TPI Composites (TPIC) AI Stock Analysis

• Market Cap: $44.90M
• Dividend Yield: N/A
• Average Volume (3M): 829.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.59
• Revenue Growth: 1.71%
• EPS Growth: -3.55%
• Country: US
• Employees: 11,700
• Sector: Industrials
• Sector Strength: 87
• Industry: Industrial - Machinery
• EPS (TTM): -1.01
• Shares Outstanding: 48,650,013
• 10 Day Avg. Volume: 626,513
• 30 Day Avg. Volume: 829,781
• PEG Ratio: -0.03
• Price to Book (P/B): -0.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.17
• Enterprise Value/Market Cap: 2.10
• Enterprise Value/Revenue: 0.02
• Enterprise Value/Gross Profit: -2.41
• Enterprise Value/Ebitda: -0.25
• 1Y Price Target: $1.46
• Price Target Upside: 56.99% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 45 Neutral
• Price Target: $1.00 ▲(7.53%Upside)

TPI Composites' overall score is impacted significantly by its weak financial performance and valuation, with high leverage and ongoing losses posing substantial risks. While technical analysis shows bearish momentum, the earnings call offered some positive developments in revenue and cash flow. The regaining of NASDAQ compliance adds a slight positive note, but financial challenges remain the primary concern.

Positive Factors

Contract Security

Previously secured contracts in the '22-'23 orderbook, particularly those feeding into projects like Pattern's SunZia, allow for visibility for FY25 revenue.

Production Expansion

Newton, Iowa facility began production, supporting the domestic GE repowering opportunity.

Renewable Energy Demand

Demand for renewable energy remains strong, driven by increased electricity needs from sectors like data centers and domestic manufacturing.

Negative Factors

Debt and Financial Flexibility

TPIC's heavy debt load, including a substantial $440 million loan accruing high interest, limits the company's financial flexibility and potential upside.

Operational Uncertainty

The lack of a clear deleveraging plan and the strategic review with no defined timeline adds uncertainty to TPIC's financial future.

Policy and Market Risks

The expiration of crucial incentives like the Production Tax Credit and 45X Advanced Manufacturing Credit after 2027 poses a significant risk to future demand.

TPI Composites Business Overview & Revenue Model

Company Description

TPI Composites, Inc. manufactures and sells composite wind blades, and related precision molding and assembly systems to original equipment manufacturers (OEMs). The company also provides composite solutions for the transportation industry; and field service inspection and repair services to OEM customers and wind farm owners and operators. It operates in the United States, Asia, Mexico, Europe, the Middle East, Africa, and India. The company was formerly known as LCSI Holding, Inc. and changed its name to TPI Composites, Inc. in 2008. TPI Composites, Inc. was founded in 1968 and is headquartered in Scottsdale, Arizona.

How the Company Makes Money

TPI Composites makes money primarily through the manufacturing and sale of composite wind blades, which are supplied to major wind turbine manufacturers under long-term supply agreements. The company's revenue model is built on these multi-year contracts, providing a stable and predictable income stream. TPI also engages in the production of other composite products for transportation and other sectors, which contributes to its revenue. Key partnerships with leading wind turbine manufacturers, like General Electric and Vestas, play a significant role in its financial performance, ensuring consistent demand for its products.

TPI Composites Financial Statement Overview

Summary

TPI Composites faces significant financial challenges with negative profit margins and declining revenue indicating operational struggles. The balance sheet shows negative equity and high leverage, posing financial risks. Despite recent improvements in cash flows, overall financial health remains precarious, requiring substantial strategic efforts to stabilize operations.

Income Statement

The income statement reveals significant challenges in profitability and revenue growth. The TTM (Trailing-Twelve-Months) data shows a negative gross profit margin and net profit margin, indicating struggles in covering production costs and achieving profitability. Revenue has been declining over the years with a decreasing trend from 2021 to 2025, highlighting issues in sustaining top-line growth. The EBIT and EBITDA margins are also negative, further emphasizing the company's operational difficulties.

Balance Sheet

The balance sheet reflects a precarious financial position with a negative stockholders' equity, suggesting more liabilities than assets. The high debt-to-equity ratio, driven by substantial total debt, raises concerns about financial leverage and the company's ability to meet its obligations. The negative return on equity (ROE) underscores the company's inability to generate profits for shareholders from its equity base. Furthermore, the equity ratio is negative due to negative stockholders' equity, indicating financial instability.

Cash Flow

The cash flow statement shows some positive aspects with a recent increase in operating cash flow and free cash flow turning positive in the TTM period. However, historical data reveals fluctuations and previous negative free cash flow, which could indicate challenges in maintaining consistent cash generation. The operating cash flow to net income ratio is relatively high, suggesting the company is generating cash despite net losses, but the free cash flow to net income ratio is less favorable due to past periods of negative free cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.33B	1.46B	1.52B	1.73B	1.67B
Gross Profit	-53.00M	-87.55M	14.64M	-31.58M	64.10M
EBITDA	-74.67M	-127.91M	24.57M	-59.83M	-55.00K
Net Income	-240.71M	-201.78M	-55.55M	-159.55M	-19.03M
Balance Sheet
Total Assets	692.46M	804.08M	962.18M	1.01B	956.26M
Cash, Cash Equivalents and Short-Term Investments	196.52M	161.66M	133.55M	242.16M	129.86M
Total Debt	742.25M	624.34M	216.76M	243.81M	398.89M
Total Liabilities	1.07B	926.38M	911.69M	756.73M	755.22M
Stockholders Equity	-373.24M	-122.30M	50.49M	250.97M	201.03M
Cash Flow
Free Cash Flow	-13.70M	-117.11M	-81.10M	-62.64M	-28.10M
Operating Cash Flow	12.50M	-80.97M	-62.27M	-25.52M	37.57M
Investing Cash Flow	-26.20M	-23.30M	-18.83M	-37.12M	-65.67M
Financing Cash Flow	50.96M	121.99M	-14.60M	198.92M	88.61M

TPI Composites Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.93
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TPIC, the sentiment is Neutral. The current price of 0.93 is above the 20-day moving average (MA) of 0.91, below the 50-day MA of 1.07, and below the 200-day MA of 1.64, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 48.42 is Neutral, neither overbought nor oversold. The STOCH value of 74.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TPIC.

TPI Composites Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CVV	63 Neutral	$23.95M	―	-0.26%	―	48.84%	98.75%
Sector *	58 Neutral	HK$14.75B	4.74	-3.01%	5.52%	3.67%	-54.16%
BWEN	57 Neutral	$57.85M	30.96	-1.24%	―	-25.94%	-108.22%
LASE	52 Neutral	$46.68M	―	-38.88%	―	44.03%	-231.69%
CETY	48 Neutral	$14.76M	―	-90.36%	―	-87.59%	51.14%
BW	47 Neutral	$102.34M	―	29.28%	―	-29.45%	39.40%
TPIC	45 Neutral	$44.90M	―	77.71%	―	1.71%	-3.55%

TPI Composites Corporate Events

TPI Composites Approves Retention Bonuses for Executives

On June 13, 2025, TPI Composites‘ Compensation Committee approved retention bonuses for certain executive and non-executive employees. These bonuses, aimed at retaining key personnel, will be paid in lump sums and replace other compensatory payments. The move underscores the company’s commitment to maintaining stability within its leadership team amid potential restructuring events.

The most recent analyst rating on (TPIC) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on TPI Composites stock, see the TPIC Stock Forecast page.

TPI Composites Regains Nasdaq Compliance After Stock Price Recovery

On May 31, 2025, TPI Composites, Inc. announced it had regained compliance with the Nasdaq Minimum Bid Price Requirement, ensuring its continued inclusion on The Nasdaq Global Select Market. This follows a previous notification on May 2, 2025, that the company was not in compliance due to its stock price falling below the $1.00 per share threshold, which it successfully rectified by maintaining the required bid price for 10 consecutive business days.

The most recent analyst rating on (TPIC) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on TPI Composites stock, see the TPIC Stock Forecast page.

TPI Composites Faces Board Changes Amid Nasdaq Non-Compliance

On May 8, 2025, Edward C. Hall and Jennifer Lowry resigned from the board of directors of TPI Composites, Inc., with no disagreements related to company operations. Their resignations led to non-compliance with Nasdaq’s audit committee requirements, which TPI plans to address within 180 days. Subsequently, Neal Goldman and Timothy Pohl were appointed as new board members, both bringing extensive experience in strategic advisory and investment. Their appointments are expected to strengthen TPI’s governance and strategic direction.

The most recent analyst rating on (TPIC) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on TPI Composites stock, see the TPIC Stock Forecast page.

TPI Composites Faces Nasdaq Delisting Risk

On May 2, 2025, TPI Composites received a deficiency letter from Nasdaq due to its common stock price falling below the $1.00 minimum bid price requirement for 30 consecutive business days. The company has until October 29, 2025, to regain compliance, during which its stock will continue trading under the symbol ‘TPIC’. Failure to meet the requirement could lead to delisting, but TPI Composites is considering options such as a reverse stock split to address the issue.