Last Updated: 08 Nov 2024
Executive Summary
Northern Technologies (NTIC) is a leading provider of rust and corrosion inhibition products and services. The company has a strong market position, with a wide range of products and services that are used in a variety of industries. NTIC's financial performance has been solid in recent years, with the company reporting consistent revenue and earnings growth. The company's stock price has performed well in recent months, and it is currently trading at $13.49.
Company Overview
Northern Technologies International Corporation develops and markets products and services that inhibit rust and corrosion. The company's products are used in a variety of industries, including automotive, construction, manufacturing, and transportation. NTIC's services include consulting, engineering, and training. The company is headquartered in Circle Pines, Minnesota, and it has operations in North America, South America, Europe, Asia, and the Middle East.
Fundamental Analysis
NTIC's financial performance has been solid in recent years. The company's revenue has grown from $72.4 million in 2019 to $82.4 million in 2023. Net income has also grown, from $2.3 million in 2019 to $4.5 million in 2023. NTIC's gross profit margin has remained relatively stable in recent years, at around 28%. The company's operating margin has also been stable, at around 6%. NTIC's net profit margin has improved in recent years, from 3.2% in 2019 to 5.5% in 2023.
NTIC's balance sheet is also strong. The company has $13.5 million in cash and equivalents, and $20.3 million in total current assets. NTIC's total debt is $12.5 million, and the company's debt-to-equity ratio is 0.6.
Technical Analysis
NTIC's stock price has performed well in recent months. The stock price has risen from a low of $9.88 in March 2023 to a high of $19.42 in July 2023. The stock price is currently trading at $13.49.
The technical analysis of NTIC's stock price shows that the stock is in a bullish trend. The stock price is above its 50-day and 200-day moving averages. The stock price is also above its support level at $12.50.
Short Term Outlook
The short-term outlook for NTIC's stock price is positive. The stock price is in a bullish trend, and it is above its support level. The stock price is also approaching its resistance level at $15.00. If the stock price can break above this resistance level, it could continue to rise in the short term.
Long Term Outlook
The long-term outlook for NTIC's stock price is also positive. The company's financial performance has been solid in recent years, and the company is well-positioned to continue to grow in the future. The company's products and services are in demand, and the company has a strong market position.
Analyst Recommendations
The analyst consensus on NTIC's stock is "buy." The average analyst target price is $20.00.
