Skyline (SKLN) AI Stock Analysis

• Market Cap: 92.25M
• Dividend Yield: N/A
• Average Volume (3M): 3.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.71
• Revenue Growth: -33.82%
• EPS Growth: 6.83%
• Country: IL
• Employees: 673
• Sector: Real Estate
• Sector Strength: 53
• Industry: Travel Lodging
• EPS (TTM): -408.80
• Shares Outstanding: 16,700,480
• 10 Day Avg. Volume: 3,719
• 30 Day Avg. Volume: 3,730
• PEG Ratio: -0.12
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 1.08
• P/FCF Ratio: -3.20
• 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: Moderate Sell
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: 563.00 ▲(2.35% Upside)

Skyline's overall stock score is heavily impacted by its poor financial performance, characterized by declining revenues, high leverage, and negative cash flows. Technical analysis further supports a bearish outlook, with all indicators pointing to downward momentum. Valuation metrics are also unfavorable, with a negative P/E ratio and no dividend yield, highlighting significant risks and challenges for potential investors.

Positive Factors

Strategic Partnerships

These partnerships enhance Skyline's product offerings and expand its market reach, providing a durable competitive advantage and potential for stable revenue streams.

Recurring Revenue Model

The recurring revenue model through subscriptions provides predictable cash flows and customer retention, supporting long-term financial stability.

Innovative Product Offering

Skyline's innovative solutions in urban planning position it well in a niche market, potentially driving sustained demand and market leadership.

Negative Factors

Declining Revenue

Declining revenue indicates challenges in market demand or competitive pressures, which could hinder long-term growth and financial health.

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth opportunities.

Negative Cash Flows

Negative cash flows suggest operational inefficiencies and financial strain, challenging the company's ability to sustain operations and invest in future growth.

Skyline Business Overview & Revenue Model

Company Description

Skyline Investments Inc. develops and operates real estate properties. The company was formerly known as Skyline International Development Inc. Skyline Investments Inc. was founded in 1998 and is based in Toronto, Canada with an additional office in Israel.

How the Company Makes Money

Skyline generates revenue through a combination of software licensing, subscription services, and consulting fees. The primary revenue stream comes from the sale of its software products, which are offered as one-time licenses or through recurring subscription models. Additionally, Skyline provides customized consulting services to help clients implement and optimize their software solutions, which contributes significantly to its earnings. The company has formed strategic partnerships with various municipalities and real estate developers, allowing it to enhance its product offerings and expand its market reach. These collaborations often lead to joint projects that further solidify its revenue base.

Skyline Financial Statement Overview

Summary

Skyline faces substantial financial challenges across its income statement, balance sheet, and cash flow. The company is experiencing declining revenue and profitability, high leverage, and negative cash flows. These factors indicate a need for strategic improvements to stabilize and enhance financial performance.

Income Statement

Skyline's income statement reveals significant challenges. The company has experienced a decline in revenue, with a TTM revenue growth rate of -16%. Profitability metrics are concerning, with a negative net profit margin of -43% and a negative EBIT margin. The gross profit margin has also decreased over time, indicating pressure on cost management. Overall, the income statement reflects declining revenue and profitability, which are major concerns.

Balance Sheet

Skyline's balance sheet shows a moderate level of financial leverage with a debt-to-equity ratio of 1.07 in the TTM period. The equity ratio is relatively stable, but the return on equity is negative, indicating that the company is not generating returns for shareholders. The balance sheet suggests a need for improved financial management and profitability to enhance shareholder value.

Cash Flow

The cash flow statement highlights significant challenges in cash generation. Operating cash flow is negative, and although free cash flow has shown some improvement, it remains negative. The operating cash flow to net income ratio is also negative, indicating inefficiencies in converting income to cash. Overall, the cash flow situation is concerning, with a need for improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.87M	121.39M	121.34M	133.70M	136.75M	129.36M
Gross Profit	7.82M	12.02M	14.03M	28.07M	32.86M	14.42M
EBITDA	-23.95M	-11.30M	-12.11M	32.58M	63.09M	13.11M
Net Income	-59.53M	-49.86M	-40.30M	-1.55M	22.93M	-18.00M
Balance Sheet
Total Assets	361.75M	458.77M	640.90M	609.35M	579.70M	637.86M
Cash, Cash Equivalents and Short-Term Investments	12.57M	24.62M	57.14M	19.50M	61.49M	22.44M
Total Debt	173.78M	184.42M	310.83M	240.49M	223.60M	306.11M
Total Liabilities	215.64M	250.96M	374.20M	293.38M	282.63M	381.43M
Stockholders Equity	116.19M	180.02M	234.96M	280.46M	266.25M	226.04M
Cash Flow
Free Cash Flow	-13.08M	-40.84M	-89.80M	-43.92M	20.12M	-14.93M
Operating Cash Flow	-1.62M	-3.21M	-7.45M	12.14M	27.52M	-7.82M
Investing Cash Flow	23.28M	104.48M	-44.05M	-57.52M	93.68M	-8.04M
Financing Cash Flow	-27.23M	-134.05M	89.09M	2.49M	-82.47M	11.67M

Skyline Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 550.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:SKLN, the sentiment is Negative. The current price of 550.1 is below the 20-day moving average (MA) of 613.34, below the 50-day MA of 715.46, and below the 200-day MA of 1162.67, indicating a bearish trend. The MACD of -50.55 indicates Positive momentum. The RSI at 9.14 is Positive, neither overbought nor oversold. The STOCH value of 8.12 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:SKLN.

Skyline Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ISRO	71 Outperform	9.30B	36.43	―	0.66%	17.96%	-12.66%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
FTAL	56 Neutral	11.02B	604.16	0.73%	―	3.84%	-94.37%
SKLN	38 Underperform	92.25M	-0.61	―	―	-33.82%	6.83%