Park Electrochemical (PKE) AI Stock Analysis

• Market Cap: $354.82M
• Dividend Yield: 2.8%
• Average Volume (3M): 170.39K
• Price to Earnings (P/E): 51.5
• Beta (1Y): 0.80
• Revenue Growth: 16.60%
• EPS Growth: 6.58%
• Country: US
• Employees: 123
• Sector: Industrials
• Sector Strength: 87
• Industry: Aerospace & Defense
• EPS (TTM): 0.10
• Shares Outstanding: 19,855,839
• 10 Day Avg. Volume: 286,252
• 30 Day Avg. Volume: 170,392
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.58
• Enterprise Value/Revenue: 3.27
• Enterprise Value/Gross Profit: 11.35
• Enterprise Value/Ebitda: 17.86
• 1Y Price Target: $15.00
• Price Target Upside: -16.06% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: $20.00 ▲(11.92%Upside)

Park Electrochemical's strong financial performance and bullish technical indicators are the primary strengths, supported by positive sentiment from recent earnings calls. The high P/E ratio suggests potential overvaluation, but the company's strategic expansions in the defense sector provide a positive outlook. Earnings call insights and technical analysis significantly influence the overall stock score, with valuation being a moderate risk.

Park Electrochemical Business Overview & Revenue Model

Company Description

Park Aerospace Corp. develops and manufactures solution and hot-melt advanced composite materials used to produce composite structures for the aerospace market in North America, Asia, and Europe. It offers advanced composite materials, including film adhesives and lightning strike materials that are used to produce primary and secondary structures for jet engines, large and regional transport aircrafts, military aircrafts, unmanned aerial vehicles, business jets, general aviation aircrafts, and rotary wing aircrafts. The company also provides specialty ablative materials for rocket motors and nozzles; and specially designed materials for radome applications. In addition, it designs and fabricates composite parts, structures and assemblies, and low volume tooling for the aerospace industry. The company was formerly known as Park Electrochemical Corp. and changed its name to Park Aerospace Corp. in July 2019. Park Aerospace Corp. was incorporated in 1954 and is based in Westbury, New York.

How the Company Makes Money

Park Electrochemical makes money primarily through the sale of its advanced composite materials and electronic materials. The company's revenue streams are heavily dependent on its ability to supply high-quality materials to key industries such as aerospace, where their products are used in the production of aircraft components. Additionally, the company generates income from the electronics sector by providing materials used in the fabrication of printed circuit boards (PCBs). Significant partnerships with manufacturers and suppliers in these industries also bolster its earnings, along with a focus on innovation and maintaining high standards for material performance, which allows Park Electrochemical to command premium pricing for its specialized products.

Park Electrochemical Financial Statement Overview

Summary

Park Electrochemical demonstrates a strong financial position overall, with consistent revenue growth and efficient cost management reflected in healthy profit margins. The balance sheet is resilient with low leverage and a substantial equity base, although there is room for improvement in free cash flow conversion.

Income Statement

Park Electrochemical showcases solid performance with a rising trend in revenue, achieving a revenue growth rate of 10.74% from 2024 to 2025. The gross profit margin stands at 28.44%, indicating efficient cost management, while the net profit margin is 9.48%, reflecting a healthy bottom line despite a decline from the previous year. The EBIT and EBITDA margins are strong at 15.14% and 18.31% respectively, underlining operational efficiency.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.003, indicating minimal leverage and low financial risk. The equity ratio is high at 87.78%, reflecting a strong equity base. However, the return on equity is moderate at 5.49%, suggesting room for improvement in utilizing shareholder funds to generate profit.

Cash Flow

The cash flow position is stable with a slight improvement in free cash flow, growing to 3828000 from 3763000. The operating cash flow to net income ratio is 0.80, indicating effective cash generation from operations. However, the free cash flow to net income ratio is 0.65, suggesting that while cash flow generation is adequate, there is potential for enhanced conversion of profits into free cash flow.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	62.03M	56.00M	54.05M	53.58M	46.28M
Gross Profit	17.64M	16.53M	16.47M	17.92M	13.19M
EBITDA	11.36M	10.84M	11.09M	12.80M	8.23M
Net Income	5.88M	7.47M	10.73M	8.46M	4.86M
Balance Sheet
Total Assets	122.11M	132.31M	159.33M	160.89M	163.51M
Cash, Cash Equivalents and Short-Term Investments	68.83M	77.21M	105.44M	110.36M	116.54M
Total Debt	358.00K	135.00K	182.00K	227.00K	119.00K
Total Liabilities	14.95M	19.39M	43.40M	25.25M	27.57M
Stockholders Equity	107.15M	112.91M	115.93M	135.63M	135.94M
Cash Flow
Free Cash Flow	3.83M	3.76M	5.44M	3.83M	5.52M
Operating Cash Flow	4.72M	4.41M	6.49M	8.20M	13.01M
Investing Cash Flow	23.99M	31.39M	-7.02M	-29.56M	32.96M
Financing Cash Flow	-13.65M	-33.47M	-8.05M	-7.43M	-9.79M

Park Electrochemical Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.87
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PKE, the sentiment is Positive. The current price of 17.87 is above the 20-day moving average (MA) of 17.34, above the 50-day MA of 15.29, and above the 200-day MA of 14.17, indicating a bullish trend. The MACD of 0.89 indicates Positive momentum. The RSI at 58.46 is Neutral, neither overbought nor oversold. The STOCH value of 19.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PKE.

Park Electrochemical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PKE	76 Outperform	$354.82M	51.53	6.43%	2.80%	16.60%	6.58%
DCO	75 Outperform	$1.33B	38.41	5.25%	―	3.02%	95.76%
AVAV	68 Neutral	$12.83B	168.50	5.10%	―	14.50%	-29.76%
ATRO	67 Neutral	$1.22B	―	-1.35%	―	13.73%	86.81%
Sector *	64 Neutral	$10.61B	16.56	7.00%	2.15%	2.87%	-30.79%
TGI	58 Neutral	$2.02B	56.89	46.74%	―	-4.74%	―
MRCY	58 Neutral	$3.12B	―	-4.45%	―	5.66%	52.71%

Park Electrochemical Corporate Events

Park Electrochemical Holds Annual Shareholders Meeting

At the Annual Meeting of Shareholders on July 22, 2025, Park Electrochemical elected its board of directors and approved several key proposals. The shareholders approved an advisory resolution on executive compensation and ratified the appointment of CohnReznick LLP as the independent registered public accounting firm for the fiscal year ending March 1, 2026.