Clarke Inc. (CKI) AI Stock Analysis

• Market Cap: C$313.29M
• Dividend Yield: N/A
• Average Volume (3M): 2.74K
• Price to Earnings (P/E): 8.3
• Beta (1Y): 0.12
• Revenue Growth: 3.76%
• EPS Growth: 992.15%
• Country: CA
• Employees: 550
• Sector: Consumer Cyclical
• Sector Strength: 55
• Industry: Travel Lodging
• EPS (TTM): 2.71
• Shares Outstanding: 13,936,257
• 10 Day Avg. Volume: 1,786
• 30 Day Avg. Volume: 2,743
• PEG Ratio: 0.00835
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.92
• Price to Cash Flow (P/CF): 9.70
• P/FCF Ratio: 7.70
• 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

Clarke Inc. demonstrates strong financial health with significant revenue and income growth, supported by a robust balance sheet with no debt. The stock's valuation appears attractive with a low P/E ratio. However, technical analysis suggests caution due to bearish momentum. The positive corporate events highlight strong growth prospects, further supporting the stock's potential.

Clarke Inc. Business Overview & Revenue Model

Company Description

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How the Company Makes Money

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Clarke Inc. Financial Statement Overview

Summary

Clarke Inc. displays a positive financial trend with strong revenue growth and improved profitability. The balance sheet is robust with a solid equity base and no debt in 2024, enhancing financial stability. Cash flow management has improved, but operational cash generation needs further efficiency improvement.

Income Statement

Clarke Inc. has shown significant revenue growth over the years, with a notable increase in total revenue from $59.97 million in 2022 to $106.78 million in 2024. The net profit margin has also improved, reaching 35.4% in 2024 from 4.2% in 2023. However, the EBIT margin shows inconsistency, being at 0% in 2024 due to no EBIT reported, which might indicate volatility in operational efficiency.

Balance Sheet

The company has maintained a strong equity position with a debt-to-equity ratio of 0 in 2024, indicating no reliance on debt. The equity ratio stands at 53.6% in 2024, reflecting a strong equity base compared to total assets. The return on equity (ROE) is impressive at 13.7% in 2024, suggesting efficient use of equity to generate profits.

Cash Flow

Free cash flow has improved significantly from a loss in previous years to a positive $4.32 million in 2024, indicating better cash management. The operating cash flow to net income ratio is 0.48 in 2024, showing that operational activities are generating cash relative to net income, though there is room for improvement.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
106.78M	81.61M	59.97M	60.02M	20.03M
	Gross Profit
106.78M	34.68M	27.66M	34.66M	-6.96M
	EBIT
0.00	30.86M	11.82M	19.73M	-22.38M
	EBITDA
0.00	23.00M	21.30M	38.06M	-6.51M
	Net Income Common Stockholders
37.82M	3.42M	3.23M	16.38M	-19.21M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
809.00K	929.00K	1.09M	18.42M	2.73M
	Total Assets
516.38M	395.13M	416.12M	384.63M	311.03M
	Total Debt
0.00	126.18M	159.14M	136.51M	124.16M
	Net Debt
-809.00K	125.25M	158.05M	118.09M	121.43M
	Total Liabilities
239.44M	164.44M	201.15M	176.01M	142.42M
	Stockholders Equity
276.94M	230.69M	214.97M	208.62M	168.60M
Cash Flow		Free Cash Flow
4.32M	-1.11M	-15.61M	-14.31M	-7.90M
	Operating Cash Flow
18.00M	8.16M	3.40M	-7.54M	-5.85M
	Investing Cash Flow
-81.03M	-24.93M	-36.83M	31.06M	28.57M
	Financing Cash Flow
62.91M	16.62M	16.09M	-7.82M	-22.52M

Clarke Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 22.48
• 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 TSE:CKI, the sentiment is Negative. The current price of 22.48 is below the 20-day moving average (MA) of 22.51, below the 50-day MA of 22.75, and below the 200-day MA of 23.39, indicating a bearish trend. The MACD of -0.08 indicates Negative momentum. The RSI at 49.22 is Neutral, neither overbought nor oversold. The STOCH value of 61.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CKI.

Clarke Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POW	75 Outperform	C$31.09B	11.66	12.45%	4.70%	-7.62%	25.47%
FFH	73 Outperform	$46.15B	7.98	16.48%	1.16%	13.82%	-6.68%
ALC	73 Outperform	C$608.11M	6.55	10.92%	5.41%	-2.46%	4.75%
CKI	68 Neutral	C$313.29M	8.29	14.91%	―	3.76%	992.15%
Sector *	59 Neutral	$11.74B	10.16	-1.06%	4.15%	1.27%	-16.61%
ONEX	56 Neutral	C$6.69B	17.39	3.54%	0.45%	-17.78%	-41.13%
ECN	54 Neutral	C$708.48M	―	3.65%	1.59%	49.43%	99.91%

Clarke Inc. Corporate Events

Clarke Inc. Reports Strong Financial Growth in 2024

Clarke Inc. reported a significant increase in net income for the year ended December 31, 2024, with earnings rising to $37.8 million from $3.4 million in 2023. This improvement was primarily driven by substantial fair value adjustment gains on investment and hotel properties. The company’s comprehensive income also saw a notable rise, reaching $46.4 million, attributed to increased earnings and larger revaluation gains. Clarke’s book value per common share increased by 20.1%, and its earnings per share rose to $2.71. In the fourth quarter of 2024, Clarke’s net income was $21.5 million, with hotel and rental revenue increasing due to the opening of a new residential development phase.