Professional Diversity (IPDN) AI Stock Analysis

• Market Cap: $2.77M
• Dividend Yield: N/A
• Average Volume (3M): 186.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.07
• Revenue Growth: -12.58%
• EPS Growth: 50.29%
• Country: US
• Employees: 45
• Sector: Industrials
• Sector Strength: 64
• Industry: Staffing & Employment Services
• EPS (TTM): -2.02
• Shares Outstanding: 2,083,327
• 10 Day Avg. Volume: 446,090
• 30 Day Avg. Volume: 186,705
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.68
• Price to Cash Flow (P/CF): -2.10
• P/FCF Ratio: 0.00
• 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

Professional Diversity faces significant challenges, with a weak financial position characterized by operational losses and heavy reliance on financing. The technical analysis indicates a strong downward trend, reflecting negative market sentiment. Without positive earnings call data or corporate events to counterbalance these issues, the stock score remains low.

Professional Diversity Business Overview & Revenue Model

Company Description

Professional Diversity Network, Inc. (IPDN) is a leading operator of online networks dedicated to serving diverse professionals in various industries. The company specializes in connecting job seekers from a wide array of backgrounds, including women, minorities, veterans, LGBT, and disabled professionals, with potential employers who value diversity and inclusion. IPDN offers networking, training, and career development services through its various online platforms.

How the Company Makes Money

Professional Diversity Network, Inc. generates revenue primarily through its recruitment services, which include job postings and access to its resume database for employers looking to diversify their workforce. The company also earns money from membership fees, advertising on its platforms, and various training and career development programs. Strategic partnerships with organizations and companies committed to diversity and inclusion also contribute to IPDN's earnings.

Professional Diversity Financial Statement Overview

Summary

Professional Diversity Network, Inc. is experiencing significant revenue growth; however, its financial health is heavily compromised by poor profitability, high leverage, and negative cash flows. The high debt-to-equity ratio and negative return on equity indicate financial instability, posing substantial risks to long-term viability.

Income Statement

The company has experienced significant revenue growth in the TTM period, but it has consistently struggled with profitability. Negative EBIT and EBITDA margins indicate operational inefficiencies, and the persistent negative net profit margin highlights ongoing challenges in achieving profitability.

Balance Sheet

The company has a very high debt-to-equity ratio, indicating a heavy reliance on debt financing relative to its equity base, which is concerning. The return on equity is negative, further stressing the lack of profitability and potential risk to investors. The equity ratio is extremely low, suggesting limited equity cushion against liabilities.

Cash Flow

Although the company has managed to increase its financing cash flow, both operating and free cash flows are negative, raising concerns about sustainability. The operating cash flow to net income ratio is unfavorable, reflecting inefficiencies in converting accounting profits into cash.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
7.01M	7.70M	8.31M	6.10M	4.46M	5.03M
	Gross Profit
4.08M	4.24M	4.05M	4.57M	3.67M	4.14M
	EBIT
-2.46M	-4.54M	-3.10M	-2.89M	-4.85M	-3.00M
	EBITDA
-2.12M	-3.91M	-2.24M	-2.43M	-3.91M	-2.11M
	Net Income Common Stockholders
-2.26M	-4.31M	-3.08M	-2.86M	-4.16M	-2.79M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.51M	627.64K	1.24M	3.40M	2.12M	633.62K
	Total Assets
5.17M	6.33M	6.84M	8.98M	8.67M	6.59M
	Total Debt
1.49M	365.71K	444.72K	516.76K	510.52K	105.08K
	Net Debt
-623.09K	-261.93K	-792.28K	-2.89M	-1.61M	-528.53K
	Total Liabilities
2.05M	3.76M	4.53M	5.88M	5.33M	4.04M
	Stockholders Equity
3.12M	3.05M	2.55M	2.79M	3.35M	2.55M
Cash Flow		Free Cash Flow
-2.19M	-3.24M	-2.31M	-1.95M	-3.55M	-6.48M
	Operating Cash Flow
-1.91M	-3.03M	-2.25M	-1.87M	-3.54M	-6.47M
	Investing Cash Flow
-269.54K	-946.50K	-61.00K	-1.29M	-65.41K	54.80K
	Financing Cash Flow
1.03B	3.36M	145.00K	4.44M	4.93M	6.90M

Professional Diversity Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.02
• 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 IPDN, the sentiment is Negative. The current price of 1.02 is below the 20-day moving average (MA) of 2.28, below the 50-day MA of 2.94, and below the 200-day MA of 5.10, indicating a bearish trend. The MACD of -0.21 indicates Negative momentum. The RSI at 43.29 is Neutral, neither overbought nor oversold. The STOCH value of 46.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPDN.

Professional Diversity Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KFY	74 Outperform	$3.14B	13.07	13.92%	2.61%	-3.27%	62.57%
HSII	68 Neutral	$803.33M	95.56	1.91%	1.52%	7.15%	-83.77%
MAN	68 Neutral	$2.31B	16.44	6.67%	6.24%	-5.61%	77.92%
Sector *	62 Neutral	$7.16B	12.21	3.05%	3.43%	3.62%	-14.48%
RHI	60 Neutral	$4.84B	19.37	16.96%	4.61%	-9.33%	-37.06%
TBI	44 Neutral	$145.87M	―	-32.53%	―	-17.78%	-820.48%
IPDN	28 Underperform	$2.77M	―	-60.02%	―	-12.58%	50.29%

Professional Diversity Corporate Events

Professional Diversity Ends Stock Purchase Agreement

Professional Diversity Network, Inc. announced the termination of its Common Stock Purchase Agreement with Tumim Stone Capital LLC, which was initially entered on June 30, 2023. The agreement allowed the company to sell up to $12,775,000 worth of newly issued shares, but as of the latest report, only $2,846,017 worth of shares had been sold. The termination notice was given on February 25, 2024, and will be effective five business days thereafter, indicating no further shares will be sold under this agreement.