Flexible Solutions International (FSI) AI Stock Analysis

• Market Cap: $47.68M
• Dividend Yield: N/A
• Average Volume (3M): 45.63K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 1.68
• Revenue Growth: -0.23%
• EPS Growth: 9.23%
• Country: US
• Employees: 45
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.24
• Shares Outstanding: 12,647,532
• 10 Day Avg. Volume: 50,682
• 30 Day Avg. Volume: 45,626
• PEG Ratio: 1.70
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.69
• Price to Cash Flow (P/CF): 7.40
• P/FCF Ratio: 16.30
• 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: $9.00
• Price Target Upside: 138.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Flexible Solutions International's overall stock score reflects its stable financial performance and strategic growth initiatives despite bearish technical indicators. The company's operational efficiency and strong cash flow generation are positive, but challenges with tariffs and order uncertainties pose risks. The reasonable valuation and strategic expansions provide a balanced outlook.

Flexible Solutions International Business Overview & Revenue Model

Company Description

Flexible Solutions International, Inc., together with its subsidiaries, develops, manufactures, and markets specialty chemicals that slow the evaporation of water in Canada, the United States, and internationally. The company operates in two segments, Energy and Water Conservation Products, and Biodegradable Polymers. The company offers thermal polyaspartates (TPAs) for oilfields to reduce scale and corrosion in various water systems; and for the agricultural industry to reduce fertilizer crystallization before, during, and after application, as well as to prevent crystal formation between fertilizer and minerals present in the soil. It also provides TPAs for irrigation to prevent early plugging of drip irrigation ports, reduce maintenance costs, and lengthen the life of equipment; and TPAs as additives for household laundry detergents, consumer care products, and pesticides. In addition, the company offers nitrogen conservation products for agriculture that slow down nitrogen loss from fields. Further, it provides HEATSAVR, a chemical product for use in swimming pools and spas that forms a thin and transparent layer on the water's surface; and WATERSAVR to reduce water evaporation in reservoirs, potable water storage tanks, livestock watering ponds, aqueducts, canals, and irrigation ditches, as well as for lawn and turf care, and potted and bedding plants. Flexible Solutions International, Inc. is headquartered in Taber, Canada.

How the Company Makes Money

FSI makes money through the sale of its proprietary biodegradable polymer products. These products are designed to improve efficiency and reduce environmental impact in industries such as oil extraction, agriculture, and water treatment. Key revenue streams for FSI include sales to industrial customers and partnerships with companies that integrate FSI's polymers into their own products. The company's earnings are bolstered by its ability to provide cost-effective, sustainable solutions that meet increasing regulatory and consumer demands for environmentally friendly practices.

Flexible Solutions International Financial Statement Overview

Summary

FSI demonstrates solid financial health with robust profitability and efficient operations supported by strong revenue growth. The company's balance sheet is stable with low leverage, while cash flow generation is improving, albeit with some volatility. Continued focus on equity growth and strategic capital allocation could enhance financial flexibility and support future expansion.

Income Statement

FSI's income statement shows strong profitability with a consistent increase in revenue and net income over recent periods. The gross profit margin for TTM (Trailing-Twelve-Months) is 26.26%, and the net profit margin is 12.21%, indicating efficient cost management. The revenue growth rate from the previous year is 14.81%, showcasing a positive growth trend. EBIT and EBITDA margins of 12.71% and 18.28% respectively further highlight operational efficiency, although there has been a decline compared to past periods.

Balance Sheet

FSI maintains a stable balance sheet with a debt-to-equity ratio of 0.25, indicating low leverage and a conservative capital structure. The return on equity (ROE) for the TTM is 14.54%, reflecting good profitability. The equity ratio stands at 63.89%, highlighting a solid equity base relative to total assets. However, the overall growth in stockholders' equity has been moderate, which could limit future expansion.

Cash Flow

FSI's cash flow statement reveals a mixed picture. The operating cash flow to net income ratio is 1.14, indicating that operating cash flows are sufficient to cover net income. Free cash flow has grown by 29.77% compared to the previous year, reflecting improved cash generation after capital expenditures. However, fluctuations in investing and financing cash flows may suggest some volatility in capital allocation decisions.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
44.00M	38.32M	45.84M	34.42M	31.41M	27.44M
	Gross Profit
11.56M	10.34M	13.87M	11.40M	9.77M	8.62M
	EBIT
5.59M	3.00M	7.05M	5.48M	4.12M	2.84M
	EBITDA
8.04M	5.86M	9.48M	8.08M	6.64M	3.36M
	Net Income Common Stockholders
5.37M	2.78M	7.02M	3.45M	2.98M	1.91M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.64M	7.71M	6.82M	6.74M	4.47M	3.63M
	Total Assets
14.70M	55.47M	51.59M	39.55M	35.09M	32.38M
	Total Debt
2.36M	10.04M	9.14M	4.88M	6.45M	8.06M
	Net Debt
728.40K	5.02M	3.02M	-825.54K	2.97M	4.42M
	Total Liabilities
2.95M	17.20M	16.35M	11.85M	11.32M	11.92M
	Stockholders Equity
11.75M	35.20M	32.63M	25.10M	21.21M	17.91M
Cash Flow		Free Cash Flow
2.60M	2.00M	-504.40K	3.75M	4.63M	538.63K
	Operating Cash Flow
6.14M	6.99M	1.48M	4.54M	5.71M	2.37M
	Investing Cash Flow
-2.67M	-5.67M	-2.22M	-659.54K	-3.22M	-2.67M
	Financing Cash Flow
-342.45K	-437.95K	848.33K	-1.71M	-2.70M	-3.09M

Flexible Solutions International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.77
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FSI, the sentiment is Negative. The current price of 3.77 is below the 20-day moving average (MA) of 4.22, below the 50-day MA of 5.12, and below the 200-day MA of 3.99, indicating a bearish trend. The MACD of -0.40 indicates Negative momentum. The RSI at 34.14 is Neutral, neither overbought nor oversold. The STOCH value of 55.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FSI.

Flexible Solutions International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NTIC	63 Neutral	$67.17M	18.40	5.51%	3.95%	2.11%	-17.52%
FSI	61 Neutral	$47.68M	15.71	8.30%	―	-0.23%	9.23%
Sector *	49 Neutral	$1.92B	-1.52	-22.04%	3.84%	0.67%	-27.41%
GURE	48 Neutral	$8.13M	―	-33.78%	―	-74.50%	7.21%
SNES	47 Neutral	$3.35M	―	-139.56%	―	55.66%	96.71%
ALTO	41 Neutral	$61.28M	―	-23.38%	―	-21.07%	-104.32%
LOOP	38 Underperform	$52.38M	―	-449.80%	―	5.45%	-155.56%