Hour Loop Inc (HOUR) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 51.44K
• Price to Earnings (P/E): 195.7
• Beta (1Y): 0.66
• Revenue Growth: 4.64%
• EPS Growth: N/A
• Country: US
• Employees: 151
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Specialty Retail
• EPS (TTM): 0.02
• Shares Outstanding: 35,160,190
• 10 Day Avg. Volume: 24,981
• 30 Day Avg. Volume: 51,436
• PEG Ratio: 0.83
• Price to Book (P/B): 10.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 112.13
• 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

Hour Loop Inc demonstrates strengths in financial performance, particularly in revenue growth and improved profitability. However, technical analysis reflects a bearish outlook with the stock trading below major moving averages, and the high P/E ratio suggests potential overvaluation. The lack of a dividend yield further impacts its appeal. The company needs to address liquidity improvements and market perception to enhance its stock performance.

Hour Loop Inc Business Overview & Revenue Model

Company Description

Hour Loop, Inc., an online retailer, engages in e-commerce retailing in the United States. The company sells home/garden décor, toys, kitchenware, apparel, and electronics products. It sells its products through hourloop.com, amazon.com, and walmart.com. Hour Loop, Inc. was founded in 2013 and is headquartered in Redmond, Washington.

How the Company Makes Money

Hour Loop Inc makes money through the sale of products on various e-commerce platforms. The company generates revenue by purchasing goods from suppliers and selling them at a markup. Key revenue streams include sales from their online storefronts and third-party marketplaces such as Amazon. Strategic partnerships with suppliers and effective supply chain management are significant factors contributing to its earnings, allowing Hour Loop Inc to maintain competitive pricing while ensuring product availability and customer satisfaction.

Hour Loop Inc Financial Statement Overview

Summary

Hour Loop Inc shows positive revenue growth and profitability with improved financial management. The balance sheet reflects reduced debt, enhancing financial stability, although liquidity and cash management require focus for better free cash flow.

Income Statement

Hour Loop Inc has demonstrated consistent revenue growth over recent years, with a notable increase from $38.7 million in 2020 to $138.3 million in 2024. Gross profit margins have been stable, albeit with some fluctuations, around 50%. The company has made significant improvements in net income, turning a negative figure in 2023 to a positive $657,447 in 2024, indicating enhanced profitability. However, EBIT and EBITDA margins have been low, suggesting room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio has improved, indicating reduced reliance on debt, with a decrease in total debt from $4.9 million in 2023 to $725,507 in 2024. Stockholders' equity has increased, enhancing financial stability. The equity ratio remains moderate, reflecting a balanced capital structure. However, the relatively high total liabilities compared to assets could pose a risk if not managed cautiously.

Cash Flow

Hour Loop Inc's cash flow situation has improved, moving from negative operating cash flow in 2023 to positive in 2024. The operating cash flow to net income ratio indicates improved cash generation efficiency. Despite the positive trend, free cash flow remains modest, suggesting a need for further improvement in liquidity and cash management strategies.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
143.31M	138.25M	132.12M	95.93M	62.79M	38.66M
	Gross Profit
77.33M	72.01M	66.52M	48.99M	34.81M	22.02M
	EBIT
2.63M	730.94K	-3.00M	-1.92M	5.47M	3.69M
	EBITDA
3.16M	730.94K	-2.87M	-1.72M	5.47M	0.00
	Net Income Common Stockholders
1.77M	657.45K	-2.43M	-1.48M	4.78M	3.83M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
838.96K	2.12M	2.48M	4.56M	10.59M	4.97M
	Total Assets
0.00	19.97M	19.55M	25.73M	18.82M	9.85M
	Total Debt
0.00	725.51K	4.91M	1.10M	5.21M	84.54K
	Net Debt
838.96K	-1.39M	2.42M	-3.46M	-5.38M	-4.88M
	Total Liabilities
0.00	14.81M	15.10M	18.90M	16.16M	5.67M
	Stockholders Equity
355.18K	5.16M	4.45M	6.83M	2.65M	4.17M
Cash Flow		Free Cash Flow
492.18K	313.14K	-2.08M	-11.94M	7.75M	3.82M
	Operating Cash Flow
492.98K	313.14K	-2.06M	-11.60M	7.76M	3.82M
	Investing Cash Flow
-35.83K	-36.00K	-14.82K	-339.52K	-16.11K	0.00
	Financing Cash Flow
-263.45K	-671.00K	0.00	5.92M	-2.13M	299.26K

Hour Loop Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.51
• 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 HOUR, the sentiment is Neutral. The current price of 1.51 is above the 20-day moving average (MA) of 1.28, above the 50-day MA of 1.44, and below the 200-day MA of 1.59, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 51.57 is Neutral, neither overbought nor oversold. The STOCH value of 73.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HOUR.

Hour Loop Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$7.00B	11.55	3.07%	3.89%	2.60%	-21.53%
ETSY	60 Neutral	$4.96B	33.22	-39.97%	―	2.18%	-32.87%
HOUR	59 Neutral		195.71	4.34%	―	4.64%	―
W	50 Neutral	$5.01B	―	17.86%	―	-0.89%	46.62%
JMIA	49 Neutral	$422.50M	―	-134.38%	―	-23.23%	―
JWEL	46 Neutral	$4.80M	―	-37.82%	―	-16.85%	-9.20%
FLWS	44 Neutral	$330.09M	―	-42.08%	―	-8.53%	-2070.29%

Hour Loop Inc Corporate Events

Hour Loop Inc Updates Executive Bonus Agreements

On March 14, 2025, Hour Loop, Inc. announced amendments to the executive employment agreements for Sam Lai and Sau Kuen (Maggie) Yu, who are key figures in the company and majority stockholders. The amendments set specific performance-based bonus targets for the 2025 fiscal year, with Mr. Lai’s bonuses tied to net profit growth and Ms. Yu’s bonuses linked to acquiring new vendors. Both executives are guaranteed a $100,000 bonus on December 22, 2025, regardless of performance outcomes.