Northern Technologies International Corp. (NTIC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

UFP Technologies, Inc.

WD-40 Co.

H.B. Fuller Co.

Axalta Coating Systems Ltd.

Montauk Renewables, Inc.

Northern Technologies International Corp.

CSW Industrials, Inc.

OPAL Fuels, Inc.

Aspen Aerogels, Inc.

Enviva, Inc.

Chase Corp.

Why is Northern Technologies International Corp. ?

Poor long term growth as Operating profit has grown by an annual rate 3.63% of over the last 5 years

Negative results in Nov 25

NET PROFIT(HY) At USD -0.86 MM has Grown at -135.95%
OPERATING CASH FLOW(Y) Lowest at USD 0.38 MM
INTEREST(HY) At USD 0.38 MM has Grown at 78.91%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -23.35%, its profits have fallen by -101.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -23.35% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Industrial Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Northern Technologies International Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Northern Technologies International Corp.

-24.51%

-1.12

46.07%

S&P 500

13.68%

0.71

19.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.49%

EBIT Growth (5y)

3.63%

EBIT to Interest (avg)

-4.86

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

1.08

Tax Ratio

25.94%

Dividend Payout Ratio

8,888.89%

Pledged Shares

Institutional Holding

41.52%

ROCE (avg)

ROE (avg)

6.15%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.08

EV to EBIT

-14.05

EV to EBITDA

-20.15

EV to Capital Employed

1.08

EV to Sales

0.98

PEG Ratio

Dividend Yield

47.86%

ROCE (Latest)

-7.65%

ROE (Latest)

-0.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

NET PROFIT(Q)

At USD 0.24 MM has Grown at 224.38%

NET SALES(Q)

Highest at USD 23.31 MM

PRE-TAX PROFIT(Q)

At USD 0.77 MM has Grown at 63.01%

-24What is not working for the Company

NET PROFIT(HY)

At USD -0.86 MM has Grown at -135.95%

OPERATING CASH FLOW(Y)

Lowest at USD 0.38 MM

INTEREST(HY)

At USD 0.38 MM has Grown at 78.91%

ROCE(HY)

Lowest at -0.43%

RAW MATERIAL COST(Y)

Grown by 6.12% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 9.08 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.57 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.57 times

DIVIDEND PER SHARE(HY)

Lowest at USD 4.57

Here's what is working for Northern Technologies International Corp.

Net Profit

At USD 0.24 MM has Grown at 224.38%

over average net sales of the previous four periods of USD -0.19 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Sales

Highest at USD 23.31 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Pre-Tax Profit

At USD 0.77 MM has Grown at 63.01%

over average net sales of the previous four periods of USD 0.47 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Here's what is not working for Northern Technologies International Corp.

Interest

At USD 0.38 MM has Grown at 78.91%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 0.38 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Highest at 9.08 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 3.57 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 4.57 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend per share

Lowest at USD 4.57

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)

Raw Material Cost

Grown by 6.12% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales