Tredegar (TG) AI Stock Analysis

• Market Cap: $313.25M
• Dividend Yield: N/A
• Average Volume (3M): 69.61K
• Price to Earnings (P/E): 41.3
• Beta (1Y): 1.12
• Revenue Growth: 0.24%
• EPS Growth: N/A
• Country: US
• Employees: 1,500
• Sector: Industrials
• Sector Strength: 87
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.01
• Shares Outstanding: 34,921,722
• 10 Day Avg. Volume: 88,381
• 30 Day Avg. Volume: 69,605
• PEG Ratio: -0.51
• Price to Book (P/B): 1.56
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.58
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 0.12
• Enterprise Value/Gross Profit: 3.23
• Enterprise Value/Ebitda: 1.88
• 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 ▲(0.33%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 diversified manufacturer primarily engaged in the production of polyethylene plastic films, polyester films, and aluminum extrusions. The company operates through two primary segments: Flexible Packaging Films and Aluminum Extrusions. Tredegar's products serve a variety of industries, including packaging, personal care, electronics, and construction, providing essential components for a wide range of consumer and industrial applications.

How the Company Makes Money

Tredegar Corporation generates revenue through the sale of its flexible packaging films and aluminum extrusions. The Flexible Packaging Films segment produces polyethylene and polyester films used in packaging, personal care products, and other applications, earning revenue through contracts with manufacturers and distributors. The Aluminum Extrusions segment supplies custom-engineered aluminum components for construction, transportation, and consumer durables, generating income through sales agreements with companies in these sectors. Tredegar's earnings are bolstered by strategic partnerships and long-term supply agreements, which provide stability and growth opportunities in its key markets.

Tredegar Financial Statement Overview

Summary

Tredegar faces significant challenges with declining revenues and profitability impacting its financial health. The balance sheet is relatively stable but weakened by decreasing equity ratios. Cash flow is a relative strength, with positive trends in operating and free cash flow, though the volatility and declining net income are concerning. Overall, the company needs strategic adjustments to reverse the negative financial trends.

Income Statement

The income statement reflects challenges in maintaining profitability, with a negative net profit margin and declining revenue over the past few years. Gross profit margin is stable, but EBIT and EBITDA margins are low, indicating operational inefficiencies. The revenue growth rate is negative, highlighting a downward trend.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the equity ratio has been decreasing, suggesting weakening asset backing by equity. Return on equity is negative due to net losses, which is a concern for investors.

Cash Flow

The cash flow statement indicates a positive operating cash flow to net income ratio, suggesting good cash generation despite net losses. Free cash flow has shown growth recently, but the overall trend has been volatile. The cash flow situation is moderately stable but requires close monitoring.

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
EBITDA	31.95M	44.97M	13.76M	66.33M	96.48M	12.25M
Net Income	-57.75M	-64.56M	-105.91M	28.45M	57.83M	-75.44M
Balance Sheet
Total Assets	514.87M	356.36M	446.46M	542.09M	523.58M	514.87M
Cash, Cash Equivalents and Short-Term Investments	11.85M	7.06M	9.66M	19.23M	30.52M	11.85M
Total Debt	151.03M	77.37M	159.37M	151.77M	87.99M	151.03M
Total Liabilities	405.81M	175.39M	290.81M	340.33M	338.86M	405.81M
Stockholders Equity	109.06M	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: 8.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 Positive. The current price of 8.97 is above the 20-day moving average (MA) of 8.65, above the 50-day MA of 8.25, and above the 200-day MA of 7.71, indicating a bullish trend. The MACD of 0.15 indicates Positive momentum. The RSI at 62.13 is Neutral, neither overbought nor oversold. The STOCH value of 72.42 is Neutral, 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	$732.79M	32.73	6.61%	0.32%	-0.33%	-7.06%
WOR	74 Outperform	$3.19B	33.23	10.52%	1.06%	-60.43%	-14.19%
NWPX	72 Outperform	$412.41M	12.75	9.13%	―	8.06%	38.46%
MEC	70 Neutral	$331.26M	15.00	9.40%	―	-8.42%	164.82%
Sector *	65 Neutral	$10.56B	15.49	5.57%	1.96%	2.71%	-26.28%
TG	58 Neutral	$313.25M	41.26	-1.05%	―	0.24%	―
RYI	58 Neutral	$711.53M	37.86	-0.78%	3.39%	-9.04%	-108.47%

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.