Tredegar (TG) AI Stock Analysis

• Market Cap: $297.88M
• Dividend Yield: N/A
• Average Volume (3M): 67.65K
• Price to Earnings (P/E): 39.6
• Beta (1Y): 0.97
• Revenue Growth: 0.24%
• EPS Growth: N/A
• Country: US
• Employees: 1,500
• Sector: Industrials
• Sector Strength: 93
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.01
• Shares Outstanding: 34,921,722
• 10 Day Avg. Volume: 46,175
• 30 Day Avg. Volume: 67,649
• PEG Ratio: -0.51
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.42
• Enterprise Value/Market Cap: 1.05
• Enterprise Value/Revenue: 0.12
• Enterprise Value/Gross Profit: 3.21
• Enterprise Value/Ebitda: 1.86
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: $9.00 ▲(4.41%Upside)

The overall stock score of 58.1 reflects the financial challenges facing Tredegar, despite strong technical indicators suggesting bullish momentum. The high P/E ratio raises concerns about valuation, while the absence of a dividend yield further reduces attractiveness. Financial performance, being the most significant factor, highlights the need for strategic adjustments to improve profitability and stabilize financial health.

Tredegar Business Overview & Revenue Model

Company Description

Tredegar Corporation (TG) is a manufacturing company that operates primarily in the plastic films and aluminum extrusion sectors. The company is known for producing high-quality plastic films used in various applications including packaging, personal care, and surface protection. Additionally, Tredegar's aluminum extrusions division offers products for building and construction, automotive, and other industrial markets.

How the Company Makes Money

Tredegar Corporation makes money through the sale of its plastic films and aluminum extrusion products. The plastic films division generates revenue by providing materials used in personal care products, flexible packaging, and protective films. Meanwhile, the aluminum extrusions division contributes to the company's earnings by supplying extruded aluminum products to industries such as construction, automotive, and consumer durables. Key revenue streams include long-term contracts with major manufacturers and partnerships with companies in the automotive and construction sectors. The company's financial performance is influenced by factors such as raw material costs, manufacturing efficiency, and market demand for its products.

Tredegar Financial Statement Overview

Summary

Tredegar faces significant financial challenges. The income statement highlights profitability issues and declining revenues, while the balance sheet maintains moderate stability with manageable debt levels. Cash flow management shows some strengths, but inconsistencies in free cash flow growth present risks. The company needs to address operational inefficiencies and improve profitability for long-term growth.

Income Statement

Tredegar's income statement reveals significant challenges. The company has experienced declining revenues, with a negative revenue growth rate in recent years. The gross profit margin is reasonable, but the net profit margin is negative, indicating operational challenges and inefficiencies. EBIT and EBITDA margins are also weak, further highlighting profitability issues.

Balance Sheet

The balance sheet of Tredegar shows a moderate financial position. The debt-to-equity ratio is low, suggesting manageable levels of debt relative to equity. However, the equity ratio indicates room for strengthening the equity base. The return on equity is negative, reflecting recent losses, but the overall stability is maintained by a relatively strong asset base.

Cash Flow

Cash flow analysis shows mixed results. While there is positive operating cash flow, free cash flow has fluctuated over the years, with periods of negative free cash flow. The free cash flow to net income ratio is unreliable due to negative net income. However, the company has managed operating cash flow effectively, maintaining a balance with its financing needs.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
586.08M	597.07M	704.83M	938.56M	826.46M	755.29M
	Gross Profit
97.17M	95.10M	78.78M	139.54M	148.53M	170.64M
	EBIT
12.44M	21.21M	-12.03M	39.97M	53.06M	63.27M
	EBITDA
31.95M	44.97M	13.76M	66.33M	96.48M	12.25M
	Net Income Common Stockholders
-57.75M	-64.56M	-105.91M	28.45M	57.83M	-75.44M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.06M	7.06M	9.66M	19.23M	30.52M	11.85M
	Total Assets
356.36M	356.36M	446.46M	542.09M	523.58M	514.87M
	Total Debt
77.37M	77.37M	159.37M	151.77M	87.99M	151.03M
	Net Debt
70.31M	70.31M	149.71M	132.54M	57.47M	139.19M
	Total Liabilities
175.39M	175.39M	290.81M	340.33M	338.86M	405.81M
	Stockholders Equity
180.97M	180.97M	155.65M	201.76M	184.72M	109.06M
Cash Flow		Free Cash Flow
13.38M	11.16M	-2.45M	-57.72M	43.22M	51.02M
	Operating Cash Flow
28.22M	25.51M	24.00M	-20.84M	70.58M	74.37M
	Investing Cash Flow
49.77M	40.51M	-26.18M	-35.46M	24.45M	32.88M
	Financing Cash Flow
-72.28M	-64.98M	-4.48M	45.38M	-76.84M	-125.59M

Tredegar Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TG, the sentiment is Positive. The current price of 8.62 is above the 20-day moving average (MA) of 8.35, above the 50-day MA of 7.84, and above the 200-day MA of 7.50, indicating a bullish trend. The MACD of 0.18 indicates Positive momentum. The RSI at 60.21 is Neutral, neither overbought nor oversold. The STOCH value of 85.62 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TG.

Tredegar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IIIN	75 Outperform	$690.28M	30.83	6.61%	0.33%	-0.33%	-7.06%
WOR	71 Outperform	$2.96B	49.60	6.56%	1.11%	-69.82%	-78.10%
MEC	70 Outperform	$307.32M	13.89	9.40%	―	-8.42%	164.82%
NWPX	67 Neutral	$390.97M	12.09	9.13%	―	8.06%	38.46%
Sector *	66 Neutral	$4.48B	12.26	5.32%	248.53%	4.10%	-12.36%
RYI	59 Neutral	$689.96M	37.86	-0.78%	3.50%	-9.04%	-108.47%
TG	58 Neutral	$297.88M	39.65	-1.05%	―	0.24%	―

Tredegar Corporate Events

Tredegar Elects Directors at Annual Shareholder Meeting

On May 8, 2025, Tredegar Corporation held its Annual Meeting of Shareholders where all nominated directors were elected. Additionally, the shareholders approved the compensation of named executive officers on a non-binding advisory basis and ratified the appointment of KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

Tredegar Amends Credit Agreement with Major Banks

On May 6, 2025, Tredegar Corporation and its subsidiaries entered into the Fifth Amendment to their Amended Credit Agreement with several banks, including JPMorgan Chase and Bank of America. The amendment extends the maturity date of their $125 million asset-based facility to May 6, 2030, reduces interest rate margins, and modifies the borrowing base calculation, impacting the company’s financial flexibility and operational strategy.