Imaflex (IFX) AI Stock Analysis

• Market Cap: C$56.78M
• Dividend Yield: N/A
• Average Volume (3M): 13.89K
• Price to Earnings (P/E): 25.2
• Beta (1Y): 0.07
• Revenue Growth: 6.69%
• EPS Growth: -49.29%
• Country: CA
• Employees: 269
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Packaging & Containers
• EPS (TTM): 0.02
• Shares Outstanding: 52,088,640
• 10 Day Avg. Volume: 27,427
• 30 Day Avg. Volume: 13,894
• PEG Ratio: <0.01
• Price to Book (P/B): 1.14
• Price to Sales (P/S): 0.67
• P/FCF Ratio: 6.10
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.08
• Revenue Forecast (FY): C$113.00M

• Rating: 55 Neutral
• Price Target: C$1.00 ▼(-12.28% Downside)

Imaflex's overall stock score is primarily influenced by its mixed financial performance and bearish technical indicators. The company's strong balance sheet provides some stability, but challenges in profitability and cash flow generation are significant concerns. The technical analysis indicates a downtrend, and the valuation suggests potential overvaluation. These factors collectively result in a moderate overall stock score.

Imaflex Business Overview & Revenue Model

Company Description

Imaflex Inc., together with its subsidiaries, develops, manufactures, and sells flexible packaging materials for industrial and agriculture markets in Canada, the United States, and internationally. It offers plastic films; agricultural films, including mulch, solarization, fumigation, compostable, and crop protection films; converter films; and industrial bags, such as garbage, compostable, and gaylord bags, as well as bags on roll products. The company primarily operates under the Shine N' Ripe XL and ADVASEAL brand names. It sells its products to printers who process the film into a to meet their end-customer needs, as well as directly to customers. The company was founded in 1994 and is headquartered in Montreal, Canada.

How the Company Makes Money

Imaflex generates revenue primarily through the manufacture and sale of flexible packaging products. The company's key revenue streams include the sale of agricultural films, which are used to enhance crop yields and protect produce, as well as industrial and consumer packaging solutions. These products are sold to a diverse range of clients across different industries, ensuring a steady demand for their offerings. Additionally, Imaflex's focus on innovation and sustainability allows it to form significant partnerships with businesses seeking eco-friendly packaging solutions, further contributing to its earnings. The company's revenue is also bolstered by its ability to offer customized products that meet specific client needs, thus maintaining a competitive edge in the market.

Imaflex Financial Statement Overview

Summary

Imaflex's financial statements present a mixed picture. The company faces challenges in revenue growth and profitability, as evidenced by declining margins and net income. However, it maintains a strong balance sheet with low leverage and a solid equity base, providing a cushion against financial volatility. Cash flow generation is a concern, with negative free cash flow growth, which may impact future strategic initiatives. Overall, while the company is financially stable, it needs to address profitability and cash flow challenges to enhance its financial performance.

Income Statement

Imaflex's income statement shows mixed performance. The TTM data indicates a decline in revenue growth rate by -2.19%, reflecting potential challenges in maintaining sales momentum. Gross profit margin has decreased to 14.51% from 16.35% in the previous annual report, indicating pressure on cost management or pricing power. Net profit margin also fell to 2.06% from 6.79%, suggesting reduced profitability. However, the company maintains a positive EBIT and EBITDA margin, though both have decreased compared to the previous year, indicating operational efficiency challenges.

Balance Sheet

The balance sheet remains relatively strong with a low debt-to-equity ratio of 0.14, indicating conservative leverage and financial stability. Return on equity has decreased to 3.51% in the TTM, down from 11.54% in the previous year, reflecting reduced profitability on shareholder investments. The equity ratio stands at 71.42%, showcasing a solid equity base relative to total assets, which is a positive indicator of financial health.

Cash Flow

Cash flow analysis reveals some concerns. The free cash flow growth rate is negative at -10.85% in the TTM, indicating challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is slightly above 1, suggesting adequate cash generation relative to net income. However, the free cash flow to net income ratio is 0.79, indicating that not all net income is translating into free cash flow, which could impact future investments or debt repayments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	108.94M	109.85M	93.59M	111.53M	107.48M	86.68M
Gross Profit	15.81M	17.97M	11.01M	18.05M	17.40M	16.57M
EBITDA	8.77M	14.44M	6.02M	15.62M	14.19M	12.88M
Net Income	2.25M	7.46M	508.78K	9.13M	8.37M	6.35M
Balance Sheet
Total Assets	89.38M	96.09M	78.45M	72.00M	64.99M	54.06M
Cash, Cash Equivalents and Short-Term Investments	10.77M	8.96M	799.13K	7.53M	8.47M	3.22M
Total Debt	8.94M	10.13M	11.41M	8.03M	9.57M	9.79M
Total Liabilities	25.56M	31.42M	22.59M	16.85M	19.92M	18.08M
Stockholders Equity	63.81M	64.67M	55.86M	55.15M	45.07M	35.98M
Cash Flow
Free Cash Flow	13.08M	12.03M	-7.58M	2.67M	5.58M	10.30M
Operating Cash Flow	16.47M	15.79M	5.44M	17.27M	8.05M	11.96M
Investing Cash Flow	-3.37M	-3.75M	-13.02M	-14.60M	-2.47M	-1.61M
Financing Cash Flow	-3.19M	-3.93M	859.92K	-3.62M	-304.06K	-7.16M

Imaflex Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.14
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:IFX, the sentiment is Negative. The current price of 1.14 is above the 20-day moving average (MA) of 1.13, below the 50-day MA of 1.15, and below the 200-day MA of 1.23, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 41.53 is Neutral, neither overbought nor oversold. The STOCH value of 57.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:IFX.

Imaflex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WPK	75 Outperform	C$2.52B	13.28	10.45%	7.39%	3.19%	-0.26%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
CAS	61 Neutral	$1.13B	-141.29	1.16%	3.79%	3.50%	―
IFX	55 Neutral	C$56.78M	25.17	3.58%	―	6.69%	-49.29%
SXP	54 Neutral	C$91.79M	5.56	15.15%	17.81%	-4.69%	―
DCM	51 Neutral	C$73.01M	10.65	26.87%	5.47%	-7.01%	―
PYR	41 Neutral	C$41.35M	-3.77	―	―	-6.83%	46.97%

Imaflex Corporate Events

Imaflex Reports Q2 2025 Results Amid Market Challenges

Imaflex Inc. reported a decrease in revenues and adjusted net income for Q2 2025 compared to the previous year, with revenues at $26.4 million and adjusted net income at $1.0 million. Despite these challenges, the company maintained a strong balance sheet with no long-term debt and increased cash levels, highlighting its resilience and strategic focus on sustainable growth amid market uncertainties.

The most recent analyst rating on (TSE:IFX) stock is a Buy with a C$1.50 price target. To see the full list of analyst forecasts on Imaflex stock, see the TSE:IFX Stock Forecast page.

Imaflex Reports Q2 2025 Results Amid Market Challenges

Imaflex Inc. reported its Q2 2025 financial results, showing a decline in revenues to $26.4 million from $28.8 million in the previous year, primarily due to pricing adjustments and lower volumes. Despite these challenges, the company maintained a solid balance sheet with $22.8 million in liquidity and no long-term debt, demonstrating resilience and operational agility. The company plans to focus on strategic execution, talent development, and product innovation to drive sustainable growth amid ongoing pricing pressures and economic risks.

The most recent analyst rating on (TSE:IFX) stock is a Buy with a C$1.50 price target. To see the full list of analyst forecasts on Imaflex stock, see the TSE:IFX Stock Forecast page.