J-Long Group Limited (JL) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 16.36K
• Price to Earnings (P/E): 93.1
• Beta (1Y): 0.66
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 62
• Sector: General
• Sector Strength: N/A
• Industry: Apparel - Manufacturers
• EPS (TTM): <0.01
• Shares Outstanding: 3,140,000
• 10 Day Avg. Volume: 8,764
• 30 Day Avg. Volume: 16,364
• PEG Ratio: -0.57
• Price to Book (P/B): 12.02
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -22.73
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 5.58
• Enterprise Value/Ebitda: 3.05
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 64 Neutral
• Price Target: ―

J-Long Group Limited showcases strong revenue growth and a stable balance sheet, which are positive indicators. However, significant challenges in profitability and cash flow management, coupled with a high P/E ratio, suggest overvaluation and potential financial instability. The technical analysis indicates moderate strength, but overall, the stock presents a mixed investment profile.

J-Long Group Limited Business Overview & Revenue Model

Company Description

J-Long Group Limited (JL) is a diversified industrial company engaged in the manufacture and distribution of high-quality tools and equipment. The company operates across various sectors, including construction, automotive, and home improvement, providing a wide range of products such as hand tools, power tools, and accessories. With a strong focus on innovation and quality, J-Long Group Limited serves both professional and DIY markets globally, maintaining a robust presence in key international markets.

How the Company Makes Money

J-Long Group Limited generates revenue primarily through the sale of its tools and equipment across multiple sectors. The company's key revenue streams include direct sales to retailers and wholesalers, online sales through e-commerce platforms, and contractual agreements with large industrial clients. Significant partnerships with distributors and retailers enhance its market reach and sales volume. Additionally, the company invests in research and development to introduce new, innovative products, thereby maintaining a competitive edge and driving sales growth. Its international operations and strategic marketing initiatives further contribute to its revenue generation.

J-Long Group Limited Financial Statement Overview

Summary

J-Long Group Limited displays impressive revenue growth and a solid balance sheet, characterized by low leverage. However, the company faces significant challenges in profitability and cash flow management, with low net profit margins and negative free cash flow, which could impact its financial health and sustainability.

Income Statement

J-Long Group Limited has shown impressive revenue growth from the previous year, increasing from $4.89M to $28.37M, a substantial growth rate. The gross profit margin stands at 23.9%, indicating efficient cost management. However, the net profit margin is at 2.8%, which suggests a need for improved profitability despite the strong revenue increase. EBIT and EBITDA margins are moderate at 1.3% and 4.2%, respectively, reflecting operational efficiency.

Balance Sheet

The company's balance sheet is solid with a debt-to-equity ratio of 0.21, indicating low leverage and financial stability. The equity ratio is a healthy 60.2%, showcasing a strong equity base. However, the return on equity (ROE) is 7.7%, which, while positive, suggests room for improvement in generating shareholder returns.

Cash Flow

The cash flow statement reveals challenges, with a negative free cash flow of $-1.70M. The operating cash flow to net income ratio is negative, highlighting inefficiencies in cash flow management. Moreover, the free cash flow to net income ratio is unfavorable, underscoring potential liquidity concerns.

Breakdown	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	28.38M	4.89M	4.92M	3.03M
Gross Profit	6.80M	1.26M	1.11M	596.72K
EBITDA	1.20M	1.03M	724.36K	291.46K
Net Income	783.66K	849.13K	575.97K	290.47K
Balance Sheet
Total Assets	16.89M	2.62M	2.46M	2.01M
Cash, Cash Equivalents and Short-Term Investments	4.21M	790.22K	996.52K	569.01K
Total Debt	2.13M	394.39K	552.96K	485.11K
Total Liabilities	6.72M	1.18M	1.56M	1.30M
Stockholders Equity	10.17M	1.45M	901.91K	713.59K
Cash Flow
Free Cash Flow	-1.70M	243.45K	746.93K	451.25K
Operating Cash Flow	-1.50M	249.83K	757.65K	457.79K
Investing Cash Flow	17.00	263.00K	-10.72K	―
Financing Cash Flow	701.97K	-691.79K	-309.67K	―

J-Long Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.35
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JL, the sentiment is Positive. The current price of 6.35 is above the 20-day moving average (MA) of 6.06, above the 50-day MA of 5.02, and above the 200-day MA of 4.30, indicating a bullish trend. The MACD of 0.33 indicates Positive momentum. The RSI at 65.92 is Neutral, neither overbought nor oversold. The STOCH value of 77.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JL.

J-Long Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COLM	71 Outperform	$3.49B	16.29	12.34%	1.88%	-1.69%	-4.01%
JRSH	66 Neutral	$41.78M	―	-1.33%	6.08%	24.43%	57.78%
JL	64 Neutral		93.11	13.24%	―	―	―
Sector *	57 Neutral	$5.65B	22.83	-28.61%	5.63%	10.25%	-31.59%
UFI	55 Neutral	$89.78M	―	-15.73%	―	2.51%	32.95%
CULP	53 Neutral	$56.77M	―	-28.56%	―	-5.37%	-37.39%
VNCE	45 Neutral	$19.01M	6.22	-63.56%	―	1.46%	-191.66%