Trafalgar New Homes (TRAF) AI Stock Analysis

• Market Cap: £261.90K
• Dividend Yield: N/A
• Average Volume (3M): 1.83M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.16
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: UK
• Employees: 5
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 0.00
• Shares Outstanding: 1,746,019,000
• 10 Day Avg. Volume: 980,522
• 30 Day Avg. Volume: 1,829,710
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 31 Underperform
• Price Target: ―

Trafalgar New Homes presents a high-risk investment profile primarily due to its concerning financial position characterized by significant losses, negative equity, and poor cash flow. Despite stable price trends, technical indicators suggest the stock is overbought, and the negative P/E ratio signals a lack of earnings. Collectively, these factors underscore substantial challenges and risks, leading to a low overall stock score.

Positive Factors

Revenue Growth

Despite financial challenges, Trafalgar New Homes has shown significant revenue growth, indicating potential market demand and successful project execution.

Market Position

The company's focus on high-demand areas in South East England positions it well to capitalize on regional housing needs, supporting long-term growth.

Business Model

Trafalgar New Homes' business model of developing tailored residential properties aligns with market demands, potentially ensuring sustained revenue generation.

Negative Factors

Negative Equity

Negative equity indicates that liabilities exceed assets, posing a significant risk to financial stability and limiting the company's ability to secure financing.

Cash Flow Issues

Persistent negative cash flows highlight difficulties in covering operating expenses, threatening the company's ability to sustain operations without external funding.

Profitability Challenges

Negative gross profit and margins reflect operational inefficiencies, suggesting the company struggles to manage costs and achieve profitability.

Trafalgar New Homes Business Overview & Revenue Model

Company Description

Trafalgar New Homes (TRAF) is a real estate development company specializing in residential property development in South East England. The company focuses on building high-quality homes that cater to the demands of the local market, including both affordable and luxury housing options. Trafalgar New Homes aims to provide exceptional value and design in its projects, leveraging its expertise in planning, construction, and sales within the residential sector.

How the Company Makes Money

Trafalgar New Homes makes money primarily through the development and sale of residential properties. The company acquires land, often with planning permission, then designs and constructs homes tailored to market needs. Revenue is generated when these properties are sold, either directly to buyers or through real estate agents. Additionally, the company may generate income from rental properties or partnerships with other real estate entities, though its core revenue stream remains the sale of developed residential units. Key factors contributing to its earnings include strategic land acquisition, efficient project management, and the ability to respond to market demand in desirable locations.

Trafalgar New Homes Financial Statement Overview

Summary

Trafalgar New Homes is in a concerning financial position. The company has been unable to generate revenue or profits, suffers from severe balance sheet weaknesses with negative equity, and struggles to maintain positive cash flows. These factors collectively suggest a high-risk profile, with substantial challenges in achieving financial recovery or stability in the near term.

Income Statement

Trafalgar New Homes exhibits significant weaknesses in its income statement. The company has experienced a consistent decline in total revenue over the past years, with the most recent year showing zero revenue. Gross profit has been negative for several years, indicating issues with cost management. The net profit margin and EBIT margin are both negative, reflecting substantial losses and operational inefficiencies. This trend indicates poor financial health and inability to generate profits.

Balance Sheet

The balance sheet reveals severe financial instability. The company has negative stockholders' equity, indicating that liabilities exceed assets significantly. The debt-to-equity ratio cannot be calculated due to negative equity, but high total debt suggests leverage is a critical concern. The negative equity ratio further highlights the company's precarious financial position, making it highly risky for investors and creditors.

Cash Flow

Trafalgar New Homes faces challenges in generating positive cash flows. The company has consistently negative operating and free cash flows, indicating that it is unable to cover its operating expenses and investments with cash generated from its core business activities. The negative free cash flow to net income ratio and operating cash flow to net income ratio further emphasize cash flow difficulties, posing significant risks to sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.00K	600.00	0.00	18.18K	64.84K	2.29M
Gross Profit	-213.00	-131.48K	-213.00	-12.72K	61.68K	322.01K
EBITDA	-301.17K	-379.73K	-387.17K	-719.49K	-314.25K	-114.43K
Net Income	-385.72K	-400.27K	-516.72K	-843.63K	-486.34K	-329.19K
Balance Sheet
Total Assets	1.59M	1.40M	864.50K	1.32M	1.79M	2.33M
Cash, Cash Equivalents and Short-Term Investments	53.00K	27.43K	8.91K	17.15K	12.75K	246.19K
Total Debt	4.28M	4.19M	3.42M	4.45M	4.69M	4.82M
Total Liabilities	4.52M	4.54M	3.70M	4.67M	5.06M	5.30M
Stockholders Equity	-2.92M	-3.14M	-2.84M	-3.35M	-3.27M	-2.96M
Cash Flow
Free Cash Flow	-1.43M	-858.09K	-909.75K	-642.97K	-352.84K	939.92K
Operating Cash Flow	-1.43M	-858.09K	-909.75K	-617.97K	-352.84K	940.52K
Investing Cash Flow	0.00	0.00	927.25K	624.62K	352.50K	-599.00
Financing Cash Flow	1.24M	876.61K	-25.74K	-2.26K	-233.10K	-721.70K

Trafalgar New Homes Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:TRAF, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and below the 200-day MA of 0.03, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 31.34 is Neutral, neither overbought nor oversold. The STOCH value of 111.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:TRAF.

Trafalgar New Homes Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
KCR	35 Underperform	£3.58M	10.89	2.62%	―	4.96%	―
TRAF	31 Underperform	£261.90K	-0.17	―	―	―	―