Top Gum (TPGM) AI Stock Analysis

• Market Cap: 1.16B
• Dividend Yield: N/A
• Average Volume (3M): 49.34K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.60
• Revenue Growth: 37.17%
• EPS Growth: -221.33%
• Country: IL
• Employees: 221
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Food Confectioners
• EPS (TTM): 9.70
• Shares Outstanding: 123,152,940
• 10 Day Avg. Volume: 39,848
• 30 Day Avg. Volume: 49,339
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: 985.00 ▲(2.26% Upside)

Top Gum's overall stock score is primarily impacted by its financial performance challenges, including high leverage and negative cash flow. Technical analysis shows some positive momentum, but valuation remains a concern due to negative profitability metrics.

Top Gum Business Overview & Revenue Model

Company Description

Top Gum (TPGM) is a leading provider in the gum and confectionery industry, specializing in the production and distribution of high-quality chewing gum products. The company operates in various sectors, including consumer goods and food manufacturing, and focuses on innovative flavors and packaging solutions to enhance consumer experiences. Top Gum's core products include sugar-free gum, functional gum with added health benefits, and a variety of traditional chewing gum options, catering to a diverse range of consumer preferences.

How the Company Makes Money

Top Gum generates revenue primarily through the sale of its chewing gum products to retailers, wholesalers, and distributors globally. The company employs a multi-channel distribution model, selling directly to large retail chains and leveraging partnerships with distributors to reach smaller retailers. Additionally, Top Gum has developed strategic partnerships with various brands and health organizations to create co-branded products and functional gum lines, enhancing its market reach. The company also invests in marketing and brand promotion, which drives consumer demand and increases sales. Seasonal promotions and limited-edition flavors further contribute to revenue spikes throughout the year.

Top Gum Financial Statement Overview

Summary

Top Gum is experiencing profitability challenges with negative net income and declining margins. Revenue growth is present but overshadowed by operational inefficiencies. The balance sheet is moderately healthy with manageable leverage but negative cash flows highlight concerns.

Income Statement

Top Gum's income statement indicates a challenging period with a negative net income and declining profitability margins. The TTM shows a gross profit margin of 34.27%, but the net profit margin is significantly negative at -10.64%. Revenue growth from 2024 to TTM increased by 4.24%, indicating some top-line growth. However, negative EBIT and EBITDA margins highlight operational inefficiencies and cost management challenges.

Balance Sheet

The balance sheet reveals moderate financial health with a debt-to-equity ratio of 0.74, suggesting a manageable level of leverage. The equity ratio stands at 50.88%, indicating a balanced capital structure with a substantial equity base. However, the return on equity is negative in the TTM period due to negative net income, indicating a return challenge for shareholders.

Cash Flow

Cash flow analysis shows a mixed picture with positive operating cash flow to net income ratio at 1.40, reflecting good cash generation relative to earnings. However, free cash flow remains negative, impacted by high capital expenditures and cash flow challenges. The free cash flow growth rate is slightly improving but remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	69.36M	59.27M	45.60M	43.91M	33.07M	25.60M
Gross Profit	22.77M	20.51M	15.10M	15.25M	9.89M	7.84M
EBITDA	-2.30M	-2.61M	6.27M	5.57M	3.93M	3.47M
Net Income	-4.77M	-6.49M	3.21M	3.63M	1.58M	774.00K
Balance Sheet
Total Assets	163.18M	108.20M	104.84M	63.68M	59.57M	28.74M
Cash, Cash Equivalents and Short-Term Investments	7.57M	10.14M	12.11M	4.33M	17.93M	1.30M
Total Debt	49.50M	31.20M	25.06M	7.99M	2.40M	8.37M
Total Liabilities	85.07M	45.62M	37.26M	17.41M	12.13M	14.19M
Stockholders Equity	78.11M	62.58M	67.59M	46.27M	47.44M	14.55M
Cash Flow
Free Cash Flow	-7.99M	-6.70M	-25.43M	-12.18M	-6.48M	―
Operating Cash Flow	7.53M	6.69M	1.44M	1.08M	1.09M	1.01M
Investing Cash Flow	-28.94M	-12.99M	-28.22M	-13.40M	-7.51M	―
Financing Cash Flow	18.16M	4.50M	33.20M	263.00K	22.12M	699.72K

Top Gum Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 963.20
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:TPGM, the sentiment is Positive. The current price of 963.2 is above the 20-day moving average (MA) of 935.91, above the 50-day MA of 950.95, and above the 200-day MA of 874.27, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 51.51 is Neutral, neither overbought nor oversold. The STOCH value of 71.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:TPGM.

Top Gum Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KAFR	73 Outperform	748.68M	10.66	―	2.62%	8.57%	7.79%
HLMS	73 Outperform	766.73M	19.88	―	7.51%	9.24%	-20.24%
Sector *	57 Neutral	$3.13B	9.23	-34.32%	3.14%	-25.56%	-353.61%
TPGM	49 Neutral	1.16B	―	―	―	37.17%	-221.33%