tiprankstipranks
Trending News
More News >
Webco Industries (WEBC)
OTHER OTC:WEBC
US Market
Advertisement

Webco Industries (WEBC) AI Stock Analysis

Compare
10 Followers

Top Page

WEBC

Webco Industries

(OTC:WEBC)

Rating:58Neutral
Price Target:
$190.00
▲(1.88%Upside)
The overall stock score reflects significant challenges in financial performance, particularly with declining revenues and weak cash flow. Technical indicators suggest neutral momentum, while valuation metrics indicate moderate attractiveness. The absence of dividends and lack of earnings call insights limit further positive assessment.

Webco Industries (WEBC) vs. SPDR S&P 500 ETF (SPY)

Webco Industries Business Overview & Revenue Model

Company DescriptionWebco Industries, Inc. (WEBC) is a leading manufacturer and distributor in the metals sector, specializing in the production of high-quality carbon, stainless steel, and other tubular products. The company caters to a variety of industries, including automotive, aerospace, energy, and industrial manufacturing, by providing innovative solutions and customizable tubing products to meet diverse needs.
How the Company Makes MoneyWebco Industries generates revenue primarily through the manufacturing and sale of its tubular products. The company's key revenue streams include the production of carbon and stainless steel tubing, which are sold to a wide range of customers across various industries. Webco benefits from strategic partnerships and long-term contracts with major players in the automotive, aerospace, and energy sectors, which ensure a consistent demand for its products. Additionally, the company's focus on innovation and quality enables it to maintain a competitive edge, thereby driving sales and revenue growth.

Webco Industries Financial Statement Overview

Summary
Webco Industries faces challenges with declining revenue and profitability, and weak cash flow management. While the debt position is reasonable, the company's financial health is pressured by declining equity returns and operational inefficiencies.
Income Statement
65
Positive
Webco Industries shows a declining revenue trend over recent years, with a decrease from $686.9M in 2023 to $575.7M TTM. Gross profit margin is at 10.6% TTM, showing a decrease from 10.9% annually in 2024, indicating pressure on profitability. The net profit margin is relatively low at 1.5% TTM, down from 2.6% in 2024, highlighting challenges in controlling costs. The EBIT and EBITDA margins are also declining, reflecting operational inefficiencies.
Balance Sheet
70
Positive
The company maintains a reasonable debt-to-equity ratio of 0.41 TTM, suggesting moderate leverage. However, the declining equity ratio from 65.1% in 2024 to 61.5% TTM indicates a slight increase in financial risk. Return on equity is low at 2.9% TTM, showing decreased shareholder returns compared to 5.0% in 2024. Despite these challenges, the company maintains a stable equity base.
Cash Flow
40
Negative
Cash flow performance is weak, with zero operating and free cash flow reported TTM, raising concerns about liquidity and operational efficiency. The operating cash flow to net income ratio was strong at 4.1x in 2024 but has since deteriorated. The absence of free cash flow growth highlights potential cash management issues.
BreakdownSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income Statement
Total Revenue608.44M686.92M704.05M466.62M428.83M
Gross Profit71.84M89.37M118.14M61.80M37.98M
EBITDA36.54M52.61M79.38M39.91M20.83M
Net Income16.05M26.64M48.35M19.70M4.24M
Balance Sheet
Total Assets473.08M483.68M519.89M385.20M327.73M
Cash, Cash Equivalents and Short-Term Investments17.07M22.07M12.74M8.40M4.60M
Total Debt91.92M112.89M149.00M95.13M77.18M
Total Liabilities153.98M181.20M247.61M154.06M111.22M
Stockholders Equity319.11M302.48M272.28M231.15M216.51M
Cash Flow
Free Cash Flow22.59M51.14M-37.38M-10.74M28.00M
Operating Cash Flow65.60M82.88M-15.73M5.00M28.00M
Investing Cash Flow-49.19M-47.27M-21.50M-15.21M0.00
Financing Cash Flow-21.45M-42.13M41.57M14.02M0.00

Webco Industries Technical Analysis

Technical Analysis Sentiment
Positive
Last Price186.50
Price Trends
50DMA
184.03
Positive
100DMA
184.32
Positive
200DMA
183.82
Positive
Market Momentum
MACD
0.86
Positive
RSI
57.82
Neutral
STOCH
83.33
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WEBC, the sentiment is Positive. The current price of 186.5 is above the 20-day moving average (MA) of 185.97, above the 50-day MA of 184.03, and above the 200-day MA of 183.82, indicating a bullish trend. The MACD of 0.86 indicates Positive momentum. The RSI at 57.82 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WEBC.

Webco Industries Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$1.60B14.4410.75%2.01%-9.83%-28.70%
63
Neutral
$10.49B10.771.52%2.68%2.24%-33.79%
58
Neutral
$151.62M20.862.35%-5.81%-61.26%
57
Neutral
$365.91M22.822.95%1.86%-9.65%-61.57%
54
Neutral
$111.12M18.584.66%1.03%-13.95%-63.56%
54
Neutral
$137.57M-8.42%-6.70%61.17%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WEBC
Webco Industries
187.00
22.00
13.33%
FRD
Friedman Industries
15.48
-0.94
-5.72%
ZEUS
Olympic Steel
33.27
-15.03
-31.12%
ACNT
Ascent Industries
12.96
2.86
28.32%
WS
Worthington Steel, Inc.
31.83
-6.58
-17.13%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.Date of analysis: Jun 19, 2025