,806 ordinary shares, increasing his stake in the company to approximately 1.16% of total voting rights.

Titon Holdings to Announce Interim Results and Host Investor Presentation

Titon Holdings Plc, a company in the manufacturing sector, is set to release its unaudited interim results for the six months ending 31 March 2025. The announcement will be made on 30 April 2025, followed by a live presentation on 2 May 2025 by CEO Tom Carpenter and CFO Carolyn Isom. This presentation is aimed at engaging with existing and potential shareholders and analysts, providing them with insights into the company’s performance and future outlook.