Toro Corp. (TORO) AI Stock Analysis

• Market Cap: $119.61M
• Dividend Yield: N/A
• Average Volume (3M): 665.51K
• Price to Earnings (P/E): 1114.0
• Beta (1Y): 0.80
• Revenue Growth: -30.68%
• EPS Growth: -98.19%
• Country: US
• Employees: N/A
• Sector: Industrials
• Sector Strength: 72
• Industry: Marine Shipping
• EPS (TTM): N/A
• Shares Outstanding: 21,473,509
• 10 Day Avg. Volume: 350,800
• 30 Day Avg. Volume: 665,510
• PEG Ratio: -0.02
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 2.18
• P/FCF Ratio: 3.39
• Enterprise Value/Market Cap: 0.22
• Enterprise Value/Revenue: 1.27
• Enterprise Value/Gross Profit: 7.01
• Enterprise Value/Ebitda: 5.49
• 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: 68 Neutral
• Price Target: ―

Toro Corp.'s stock score reflects the company's strong equity position and undervaluation, juxtaposed against significant operational and financial challenges. The stock's technical indicators show positive momentum, which could attract short-term investor interest. However, the uncertain financial outlook and cash flow inefficiencies pose risks that investors should be wary of.

Positive Factors

Debt-Free Balance Sheet

A debt-free balance sheet provides financial stability and flexibility, allowing Toro Corp. to invest in growth opportunities without the burden of interest payments.

Positive Free Cash Flow

Positive free cash flow, even if driven by reduced capital expenditures, indicates improved cash management, enhancing the company's ability to fund operations and strategic initiatives.

Strong Equity Position

A strong equity position provides a cushion against financial downturns and supports long-term investment in business expansion and innovation.

Negative Factors

Declining Revenue

Declining revenue trends suggest weakening demand or competitive pressures, which could impact the company's ability to sustain operations and invest in future growth.

Operational Profitability Challenges

Negative EBIT highlights operational inefficiencies, which can erode margins and reduce the company's ability to reinvest in its core business, affecting long-term competitiveness.

Cash Flow Inefficiencies

Decreased operating cash flow indicates challenges in converting sales into cash, which can strain liquidity and limit the company's capacity to fund ongoing operations and growth initiatives.

Toro Corp. Business Overview & Revenue Model

Company Description

Toro Corp. (TORO) operates primarily in the manufacturing and distribution of outdoor environment-related products. The company is known for its wide array of equipment and machinery designed for lawn care, landscaping, and snow maintenance. Its core products include lawn mowers, snow blowers, irrigation systems, and related accessories aimed at both residential and commercial markets. Toro Corp. serves a global customer base, ranging from homeowners and landscape contractors to golf courses and sports fields.

How the Company Makes Money

Toro Corp. generates revenue through the sale of its diverse range of outdoor maintenance equipment and machinery. The company earns money from both direct sales to consumers and through a network of distributors and retailers who stock Toro products. In addition to product sales, Toro offers aftermarket parts and services, which provide a steady stream of income from maintenance and repair needs. The company also benefits from strategic partnerships and collaborations with landscaping professionals and commercial businesses that use Toro products for large-scale projects. These relationships often lead to bulk purchases and long-term contracts, further enhancing Toro's revenue streams.

Toro Corp. Financial Statement Overview

Summary

Toro Corp. faces significant challenges with declining revenues and operational profitability. Despite a strong equity position and no debt, the company struggles with cash flow inefficiencies and operational challenges that pose risks to its financial stability.

Income Statement

Toro Corp. shows a volatile revenue trajectory with a significant decline in 2024 compared to previous years. Gross profit margin has dramatically decreased, and EBIT has turned negative, indicating operational challenges. However, the net profit margin remains positive due to an extraordinary gain in 2024, suggesting one-time income events rather than sustainable earnings.

Balance Sheet

The company maintains a solid equity base with no debt in the latest year, which is a positive sign of financial stability. The equity ratio is high, indicating a substantial buffer for liabilities, but the declining trend in total assets and equity from 2023 to 2024 could signal potential headwinds.

Cash Flow

Operating cash flow has decreased significantly, impacting the company's ability to generate cash from core operations. The free cash flow turned positive in 2024 but is primarily driven by reduced capital expenditures rather than operational improvements. The operating cash flow to net income ratio suggests weaker cash conversion efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	21.11M	22.39M	78.47M	15.64M	29.26M
Gross Profit	3.81M	4.67M	53.23M	11.14M	154.91K
EBITDA	4.87M	10.64M	15.81M	8.34M	3.10M
Net Income	5.49M	25.21M	140.64M	49.93M	-1.43M
Balance Sheet
Total Assets	388.13M	326.41M	308.10M	157.48M	124.05M
Cash, Cash Equivalents and Short-Term Investments	29.50M	37.42M	155.24M	41.78M	4.96M
Total Debt	0.00	0.00	5.21M	13.07M	16.00M
Total Liabilities	6.80M	4.70M	11.76M	16.98M	20.02M
Stockholders Equity	381.33M	321.71M	296.34M	140.50M	104.03M
Cash Flow
Free Cash Flow	-92.01M	14.44M	-16.11M	40.69M	-115.70M
Operating Cash Flow	-14.13M	14.56M	56.13M	41.54M	-4.42M
Investing Cash Flow	-144.45M	-122.57M	50.71M	11.79M	-111.29M
Financing Cash Flow	-13.52M	-10.39M	6.27M	-16.51M	121.37M

Toro Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.91
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TORO, the sentiment is Positive. The current price of 3.91 is below the 20-day moving average (MA) of 4.84, below the 50-day MA of 4.23, and above the 200-day MA of 2.88, indicating a bullish trend. The MACD of 0.41 indicates Negative momentum. The RSI at 70.66 is Negative, neither overbought nor oversold. The STOCH value of 80.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TORO.

Toro Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TORO	68 Neutral	$119.61M	1,114.00	1.57%	―	-30.68%	-98.19%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
EDRY	56 Neutral	$37.38M	-3.38	-11.12%	―	-20.95%	-77.49%
PXS	52 Neutral	$30.93M	-12.71	0.28%	―	-23.25%	-107.24%
GLBS	51 Neutral	$34.99M	-7.57	-2.63%	―	18.49%	-264.74%
HMR	43 Neutral	$51.81M	-1.58	―	―	―	―