Tandy Leather Factory (TLF) AI Stock Analysis

• Market Cap: $24.28M
• Dividend Yield: N/A
• Average Volume (3M): 12.55K
• Price to Earnings (P/E): 2.0
• Beta (1Y): 0.24
• Revenue Growth: -0.28%
• EPS Growth: 363.27%
• Country: US
• Employees: 414
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.17
• Shares Outstanding: 8,067,502
• 10 Day Avg. Volume: 9,780
• 30 Day Avg. Volume: 12,547
• PEG Ratio: -0.63
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.55
• P/FCF Ratio: 26.00
• Enterprise Value/Market Cap: 0.87
• Enterprise Value/Revenue: 0.28
• Enterprise Value/Gross Profit: 0.50
• Enterprise Value/Ebitda: 6.47
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $3.00 ▲(9.89% Upside)

The overall stock score of 61 reflects moderate financial health with strong equity and low leverage, offset by declining profitability and growth. The stock is technically weak, showing bearish momentum, but appears undervalued based on its low P/E ratio. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Strong Equity Position

A strong equity position indicates financial stability and resilience, providing a solid foundation for future growth and investment opportunities.

Low Leverage

Low leverage reduces financial risk and interest obligations, allowing more flexibility in capital allocation and strategic initiatives.

Stable Cash Flow

Stable operating cash flow ensures the company can meet its operational expenses and invest in growth without relying heavily on external financing.

Negative Factors

Decreasing Margins

Decreasing margins indicate reduced profitability, which can limit reinvestment in the business and affect long-term competitiveness.

Revenue Decline

A decline in revenue suggests potential market challenges and could impact the company's ability to grow and maintain its market position.

Reduced Free Cash Flow

Reduced free cash flow limits the company's ability to invest in new opportunities, pay down debt, or return capital to shareholders, potentially hindering growth.

Tandy Leather Factory Business Overview & Revenue Model

Company Description

Tandy Leather Factory, Inc., together with its subsidiaries, operates as a retailer of leather and leathercraft-related items in North America and Spain. It offers leather, hand tools, hardware, kits, liquids, teaching materials, open workbenches, machinery, and related accessories and supplies. The company also manufactures leather laces, cut leather pieces, do-it-yourself kits, thread laces, belt strips and straps, and Craftaids. In addition, it offers production services, including cutting, splitting, and assembly services to business customers. The company sells its products under the Tandy Leather, Eco-Flo, Craftool, CraftoolPro, Dr. Jackson's, and TandyPro brand names through company-owned stores; and orders generated from its websites, such as tandyleather.com, tandyleather.ca, tandyleather.eu, and tandyleather.com.au. It operates 106 retail stores, including 95 stores in the United States; ten stores in Canada; and one store in Spain. The company was formerly known as The Leather Factory, Inc. and changed its name to Tandy Leather Factory, Inc. in 2005. Tandy Leather Factory, Inc. was founded in 1919 and is headquartered in Fort Worth, Texas.

How the Company Makes Money

Tandy Leather Factory generates revenue primarily through the sale of leather goods and craft supplies. Its revenue model includes retail sales from both physical store locations and its e-commerce platform, which allows customers to purchase a diverse range of products. Key revenue streams include the sale of raw leather hides, specialized tools, and various leatherworking supplies. TLF also engages in wholesale distribution, supplying materials to other retailers and professionals in the leather industry. Additionally, Tandy Leather may benefit from partnerships with manufacturers and artisans that enhance its product offerings and increase market reach, contributing to its overall earnings.

Tandy Leather Factory Financial Statement Overview

Summary

Tandy Leather Factory demonstrates moderate financial health with strong equity and low leverage. However, decreasing margins and revenue suggest challenges in profitability and growth, though cash flow remains relatively stable.

Income Statement

Tandy Leather Factory shows moderate stability with a gross profit margin of 56.2% and a declining net profit margin to 1.1% in 2024, down from 4.9% in 2023. Revenue has decreased by 2.4% from 2023 to 2024, indicating potential market challenges. The EBIT margin has also dropped significantly from 5.8% to 0.8%, highlighting decreased operational efficiency.

Balance Sheet

The company's balance sheet is relatively strong with a debt-to-equity ratio of 0.19, indicating low leverage. The equity ratio is 76.3%, reflecting a strong equity position. ROE decreased from 6.7% in 2023 to 1.4% in 2024, showing reduced profitability on equity.

Cash Flow

Operating cash flow remained stable from 2023 to 2024, but the free cash flow decreased by 60.5%, showing reduced efficiency in cash generation. The operating cash flow to net income ratio is 5.5, indicating strong cash conversion, while the free cash flow to net income ratio is 1.9, reflecting a decent level of cash available after investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.55M	74.39M	76.23M	80.33M	82.66M	64.08M
Gross Profit	42.30M	41.80M	45.16M	46.50M	47.00M	36.06M
EBITDA	3.28M	5.36M	9.04M	2.83M	4.66M	-274.00K
Net Income	11.46M	827.00K	3.77M	1.23M	1.35M	-4.90M
Balance Sheet
Total Assets	84.54M	74.92M	72.14M	68.58M	73.08M	76.38M
Cash, Cash Equivalents and Short-Term Investments	12.02M	13.27M	12.16M	7.97M	10.15M	10.33M
Total Debt	24.98M	10.77M	9.43M	10.37M	11.66M	13.26M
Total Liabilities	31.16M	17.77M	15.79M	17.12M	21.58M	24.18M
Stockholders Equity	53.38M	57.15M	56.35M	51.46M	51.50M	52.19M
Cash Flow
Free Cash Flow	-8.28M	1.56M	3.96M	519.00K	2.71M	-13.84M
Operating Cash Flow	-1.02M	4.55M	4.54M	1.15M	3.72M	-12.53M
Investing Cash Flow	17.64M	-2.98M	-576.00K	-625.00K	-1.00M	6.26M
Financing Cash Flow	-14.21M	-1.00K	-26.00K	-2.17M	-2.78M	416.00K

Tandy Leather Factory Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.73
• 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 TLF, the sentiment is Negative. The current price of 2.73 is below the 20-day moving average (MA) of 2.82, below the 50-day MA of 2.94, and below the 200-day MA of 3.08, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 42.37 is Neutral, neither overbought nor oversold. The STOCH value of 42.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TLF.

Tandy Leather Factory Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
TLF	61 Neutral	$24.28M	2.04	20.64%	―	-0.28%	363.27%
NHTC	48 Neutral	$50.43M	144.55	-0.38%	26.85%	-5.07%	-115.50%
BGFV	46 Neutral	―	―	―	―	-8.04%	-263.28%
YJ	41 Neutral	$7.49M	―	―	―	-37.97%	27.39%
MOGU	40 Underperform	$21.91M	-2.71	-11.43%	―	-12.53%	-3.24%
TBHC	39 Underperform	$33.24M	-0.98	―	―	-8.63%	5.62%

Tandy Leather Factory Corporate Events

Tandy Leather Factory Reports Q3 2025 Financial Results

Tandy Leather Factory, Inc., a leading specialty retailer in the leather and leathercraft industry, operates a network of retail stores and offers a wide range of leather-related products and services. The company recently released its earnings report for the quarter ending September 30, 2025, highlighting a net loss of $1.35 million compared to a net loss of $132,000 in the same period last year. Despite a slight decrease in net sales, the company achieved a significant gain from the sale of its corporate headquarters, contributing to a net income of $10.03 million for the nine-month period. However, increased operating expenses and other expenses impacted quarterly results. Looking ahead, Tandy Leather Factory remains focused on leveraging its strong brand and retail presence to navigate the challenges in the market and drive future growth.