Wilhelmina International (WHLM) AI Stock Analysis

• Market Cap: $16.73M
• Dividend Yield: N/A
• Average Volume (3M): 287.00
• Price to Earnings (P/E): 34.0
• Beta (1Y): 1.34
• Revenue Growth: 6.07%
• EPS Growth: -11.86%
• Country: US
• Employees: 89
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): N/A
• Shares Outstanding: 4,919,844
• 10 Day Avg. Volume: 47
• 30 Day Avg. Volume: 287
• PEG Ratio: 0.70
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 1.04
• P/FCF Ratio: 7.22
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 0.86
• Enterprise Value/Ebitda: 12.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: $4.00 ▲(12.68% Upside)
• Action: Reiterated Date: 12/03/25
• Date: Action: Reiterated 12/03/25

Wilhelmina International's overall stock score reflects stable financial performance and positive technical indicators. However, the lack of profitability improvement and absence of dividend yield are notable constraints. The stock's valuation suggests it is fairly priced, but without earnings call insights or corporate events, the score is primarily driven by financial and technical factors.

Positive Factors

High Gross Margin

An ~81.9% gross margin reflects a high-value, low-cost service model with strong pricing power and favorable unit economics. Over months, this margin provides a durable earnings buffer, enabling reinvestment in talent, marketing, and platform capabilities despite cyclical demand.

Low Leverage / Strong Equity

A 60.8% equity ratio and 0.12 debt-to-equity show very low leverage and a solid capital base. This balance-sheet strength gives durable financial flexibility to fund talent acquisition, sustain operations during downturns, and pursue strategic investments without heavy reliance on costly external debt.

Strong Cash Conversion

Operating cash flow and free cash flow well above net income indicate efficient cash conversion. Persistent cash generation supports long-term investments in talent development, digital capabilities and working capital, reducing dependence on external financing for organic growth and operations.

Negative Factors

Thin Net Margins

A 3.8% net margin and low operating margins mean limited bottom-line conversion despite high gross margins. Persistently thin net margins restrict retained earnings accumulation, weaken buffers against industry cyclicality, and limit the company’s ability to sustainably improve shareholder returns.

Inconsistent Free Cash Flow Growth

Volatile free cash flow growth is a structural concern for long-term planning. Inconsistent FCF complicates predictable reinvestment in talent and platforms, may force intermittent external funding, and reduces visibility into the firm’s ability to finance strategic initiatives sustainably.

Profitability & ROE Pressure

Modest revenue growth with declining EPS and a low ROE (2.7%) shows top-line gains aren't translating to shareholder returns. This structural disconnect suggests margin pressure, cost or capital inefficiencies, or dilution that can impede sustained profitability improvement over the medium term.

Wilhelmina International Business Overview & Revenue Model

Company Description

Wilhelmina International, Inc. primarily engages in the fashion model management business. It specializes in the representation and management of models, entertainers, athletes, and other talent to various clients, including retailers, designers, advertising agencies, print and electronic media and catalog companies. The company offers fashion modeling talent and social media influencer services to clients, such as advertising agencies, branded consumer goods companies, fashion designers, Internet sites, retailers, department stores, product catalogs, and magazine publications. It is also involved in the licensing of the Wilhelmina name to third-parties, such as fashion model agencies; television syndication royalties and production series contracts; and celebrity management activities, as well as model search contests. The company has operations in Los Angeles, Miami, and London, as well as a network of licensees in various local markets in the United States and internationally. Wilhelmina International, Inc. was founded in 1967 and is headquartered in Dallas, Texas.

How the Company Makes Money

Wilhelmina International generates revenue primarily through commissions on bookings for models and talent represented by the agency. The company charges a percentage of the fees earned by models for various engagements, including photoshoots, runway shows, advertising campaigns, and other promotional activities. Additionally, WHLM earns income from licensing and merchandising agreements, where it leverages the brand value of its talent for commercial products. Significant partnerships with fashion brands, advertising agencies, and media companies further contribute to its earnings, as these collaborations often lead to high-profile projects that enhance the agency's reputation and financial performance.

Wilhelmina International Financial Statement Overview

Summary

Wilhelmina International demonstrates stable financial performance with strengths in cost management and low leverage. However, profitability margins remain a challenge despite a strong balance sheet and efficient cash flow operations.

Income Statement

Wilhelmina International has shown a stable revenue trajectory with moderate growth trends. The gross profit margin is strong at approximately 81.9% for TTM, reflecting effective cost management. However, the net profit margin of 3.8% indicates limited profitability improvement. EBIT and EBITDA margins are relatively low, suggesting potential inefficiencies.

Balance Sheet

The company's balance sheet reflects a solid equity position with an equity ratio of 60.8% for TTM, indicating financial stability. The debt-to-equity ratio is low at 0.12, showcasing prudent leverage management. Return on equity is moderate at 2.7%, pointing to average shareholder returns.

Cash Flow

Cash flow analysis reveals a positive trend with a healthy operating cash flow to net income ratio of 2.51 for TTM, indicating efficient cash conversion. The free cash flow to net income ratio is robust at 2.48. However, free cash flow growth has been inconsistent over the years.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.03M	17.61M	17.21M	17.78M	56.81M	41.60M
Gross Profit	14.79M	17.61M	17.21M	17.59M	16.10M	11.72M
EBITDA	1.06M	1.22M	906.00K	2.78M	6.25M	-2.70M
Net Income	544.00K	614.00K	433.00K	3.53M	4.52M	-4.94M
Balance Sheet
Total Assets	41.36M	42.41M	41.66M	41.99M	37.42M	30.64M
Cash, Cash Equivalents and Short-Term Investments	12.78M	15.46M	12.71M	12.00M	10.25M	5.56M
Total Debt	3.19M	3.19M	3.97M	3.84M	2.03M	3.56M
Total Liabilities	16.35M	16.95M	16.77M	17.78M	16.41M	14.14M
Stockholders Equity	25.01M	25.46M	24.90M	24.21M	21.01M	16.51M
Cash Flow
Free Cash Flow	1.30M	2.54M	540.00K	2.25M	5.52M	-2.12M
Operating Cash Flow	1.32M	2.56M	705.00K	2.52M	5.54M	-1.97M
Investing Cash Flow	456.00K	-65.00K	-6.69M	-268.00K	-19.00K	-154.00K
Financing Cash Flow	-924.00K	-31.00K	-63.00K	-62.00K	-787.00K	605.00K

Wilhelmina International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.55
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WHLM, the sentiment is Positive. The current price of 3.55 is above the 20-day moving average (MA) of 3.41, above the 50-day MA of 3.51, and above the 200-day MA of 3.14, indicating a neutral trend. The MACD of -0.08 indicates Positive momentum. The RSI at 50.06 is Neutral, neither overbought nor oversold. The STOCH value of 74.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WHLM.

Wilhelmina International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%