Jamieson Wellness Inc (JWEL) AI Stock Analysis

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Jamieson Wellness Inc

(TSX:JWEL)

79Outperform

Jamieson Wellness Inc. scores well overall due to strong financial performance and positive corporate developments. Technical indicators reflect positive momentum, though caution is warranted due to overbought conditions. The valuation suggests the stock is fairly priced, offering solid potential but limited immediate undervaluation opportunities. Continued strategic expansion and financial discipline are key to enhancing future performance.

Positive Factors

Market Opportunities

The U.S. and China markets present significant growth opportunities for Jamieson Wellness, supported by ongoing growth in Canada and International markets.

Revenue Growth

Jamieson Wellness is expected to reach its long-term revenue target of over $1 billion, driven mainly by the Jamieson Brands segment across all major geographies, supported by secular tailwinds.

Valuation

The valuation of Jamieson Wellness stock is compelling, trading at a lower multiple compared to the peer average and recent market takeovers.

Negative Factors

Revenue Forecast

Revenue was slightly below forecast in Canada, but China was above forecast, showing strong growth.

Jamieson Wellness Inc (JWEL) vs. S&P 500 (SPY)

Market Cap

C$1.44B

Dividend Yield2.37%

Average Volume (3M)59.90K

Price to Earnings (P/E)26.9

Beta (1Y)0.90

Revenue Growth12.62%

EPS Growth47.37%

CountryCA

Employees891

SectorHealthcare

Sector Strength41

IndustryPackaged Foods

Share Statistics

EPS (TTM)0.14

Shares Outstanding41,671,020

10 Day Avg. Volume58,305

30 Day Avg. Volume59,899

Financial Highlights & Ratios

PEG Ratio8.47

Price to Book (P/B)2.99

Price to Sales (P/S)0.00

P/FCF Ratio16.07

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

C$42.00

Price Target Upside21.46% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering5

Jamieson Wellness Inc Business Overview & Revenue Model

Company DescriptionJamieson Wellness Inc (JWEL) is a leading health and wellness company based in Canada. The company operates in the consumer health sector, primarily focusing on the development, manufacturing, and distribution of a wide range of vitamins, minerals, and supplements. Its core products are designed to promote health and wellness, with a strong emphasis on quality and efficacy. Jamieson Wellness is known for its flagship brand, Jamieson, which is one of Canada's most recognized and trusted vitamin brands.

How the Company Makes MoneyJamieson Wellness Inc generates revenue through the sale of its health and wellness products, which include vitamins, minerals, and supplements. These products are distributed through multiple channels, including retail stores, e-commerce platforms, and direct-to-consumer sales. The company benefits from its well-established brand reputation and wide distribution network, which spans both domestic and international markets. Key revenue streams include sales from its flagship Jamieson brand as well as other owned brands like Progressive, Smart Solutions, and Iron Vegan. Additionally, Jamieson Wellness engages in strategic partnerships and collaborations with retailers and distributors to enhance its market presence and drive sales growth.

Jamieson Wellness Inc Financial Statement Overview

Summary

Jamieson Wellness Inc. exhibits strong financial performance with consistent revenue and profit growth, effective cost management, and robust cash flow generation. Despite moderate leverage, the company's financial health is stable, positioning it well for continued success.

Income Statement

Very Positive

Jamieson Wellness Inc. demonstrates strong income statement performance with consistent revenue growth, evidenced by a TTM revenue increase. The gross profit margin has remained healthy, and net profit margins are stable, indicating effective cost management. The EBIT and EBITDA margins show solid operational efficiency, supporting profitability.

Balance Sheet

Positive

The company's balance sheet reflects moderate leverage with a reasonable debt-to-equity ratio, suggesting managed financial risk. The equity ratio indicates a solid proportion of assets funded by shareholders, enhancing financial stability. However, some caution is warranted due to the rise in total liabilities over the periods.

Cash Flow

Very Positive

Jamieson Wellness Inc. has shown robust cash flow performance with a significant increase in free cash flow, indicating strong cash generation capability. The operating cash flow to net income ratio is favorable, demonstrating efficient cash conversion. However, the company should monitor capital expenditures closely to sustain free cash flow growth.

TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
751.71M	733.78M	676.17M	547.37M	451.03M	403.66M
	Gross Profit
288.05M	275.61M	233.56M	198.34M	162.44M	144.76M
	EBIT
108.35M	106.28M	95.25M	83.19M	76.03M	63.57M
	EBITDA
117.32M	114.60M	108.78M	100.17M	90.40M	75.30M
	Net Income Common Stockholders
53.58M	51.91M	47.88M	52.81M	52.08M	41.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
41.11M	44.79M	36.86M	26.24M	6.78M	1.17M
	Total Assets
1.13B	1.21B	1.14B	1.11B	652.48M	609.34M
	Total Debt
295.00M	308.29M	462.99M	400.00M	149.13M	149.06M
	Net Debt
253.89M	263.50M	426.12M	373.76M	142.35M	147.89M
	Total Liabilities
602.28M	660.41M	662.38M	675.67M	310.45M	316.94M
	Stockholders Equity
485.26M	505.18M	438.93M	431.59M	342.02M	292.40M
Cash Flow		Free Cash Flow
89.69M	51.41M	22.41M	36.02M	22.12M	27.43M
	Operating Cash Flow
100.43M	61.58M	31.71M	50.59M	44.41M	40.60M
	Investing Cash Flow
-10.74M	-10.16M	-35.13M	-256.53M	-22.28M	-13.17M
	Financing Cash Flow
-84.07M	-45.43M	14.04M	225.41M	-16.51M	-26.46M

Jamieson Wellness Inc Technical Analysis

Technical Analysis Sentiment

Positive

Last Price34.58

Price Trends

50DMA

30.74

Positive

100DMA

32.00

Positive

200DMA

32.89

Positive

Market Momentum

MACD

0.86

Negative

RSI

71.50

Negative

STOCH

79.62

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:JWEL, the sentiment is Positive. The current price of 34.58 is above the 20-day moving average (MA) of 32.22, above the 50-day MA of 30.74, and above the 200-day MA of 32.89, indicating a bullish trend. The MACD of 0.86 indicates Negative momentum. The RSI at 71.50 is Negative, neither overbought nor oversold. The STOCH value of 79.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:JWEL.

Jamieson Wellness Inc Peers Comparison

Overall Rating

UnderperformOutperform

Sector (52)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JWEL	79 Outperform	C$1.44B	26.91	11.64%	2.37%	12.62%	47.37%
Sector *	52 Neutral	$5.15B	3.02	-44.64%	2.82%	16.45%	-0.47%
BABY	46 Neutral	$3.12M	―	-228.92%	―	-5.13%	20.54%
NPRA	37 Underperform	$12.53M	―	162.13%	―	-5.97%	63.24%
CULT	33 Underperform	C$1.57M	―	-41.21%	―	―	48.34%
PNGA	27 Underperform	C$5.30M	―		―	-97.30%	39.70%

* Healthcare Sector Average

Performance Comparison

TSE:JWEL

Jamieson Wellness Inc

34.58

8.69

33.57%

TSE:BABY

Else Nutrition Holdings Inc

0.01

-0.22

-95.74%

TSE:NPRA

Nepra Foods

0.12

0.08

166.67%

TSE:CULT

Cult Food Science Corp.

0.02

-0.14

-87.50%

TSE:PNGA

Pangea Natural Food, Inc.

0.40

0.34

566.67%

Jamieson Wellness Inc Earnings Call Summary

Earnings Call Date:May 08, 2025

(Q3-2024)

% Change Since: 8.78%|

Next Earnings Date:Jul 31, 2025

Earnings Call Sentiment Positive

The earnings call presented a strong performance for Jamieson Wellness with significant revenue growth, especially in China and international markets. Despite some challenges in the Strategic Partners segment and increased expenses, the overall trajectory remains positive with strong cash flow and dividend payouts.

Q3-2024 Updates

Positive Updates

Record Revenue Growth

Consolidated revenue reached $176 million, a 16% increase compared to the prior year, with branded revenue growth of 20%.

Strong Performance in China

China revenue increased almost 82% in Q3 and 89% year-to-date, driven by marketing and promotional investments.

International Expansion Success

International revenue increased by 25% in Q3 and 17% year-to-date with growth in every operating region.

Improved Gross Margins

Consolidated gross profit margin increased by 460 basis points to 38.4%, driven by higher branded sales.

Positive Cash Flow and Dividend Announcement

Generated cash from operations before working capital of $18.5 million, with a declared dividend of $0.21 per common share.

Negative Updates

Decline in Strategic Partners Segment

Revenue in the Strategic Partners segment was down by 5% due to the closeout of a previous customer contract.

Increased SG&A Expenses

SG&A expenses grew by 36.4% to $42 million, primarily due to marketing investments and IT system implementation costs.

Lower Margins in Strategic Partners

Gross profit margin in Strategic Partners decreased by 460 basis points to 10.9% due to lower volumes and customer mix.

Company Guidance

During the Jamieson Wellness earnings call for Q3 2024, the company provided detailed guidance for the fiscal year. Consolidated revenue for the year is expected to range between $725 million and $755 million, reflecting an increase of 7.2% to 11.7%. The Jamieson Brands segment is projected to see revenue between $620 million and $645 million, marking a growth of 12.5% to 17%. Meanwhile, Strategic Partner revenue is anticipated to decrease by 12% to 16%, with expectations set between $105 million and $110 million. The company also narrowed its guidance for consolidated adjusted EBITDA to between $139 million and $143 million, representing up to 3.6% growth. Adjusted diluted earnings per share are projected to reach $1.57 to $1.63, indicating growth of up to 5.2% compared to the previous year.

Jamieson Wellness Inc Corporate Events

Business Operations and StrategyFinancial Disclosures

Jamieson Wellness Inc. Reports Strong Q1 2025 Results with 14% Revenue Growth

Positive

May 8, 2025

Jamieson Wellness Inc. reported a strong start to 2025 with a 14% increase in consolidated revenue for the first quarter, driven by significant growth in China and strategic initiatives in Canada and international markets. The company’s strategic focus on innovation, operational efficiency, and expanding market reach has resulted in increased gross profit margins and improved financial performance, despite a net loss. The growth in China was particularly notable, with a 52% revenue increase, highlighting the success of their tailored approach and strategic investments in the region.

Spark’s Take on TSE:JWEL Stock

According to Spark, TipRanks’ AI Analyst, TSE:JWEL is a Outperform.

Jamieson Wellness Inc. demonstrates a strong financial foundation with consistent growth in revenue and profit, efficient cash flow management, and a stable equity position. Positive technical indicators and strategic corporate events further support the stock’s potential. However, valuation metrics indicate the stock is fairly priced, with no immediate undervaluation opportunities. Continued strategic expansion and financial discipline are key to enhancing future performance.

To see Spark’s full report on TSE:JWEL stock, click here.

Financial Disclosures

Jamieson Wellness to Announce Q1 2025 Financial Results

Neutral

Apr 24, 2025

Jamieson Wellness Inc. announced it will release its first quarter 2025 financial results on May 8, 2025, followed by a conference call for investors. This announcement is significant for stakeholders as it provides an opportunity to assess the company’s financial health and strategic direction, potentially impacting its market positioning and investor confidence.

Spark’s Take on TSE:JWEL Stock

According to Spark, TipRanks’ AI Analyst, TSE:JWEL is a Outperform.

To see Spark’s full report on TSE:JWEL stock, click here.

Business Operations and Strategy

Jamieson Wellness to Unveil Strategic Vision at Investor Day

Neutral

Mar 26, 2025

Jamieson Wellness Inc. is hosting an Investor Day in Toronto on March 27, 2025, where senior management will present the company’s strategic vision and growth outlook to institutional investors and analysts. The event, which includes a live webcast and a Q&A session, aims to highlight Jamieson’s competitive market positioning and future plans, potentially impacting its operations and industry standing.

Business Operations and StrategyFinancial Disclosures

Jamieson Wellness Inc. Reports Robust 2024 Financial Results

Positive

Feb 27, 2025

Jamieson Wellness Inc. reported a strong financial performance for the fourth quarter and full year 2024, with a 14% growth in branded revenue and market share gains across key markets. The company’s strategic investments, particularly in China, led to significant revenue growth, while its expansion in the U.S. and international markets further strengthened its position. Looking ahead to 2025, Jamieson Wellness aims to continue leveraging global health trends and strategic marketing to drive revenue growth and profitability.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.