Northern Bear (NTBR) AI Stock Analysis

• Market Cap: £9.35M
• Dividend Yield: 5.84%
• Average Volume (3M): 12.13K
• Price to Earnings (P/E): 6.2
• Beta (1Y): 0.02
• Revenue Growth: -4.53%
• EPS Growth: 19.89%
• Country: UK
• Employees: 411
• Sector: Industrials
• Sector Strength: 89
• Industry: Construction
• EPS (TTM): 0.11
• Shares Outstanding: 13,750,276
• 10 Day Avg. Volume: 9,892
• 30 Day Avg. Volume: 12,125
• PEG Ratio: -1.71
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.26
• 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

Northern Bear shows strengths in valuation and technical momentum, with potential for exceeding earnings expectations. Financial performance is stable, although cash flow issues are a concern. The positive impact of strategic changes and strong trading performance supports a favorable stock outlook.

Northern Bear Business Overview & Revenue Model

Company Description

Northern Bear PLC, together with its subsidiaries, provides building and support services to local authorities, housing associations, NHS trusts, universities, construction companies, and national house builders in Northern England. It operates through three segments: Roofing Activities, Materials Handling Activities, and Construction Activities. The company sells, supplies, hires, maintains, and services forklift trucks and warehouse equipment. It also provides roofing contractor services, such as roof slating, tiling, leadwork, felting and general roof repairs, specialist leadwork, and refurbishment and maintenance services for domestic, commercial, and public sector properties. In addition, the company is involved in the supply and fixing of passive fire protection systems, fire stopping systems, and acoustic insulations; heritage restoration; and the provision of building contractor services, such as planned responsive and reactive maintenance, extensions, restoration, and new build and refurbishment works. Further, it offers health and safety consultancy services; HD video and photography of buildings; commercial interior design and fitting services; electrical repair, installation, maintenance, and testing services; fire alarms, emergency lighting, and door access systems; and unmanned aerial imagery services, as well as sound insulation services. Northern Bear PLC was incorporated in 2006 and is headquartered in Newcastle upon Tyne, the United Kingdom.

How the Company Makes Money

Northern Bear makes money through several revenue streams. Its primary source of income is from its building services division, which offers specialist roofing services, property maintenance, and refurbishment projects. The company also generates revenue through its materials handling division, which provides equipment and services for lifting and moving materials. Additionally, Northern Bear benefits from long-term contracts and partnerships with local authorities and private sector clients, which provide stable and recurring income.

Northern Bear Financial Statement Overview

Summary

Northern Bear demonstrates solid profitability improvements and a stable balance sheet, yet faces challenges in cash flow management. The income statement highlights better cost control and operational efficiency, although revenue growth is lacking. The balance sheet reflects low leverage and a strong equity foundation, promoting financial health. However, negative free cash flow and reduced operating cash flow indicate liquidity issues that need addressing for sustainable growth.

Income Statement

Northern Bear's recent financial performance shows a slight decline in total revenue from the previous year, with a revenue decrease of 1.5%. However, the company has managed to improve its gross profit margin to 23.1%, indicating efficient cost management. The net profit margin stands at 2.4%, reflecting modest profitability. EBITDA margin has improved to 5.6%, showcasing better operational efficiency. Overall, while revenue has slightly decreased, profitability metrics have shown improvements.

Balance Sheet

The company exhibits a stable financial position with a debt-to-equity ratio of 0.26, reflecting conservative leverage. The equity ratio is 51.5%, indicating a solid equity base relative to total assets. Return on Equity (ROE) is at 8.0%, showing a reasonable return on shareholders' investments. The balance sheet appears robust with manageable debt levels and a strong equity position, supporting financial stability.

Cash Flow

Operating cash flow has decreased significantly compared to the previous year, impacting the operating cash flow to net income ratio, which now stands at 0.42. Free cash flow is negative, primarily due to high capital expenditures, resulting in a free cash flow to net income ratio of -0.81. Despite profitability, cash flow management presents challenges, with substantial capital investments affecting liquidity.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
68.68M	69.72M	61.10M	49.18M	54.42M
	Gross Profit
15.87M	13.93M	12.44M	8.44M	10.72M
	EBIT
2.43M	2.11M	2.44M	-192.00K	2.04M
	EBITDA
3.85M	3.33M	335.00K	-469.00K	3.13M
	Net Income Common Stockholders
1.62M	1.59M	-1.33M	-1.79M	1.49M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
978.00K	3.15M	3.23M	2.11M	3.66M
	Total Assets
39.35M	40.11M	39.03M	36.54M	39.21M
	Total Debt
5.18M	2.24M	3.25M	1.60M	5.15M
	Net Debt
4.20M	-911.00K	20.00K	-514.00K	1.49M
	Total Liabilities
19.09M	17.55M	18.06M	14.25M	15.13M
	Stockholders Equity
20.26M	22.57M	20.98M	22.29M	24.08M
Cash Flow		Free Cash Flow
-1.32M	1.12M	248.00K	2.18M	-401.00K
	Operating Cash Flow
683.00K	2.59M	2.00M	3.38M	755.00K
	Investing Cash Flow
-1.18M	-946.00K	-1.21M	-830.00K	-1.36M
	Financing Cash Flow
-1.67M	-1.72M	333.00K	-4.09M	1.23M

Northern Bear Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NTBR, the sentiment is Positive. The current price of 68 is above the 20-day moving average (MA) of 66.25, above the 50-day MA of 64.54, and above the 200-day MA of 57.32, indicating a bullish trend. The MACD of 1.24 indicates Negative momentum. The RSI at 71.31 is Negative, neither overbought nor oversold. The STOCH value of 67.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NTBR.

Northern Bear Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NTBR	76 Outperform	£9.35M	6.21	6.83%	5.84%	-4.53%	19.89%
EPWN	76 Outperform	£127.57M	7.83	16.03%	5.33%	-6.20%	83.31%
HSM	71 Outperform	£7.86M	10.23	6.39%	4.21%	0.40%	-10.09%
ALU	70 Outperform	£134.15M	14.11	29.95%	2.88%	19.86%	19.09%
Sector *	64 Neutral	$4.43B	12.01	5.15%	249.50%	3.98%	-11.60%
TON	47 Neutral	£7.87M	―	-11.61%	1.33%	-27.62%	-228.90%

Northern Bear Corporate Events

Northern Bear Expects Strong Financial Year Amid Strategic Changes

Northern Bear Plc has experienced a strong trading year, with mild winter conditions benefiting its roofing division and investments boosting its building services division. The company anticipates exceeding market expectations with an EBIT between £3.15m and £3.45m. However, due to challenges in the Leisure and Hospitality sectors, Northern Bear has decided to close its fit-out operation at H Peel & Sons, integrating its business into Arcas. The company has also reduced its term debt by £500k, reflecting its continued strong trading performance.