Tandy Leather Factory AI Stock Analysis
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Tandy Leather Factory (TLF) AI Stock Analysis
Tandy Leather Factory
(NASDAQ:TLF)
The score is primarily weighed down by weak financial performance (near-breakeven profitability, higher leverage, and negative/declining free cash flow) and bearish technical signals (price below key moving averages with negative MACD). Valuation further pressures the score due to the very high P/E and no dividend yield provided.
Tandy Leather Factory (TLF) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $18.19M
- Dividend Yield
- ―
- Average Volume (3M)
- 20.64K
- Price to Earnings (P/E)
- 111.0
- Beta (1Y)
- 0.59
- Revenue Growth
- 5.26%
- EPS Growth
- -98.50%
- Country
- US
- Employees
- 470
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Specialty Retail
Tandy Leather Factory Business Overview & Revenue Model
Company Description
Tandy Leather Factory, Inc., along with its subsidiaries, operates as a specialized retail provider of leather and various leathercrafting supplies. The company's operations extend across North America and into Spain. It furnishes customers with a br...
How the Company Makes Money
TLF makes money primarily by selling leathercraft products to customers through retail stores and online commerce. Its key revenue streams come from: (1) leather and leather components (e.g., hides, sides, panels, and cut pieces), which are foundatio...
Tandy Leather Factory Earnings Call Summary
The earnings call presented a balanced view with significant improvements in operating income, adjusted EBITDA, and gross margin, coupled with strategic new store openings. However, these positives were offset by a decline in overall sales and lower-than-expected interest income. The company showed strong financial discipline and strategic planning, suggesting cautious optimism for future growth.
Q4-2023 Updates
Positive Updates
Negative Updates
Company Guidance
In the Tandy Leather Factory (TLF) Q4 2023 earnings call, the company provided guidance focused on maintaining profitability and cash flow amid a challenging market environment. For the year, TLF reported a 5.1% decline in sales totaling $76.2 million, yet achieved a $4.4 million operating income, up $3 million from the previous year. Gross margin improved by 130 basis points, while operating expenses dropped by 9.7%. Adjusted EBITDA rose to $6.5 million, a $2.5 million increase year-over-year. The company ended the year with $12.2 million in cash, a $4 million increase, and maintained a debt-free balance sheet. Looking to 2024, Tandy plans to open 3 to 5 new stores, leveraging a new retail model that focuses on a smaller footprint and expert customer service. Additionally, the company is exploring the sale of its Fort Worth property to potentially unlock more value and excess cash, which could be returned to shareholders.
Tandy Leather Factory Financial Statement Overview
Summary
Financial performance is weak overall. Income statement quality has deteriorated with TTM net margin near breakeven (~0.2%) versus much stronger profitability in 2025, suggesting volatile earnings. The balance sheet remains supported by equity but has become riskier as leverage rose (debt-to-equity ~0.60 TTM vs ~0.17–0.19 in 2023–2024). Cash flow is the biggest concern: operating cash flow is positive but free cash flow is slightly negative and down sharply (~-95% TTM), indicating limited flexibility.
Income Statement
48NeutralBalance Sheet
58NeutralCash Flow
34Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 78.47M | 76.32M | 74.39M | 76.23M | 80.33M | 82.66M |
| Gross Profit | 45.65M | 43.54M | 41.80M | 45.16M | 46.50M | 47.00M |
| EBITDA | 5.49M | 18.46M | 5.82M | 9.17M | 6.07M | 7.86M |
| Net Income | 174.00K | 9.10M | 827.00K | 3.77M | 1.23M | 1.35M |
Balance Sheet | ||||||
| Total Assets | 81.93M | 86.63M | 74.92M | 72.14M | 68.58M | 73.08M |
| Cash, Cash Equivalents and Short-Term Investments | 5.73M | 16.09M | 13.27M | 12.16M | 7.97M | 10.15M |
| Total Debt | 28.48M | 27.38M | 10.77M | 9.43M | 10.37M | 11.66M |
| Total Liabilities | 34.41M | 34.04M | 17.77M | 15.79M | 17.12M | 21.58M |
| Stockholders Equity | 47.52M | 52.59M | 57.15M | 56.35M | 51.46M | 51.50M |
Cash Flow | ||||||
| Free Cash Flow | -106.00K | -8.09M | 1.56M | 3.96M | 519.00K | 2.71M |
| Operating Cash Flow | 2.19M | -556.00K | 4.55M | 4.54M | 1.15M | 3.72M |
| Investing Cash Flow | -2.30M | 17.36M | -2.98M | -576.00K | -625.00K | -1.00M |
| Financing Cash Flow | -6.08M | -14.11M | -1,000 | -26.00K | -2.17M | -2.78M |
Tandy Leather Factory Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TLF, the sentiment is Neutral. The current price of 2.22 is below the 20-day moving average (MA) of 2.25, below the 50-day MA of 2.44, and below the 200-day MA of 2.39, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 44.94 is Neutral, neither overbought nor oversold. The STOCH value of 58.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TLF.
Tandy Leather Factory Risk Analysis
Tandy Leather Factory disclosed 20 risk factors in its most recent earnings report. Tandy Leather Factory reported the most risks in the "Production" category.
Latest Risks Added
3 New RisksTandy Leather Factory Peers Comparison
Overall Rating
MOGU49Neutral
YJ42Neutral- TLF42Neutral
NHTC39Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
| MOGU | 49Neutral | $13.73M | 52.65 | 0.35% | ― | -9.81% | ― |
| YJ | 42Neutral | $6.01M | -0.29 | -13.24% | ― | ― | ― |
| TLF | 42Neutral | $17.04M | 111.00 | 0.36% | ― | 5.26% | -98.50% |
| NHTC | 39Underperform | $6.28M | -5.68 | -8.13% | 74.91% | -16.53% | -1330.39% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TLF | Tandy Leather Factory, Inc. | 2.22 | 0.04 | 1.69% | |
| NHTC | Natural Health Trends Corp | 0.80 | -2.36 | -74.68% | |
| MOGU | Mogu Inc | 1.90 | -0.86 | -31.34% | |
| YJ | Yunji Inc | 1.17 | -0.53 | -31.18% |
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.
Date of analysis: Nov 11, 2026