Tredegar (TG) AI Stock Analysis

• Market Cap: $259.04M
• Dividend Yield: N/A
• Average Volume (3M): 178.09K
• Price to Earnings (P/E): 22.5
• Beta (1Y): 1.02
• Revenue Growth: -3.42%
• EPS Growth: N/A
• Country: US
• Employees: 1,500
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.20
• Shares Outstanding: 34,910,694
• 10 Day Avg. Volume: 220,082
• 30 Day Avg. Volume: 178,086
• PEG Ratio: 0.10
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 23.63
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 0.56
• Enterprise Value/Gross Profit: 3.47
• Enterprise Value/Ebitda: 18.48
• 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: 54 Neutral
• Price Target: $8.50 ▲(9.40% Upside)

Tredegar's overall stock score reflects its strong cash flow generation and stable balance sheet, which are offset by challenges in profitability and moderate valuation. Technical indicators show short-term bullish momentum, but caution is advised due to potential overbought conditions.

Positive Factors

Stable Revenue Base

Long-term contracts in the plastic films segment provide a stable revenue base, reducing volatility and ensuring predictable cash flows.

Strong Cash Generation

Significant improvement in cash generation enhances liquidity, providing financial flexibility for investments and debt servicing.

Low Leverage

Low leverage indicates a stable financial position, reducing risk and interest obligations, and allowing for potential growth investments.

Negative Factors

Profitability Challenges

Struggles with profitability due to negative net profit margin highlight operational inefficiencies, impacting long-term financial health.

Negative Return on Equity

Negative ROE suggests the company is not effectively using shareholders' equity to generate profits, which can deter investor confidence.

Operational Challenges

Low EBIT and EBITDA margins point to operational inefficiencies, necessitating improvements in cost management to boost profitability.

Tredegar Business Overview & Revenue Model

Company Description

Tredegar Corporation (TG) is a diversified manufacturing company that operates primarily in the plastic films and aluminum extrusions sectors. The company produces a range of products including flexible packaging, personal care products, and various aluminum extrusions used in building and construction. Tredegar serves a wide array of markets including consumer products, healthcare, and industrial applications, positioning itself as a key player in providing innovative solutions that meet the needs of its diverse clientele.

How the Company Makes Money

Tredegar generates revenue through multiple key streams, primarily from the sale of its plastic film products and aluminum extrusions. The plastic films segment produces flexible packaging materials that are sold to various industries, including food and consumer goods. This segment benefits from long-term contracts with major customers, providing a stable revenue base. The aluminum extrusions segment focuses on producing custom aluminum products for construction and industrial applications, which also relies on strategic partnerships with manufacturers and distributors. Additionally, Tredegar invests in research and development to create innovative products that can capture market share and command premium pricing. Overall, the company's revenue model is supported by a mix of direct sales, long-term contracts, and partnerships that enhance its market presence and profitability.

Tredegar Financial Statement Overview

Summary

Tredegar's financial performance is mixed. The income statement shows challenges in profitability with a negative net profit margin, while the balance sheet is stable with low leverage. The cash flow statement is strong, indicating significant cash generation, which is a positive sign for liquidity.

Income Statement

Tredegar's income statement shows a mixed performance. The TTM data indicates a slight revenue growth of 2.24%, but the company is struggling with profitability, as evidenced by a negative net profit margin of -9.14%. The gross profit margin is moderate at 16.11%, but the EBIT and EBITDA margins are low, indicating operational challenges. The company needs to improve its cost management and operational efficiency to enhance profitability.

Balance Sheet

The balance sheet reflects a relatively stable financial position with a low debt-to-equity ratio of 0.07 in the TTM period, suggesting low leverage. However, the return on equity is negative at -27.99%, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is not provided, but the overall stability is moderate, with room for improvement in profitability.

Cash Flow

Tredegar's cash flow statement shows a strong free cash flow growth rate of 16695.16% in the TTM period, indicating significant improvement in cash generation. The operating cash flow to net income ratio is 0.35, suggesting that the company is generating cash from operations despite net losses. The free cash flow to net income ratio of 0.57 further supports the company's ability to generate cash, which is a positive sign for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	588.80M	598.02M	573.32M	761.99M	826.46M	755.29M
Gross Profit	94.87M	96.06M	71.13M	104.89M	148.53M	170.64M
EBITDA	17.82M	31.08M	-116.47M	40.11M	94.28M	9.50M
Net Income	-53.79M	-64.56M	-105.91M	28.45M	57.83M	-75.44M
Balance Sheet
Total Assets	378.81M	356.36M	446.46M	542.09M	523.58M	514.87M
Cash, Cash Equivalents and Short-Term Investments	13.29M	7.06M	9.66M	19.23M	30.52M	11.85M
Total Debt	63.32M	77.37M	158.62M	151.77M	87.99M	151.03M
Total Liabilities	176.62M	175.39M	290.81M	340.33M	338.86M	405.81M
Stockholders Equity	202.19M	180.97M	155.65M	201.76M	184.72M	109.06M
Cash Flow
Free Cash Flow	20.83M	11.16M	-2.45M	-57.72M	43.22M	51.02M
Operating Cash Flow	36.72M	25.51M	24.00M	-20.84M	70.58M	74.37M
Investing Cash Flow	50.47M	40.51M	-26.18M	-35.46M	24.45M	32.88M
Financing Cash Flow	-75.12M	-64.98M	-4.48M	45.38M	-76.84M	-125.59M

Tredegar Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.77
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TG, the sentiment is Negative. The current price of 7.77 is above the 20-day moving average (MA) of 7.70, above the 50-day MA of 7.57, and below the 200-day MA of 7.95, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 46.53 is Neutral, neither overbought nor oversold. The STOCH value of 30.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TG.

Tredegar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AZZ	79 Outperform	$3.35B	10.71	27.28%	0.67%	1.55%	701.41%
NWPX	78 Outperform	$621.74M	17.59	9.78%	―	7.61%	25.35%
IIIN	73 Outperform	$626.18M	15.38	11.36%	3.49%	22.39%	112.75%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
MEC	63 Neutral	$388.89M	33.32	5.06%	―	-12.38%	-0.71%
TG	54 Neutral	$259.04M	22.51	1.26%	―	-3.42%	―
AP	54 Neutral	$89.64M	-16.81	-8.73%	―	0.20%	88.39%

Tredegar Corporate Events

Tredegar Announces Upcoming Leadership Changes

Tredegar Corporation announced the retirement of John M. Steitz as President and CEO, effective December 31, 2025, with Arijit (Bapi) DasGupta set to succeed him starting January 1, 2026. DasGupta, who has been with Tredegar since 2007 and led the PE Films business unit, will also join the Board of Directors. Additionally, Frasier W. Brickhouse II will replace retiring CFO D. Andrew Edwards, assuming the role on January 1, 2026. Both DasGupta and Brickhouse bring extensive experience within Tredegar, promising continuity and informed leadership for the company’s future.

Tredegar Announces CFO Retirement Plan

On October 6, 2025, Tredegar Corporation announced the upcoming retirement of D. Andrew Edwards, the company’s Chief Financial Officer and Executive Vice President, effective December 31, 2025. The board and executive leadership are working on a transition plan to ensure continued financial stewardship. Edwards has been praised for his significant contributions to the company’s financial strength and strategic transformations.