Premium Catering (Holdings) Ltd. (PC) AI Stock Analysis

• Market Cap: $19.48M
• Dividend Yield: N/A
• Average Volume (3M): 556.24K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.39
• Revenue Growth: -15.43%
• EPS Growth: -310.94%
• Country: US
• Employees: 40
• Sector: Services
• Sector Strength: N/A
• Industry: Restaurants
• EPS (TTM): -0.04
• Shares Outstanding: 2,072,528
• 10 Day Avg. Volume: 523,903
• 30 Day Avg. Volume: 556,236
• 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: 0.84
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $7.50 ▼(-20.21% Downside)

Premium Catering (Holdings) Ltd.'s overall stock score reflects severe financial distress, as seen in its financial performance. Technical indicators hint at short-term momentum, but long-term valuation concerns persist due to negative earnings and lack of dividends. Immediate strategic improvements are vital for future stability.

Positive Factors

Recurring Revenue Streams

The company's focus on corporate dining solutions ensures a steady revenue stream, reducing dependency on one-time event catering and enhancing financial stability.

Strategic Partnerships

Strategic partnerships with venues and planners can broaden market access and client base, potentially boosting long-term revenue and market position.

Exclusive Supplier Agreements

Exclusive supplier agreements can improve service quality and differentiation, strengthening competitive advantage and customer satisfaction.

Negative Factors

High Debt-to-Equity Ratio

A high debt-to-equity ratio suggests financial instability, limiting the company's ability to invest in growth and increasing risk of financial distress.

Declining Revenues

Declining revenues indicate challenges in maintaining market share and demand, potentially affecting long-term profitability and growth prospects.

Negative Net Profit Margin

A negative net profit margin reflects operational inefficiencies and profitability challenges, which can hinder reinvestment and long-term sustainability.

Premium Catering (Holdings) Ltd. Business Overview & Revenue Model

Company Description

Premium Catering (Holdings) Ltd. engages in the provision of Halal foods catering services. The firm specializes in India, Bangladesh, and Chinese cuisine. It operates through the following segments: Supply of Budgeted Prepared Meals, Operation of Food Stall, Buffet Catering Services, and Ancillary Delivery Services.

How the Company Makes Money

Premium Catering (Holdings) Ltd. generates revenue through its diverse range of catering services. Key revenue streams include event catering for corporate and private events, where clients are charged based on the scale and customization of their catering needs. Additionally, PC offers corporate dining solutions, providing regular meal services to businesses, which creates a stable and recurring income stream. The company may also engage in strategic partnerships with venues and event planners, expanding its reach and clientele. Furthermore, PC could leverage exclusive agreements with premium food and beverage suppliers to enhance its offerings, contributing to its earnings.

Premium Catering (Holdings) Ltd. Financial Statement Overview

Summary

Premium Catering (Holdings) Ltd. faces significant financial challenges with declining revenues, negative net profit margin, high debt-to-equity ratio, and potential liquidity issues. The company's financial position is precarious, requiring urgent strategic interventions.

Income Statement

Premium Catering (Holdings) Ltd. has experienced declining revenues over the past year, with a negative net profit margin and a significant decrease in EBIT and EBITDA margins. The company's inability to generate sufficient gross profit is concerning, and the trend of operating losses highlights challenges in its business model.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio due to negative equity, indicating solvency issues. The company has more liabilities than assets, which is a significant risk factor. The negative stockholders' equity suggests financial instability, demanding immediate attention to restructure or refinance debt.

Cash Flow

Cash flow analysis shows a positive operating cash flow in the most recent year but declining free cash flow. The free cash flow to net income ratio is positive, which is a rare strength, but the overall cash flows indicate potential liquidity issues, as capital expenditures have been minimal.

Breakdown	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.16M	5.21M	5.27M
Gross Profit	833.68K	1.15M	1.27M
EBITDA	-42.31K	537.99K	902.45K
Net Income	-1.47M	-441.75K	513.33K
Balance Sheet
Total Assets	6.64M	7.70M	4.70M
Cash, Cash Equivalents and Short-Term Investments	34.24K	117.53K	141.55K
Total Debt	4.90M	6.69M	2.45M
Total Liabilities	8.10M	7.69M	3.37M
Stockholders Equity	-1.45M	12.58K	1.32M
Cash Flow
Free Cash Flow	594.64K	1.29M	-1.48M
Operating Cash Flow	604.99K	1.34M	-293.92K
Investing Cash Flow	58.07K	-44.96K	-1.08M
Financing Cash Flow	-746.36K	-1.31M	175.60K

Premium Catering (Holdings) Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 9.40
• 50DMA: Negative
• 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 PC, the sentiment is Neutral. The current price of 9.4 is below the 20-day moving average (MA) of 9.40, below the 50-day MA of 9.51, and above the 200-day MA of 8.00, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 52.29 is Neutral, neither overbought nor oversold. The STOCH value of 57.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PC.

Premium Catering (Holdings) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
THCH	49 Neutral	$86.30M	―	―	―	-12.77%	52.05%
PC	45 Neutral	$19.48M	-6.82	-115.37%	―	-15.43%	-310.94%
RRGB	41 Neutral	$72.22M	―	―	―	-3.61%	2.06%
GENK	41 Neutral	$88.92M	―	-8.89%	1.32%	9.36%	-249.08%
TWNP	37 Underperform	$215.55M	-3.22	―	―	-4.93%	-39.52%