Lakeland Industries (LAKE) AI Stock Analysis

• Market Cap: $142.53M
• Dividend Yield: 0.8%
• Average Volume (3M): 80.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.97
• Revenue Growth: 34.28%
• EPS Growth: -495.11%
• Country: US
• Employees: 2,050
• Sector: Consumer Cyclical
• Sector Strength: 83
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.41
• Shares Outstanding: 9,514,599
• 10 Day Avg. Volume: 75,118
• 30 Day Avg. Volume: 80,468
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 0.99
• Enterprise Value/Gross Profit: 2.59
• Enterprise Value/Ebitda: -9.04
• 1Y Price Target: $25.50
• Price Target Upside: 70.23% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 56 Neutral
• Price Target: $15.50 ▲(3.47% Upside)

Lakeland Industries' overall stock score reflects significant financial challenges, including negative profit margins and cash flow issues, despite strong revenue growth and acquisition performance. Technical indicators suggest moderate bullish momentum, but valuation concerns due to negative earnings weigh heavily on the score.

Positive Factors

Acquisitions

The acquisition of Veridian adds a quality asset for the U.S. and Latin America to the Fire service segment.

Earnings

The analyst maintains a Buy rating and $27 price target, indicating confidence in the stock's potential.

Revenue Growth

The Fire service segment will grow by 51% in FY26, representing a significant portion of total revenue.

Negative Factors

Delayed Shipments

There was a delayed shipment in one of the acquired fire equipment businesses, which impacted the potential revenue beat.

Gross Margin

Gross margin of 33.5% was down from 40.1% sequentially and 44.6% in F1Q25, driven by purchase accounting and slower orders from higher margin regions.

Tariff Uncertainty

Results were impacted by tariff uncertainty, slow orders from higher-margin regions, and the continued multi-quarter delay of a large order from Italy.

Lakeland Industries Business Overview & Revenue Model

Company Description

Lakeland Industries, Inc. is a leading manufacturer of protective clothing and safety gear primarily focused on the industrial and commercial sectors. The company produces a wide range of products, including chemical protective suits, disposable coveralls, and fire-resistant clothing designed to ensure the safety of workers in hazardous environments. With a robust presence in North America, Europe, and Asia, Lakeland serves various industries, including manufacturing, construction, and healthcare.

How the Company Makes Money

Lakeland Industries generates revenue primarily through the sale of its protective apparel and safety products. The company's revenue model is based on direct sales to end-users, distributors, and retailers, providing a diverse customer base. Key revenue streams include the sales of specialized protective gear for specific industries, such as chemical, oil and gas, and healthcare. Additionally, Lakeland benefits from long-term contracts with major companies in these sectors, ensuring a steady demand for its products. The company also explores international markets to expand its reach and increase sales. Strategic partnerships with distributors and suppliers enhance its market presence and help in leveraging economies of scale, contributing positively to its earnings.

Lakeland Industries Financial Statement Overview

Summary

Lakeland Industries is facing profitability challenges with negative profit margins and cash flow issues, despite a strong equity position. The increasing leverage and negative return on equity further highlight financial risks.

Income Statement

Lakeland Industries has faced declining revenue from its 2021 peak, with a modest TTM (Trailing-Twelve-Months) revenue growth of 6.2% over the last reported annual period. The company is currently experiencing negative profit margins, with a TTM net profit margin of -13.3% and an EBIT margin of -8.6%. These metrics indicate profitability challenges, although the gross profit margin remains robust at 38.4%, suggesting some operational efficiency. The EBITDA margin of -11% highlights additional pressure on earnings before interest, taxes, depreciation, and amortization.

Balance Sheet

Lakeland's balance sheet shows a healthy equity base, with a strong equity ratio of 65.7% in the latest TTM period, indicating a solid asset backing by shareholders' equity. However, the rising debt-to-equity ratio from 0.04 in 2021 to 0.28 in the TTM suggests increasing leverage, which could pose future financial risk. The return on equity has turned negative at -16.5% TTM, reflecting current profitability issues.

Cash Flow

The company faces cash flow challenges with negative free cash flow of -$23.3M in the TTM period. The operating cash flow to net income ratio is negative, indicating cash flow concerns relative to earnings. Despite these challenges, the company raised $53.5M from financing activities, which may provide some liquidity cushion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	177.65M	167.21M	124.69M	112.85M	118.39M	159.00M
Gross Profit	68.13M	68.67M	51.19M	45.85M	50.91M	79.25M
EBITDA	-19.56M	-13.39M	11.52M	7.01M	18.04M	45.90M
Net Income	-23.64M	-18.07M	5.42M	1.87M	11.37M	35.33M
Balance Sheet
Total Assets	218.13M	212.53M	153.75M	142.94M	140.79M	139.93M
Cash, Cash Equivalents and Short-Term Investments	18.62M	17.48M	25.22M	24.64M	52.72M	52.60M
Total Debt	40.21M	31.65M	12.31M	5.24M	4.92M	2.38M
Total Liabilities	74.75M	65.91M	30.30M	22.95M	15.69M	17.01M
Stockholders Equity	143.38M	146.63M	123.45M	119.99M	125.10M	122.92M
Cash Flow
Free Cash Flow	-23.30M	-17.42M	8.84M	-7.44M	11.98M	39.00M
Operating Cash Flow	-21.02M	-15.88M	10.91M	-5.45M	12.78M	40.67M
Investing Cash Flow	-39.70M	-47.74M	-5.12M	-14.77M	-3.58M	-1.66M
Financing Cash Flow	53.51M	56.59M	-3.45M	-5.88M	-9.80M	-1.28M

Lakeland Industries Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 14.98
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LAKE, the sentiment is Neutral. The current price of 14.98 is above the 20-day moving average (MA) of 14.97, above the 50-day MA of 14.42, and below the 200-day MA of 18.95, indicating a neutral trend. The MACD of 0.16 indicates Positive momentum. The RSI at 51.65 is Neutral, neither overbought nor oversold. The STOCH value of 30.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LAKE.

Lakeland Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGC	71 Outperform	$194.97M	23.98	4.22%	4.59%	4.02%	-24.80%
FIGS	68 Neutral	$1.12B	168.05	1.80%	―	3.41%	-59.78%
Sector *	61 Neutral	$17.92B	12.81	-3.11%	2.97%	1.30%	-14.28%
LAKE	56 Neutral	$142.53M	―	-17.61%	0.80%	34.28%	-495.11%
JRSH	52 Neutral	$43.56M	52.85	1.30%	5.82%	17.12%	―
CULP	51 Neutral	$53.38M	―	-28.56%	―	-5.37%	-37.39%
UFI	41 Neutral	$82.44M	―	-7.94%	―	-1.87%	57.41%

Lakeland Industries Corporate Events

Lakeland Industries Holds 2025 Annual Stockholders Meeting

On June 12, 2025, Lakeland Industries, Inc. held its 2025 Annual Meeting of Stockholders, where three proposals were voted on. The election of Class III directors, the ratification of RSM US LLP as the independent accounting firm, and the approval of executive compensation were all passed with varying levels of support. These decisions are expected to influence the company’s governance and financial oversight in the coming years.

Lakeland Industries Reports Record Q1 2026 Sales Growth

Lakeland Industries reported a 29% increase in net sales for the fiscal first quarter of 2026, reaching a record $46.7 million, driven by a 100% increase in Fire Services revenue. Despite the growth, the company faced challenges in Latin America and Canada due to shipment timing and tariff-related delays, impacting gross profit and adjusted EBITDA. The company remains optimistic about future growth, focusing on expanding opportunities in Latin America and pursuing M&A opportunities to consolidate the fragmented fire market.