tiprankstipranks
Trending News
More News >
Pyxus International Inc (PYYX)
:PYYX
US Market
Advertisement

Pyxus International (PYYX) AI Stock Analysis

Compare
2 Followers

Top Page

PYYX

Pyxus International

(OTC:PYYX)

Rating:71Outperform
Price Target:
$6.00
▲(14.29%Upside)
The stock shows strong technical performance and positive earnings call insights, driving a high score. Financial performance is improving but hindered by high leverage. Valuation supports potential for appreciation, though risks from operational efficiency and external factors like tariffs persist.

Pyxus International (PYYX) vs. SPDR S&P 500 ETF (SPY)

Pyxus International Business Overview & Revenue Model

Company DescriptionPyxus International, Inc. is a global agricultural company with a core focus on the production and supply of tobacco, e-liquids, and industrial hemp. The company operates in the agricultural sector, providing quality products to a wide range of customers, including major tobacco manufacturers. Pyxus also explores opportunities in the legal cannabis market and has been expanding its operations to include other agricultural products.
How the Company Makes MoneyPyxus International makes money primarily through the sale of leaf tobacco, which is sourced from a wide network of farmers globally and processed for sale to major tobacco manufacturers. The company also generates revenue from its non-tobacco products, including e-liquids and industrial hemp, catering to evolving consumer preferences. Pyxus has ventured into the legal cannabis market, adding another potential revenue stream. Significant partnerships with global tobacco companies and its diverse agricultural product portfolio contribute to Pyxus's earnings.

Pyxus International Earnings Call Summary

Earnings Call Date:Jun 10, 2025
(Q4-2025)
|
% Change Since: 5.00%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant growth in sales and profitability, strong cash flow management, and advancements in sustainability, although challenges with inventory investment and potential tariff impacts were noted. The overall tone is positive with a strategic outlook for continued improvement.
Q4-2025 Updates
Positive Updates
Record Sales Growth
Full year sales grew by 22% to $2.5 billion, with a 3% increase in volume and an 18% increase in sales price.
Increased Profitability
Annual gross profit increased by 10% to $343 million, operating income rose by 12% to $153 million, and net income increased to $15 million from $3 million in the prior year.
Strong Cash Flow and Debt Management
Generated $152 million in adjusted free cash flow and reduced long-term debt by approximately 25%, retiring $143 million in senior debt since March 2024.
Sustainability Milestones
Validated near-term emission reduction targets and achieved a 16% reduction of indirect emissions since fiscal year 2021.
Improved Credit Profile
Leverage reduced from 4.8x to 3.7x, the lowest in over 10 years, and interest coverage improved to 1.6x from 1.5x.
Negative Updates
Inventory and Cash Flow Challenges
Expect to invest in inventory this year, potentially leading to higher net debt despite improved profitability.
SG&A Increase
SG&A expenses rose to $171 million from $161 million, driven by higher personnel costs and non-cash equity compensation.
Potential Tariff Impacts
Guidance reflects uncertainty due to recently announced tariffs, which may affect sales in fiscal year 2026.
Company Guidance
In the Pyxus International Fiscal Year 2025 Fourth Quarter and Year-End Conference Call, the company reported significant financial achievements and provided guidance for Fiscal Year 2026. Pyxus saw a 22% increase in full-year sales to $2.5 billion, with a 3% rise in volume and an 18% increase in sales price. Their annual gross profit grew by 10% to $343 million, and operating income increased by 12% to $153 million. Net income rose to $15 million from $3 million the previous year, while adjusted EBITDA reached $208 million, marking an 18% compound annual growth rate over three years. Pyxus also improved its capital structure, reducing long-term debt by approximately 25% since March 2024. For Fiscal Year 2026, Pyxus forecasts sales between $2.3 billion and $2.5 billion and adjusted EBITDA between $205 million and $235 million, anticipating volume-driven growth on higher crop sizes expected next year. The company expects sales and EBITDA to be weighted towards the second half of the year, influenced by a more normalized purchasing cadence and larger crop sizes.

Pyxus International Financial Statement Overview

Summary
Pyxus International shows positive revenue growth and net income turnaround, but high leverage and negative cash flows pose risks to financial flexibility. Profitability metrics are improving, yet operational efficiency and debt management need further enhancement.
Income Statement
65
Positive
Pyxus International has shown positive revenue growth over the past years, with a significant increase from $1.63 billion in 2022 to $2.48 billion in 2025. Gross profit margins have improved, indicating better cost management, but net profit margins remain low due to high operational expenses. The company managed to turn around its net income from negative to positive by 2025, showcasing an improving profitability trajectory. However, EBIT and EBITDA margins, while improved, are still moderate, suggesting room for operational efficiency enhancements.
Balance Sheet
48
Neutral
The balance sheet reveals a high debt-to-equity ratio, driven by significant debt levels, which is a potential risk factor. Despite an increase in stockholders' equity from 2021 to 2025, the equity ratio remains low, highlighting leverage concerns. Return on equity has been positive in 2025, reflecting improved profitability, but the company's reliance on debt financing could pose challenges in periods of financial stress.
Cash Flow
52
Neutral
Operating cash flow has consistently been negative, reflecting challenges in generating cash from operations. However, free cash flow has improved slightly, although it remains negative, which indicates ongoing struggles in covering capital expenditures from operational cash. The company's cash flow to net income ratios are weak, emphasizing the need for improved cash management strategies to support sustainable growth.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue2.48B2.03B1.91B1.64B1.33B
Gross Profit342.98M312.33M261.02M227.06M151.46M
EBITDA181.83M160.18M117.20M97.57M6.10M
Net Income15.17M2.66M-56.75M-92.00M-117.65M
Balance Sheet
Total Assets1.50B1.66B1.58B1.70B1.54B
Cash, Cash Equivalents and Short-Term Investments78.25M92.57M136.73M198.78M92.70M
Total Debt877.99M1.05B1.04B1.10B964.57M
Total Liabilities1.34B1.51B1.44B1.52B1.29B
Stockholders Equity160.09M142.28M137.85M175.28M247.67M
Cash Flow
Free Cash Flow-36.41M-236.01M-154.13M-213.59M-250.92M
Operating Cash Flow-13.39M-214.97M-137.82M-198.76M-226.54M
Investing Cash Flow170.64M159.45M154.94M181.24M133.48M
Financing Cash Flow-167.26M25.56M-83.00M123.26M14.35M

Pyxus International Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price5.25
Price Trends
50DMA
5.07
Positive
100DMA
4.57
Positive
200DMA
3.72
Positive
Market Momentum
MACD
0.06
Positive
RSI
48.15
Neutral
STOCH
32.87
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PYYX, the sentiment is Neutral. The current price of 5.25 is below the 20-day moving average (MA) of 5.42, above the 50-day MA of 5.07, and above the 200-day MA of 3.72, indicating a neutral trend. The MACD of 0.06 indicates Positive momentum. The RSI at 48.15 is Neutral, neither overbought nor oversold. The STOCH value of 32.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PYYX.

Pyxus International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$1.40B34.1627.53%0.37%3.17%-2.23%
71
Outperform
8.9310.03%22.08%452.21%
68
Neutral
$100.41B10.00-503.31%6.82%-1.03%25.20%
65
Neutral
$11.05B15.765.13%1.92%3.11%-24.90%
63
Neutral
$1.36B14.506.56%5.92%7.23%-20.91%
62
Neutral
$115.49B29.995.87%0.12%-2.51%
42
Neutral
$1.48M-385.90%-56.65%99.11%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PYYX
Pyxus International
5.25
2.46
88.17%
MO
Altria Group
59.84
12.90
27.48%
BTI
British American Tobacco
52.25
19.29
58.53%
UVV
Universal
54.87
4.73
9.43%
XXII
22nd Century
3.07
-2,384.36
-99.87%
TPB
Turning Point Brands
78.29
40.80
108.83%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 08, 2025