Caldwell (CWL) AI Stock Analysis

• Market Cap: C$20.62M
• Dividend Yield: 1.9%
• Average Volume (3M): 9.62K
• Price to Earnings (P/E): 33.2
• Beta (1Y): -0.26
• Revenue Growth: 3.96%
• EPS Growth: N/A
• Country: CA
• Employees: 159
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 0.05
• Shares Outstanding: 29,463,133
• 10 Day Avg. Volume: 12,892
• 30 Day Avg. Volume: 9,615
• 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: 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: 51 Neutral
• Price Target: C$0.50 ▼(-45.65% Downside)

Caldwell's overall stock score is primarily influenced by its financial performance and technical analysis. The company faces challenges in revenue growth and profitability, with liquidity constraints highlighted by cash flow metrics. The technical indicators suggest a bearish trend with no clear momentum. Valuation metrics indicate the stock is relatively expensive, with a moderate dividend yield.

Positive Factors

Strong Balance Sheet

Caldwell's low leverage indicates conservative financial management, providing stability and flexibility for future investments and growth.

Market Reach

Partnerships with key industry players expand Caldwell's distribution network, supporting long-term revenue growth and market penetration.

Product Innovation

Continuous R&D investment enables Caldwell to innovate and meet evolving industry needs, sustaining competitive advantage and driving sales.

Negative Factors

Declining Cash Flow

Reduced cash flow growth may impact Caldwell's ability to fund operations and investments, posing a risk to financial stability and growth.

Profitability Challenges

Low profitability margins indicate operational challenges, potentially affecting Caldwell's ability to generate sustainable earnings.

Revenue Growth Issues

Declining revenue growth suggests market or operational challenges, which could hinder Caldwell's long-term expansion and market share.

Caldwell Business Overview & Revenue Model

Company Description

The Caldwell Partners International Inc. provides candidate research and sourcing services in Canada, the United States, and the United Kingdom. It also offers retained executive search and Caldwell analytics solutions, and on-demand talent acquisition augmentation solutions, as well as professional search services. In addition, the company offers Agile talent solutions, such as blockchain, cybersecurity, diversity and inclusion, and value creation advisory. It serves to real estate, consumer, commercial banking, academic, non-profit, social enterprise, culture, retail, e-commerce, financial services, industrial, insurance, life science, healthcare, private equity, venture capital, professional services, and technology sectors. The company was founded in 1970 and is headquartered in Toronto, Canada.

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 faces challenges in revenue growth and profitability, as reflected in the income statement. The balance sheet remains strong with low leverage, but declining ROE is a concern. Cash flow metrics indicate liquidity constraints, necessitating a focus on improving operational cash generation.

Income Statement

Caldwell's income statement shows a mixed performance. The TTM data indicates a slight decline in revenue growth at -1.65%, and the net profit margin is low at 0.66%. However, the company has managed to maintain a stable gross profit margin of around 20.99%. The EBIT and EBITDA margins have also decreased significantly compared to previous years, indicating challenges in operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.18, indicating conservative leverage. The equity ratio stands at 49.01%, suggesting a strong equity base. However, the return on equity has decreased to 1.88% in the TTM, indicating reduced profitability on shareholders' investments.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth at -63.72% in the TTM, highlighting potential liquidity issues. The operating cash flow to net income ratio is low at 0.05, suggesting limited cash generation from operations relative to net income. The free cash flow to net income ratio is relatively better at 0.78, but still indicates room for improvement.

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	22.14M	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: 0.92
• 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 TSE:CWL, the sentiment is Positive. The current price of 0.92 is above the 20-day moving average (MA) of 0.76, above the 50-day MA of 0.72, and above the 200-day MA of 0.77, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 75.85 is Negative, neither overbought nor oversold. The STOCH value of 88.57 is Negative, 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
TLA	65 Neutral	C$13.83M	20.41	-2.57%	―	-1.50%	-180.73%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
REKO	59 Neutral	C$22.00M	21.12	2.50%	―	-4.79%	―
CWL	51 Neutral	C$20.62M	33.18	1.88%	1.90%	3.96%	―
CMU	47 Neutral	C$21.70M	―	-6.60%	―	-95.35%	-107.68%
DLTA	31 Underperform	C$20.86M	―	-331.35%	―	―	44.39%

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.