Jewett-Cameron Trading Company (JCTC) AI Stock Analysis

• Market Cap: $6.34M
• Dividend Yield: N/A
• Average Volume (3M): 12.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.15
• Revenue Growth: -12.40%
• EPS Growth: -668.91%
• Country: US
• Employees: 62
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): -1.12
• Shares Outstanding: 3,520,113
• 10 Day Avg. Volume: 8,848
• 30 Day Avg. Volume: 12,913
• PEG Ratio: <0.01
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.31
• P/FCF Ratio: >-0.01
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 0.23
• Enterprise Value/Gross Profit: 5.20
• Enterprise Value/Ebitda: -1.50
• 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: 45 Neutral
• Price Target: $2.00 ▼(-15.97% Downside)
• Action: Reiterated Date: 02/13/26
• Date: Action: Reiterated 02/13/26

The score is held down primarily by weak financial performance—sharp losses, thin margins, and negative free cash flow—despite only moderate leverage. Technicals add further pressure with the price below key moving averages and a negative MACD, while valuation offers limited support due to loss-making earnings and no dividend data.

Positive Factors

Asset-light distribution model

An asset-light sourcing, marketing and distribution model provides structural flexibility: scalable supplier relationships, lower fixed-asset intensity, and recurring revenue opportunities through retail and e‑commerce channels. Over 2–6 months this supports margin recovery if volumes normalize and procurement terms improve.

Manageable leverage

Low-to-moderate debt (DE ~0.25) gives the company financial flexibility to fund working capital or strategic inventory purchases without heavy interest burden. This balance-sheet headroom reduces refinancing risk over the medium term and helps absorb operating volatility while management works to restore profitability.

Prior margin/cash generation track

Historical periods of healthy margins and prior positive free cash flow (noted as a 2024 bright spot) indicate operational levers and SKU or channel mix that can produce sustainable profits. That track record implies management has run profitable models before and can potentially replicate improvements over a multi-month recovery.

Negative Factors

Material cash burn

Sustained negative operating and free cash flow (≈-$6.2M TTM) is a durable headwind: it shrinks liquidity, forces external financing or asset sales, and constrains working-capital flexibility. Over several months this increases the chance of operational cutbacks or strained supplier relationships if losses persist.

Thin gross margins

A gross margin near 4.5% leaves minimal buffer against higher input, freight, or promotional costs; combined with operating losses, it means small adverse cost swings can rapidly erode profitability. Structurally, thin product margins lengthen the timeline and difficulty of returning to durable positive earnings.

Declining revenue and volatile earnings

Material revenue decline and volatile historical earnings reduce scale benefits and negotiating power with suppliers and retailers. Over a multi‑month horizon, shrinking top line undermines operating leverage, makes fixed costs harder to cover, and raises the risk that losses and equity erosion persist absent sustained revenue stabilization.

Jewett-Cameron Trading Company Business Overview & Revenue Model

Company Description

Jewett-Cameron Trading Company Ltd., through its subsidiaries, engages in the manufacturing and distribution of specialty metal products and wholesale distribution of wood products to home centers, eCommerce providers, on-line direct consumers, and other retailers. The company operates through three segments: Industrial Wood Products; Pet, Fencing and Other; and Seed Processing and Sales. The Industrial Wood Products segment processes and distributes industrial wood products. It offers treated plywood to the transportation industry. The Pet, Fencing and Other segment is involved in the wholesale of pet products, including various enclosures/kennels, beds, bowls, and compostable dog waste bags; fencing and containment products, such as post systems, wood and other fencing infill products, and kitted security fencing solutions; and other products comprising garden, landscaping, and miscellaneous products for the home. The Seed Processing and Sales segment processes and distributes agricultural seeds to distributors, as well as cleaning seeds. The company markets its products under the Lucky Dog, Adjust-A-Gate, Fit-Right, Perimeter Patrol, Lifetime Post, Early Start, Spring Gardner, Greenline, and Weatherguard brands. It also distributes sustainable bag products. It operates in the United States, Canada, Mexico, Latin America, the Caribbean, Europe, and the Asia Pacific. The company was founded in 1953 and is headquartered in North Plains, Oregon.

How the Company Makes Money

Jewett-Cameron Trading Company generates revenue through the sale of its diverse product lines, which are distributed across multiple channels, including direct sales and through retail partners. The company's revenue streams are primarily derived from its core segments: industrial tools, where it provides high-quality equipment; lawn, garden, and pet supplies, which cater to homeowners and agricultural businesses; and wood products, which serve construction and industrial applications. JCTC benefits from strategic partnerships with retailers and distributors, enabling it to expand its market reach and maintain a steady flow of income. The company's ability to innovate and adapt to market demands plays a crucial role in sustaining its profitability.

Jewett-Cameron Trading Company Financial Statement Overview

Summary

Financials are under heavy pressure: the income statement reflects a sharp deterioration into sizable losses and very low gross margin (~4.5%), and cash flow is materially negative with renewed cash burn (~-$6.2M TTM). The balance sheet is a relative bright spot with moderate leverage (debt-to-equity ~0.25), but ongoing losses and negative ROE (~-35% TTM) raise durability risk if conditions persist.

Income Statement

Results have deteriorated sharply into losses. TTM (Trailing-Twelve-Months) revenue is down materially (about -149% growth rate shown) and profitability is deeply negative, with very thin gross margin (~4.5%) and large operating and net losses (net margin ~-18%). The prior annual period (2025) was also loss-making, reversing the modest profitability seen in 2024 and stronger performance in 2021–2022. Key strength is historical ability to generate healthy margins in earlier years, but the current earnings profile is weak and volatile.

Balance Sheet

Leverage remains moderate, with debt-to-equity around ~0.25 in TTM (Trailing-Twelve-Months), which is not excessive for the business. However, losses are pressuring the equity base and returns on equity are significantly negative in TTM (about -35%), following a negative return in 2025 after a positive 2024. Strength is manageable debt levels; weakness is rapidly weakening profitability that could erode balance-sheet strength if it persists.

Cash Flow

Cash generation is currently poor. TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are both materially negative (around -$6.2M), and free cash flow growth is also sharply negative, indicating worsening cash burn. While cash flow roughly tracks net losses recently (free cash flow to net income near 1x in TTM), the key issue is the business is consuming cash rather than producing it; 2024 was a bright spot with positive operating and free cash flow, but the trend since has reversed.

Breakdown	Nov 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	41.30M	47.15M	54.29M	62.90M	57.50M
Gross Profit	6.25M	8.88M	12.25M	13.79M	14.15M
EBITDA	-3.43M	-1.42M	828.61K	2.06M	4.67M
Net Income	-4.13M	721.75K	-20.63K	1.16M	3.45M
Balance Sheet
Total Assets	25.48M	27.49M	29.80M	34.52M	29.14M
Cash, Cash Equivalents and Short-Term Investments	226.21K	4.85M	83.70K	484.46K	1.18M
Total Debt	2.10M	0.00	1.26M	7.00M	3.00M
Total Liabilities	4.70M	2.73M	5.79M	10.42M	6.26M
Stockholders Equity	20.78M	24.85M	24.10M	24.09M	22.87M
Cash Flow
Free Cash Flow	-6.73T	5.92M	5.27M	-4.70M	-5.62M
Operating Cash Flow	-6.61T	6.03M	5.60M	-3.44M	-4.42M
Investing Cash Flow	-114.21B	149.00	-256.17K	-1.26M	-1.19M
Financing Cash Flow	2.10T	-1.26M	-5.74M	4.00M	3.00M

Jewett-Cameron Trading Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JCTC, the sentiment is Negative. The current price of 2.38 is above the 20-day moving average (MA) of 1.90, above the 50-day MA of 2.11, and below the 200-day MA of 3.09, indicating a bearish trend. The MACD of -0.09 indicates Negative momentum. The RSI at 39.30 is Neutral, neither overbought nor oversold. The STOCH value of 15.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JCTC.

Jewett-Cameron Trading Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MATV	52 Neutral	$592.20M	-1.73	-49.79%	3.26%	0.39%	-505.56%
NWGL	51 Neutral	$20.69M	-2.45	―	―	―	―
ITP	48 Neutral	$3.34M	-0.19	-7.27%	―	-0.28%	-4.98%
JCTC	45 Neutral	$6.34M	-0.85	-18.10%	―	-12.40%	-668.91%
CLW	44 Neutral	$230.63M	-11.46	-10.47%	―	-21.76%	-1214.73%
MERC	44 Neutral	$126.60M	-0.25	-39.37%	10.77%	-5.85%	9.13%