Mama's Creations (MAMA) AI Stock Analysis

• Market Cap: $247.38M
• Dividend Yield: N/A
• Average Volume (3M): 317.44K
• Price to Earnings (P/E): 69.3
• Beta (1Y): 0.74
• Revenue Growth: 19.41%
• EPS Growth: -43.88%
• Country: US
• Employees: 197
• Sector: Consumer Defensive
• Sector Strength: 94
• Industry: Packaged Foods
• EPS (TTM): 0.09
• Shares Outstanding: 37,596,000
• 10 Day Avg. Volume: 417,199
• 30 Day Avg. Volume: 317,440
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.07
• Price to Cash Flow (P/CF): 12.60
• P/FCF Ratio: 23.90
• 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: $11.00
• Price Target Upside: 68.97% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Mama's Creations shows strong revenue growth and strategic improvements, but faces profitability and cash flow challenges. Technical indicators suggest potential short-term weakness, and the high P/E ratio raises overvaluation concerns. The company is actively addressing operational efficiency and leadership, supporting a balanced outlook.

Positive Factors

Sales Performance

MAMA's rollout into 2,000 Walmart locations is progressing well with its 4-count grilled chicken SKU doubling initial sales expectations.

Strategic Partnerships

The company announced an upcoming national campaign with Costco that includes collaboration with Instacart.

Negative Factors

Market Expansion

National expansion into Walmart locations is underway with the largest gains in the Southeast region, but full potential is yet to be realized.

Operational Challenges

Gross margin was adversely affected by 400bps, primarily due to one-time construction-related challenges at the company’s Farmingdale facility.

Mama's Creations Business Overview & Revenue Model

Company Description

Mama's Creations, Inc. manufactures and markets prepared refrigerated foods primarily in the United States. The company offers beef and turkey meatballs, meat loaf, chicken, sausage-related products, and pasta entrees; and hot bars, salad bars, prepared foods, sandwich, and cold deli and foods-to-go sections. It sells its products directly to supermarkets, club chains, and mass-market retailers; and food retailers and distributors, as well as through website. The company was formerly known as MamaMancini's Holdings, Inc. and changed its name to Mama's Creations, Inc. in August 2023. Mama's Creations, Inc. was founded in 2010 and is headquartered in East Rutherford, New Jersey.

How the Company Makes Money

Mama's Creations generates revenue primarily through the sale of its prepared food products to a diverse range of customers including retail grocery chains, foodservice distributors, and direct consumers. The company leverages its expertise in food production and its strong distribution network to reach a wide audience. Key revenue streams include retail sales through partnerships with major grocery stores, foodservice contracts with restaurants and caterers, and direct-to-consumer sales through online platforms. Significant partnerships with national and regional retailers help to enhance its market presence and drive sales growth. Additionally, the company may engage in promotional activities and collaborations to further boost product visibility and consumer engagement.

Mama's Creations Financial Statement Overview

Summary

Mama's Creations has demonstrated strong financial performance with significant revenue growth and improved profitability margins. The balance sheet reflects improved leverage management and equity growth, contributing to financial stability. Additionally, cash flow improvements underscore the company's ability to generate and manage cash effectively.

Income Statement

Mama's Creations has demonstrated strong revenue growth over the years, with a notable increase from $33.75M in 2020 to $116.47M in TTM (Trailing-Twelve-Months) 2024. The Gross Profit Margin in TTM is approximately 25.14%, indicating efficient cost management. However, there is a decline from the previous year's margin. The Net Profit Margin improved significantly to 3.02% in TTM, up from 2.23% the previous year, indicating better profitability. EBIT and EBITDA margins also show improvement, enhancing overall operational efficiency.

Balance Sheet

The company shows a solid improvement in financial stability, with Stockholders' Equity growing from $0.40M in 2020 to $22.99M in TTM 2024. The Debt-to-Equity ratio has improved, indicating better leverage management, with Total Debt decreasing significantly. Return on Equity (ROE) is robust, reflecting efficient use of shareholder funds. However, the equity ratio indicates moderate reliance on equity financing.

Cash Flow

Mama's Creations has experienced a positive trajectory in cash flow management. Operating Cash Flow in TTM is strong at $12.78M. Free Cash Flow has grown from $0.47M in 2022 to $7.64M in TTM 2024, highlighting improved cash generation capabilities. The Operating Cash Flow to Net Income ratio suggests good conversion efficiency from earnings to cash flow.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
116.47M	103.28M	93.19M	47.08M	40.76M	33.75M
	Gross Profit
29.28M	30.33M	19.42M	11.85M	12.74M	9.98M
	EBIT
5.81M	8.89M	2.82M	82.77K	3.48M	2.08M
	EBITDA
8.81M	11.36M	4.59M	1.13M	4.28M	2.83M
	Net Income Common Stockholders
3.52M	6.56M	2.30M	-251.93K	4.07M	1.53M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
11.02M	11.02M	4.38M	850.60K	3.19M	393.68K
	Total Assets
45.10M	45.10M	34.59M	30.03M	14.05M	9.94M
	Total Debt
13.10M	13.10M	13.01M	15.44M	2.03M	5.98M
	Net Debt
2.07M	2.07M	8.63M	14.59M	-1.16M	5.59M
	Total Liabilities
25.52M	25.52M	22.07M	21.92M	5.74M	9.54M
	Stockholders Equity
19.58M	19.58M	12.52M	8.11M	8.31M	402.06K
Cash Flow		Free Cash Flow
7.64M	10.84M	4.92M	47.43K	3.25M	1.55M
	Operating Cash Flow
12.78M	11.62M	5.51M	909.84K	3.70M	1.81M
	Investing Cash Flow
-5.14M	-1.43M	-1.09M	-11.27M	-451.94K	-268.11K
	Financing Cash Flow
-3.95M	-3.54M	-888.04K	8.02M	-449.72K	-1.76M

Mama's Creations Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.51
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MAMA, the sentiment is Negative. The current price of 6.51 is below the 20-day moving average (MA) of 6.53, below the 50-day MA of 6.62, and below the 200-day MA of 7.58, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 47.67 is Neutral, neither overbought nor oversold. The STOCH value of 43.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MAMA.

Mama's Creations Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POST	75 Outperform	$6.53B	19.66	10.01%	―	7.32%	34.44%
SENEA	71 Outperform	$579.12M	15.18	6.35%	―	4.01%	22.46%
MAMA	69 Neutral	$247.38M	69.33	16.69%	―	19.41%	-43.88%
JJSF	64 Neutral	$2.58B	30.56	9.08%	2.32%	2.14%	5.38%
Sector *	63 Neutral	$20.53B	14.04	-16.01%	3.27%	1.30%	4.55%
MED	55 Neutral	$143.72M	67.18	1.02%	―	-43.80%	-97.89%
HAIN	44 Neutral	$304.13M	―	-19.41%	―	-6.68%	-9.71%

Mama's Creations Corporate Events

Mama’s Creations Announces Executive Retirement

On April 8, 2025, Mama’s Creations announced the retirement of Steven R. Burns, Executive Vice President and Chief Administrative Officer, effective April 30, 2025. The company reported a 25.7% increase in fourth-quarter revenues to $33.6 million, driven by strategic CapEx projects and new senior hires. The company secured new customers, launched new products, and implemented fixed-price protein contracts to hedge commodity cost risks. Mama’s Creations aims to optimize operations and emerge as a dominant player in the prepared foods space, despite macroeconomic pressures.

Spark’s Take on MAMA Stock

According to Spark, TipRanks’ AI Analyst, MAMA is a Outperform.

Mama’s Creations exhibits strong financial growth and strategic initiatives, driving a positive outlook. However, the high P/E ratio suggests overvaluation risks, and technical indicators point to potential short-term weakness. The company’s strategic moves, including leadership additions and a new auditor, support long-term growth prospects, contributing to a balanced overall score.

To see Spark’s full report on MAMA stock, click here.

Mama’s Creations Highlights Strong Position at Conferences

On March 11, 2025, Mama’s Creations announced its participation in upcoming investor conferences, highlighting its strong operating position amid rising consumer demand for affordable deli-prepared foods. The company benefits from fixed price protein agreements and domestic sourcing, which help mitigate tariff pressures and provide supply chain certainty. CEO Adam L. Michaels expects improved gross margins for the fiscal year ended January 31, 2025, and plans to discuss these developments at the conferences.