Tandy Leather Factory (TLF)
NASDAQ:TLF
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Tandy Leather Factory
(NASDAQ:TLF)
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Rating:43Neutral
Price Target:
$2.00
▼(-29.58% Downside)
Action:Reiterated
Date:06/11/26
The score is held down primarily by weakened financial performance—loss-making results and deeply negative free cash flow despite a strong revenue rebound. Technical signals are neutral-to-soft with no clear uptrend, and valuation is constrained by negative earnings and no stated dividend yield. Corporate governance updates add a modest positive but are secondary to the cash flow and profitability risks.
Positive Factors
Revenue rebound
An ~80.7% TTM revenue rebound indicates durable demand recovery for core leathercraft products. Sustained top-line growth supports scale benefits, stocking efficiencies, and the potential to restore operating leverage if management controls SG&A and converts revenue into consistent cash flow.
Negative Factors
Deeply negative free cash flow
Material negative free cash flow (~-$5.9M) signals poor cash conversion and ongoing cash burn after investments. This weakens liquidity, increases reliance on external financing, and limits capacity to invest in growth initiatives or weather demand shocks without raising more capital.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue rebound
An ~80.7% TTM revenue rebound indicates durable demand recovery for core leathercraft products. Sustained top-line growth supports scale benefits, stocking efficiencies, and the potential to restore operating leverage if management controls SG&A and converts revenue into consistent cash flow.
Read all positive factors
Tandy Leather Factory (TLF) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$18.81M
Dividend YieldN/A
Average Volume (3M)12.55K
Price to Earnings (P/E)―
Beta (1Y)0.42
Revenue Growth3.76%
EPS Growth-118.17%
CountryUS
Employees414
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)-0.28
Shares Outstanding8,143,569
10 Day Avg. Volume9,780
30 Day Avg. Volume12,547
Financial Highlights & Ratios
PEG Ratio<0.01
Price to Book (P/B)0.43
Price to Sales (P/S)0.30
P/FCF Ratio-2.79
Enterprise Value/Market Cap1.93
Enterprise Value/Revenue0.47
Enterprise Value/Gross Profit0.84
Enterprise Value/Ebitda9.97
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Tandy Leather Factory Business Overview & Revenue Model
Company Description
Tandy Leather Factory, Inc., along with its subsidiaries, operates as a specialized retail provider of leather and various leathercrafting supplies. The company's operations extend across North America and into Spain. It furnishes customers with a...
How the Company Makes Money
TLF primarily makes money by selling leathercraft products and supplies at retail and through direct-to-consumer online sales, generating revenue from product margins on items such as leather hides and pieces, leatherworking tools, dyes and finish...
Tandy Leather Factory Earnings Call Summary
Earnings Call Date:Mar 22, 2024
(Q4-2023)
| % Change Since: |
Next Earnings Date:Aug 17, 2026
Earnings Call Sentiment Neutral
The earnings call presented a balanced view with significant improvements in operating income, adjusted EBITDA, and gross margin, coupled with strategic new store openings. However, these positives were offset by a decline in overall sales and lower-than-expected interest income. The company showed strong financial discipline and strategic planning, suggesting cautious optimism for future growth.Positive Updates
Increase in Operating Income
Operating income rose to $4.4 million, marking a $3 million increase over the previous year.
Negative Updates
Decline in Sales
Sales decreased by 5.1% to $76.2 million, attributed to weak consumer demand and store closures.
Read all updates
Q4-2023 Updates
Positive
Negative
Increase in Operating Income
Operating income rose to $4.4 million, marking a $3 million increase over the previous year.
Read all positive updates
Company Guidance
In the Tandy Leather Factory (TLF) Q4 2023 earnings call, the company provided guidance focused on maintaining profitability and cash flow amid a challenging market environment. For the year, TLF reported a 5.1% decline in sales totaling $76.2 million, yet achieved a $4.4 million operating income, up $3 million from the previous year. Gross margin improved by 130 basis points, while operating expenses dropped by 9.7%. Adjusted EBITDA rose to $6.5 million, a $2.5 million increase year-over-year. The company ended the year with $12.2 million in cash, a $4 million increase, and maintained a debt-free balance sheet. Looking to 2024, Tandy plans to open 3 to 5 new stores, leveraging a new retail model that focuses on a smaller footprint and expert customer service. Additionally, the company is exploring the sale of its Fort Worth property to potentially unlock more value and excess cash, which could be returned to shareholders.Tandy Leather Factory Financial Statement Overview
Summary
Income Statement
42
Neutral
Balance Sheet
58
Neutral
Cash Flow
28
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 76.94M | 76.32M | 74.39M | 76.23M | 80.33M | 82.66M |
| Gross Profit | 43.14M | 43.54M | 41.80M | 45.16M | 46.50M | 47.00M |
| EBITDA | 3.64M | 18.46M | 5.82M | 9.17M | 2.83M | 4.66M |
| Net Income | -2.26M | 9.10M | 827.00K | 3.77M | 1.23M | 1.35M |
Balance Sheet | ||||||
| Total Assets | 81.52M | 86.63M | 74.92M | 72.14M | 68.58M | 73.08M |
| Cash, Cash Equivalents and Short-Term Investments | 10.10M | 16.09M | 13.27M | 12.16M | 7.97M | 10.15M |
| Total Debt | 27.72M | 27.38M | 10.77M | 9.43M | 10.37M | 11.66M |
| Total Liabilities | 35.02M | 34.04M | 17.77M | 15.79M | 17.12M | 21.58M |
| Stockholders Equity | 46.50M | 52.59M | 57.15M | 56.35M | 51.46M | 51.50M |
Cash Flow | ||||||
| Free Cash Flow | -5.91M | -8.09M | 1.56M | 3.96M | 519.00K | 2.71M |
| Operating Cash Flow | 886.00K | -556.00K | 4.55M | 4.54M | 1.15M | 3.72M |
| Investing Cash Flow | -6.79M | 17.36M | -2.98M | -576.00K | -625.00K | -1.00M |
| Financing Cash Flow | -7.55M | -14.11M | -1.00K | -26.00K | -2.17M | -2.78M |
Tandy Leather Factory Technical Analysis
Negative
2.84
Price Trends
2.35
Negative
2.33
Negative
2.26
Positive
Market Momentum
-0.02
Positive
41.76
Neutral
20.81
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 2.84 is above the 20-day moving average (MA) of 2.35, above the 50-day MA of 2.35, and above the 200-day MA of 2.26, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 41.76 is Neutral, neither overbought nor oversold. The STOCH value of 20.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TLF.
Tandy Leather Factory Risk Analysis
Tandy Leather Factory disclosed 20 risk factors in its most recent earnings report. Tandy Leather Factory reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Tandy Leather Factory Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
49 Neutral | $16.51M | -3.29 | -9.51% | ― | 6.50% | ― | |
46 Neutral | $17.63M | -17.78 | -3.23% | 25.20% | -10.54% | -332.20% | |
44 Neutral | $7.95M | -0.37 | ― | ― | ― | ― | |
43 Neutral | $18.81M | -8.21 | 16.54% | ― | 3.76% | -118.17% |
* Consumer Cyclical Sector Average
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Tandy Leather Factory Corporate Events
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Tandy Leather Enhances Board Governance and Shareholder Backing
Positive
Jun 10, 2026
On June 9, 2026, Tandy Leather Factory’s board approved higher cash retainers for non-employee directors and committee chairs, and changed its equity plan so all previously granted RSUs immediately vested on that date, with future RSUs vesti...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.