Paragon Technologies (PGNT) AI Stock Analysis

• Market Cap: $6.92M
• Dividend Yield: N/A
• Average Volume (3M): 1.59K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 0.27
• Revenue Growth: 1.52%
• EPS Growth: 0.13%
• Country: US
• Employees: 49
• Sector: Technology
• Sector Strength: 98
• Industry: Technology Distributors
• EPS (TTM): -0.45
• Shares Outstanding: 1,554,000
• 10 Day Avg. Volume: 1,913
• 30 Day Avg. Volume: 1,591
• PEG Ratio: 0.02
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.57
• Enterprise Value/Market Cap: 2.33
• Enterprise Value/Revenue: 0.03
• Enterprise Value/Gross Profit: 1.38
• Enterprise Value/Ebitda: 1.14
• 1Y Price Target: $9.00
• Price Target Upside: 101.79% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 53 Neutral
• Price Target: $4.50 ▲(0.90%Upside)

Paragon Technologies faces significant financial and technical challenges, including declining net profit margins, leverage risks, and weak technical indicators. The moderate P/E ratio supports valuation but is offset by lack of dividend yield. Improving cash flow and technical momentum are critical for enhancing stock attractiveness.

Paragon Technologies Business Overview & Revenue Model

Company Description

Paragon Technologies, Inc., through its subsidiaries, engages in the material handling, distribution, and real estate activities in North America, Latin America, Europe, and Asia. It offers various material handling solutions, including complete order fulfillment, assembly, product advancing systems, subsystem technologies, software, and services for automated material handling and order processing applications. The company also distributes IT hardware products, including servers, workstations, storage and networking products, audio visual products, and power protection systems; notebook and desktop computers, printers, projectors, gaming products, and accessories; and offers managed services, Everything as a Service, printing outsourcing, electronic documents management and invoicing, and internet of things services, as well as high-capacity storage solutions products. In addition, it holds luxury residential condominiums in Las Vegas, Nevada, as well as provides ancillary real estate services; and invests in businesses and securities under the investment management policy. The company was formerly known as SI Handling Systems, Inc. and changed its name to Paragon Technologies, Inc. in April 2000. Paragon Technologies, Inc. was incorporated in 1958 and is based in Easton, Pennsylvania.

How the Company Makes Money

Paragon Technologies generates revenue primarily through the sale of its automation systems and services, which include custom engineering, installation, and ongoing support. The company benefits from recurring revenue streams through maintenance contracts and software subscriptions associated with its automation solutions. Key partnerships with technology providers and industry-specific software developers enhance its offerings and market reach. Additionally, the firm engages in strategic collaborations with logistics companies to integrate its systems into their operations, further driving sales and expanding its client base.

Paragon Technologies Financial Statement Overview

Summary

Paragon Technologies displays stable revenue and equity growth, but profitability margins are under pressure. There are significant challenges with cash flow and liquidity management, despite controlled debt levels.

Income Statement

Paragon Technologies shows stable revenue with a minor growth rate of 0.95% from the previous year. The gross profit margin has slightly declined, indicating pressure on cost management. EBIT and EBITDA margins reflect moderate profitability, but the net profit margin is low, suggesting challenges in maintaining bottom-line growth in a competitive industry.

Balance Sheet

The company maintains a reasonable debt-to-equity ratio of 0.66, indicating manageable leverage. Stockholders' equity has shown an improving trend, contributing to a stable equity ratio of 34.6%, which supports the company's financial stability despite a marginal decline in total assets.

Cash Flow

Operating cash flow remains negative, highlighting ongoing cash management challenges. The free cash flow to net income ratio is negative, reflecting cash outflows exceeding profitability. This indicates potential liquidity issues, although there has been a slight improvement in free cash flow growth.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	126.47M	125.27M	134.24M	141.55M	108.00M
Gross Profit	11.69M	12.03M	13.98M	12.36M	11.66M
EBITDA	4.65M	4.47M	8.12M	6.97M	5.80M
Net Income	1.11M	1.14M	4.73M	3.35M	3.60M
Balance Sheet
Total Assets	55.04M	64.38M	50.33M	54.62M	42.76M
Cash, Cash Equivalents and Short-Term Investments	5.89M	9.10M	5.30M	3.88M	3.35M
Total Debt	12.49M	11.84M	10.44M	6.78M	9.75M
Total Liabilities	33.10M	41.78M	32.31M	40.01M	30.96M
Stockholders Equity	19.06M	19.41M	15.22M	12.38M	10.20M
Cash Flow
Free Cash Flow	-1.44M	-1.51M	-1.62M	4.54M	1.04M
Operating Cash Flow	-1.06M	-1.31M	-1.42M	6.53M	1.31M
Investing Cash Flow	-795.00K	-751.00K	54.00K	-2.76M	-187.00K
Financing Cash Flow	769.00K	1.38M	4.69M	-2.18M	784.00K

Paragon Technologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.46
• 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 PGNT, the sentiment is Negative. The current price of 4.46 is below the 20-day moving average (MA) of 4.76, below the 50-day MA of 7.00, and below the 200-day MA of 8.26, indicating a bearish trend. The MACD of -0.71 indicates Negative momentum. The RSI at 33.15 is Neutral, neither overbought nor oversold. The STOCH value of 59.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PGNT.

Paragon Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLMB	76 Outperform	$543.08M	24.41	23.49%	0.57%	56.45%	59.78%
CNXN	69 Neutral	$1.56B	18.73	9.78%	0.81%	4.94%	-1.79%
SCSC	69 Neutral	$877.61M	14.00	7.32%	―	-14.07%	-9.65%
AVT	68 Neutral	$4.61B	15.41	6.42%	2.49%	-10.52%	-42.40%
Sector *	62 Neutral	$35.05B	6.90	-11.57%	2.06%	6.28%	-15.90%
PGNT	53 Neutral	$6.92M	19.93	1.98%	―	1.52%	0.13%
TAIT	―	$12.89M	201.89	0.39%	9.35%	―	―