Escalade (ESCA) AI Stock Analysis

• Market Cap: $209.06M
• Dividend Yield: 3.92%
• Average Volume (3M): 15.02K
• Price to Earnings (P/E): 16.5
• Beta (1Y): 0.92
• Revenue Growth: -4.57%
• EPS Growth: 31.28%
• Country: US
• Employees: 450
• Sector: Consumer Cyclical
• Sector Strength: 51
• Industry: Leisure
• EPS (TTM): 0.92
• Shares Outstanding: 13,663,778
• 10 Day Avg. Volume: 15,507
• 30 Day Avg. Volume: 15,018
• PEG Ratio: 0.53
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.80
• Price to Cash Flow (P/CF): 4.80
• P/FCF Ratio: 4.80
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Escalade showcases stability in its financial health, with strong cash flow and effective leverage management. However, the declining revenue growth and mixed technical indicators suggest that growth strategies are needed. The recent appointment of a new CEO is a positive change that could enhance future growth prospects. Overall, the stock presents a fair valuation with a decent dividend yield.

Escalade Business Overview & Revenue Model

Company Description

Escalade, Incorporated, together with its subsidiaries, manufactures, distributes, imports, and sells sporting goods in North America, Europe, and internationally. The company provides various sporting goods brands in basketball goals, archery, indoor and outdoor game recreation, and fitness products. It offers archery products under the Bear Archery, Trophy Ridge, Whisker Biscuit, Cajun Bowfishing, Karnage, Fletcher, SIK, BearX, and Rocket brand names; table tennis products under the STIGA and Ping-Pong brands; basketball goals under the Goalrilla, Goaliath, Silverback, Hoopstar, and Goalsetter brand names; and pickleball under the Onix, DURA, and Pickleball Now brands. The company also provides play systems under the Woodplay, Jack & June, and Childlife brands; fitness products under the STEP, Lifeline, Kettleworx, Natural Fitness, and PER4M brand names; safety products under the USWeight brand; hockey and soccer game tables under the Triumph Sports, Atomic, American Legend, Air Hockey, and HJ Scott brands; and billiard tables and accessories under the American Heritage Billiards, Brunswick Billiards, Gold Crown, Centennial, Cue&Case, Lucasi, Mizerak, PureX, Rage, Players, Minnesota Fats, and Mosconi brand names. In addition, it offers darting products under the Unicorn, Winmau, Arachnid, Accudart, and Nodor brands; water sports products under the RAVE Sports brand; and outdoor game products under the Victory Tailgate, Triumph Sports, Zume Games, and Viva Sol brand names. The company provides its products through sporting goods retailers, specialty dealers, online retailers, traditional department stores, and mass merchants. Escalade, Incorporated was founded in 1922 and is headquartered in Evansville, Indiana.

How the Company Makes Money

Escalade, Inc. generates revenue primarily through the design, manufacture, and sale of sporting goods and equipment. The company's revenue streams are largely driven by direct sales to retailers and distributors, as well as through e-commerce platforms where products are sold directly to consumers. Key partnerships with major retail chains and sporting goods stores enhance its market presence and distribution capabilities. Escalade's focus on innovation and quality ensures a competitive edge in the sporting goods sector, contributing to consistent sales and profitability.

Escalade Financial Statement Overview

Summary

Escalade maintains a stable financial footing with healthy profit margins and strong cash flow generation. The balance sheet shows effective leverage management, but declining revenue growth presents a challenge that needs addressing. Efforts to boost shareholder returns could enhance overall financial performance.

Income Statement

Escalade shows a consistent revenue base with a slight decline in recent years. The gross profit margin for 2024 is strong at 24.73%, and the net profit margin improves to 5.16%. However, the revenue growth rate has been negative, indicating a need for growth strategies. EBIT and EBITDA margins are stable, reflecting operational efficiency.

Balance Sheet

The balance sheet reflects a solid equity base with an equity ratio of 74.66% in 2024. The debt-to-equity ratio has improved to 0.16, indicating strong leverage management. ROE for 2024 is at 7.68%, showing reasonable returns to shareholders, though there's room for improvement.

Cash Flow

Cash flow statements reflect robust free cash flow generation, with a remarkable increase in free cash flow for 2024. The operating cash flow to net income ratio is 2.78, indicating strong cash generation from operations. The company converts a significant portion of its income into free cash flow, enhancing financial flexibility.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
251.51M	263.57M	313.76M	313.61M	273.65M
	Gross Profit
62.20M	61.77M	73.64M	77.13M	74.83M
	EBIT
20.00M	17.81M	26.32M	31.90M	33.03M
	EBITDA
20.00M	23.51M	32.38M	36.73M	37.05M
	Net Income Common Stockholders
12.99M	9.83M	17.99M	24.41M	25.93M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.19M	16.00K	3.97M	4.37M	3.50M
	Total Assets
226.33M	253.00M	298.72M	251.80M	220.71M
	Total Debt
26.83M	59.83M	104.52M	59.74M	31.69M
	Net Debt
22.63M	59.82M	100.55M	55.37M	28.18M
	Total Liabilities
57.33M	88.43M	140.24M	105.18M	81.55M
	Stockholders Equity
169.00M	164.58M	158.47M	146.62M	139.16M
Cash Flow		Free Cash Flow
34.01M	46.24M	6.41M	-8.76M	-2.82M
	Operating Cash Flow
36.05M	48.33M	8.52M	939.00K	2.63M
	Investing Cash Flow
3.93M	-1.95M	-37.83M	-9.65M	-21.03M
	Financing Cash Flow
-35.80M	-50.33M	28.90M	9.58M	16.02M

Escalade Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ESCA, the sentiment is Positive. The current price of 15.3 is above the 20-day moving average (MA) of 15.03, above the 50-day MA of 15.15, and above the 200-day MA of 14.17, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 52.62 is Neutral, neither overbought nor oversold. The STOCH value of 63.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ESCA.

Escalade Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESCA	70 Outperform	$209.06M	16.54	7.79%	3.92%	-4.57%	31.28%
DBI	60 Neutral	$175.11M	―	-3.31%	5.60%	-2.14%	-173.54%
Sector *	59 Neutral	$12.24B	11.04	-1.00%	3.78%	1.30%	-19.54%
CTRN	55 Neutral	$197.11M	―	-31.87%	―	0.69%	-254.98%
JOUT	48 Neutral	$254.67M	―	-9.70%	5.30%	-9.98%	-348.96%
LOGC	42 Neutral	$182.88M	―	-40.76%	―	-84.75%	77.25%
SES	41 Neutral	$198.12M	―	-31.44%	―	―	-83.20%

Escalade Corporate Events

Escalade Appoints Armin Boehm as New CEO

On February 6, 2025, Escalade, Inc. announced the appointment of Armin Boehm as its new Chief Executive Officer and President, effective April 1, 2025. Boehm, with over three decades of leadership experience across global brands like Gibson and Amer Sports, succeeds Walter P. Glazer, Jr., who announced his retirement in August 2024. Boehm’s extensive experience in the sporting goods industry is expected to drive Escalade’s growth and innovation, enhancing its market position and benefiting stakeholders.