CTIB  Cti Industries Corporation

Exchange

NASDAQ

Sector

Basic Industries

Industry

Specialty Chemicals

Market Cap.

22.45M

Vuru Grade

33.55/100

Current Price

$6.37
+0.00 (+0.00%)

Growth Price

$7.12
Undervalued by 11.83%

Stability Price

$15.39
Undervalued by 141.62%

Company Metrics

  • P/E 104.43
  • P/S 0.38
  • P/B 1.8
  • EPS 0.06
  • Cash ROIC -7.66%
  • Cash Ratio 0.02
  • Dividend 0 / 0%
  • Avg. Vol. 4,336.00
  • Shares 3.52M
  • Market Cap. 22.45M

Company Description

CTI Industries Corporation develops, manufactures, and supplies flexible film products in the United States and internationally. It also provides value-added design, engineering, and production for flexible film products. In addition, the company produces, markets, and sells novelty products, principally balloons, including foil balloons, latex balloons, punch balls, and other inflatable toy items... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Form SC 13D CTI INDUSTRIES CORP Filed by: Merrick Company, LLC
StreetInsider.com - Jan 31, 2017
This Statement relates to shares of Common Stock (“Common Stock”) of CTI Industries Corporation (the “Company”). The Company's principal executive offices are located at 22160 N. Pepper Road, Barrington, IL 60010.
CTI Industries Corporation Launches Ziploc® Brand Vacuum Sealer System Website
Marketwired (press release) - Sep 25, 2013
LAKE BARRINGTON, IL--(Marketwired - Sep 25, 2013) - CTI Industries Corporation ( NASDAQ : CTIB), a manufacturer and marketer of vacuum sealing systems, foil balloons, latex balloons, printed and laminated films, has launched a website for the Ziploc® ...
Traders Buzz: CTI Industries Corporation's (CTIB) stock price ends at $5.84 ...
WsNews 4investors - Feb 14, 2017
CTI Industries Corporation's (CTIB) stock price escalated 1.74% to finalize at $5.84 throughout previous buying and selling session.
Top Bullish Stock Inside Investors Spotlight: CTI Industries Corporation's ...
WsNews 4investors - Feb 16, 2017
CTI Industries Corporation's (CTIB) stock price escalated 5.90% to finalize at $6.10 throughout previous buying and selling session.
Top Morning News: XTL Biopharmaceuticals Ltd. (NASDAQ:XTLB), CTI Industries ...
Benchmark Monitor - Jan 23, 2017
CTI Industries Corporation (NASDAQ:CTIB) announced that the Board of Directors of the company have approved the acquisition of two new foil balloon converting machines.
The Chicago stocks you've never heard of
Crain's Chicago Business - Feb 13, 2016
CTI Industries, a maker of latex and foil balloons, had big news recently: Its quarterly profit had quadrupled. Yet the stock barely budged.
CTI to invest $36.4 milllion in move to RiverCenter Towers from Blue Ash ...
User-generated content (press release) (registration) - Aug 17, 2016
Matt Bevin announced today that CTI Clinical Trial and Consulting Services, a global, privately held company providing therapeutic expertise to the pharmaceutical and biotechnology industries, will relocate its headquarters to Covington with a $36.4 ...
CTI appoints Silcock executive vice president and CFO
Meat & Poultry (registration) - Jun 13, 2016
“Having spent most of my career in the food sector, what attracts me to CTI is the opportunity to create a true industry leader,” Silcock said. “At $1.5B, CTI is one of the ... He's also held executive positions at Cott Corp. and Campbell's. Silcock ...
CTI Foods Announces Appointment of Raymond P. Silcock as CFO - Business Wire (press release)
How much do Illinois' largest companies invest in themselves?
Chicago Tribune - Sep 26, 2014
Shares of Lake Barrington-based CTI Industries have lagged the market since early 2013, down 28 percent compared with a 39 percent gain for the S&P 500.
Why You Shouldn't Bet Against CTI BioPharma (CTIC) Stock
Nasdaq - Mar 15, 2016
One stock that might be an intriguing choice for investors right now is CTI BioPharma Corp. CTIC . This is because this security in the Medical-Drugs space is seeing solid earnings estimate revision activity, and is in great company from a Zacks ...
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for CTIB to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate CTIB's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$6.37 Current Price

$7.12 Growth Price (DCF)

Undervalued by 11.83%


Growth Rate Assumed by Market: -6.35%


Future Free Cash Flow Growth Rate: 0.0%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$15.39 Stability Price (EPV)

Undervalued by 141.62%


Discount Rate: 15.0%

$0.97 NCA Price

Overvalued by 84.77%

$5.26 Book Price

Overvalued by 17.44%


Very Poor Cash Return on Invested Capital over the past 5 years

CTIB has failed to generate positive returns on its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

CTIB has lost $7.66 of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20112012201320142015
Free Cash Flow -288,934.00 -3.31M -1.89M -4.53M 1.91M
divided by
Invested Capital 15.59M 20.43M 21.97M 21.97M 21.26M
Cash ROIC -1.85% -16.21% -8.60% -20.62% 9.00%

Poor Return on Equity over the past 5 years

CTIB has shown an inability to deliver strong results for shareholders. This could be due to poor management, CTIB operating in a highly competitive industry, or having a weak business in general.

CTIB has only generated $3.55 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20112012201320142015
Net Income 483,910.00 46,330.00 408,028.00 349,281.00 937,672.00
divided by
Stockholders' Equity 11.86M 12.24M 12.66M 12.88M 12.79M
Return on Equity 4.08% 0.38% 3.22% 2.71% 7.33%

Poor Business Performance over the past 10 years

CTIB's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

CTIB has been losing money for the majority of the past 10 years.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Free Cash Flow -1.91M -1.49M -1.80M 2.38M 1.21M -288,934.00 -3.31M -1.89M -4.53M 1.91M

Weak Balance Sheet

CTIB's financial position is not ideal. The key is to check whether CTIB is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Cash 384,565.00 483,112.00 180,578.00 870,446.00 761,874.00 338,523.00 351,064.00 666,616.00 150,332.00 346,404.00
Current Assets 16.49M 17.80M 17.69M 19.15M 21.43M 23.30M 27.13M 28.17M 32.47M 32.44M
Total Assets 26.64M 29.32M 29.99M 30.40M 32.86M 33.62M 37.75M 39.07M 43.05M 41.80M
Current Liabilities 14.64M 16.48M 16.22M 16.73M 17.95M 17.69M 16.96M 16.43M 20.93M 20.20M
Total Liabilities 21.54M 22.73M 22.25M 21.63M 21.08M 21.75M 25.50M 26.42M 30.17M 29.02M
Stockholder' Equity 5.10M 6.59M 7.73M 8.76M 11.78M 11.86M 12.24M 12.66M 12.88M 12.79M
Current Ratio 1.13 1.08 1.09 1.14 1.19 1.32 1.60 1.71 1.55 1.61
TL-to-TA 0.81 0.78 0.74 0.71 0.64 0.65 0.68 0.68 0.70 0.69

Consistent Reinvestment of Profits over the past 10 years

CTIB has consistently retained profits. This may put CTIB in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, CTIB can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Retained Earnings -4.45M -4.36M -3.21M -2.21M -379,210.00 -368,122.00 -266,372.00 109,137.00 623,455.00 1.67M
Retained Earnings Growth - 1.84% 26.45% 31.25% 82.82% 2.92% 27.64% 140.97% 471.26% 167.99%

Highly Competitive Industry over the past 10 years

It's likely that CTIB is in an industry with low barriers to entry, spurring high competition. If Gross Margins are at least satisfactory, it's likely CTIB invests heavily in R&D and Sales, General & Administrative expenses.

Only $1.84 of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Net Income 1.89M 81,898.00 1.15M 1.00M 1.83M 483,910.00 46,330.00 408,028.00 349,281.00 937,672.00
divided by
Revenue 35.43M 36.51M 44.98M 41.30M 47.75M 47.17M 49.54M 56.06M 57.83M 59.36M
Net Profit Margin 5.35% 0.22% 2.57% 2.43% 3.83% 1.03% 0.09% 0.73% 0.60% 1.58%

Inconsistent Gross Profit Margins over the past 10 years

CTIB has good gross profit margins, however inconsistency of these margins is a cause for concern. Look at reasons for this inconsistency to determine the likelihood of future sustainability.

$31.30 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Gross Profit 8.90M 8.68M 10.32M 9.21M 10.60M 47.17M 10.91M 12.61M 14.20M 16.35M
divided by
Revenue 35.43M 36.51M 44.98M 41.30M 47.75M 47.17M 49.54M 56.06M 57.83M 59.36M
Gross Margin 25.11% 23.79% 22.95% 22.31% 22.20% 100.00% 22.01% 22.50% 24.56% 27.54%

High Capital Intensity over the past 10 years

CTIB spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

763.82% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Capital Expenditure 552,798.00 2.85M 2.20M 731,596.00 2.01M 1.11M 1.21M 2.06M 1.17M 681,952.00
divided by
Net Income 1.89M 81,898.00 1.15M 1.00M 1.83M 483,910.00 46,330.00 408,028.00 349,281.00 937,672.00
Capital Expenditure Ratio 29.18% 3,477.50% 190.66% 72.93% 109.84% 228.74% 2,615.88% 504.60% 336.17% 72.73%

No Dividend History over the past 10 years

CTIB has never distributed dividends or has recently suspended their dividend distribution.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 2.23M 2.59M 2.90M 2.78M 3.04M 3.18M 3.29M 3.40M 3.44M 3.44M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End 4.73 3.57 2.03 2.19 6.02 4.38 5.14 5.75 3.97 5.00
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

CTIB has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in December
2006200720082009201020112012201320142015
Shares Outstanding 2.23M 2.59M 2.90M 2.78M 3.04M 3.18M 3.29M 3.40M 3.44M 3.44M
Stock Bought Back - -13.71% -10.65% 4.45% -8.70% -4.45% -3.40% -3.28% -1.01% 0.07%
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