Nippecraft Limited (N32) AI Stock Analysis

• Market Cap: S$16.16M
• Dividend Yield: N/A
• Average Volume (3M): 166.15K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.63
• Revenue Growth: -8.21%
• EPS Growth: N/A
• Country: SG
• Employees: 47
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): >-0.01
• Shares Outstanding: 351,398,000
• 10 Day Avg. Volume: 72,790
• 30 Day Avg. Volume: 166,150
• PEG Ratio: -0.38
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 0.11
• P/FCF Ratio: -10.83
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: S$0.05 ▲(22.50% Upside)

The overall stock score of 60 reflects the significant challenges in financial performance, particularly in revenue growth and cash flow management. However, the strong balance sheet and positive technical indicators provide some support. The valuation is reasonable, but the lack of a dividend yield is a drawback for income investors.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities without significant financial strain.

Sustainability Initiatives

Commitment to sustainability can enhance brand loyalty and attract environmentally conscious customers, potentially leading to increased sales and a stronger market position.

Free Cash Flow Improvement

Significant improvement in free cash flow indicates better cash management, providing more resources for investment in growth and innovation.

Negative Factors

Declining Revenue

A significant decline in revenue indicates challenges in market demand or competitive positioning, which can impact long-term growth prospects and profitability.

Low Profit Margins

Low profit margins suggest limited pricing power and operational efficiency, which can constrain profitability and the ability to reinvest in the business.

Negative Cash Flow

Negative cash flow can strain liquidity and limit the company's ability to fund operations and growth initiatives, posing a risk to financial stability.

Nippecraft Limited Business Overview & Revenue Model

Company Description

Nippecraft Limited, together with its subsidiaries, engages in trading and sourcing of recycled waste, chemicals, papers, paper bags, pulp, and other related materials. The company operates through two segments, Stationery Business and Trading Business. It also designs, develops, manufactures, markets, and sells diaries/planners, journals, notebooks, organizers and refills, compendiums/conference folders, calendars, and other stationery products for the office, home, and school environment. The company offers its products under the Collins, Debden, and Jumble & Co. brands. In addition, it supplies paper-based stationery products. The company operates in the Asia Pacific, Europe, the United Kingdom, and internationally. Nippecraft Limited was incorporated in 1977 and is headquartered in Singapore.

How the Company Makes Money

Nippecraft Limited generates revenue through multiple streams, primarily focusing on the sale of its paper products and stationery. The company sells directly to retailers, wholesalers, and educational institutions, which constitutes a significant portion of its revenue. Additionally, Nippecraft has established strategic partnerships with various distributors that enhance its market reach and visibility. The company also engages in custom printing services, providing tailored solutions for businesses that require specific branding or design elements, thereby creating an additional revenue stream. Furthermore, Nippecraft invests in sustainable practices, which attract eco-conscious consumers and businesses, potentially leading to increased sales and brand loyalty.

Nippecraft Limited Financial Statement Overview

Summary

Nippecraft Limited is facing significant challenges in revenue growth and cash flow management, impacting its profitability and operational efficiency. The company maintains a strong balance sheet with low leverage, providing some financial stability. However, the negative cash flow and declining revenue are areas of concern that need to be addressed to improve financial performance.

Income Statement

Nippecraft Limited has experienced a significant decline in revenue over the past year, with a revenue growth rate of -25.91%. The gross profit margin is relatively low at 7.98%, and the net profit margin is also minimal at 0.46%. Despite these challenges, there has been a slight improvement in gross profit margin from the previous year. The EBIT and EBITDA margins are modest, indicating limited operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.04, indicating low financial leverage. The return on equity is modest at 1.51%, reflecting limited profitability relative to shareholder equity. The equity ratio is healthy, suggesting a stable financial position with a significant portion of assets funded by equity.

Cash Flow

Nippecraft Limited faces challenges in cash flow management, with negative operating cash flow and free cash flow. However, there is a notable improvement in free cash flow growth, which increased by 214.65% compared to the previous year. The free cash flow to net income ratio is strong at 1.29, indicating that free cash flow exceeds net income, but the negative operating cash flow coverage ratio highlights ongoing cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	54.44M	105.34M	111.55M	129.72M	140.14M	188.93M
Gross Profit	3.23M	8.41M	7.82M	8.03M	8.26M	10.44M
EBITDA	-1.12M	1.18M	2.06M	784.00K	1.44M	-147.93K
Net Income	-1.46M	485.00K	1.34M	4.00K	324.00K	77.92K
Balance Sheet
Total Assets	65.41M	56.78M	56.42M	63.85M	63.40M	76.19M
Cash, Cash Equivalents and Short-Term Investments	21.77M	17.63M	19.33M	16.94M	22.96M	24.19M
Total Debt	1.88M	1.27M	1.70M	1.60M	1.82M	2.39M
Total Liabilities	25.16M	24.67M	24.47M	33.70M	32.39M	35.45M
Stockholders Equity	40.25M	32.12M	31.95M	30.14M	31.01M	40.74M
Cash Flow
Free Cash Flow	-532.77K	-1.07M	482.00K	-5.25M	5.62M	4.02M
Operating Cash Flow	-494.63K	-826.00K	617.00K	-5.12M	5.80M	4.24M
Investing Cash Flow	5.72K	-33.00K	2.12M	-106.00K	-144.00K	-47.55K
Financing Cash Flow	-135.42K	-512.00K	-685.00K	-616.00K	-785.00K	-936.42K

Nippecraft Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:N32, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 44.95 is Neutral, neither overbought nor oversold. The STOCH value of -42.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:N32.

Nippecraft Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5MD	73 Outperform	S$29.16M	4.77	14.32%	1.20%	33.55%	2595.24%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
N32	60 Neutral	S$16.16M	12.78	3.08%	―	-8.21%	―
BLR	49 Neutral	S$7.51M	―	-3.79%	―	-7.59%	78.60%
LS9	49 Neutral	S$35.30M	-2.42	-235.02%	130.45%	-98.50%	-156.76%
BJD	48 Neutral	S$3.32M	―	-58.09%	―	-28.47%	30.62%