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Hour Loop Inc
(NASDAQ:HOUR)
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Rating:54Neutral
Price Target:
$2.00
▲(8.70% Upside)
Action:Reiterated
Date:07/10/26
The score is mainly held back by weak cash-flow quality (TTM operating and free cash flow turning negative) and a high P/E valuation, despite improved profitability and a currently stronger, lower-leverage balance sheet. Technicals are modestly supportive with price above key moving averages, but mixed momentum keeps the outlook from scoring higher.
Positive Factors
High Gross Margins
Sustained gross margins around 50% give the company durable pricing and margin buffer across product lines and marketplaces. This structural strength supports gross-profit generation even after marketplace fees and fulfillment costs, enabling reinvestment in inventory, marketing, or margin protection over the next several quarters.
Negative Factors
Negative Operating Cash Flow
A recent reversal to negative operating and free cash flow undermines the durability of the earnings turnaround. Persisting cash conversion issues can force external financing, constrain growth, or require margin-sacrificing promotions; it's a structural risk until cash conversion stabilizes.
Read all positive and negative factors
Positive Factors
Negative Factors
High Gross Margins
Sustained gross margins around 50% give the company durable pricing and margin buffer across product lines and marketplaces. This structural strength supports gross-profit generation even after marketplace fees and fulfillment costs, enabling reinvestment in inventory, marketing, or margin protection over the next several quarters.
Read all positive factors
Hour Loop Inc (HOUR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$68.27M
Dividend YieldN/A
Average Volume (3M)82.48K
Price to Earnings (P/E)39.1
Beta (1Y)1.44
Revenue Growth5.11%
EPS Growth661.43%
CountryUS
Employees159
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)0.04
Shares Outstanding35,191,890
10 Day Avg. Volume36,877
30 Day Avg. Volume82,478
Financial Highlights & Ratios
PEG Ratio0.23
Price to Book (P/B)9.05
Price to Sales (P/S)0.44
P/FCF Ratio25.29
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Hour Loop Inc Business Overview & Revenue Model
Company Description
Hour Loop, Inc., an e-commerce firm founded in 2013, operates its digital retail business primarily within the United States. Headquartered in Redmond, Washington, the company offers a diverse inventory that includes home and garden furnishings, t...
How the Company Makes Money
Hour Loop makes money by generating revenue from the sale of consumer products through online channels, with a significant portion of sales conducted on third-party marketplaces (e.g., via marketplace seller programs) where it lists and fulfills o...
Hour Loop Inc Financial Statement Overview
Summary
Income Statement
60
Neutral
Balance Sheet
72
Positive
Cash Flow
45
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Mar 2023 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 146.53M | 142.44M | 138.25M | 132.12M | 95.93M | 62.79M |
| Gross Profit | 76.47M | 74.63M | 72.01M | 66.52M | 48.99M | 34.81M |
| EBITDA | 2.93M | 2.78M | 1.33M | -2.77M | -1.72M | 5.55M |
| Net Income | 1.87M | 1.70M | 657.45K | -2.43M | -1.48M | 4.78M |
Balance Sheet | ||||||
| Total Assets | 24.39M | 23.82M | 19.97M | 19.55M | 25.73M | 18.82M |
| Cash, Cash Equivalents and Short-Term Investments | 992.89K | 3.79M | 2.12M | 2.48M | 4.56M | 10.59M |
| Total Debt | 776.88K | 812.98K | 725.51K | 4.91M | 5.43M | 5.21M |
| Total Liabilities | 16.58M | 16.83M | 14.81M | 15.10M | 18.90M | 16.16M |
| Stockholders Equity | 7.81M | 6.99M | 5.16M | 4.45M | 6.83M | 2.65M |
Cash Flow | ||||||
| Free Cash Flow | -495.75K | 2.50M | 277.14K | -2.08M | -11.94M | 7.75M |
| Operating Cash Flow | -412.69K | 2.58M | 313.14K | -2.06M | -11.60M | 7.76M |
| Investing Cash Flow | -80.04K | -75.10K | -36.00K | -14.82K | -339.52K | -16.11K |
| Financing Cash Flow | 216.44K | -839.00K | -671.00K | 0.00 | 5.92M | -2.13M |
Hour Loop Inc Technical Analysis
Negative
1.84
Price Trends
2.01
Negative
1.98
Negative
2.02
Negative
Market Momentum
0.02
Negative
48.70
Neutral
43.63
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HOUR, the sentiment is Negative. The current price of 1.84 is below the 20-day moving average (MA) of 1.95, below the 50-day MA of 2.01, and below the 200-day MA of 2.02, indicating a bearish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 48.70 is Neutral, neither overbought nor oversold. The STOCH value of 43.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HOUR.
Hour Loop Inc Risk Analysis
Hour Loop Inc disclosed 49 risk factors in its most recent earnings report. Hour Loop Inc reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Hour Loop Inc Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
58 Neutral | $59.87M | 3.50 | -151.13% | ― | -0.60% | 548.86% | |
54 Neutral | $68.27M | 39.08 | 25.29% | ― | 5.11% | 661.43% | |
46 Neutral | $47.05M | -0.86 | -61.91% | ― | -6.64% | 29.96% | |
46 Neutral | $46.82M | -0.92 | -26.17% | ― | 1.14% | -37.68% | |
45 Neutral | $2.83M | ― | -8.68% | ― | 203.34% | 37.54% |
* Consumer Cyclical Sector Average
HOUR
Hour Loop Inc
1.95
0.26
15.38%
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Hour Loop Inc Corporate Events
Executive/Board ChangesFinancial Disclosures
Hour Loop Updates Executive Bonuses Tied to Profit Goals
Positive
May 18, 2026
On May 15, 2026, Hour Loop, Inc. amended the executive employment agreements of Chairman and CEO Sam Lai and Senior Vice President and Director Sau Kuen (Maggie) Yu to revise their 2026 performance-based bonuses and add guaranteed payouts. Under t...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.