Caldwell (CWL) AI Stock Analysis

• Market Cap: C$20.92M
• Dividend Yield: 1.41%
• Average Volume (3M): 9.34K
• Price to Earnings (P/E): 33.6
• Beta (1Y): -0.02
• Revenue Growth: 3.96%
• EPS Growth: N/A
• Country: CA
• Employees: 159
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 0.03
• Shares Outstanding: 29,470,833
• 10 Day Avg. Volume: 16,146
• 30 Day Avg. Volume: 9,344
• PEG Ratio: -0.06
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.37
• P/FCF Ratio: 41.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$0.50
• Price Target Upside: -29.58% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 51 Neutral
• Price Target: C$0.50 ▼(-29.58% Downside)

Caldwell's overall stock score reflects challenges in financial performance, with declining revenue growth and profitability. Technical analysis indicates mixed signals, with potential short-term weakness. The valuation appears high relative to financial performance, suggesting limited upside potential. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage provides Caldwell with financial stability and flexibility to invest in growth opportunities.

Increasing Professional Fees

Rising professional fees suggest growing demand for Caldwell's services, which could lead to sustained revenue growth and market expansion.

New Partnerships

Forming new partnerships can enhance Caldwell's market reach and competitive positioning, supporting long-term strategic growth.

Negative Factors

Cash Flow Constraints

Declining cash flow growth can restrict Caldwell's operational flexibility and ability to fund strategic initiatives, affecting long-term sustainability.

Low Profit Margins

Low profit margins indicate potential inefficiencies and may limit Caldwell's ability to reinvest in business development and innovation.

Declining Revenue Growth

A decline in revenue growth suggests challenges in maintaining market share and could impact long-term profitability and expansion efforts.

Caldwell Business Overview & Revenue Model

Company Description

Caldwell (CWL) is a diversified company primarily engaged in the manufacturing and distribution of high-quality precision tools and equipment for various industries, including aerospace, automotive, and industrial sectors. The company specializes in producing cutting tools, tool holders, and custom-engineered solutions designed to improve efficiency and productivity for its clients. With a strong focus on innovation and customer service, Caldwell aims to be a leading provider of precision tooling solutions globally.

How the Company Makes Money

Caldwell generates revenue through multiple streams, primarily from the sale of its precision tools and equipment to manufacturers across various sectors. The company's key revenue streams include direct sales of cutting tools, tool holders, and custom-engineered solutions. Additionally, Caldwell may engage in service contracts and maintenance agreements with clients, providing ongoing support and upgrades for their tooling systems. Significant partnerships with major industrial players and distributors enhance Caldwell's market reach and contribute to its earnings. The company's emphasis on research and development also allows it to introduce new products that cater to evolving industry needs, thereby driving sales growth.

Caldwell Financial Statement Overview

Summary

Caldwell's financial statements reflect a recovery with improved profitability and financial stability. The income statement shows better margins, though revenue growth is a concern. The balance sheet is stronger with reduced leverage and improved equity returns. Cash flow has turned positive, but further improvements in cash conversion are needed.

Income Statement

Caldwell's income statement shows a mixed performance. The gross profit margin improved to 20.3% from 16.7% in the previous year, indicating better cost management. However, the net profit margin is still low at 4.8%, though it has improved from a negative margin last year. Revenue has decreased by 10.1% compared to the previous year, signaling potential challenges in maintaining sales growth. The EBIT and EBITDA margins have recovered to 8.1% and 10.4%, respectively, from negative figures last year, showing operational improvements.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.20, significantly reduced from 0.79 last year, indicating lower leverage. The return on equity is 13.0%, a positive turnaround from negative last year, showing improved profitability. The equity ratio stands at 46.7%, suggesting a solid equity base. Overall, the balance sheet shows improved financial health with reduced debt levels and better equity utilization.

Cash Flow

Caldwell's cash flow statement indicates a positive shift with free cash flow turning positive at $772,000 from a negative position last year. The operating cash flow to net income ratio is 0.29, indicating moderate cash generation relative to net income. The free cash flow to net income ratio is 0.18, showing some room for improvement in converting profits to cash. Overall, cash flow management has improved, but further enhancement is needed to strengthen cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	94.68M	87.15M	96.93M	156.16M	119.77M	58.19M
Gross Profit	19.88M	17.69M	16.22M	34.65M	29.12M	14.96M
EBITDA	3.37M	9.03M	-10.37M	13.70M	8.30M	5.37M
Net Income	624.00K	4.19M	-11.30M	8.18M	4.52M	2.85M
Balance Sheet
Total Assets	68.49M	68.75M	84.64M	91.29M	87.13M	40.87M
Cash, Cash Equivalents and Short-Term Investments	15.44M	19.63M	22.05M	35.67M	29.21M	14.48M
Total Debt	6.05M	6.50M	21.80M	6.23M	10.60M	8.80M
Total Liabilities	34.91M	36.63M	56.92M	56.22M	61.38M	24.11M
Stockholders Equity	33.57M	32.13M	27.72M	35.06M	25.75M	16.76M
Cash Flow
Free Cash Flow	1.16M	772.00K	-11.39M	6.63M	24.52M	69.00K
Operating Cash Flow	1.49M	1.23M	-11.22M	7.10M	24.88M	1.39M
Investing Cash Flow	-1.49M	-1.67M	-3.60M	-1.92M	-3.92M	3.68M
Financing Cash Flow	-1.93M	-1.91M	664.00K	499.00K	-5.93M	-821.00K

Caldwell Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.71
• 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 TSE:CWL, the sentiment is Positive. The current price of 0.71 is above the 20-day moving average (MA) of 0.71, below the 50-day MA of 0.75, and below the 200-day MA of 0.89, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 48.06 is Neutral, neither overbought nor oversold. The STOCH value of 46.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CWL.

Caldwell Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.84B	15.28	7.40%	1.99%	2.87%	-14.59%
TLA	60 Neutral	C$14.80M	21.84	4.15%	―	0.89%	―
REKO	59 Neutral	C$24.79M	―	-7.92%	―	-12.65%	-838.74%
CWL	51 Neutral	C$20.92M	33.65	1.88%	1.41%	3.96%	―
CMU	48 Neutral	C$19.83M	―	-5.39%	―	-98.33%	-106.44%
DLTA	31 Underperform	C$22.88M	―	-210.93%	―	―	50.14%
OML	―	C$27.24M	52.16	-0.91%	―	―	―

Caldwell Corporate Events

Caldwell Partners Shows Resilience in Q3 Amid Economic Uncertainty

Caldwell Partners reported its third-quarter financial results, showing resilience and momentum despite macroeconomic uncertainties. The company experienced a 24% sequential increase in professional fees, indicating strengthening client demand. IQTalent, a subsidiary, maintained steady revenue while reducing overhead to position for future profitability. Caldwell also welcomed new partners and declared a dividend, signaling confidence in its strategy and ability to deliver value to clients and shareholders.