Imaflex (IFX) AI Stock Analysis

• Market Cap: C$63.03M
• Dividend Yield: N/A
• Average Volume (3M): 17.61K
• Price to Earnings (P/E): 8.3
• Beta (1Y): 0.17
• Revenue Growth: 17.37%
• EPS Growth: 1346.46%
• Country: CA
• Employees: 269
• Sector: Industrials
• Sector Strength: 90
• Industry: Packaging & Containers
• EPS (TTM): 0.11
• Shares Outstanding: 52,088,640
• 10 Day Avg. Volume: 11,913
• 30 Day Avg. Volume: 17,605
• PEG Ratio: 0.38
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.70
• 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$2.77
• Price Target Upside: 132.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: C$1.50 ▲( 26.05% Upside)

Imaflex's strong financial performance and fair valuation contribute positively to the stock's score. The robust revenue growth and profitability are key strengths. However, technical analysis shows a lack of upward momentum, which tempers the stock's outlook. The stock presents a balanced risk-reward profile with potential for growth, albeit with a need for improved technical momentum.

Imaflex Business Overview & Revenue Model

Company Description

Imaflex Inc. (IFX) is a leading innovator in the flexible packaging industry, specializing in the manufacturing and distribution of polyethylene films and bags. The company operates in the packaging sector, providing solutions for a wide array of industries including agriculture, consumer products, and industrial applications. Imaflex is recognized for its commitment to quality, innovation, and sustainability in delivering customizable and efficient packaging solutions to meet the diverse needs of its clients.

How the Company Makes Money

Imaflex generates revenue primarily through the sale of its polyethylene films and bags. The company's key revenue streams include product sales to the agricultural sector, where its films are used for crop protection and enhancement, and to the consumer and industrial sectors, which utilize its packaging solutions for various goods. Imaflex's earnings are bolstered by its ability to offer customized products that cater to specific customer needs, thereby securing long-term contracts and repeat business. Additionally, Imaflex's focus on innovation and sustainability allows it to differentiate its offerings in a competitive market, driving growth and profitability.

Imaflex Financial Statement Overview

Summary

Overall, Imaflex exhibits a strong financial position with excellent cash flow generation and a robust income statement performance. The low debt level and high equity ratio ensure stability, while the company continues to achieve growth in revenue and profitability margins. Careful attention to maintaining revenue growth and asset management will be crucial in sustaining this positive trajectory.

Income Statement

Imaflex has shown strong performance in its income statement with a notable revenue growth rate of 15.04% in TTM. The gross profit margin stands at 15.73% and the net profit margin at 5.33%, indicating healthy profitability. EBIT and EBITDA margins are also robust at 6.13% and 11.20% respectively, highlighting effective cost management. However, there was a decrease in revenue from 2022 to 2023, which is a slight concern for sustained growth trajectory.

Balance Sheet

The balance sheet of Imaflex is solid with a debt-to-equity ratio of 0.17, showcasing low leverage and prudent financial management. Return on equity is at a satisfactory 9.13%, reflecting efficient use of shareholders' funds. The equity ratio of 73.71% further emphasizes a strong capital structure. However, the company needs to maintain its asset growth to improve liquidity and asset utilization.

Cash Flow

Imaflex's cash flow is impressive, with a significant free cash flow growth rate from negative to positive, indicating improved financial flexibility. Operating cash flow to net income ratio is high at 2.06, demonstrating strong cash conversion efficiency. The free cash flow to net income ratio is 0.75, suggesting effective cash generation relative to profits. This robust cash position supports future growth initiatives.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
107.66M	93.59M	111.53M	107.48M	86.68M	81.07M
	Gross Profit
16.94M	11.01M	18.05M	17.40M	16.57M	10.95M
	EBIT
6.60M	2.97M	10.00M	10.37M	9.29M	3.81M
	EBITDA
12.06M	7.57M	14.13M	14.19M	12.88M	6.27M
	Net Income Common Stockholders
5.74M	508.78K	9.13M	8.37M	6.35M	1.54M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
887.00K	799.13K	7.53M	8.47M	3.22M	60.94K
	Total Assets
84.97M	78.45M	72.00M	64.99M	54.06M	53.36M
	Total Debt
15.00M	11.41M	8.03M	9.57M	9.79M	16.42M
	Net Debt
14.11M	10.61M	502.75K	1.11M	6.57M	16.36M
	Total Liabilities
26.93M	22.59M	16.85M	19.92M	18.08M	23.69M
	Stockholders Equity
58.04M	55.86M	55.15M	45.07M	35.98M	29.67M
Cash Flow		Free Cash Flow
4.32M	-7.58M	2.67M	5.58M	10.30M	4.26M
	Operating Cash Flow
11.80M	5.44M	17.27M	8.05M	11.96M	9.66M
	Investing Cash Flow
-7.48M	-13.02M	-14.60M	-2.47M	-1.61M	-5.41M
	Financing Cash Flow
-2.65M	859.92K	-3.62M	-304.06K	-7.16M	-4.50M

Imaflex Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.19
• 50DMA: Positive
• 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:IFX, the sentiment is Positive. The current price of 1.19 is above the 20-day moving average (MA) of 1.16, above the 50-day MA of 1.15, and below the 200-day MA of 1.34, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 58.48 is Neutral, neither overbought nor oversold. The STOCH value of 69.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:IFX.

Imaflex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WPK	78 Outperform	C$2.66B	13.11	11.26%	0.41%	5.50%	9.93%
DCM	75 Outperform	C$107.85M	14.97	21.19%	1.37%	-5.30%	―
IFX	75 Outperform	C$63.03M	8.31	12.38%	―	17.37%	1346.46%
SXP	68 Neutral	C$96.77M	―	-10.60%	4.74%	-3.15%	-222.64%
Sector *	64 Neutral	$4.39B	11.81	5.17%	249.38%	3.98%	-12.17%
CAS	55 Neutral	C$874.65M	―	-0.24%	5.46%	2.88%	80.95%
PYR	47 Neutral	C$90.54M	―	-5701.32%	―	14.45%	76.75%

Imaflex Corporate Events

Imaflex Achieves Strong Financial Growth in FY 2024

Imaflex Inc. reported a strong financial performance for the fiscal year 2024, with revenues increasing by 17.4% to $109.9 million and a significant rise in net income to $7.5 million, compared to $0.5 million in 2023. The company’s growth was driven by higher sales volumes, a favorable product mix, and cost discipline, positioning it well for future strategic initiatives. Despite a competitive pricing environment, Imaflex achieved operational efficiencies and maintained solid liquidity, which supports ongoing operations and potential growth opportunities.

Imaflex Resumes Operations After Cybersecurity Incident

Imaflex Inc. has announced the resumption of normal operations following a cybersecurity incident that temporarily disrupted its systems. The company took immediate action to contain the impact and conducted a thorough investigation with cybersecurity experts. Despite the disruption, Imaflex continued its manufacturing and shipping activities with some temporary adjustments. The company has now fully restored its systems and remains committed to implementing strong cybersecurity measures to protect its operations and stakeholders.