📊 ITP Key Takeaways
Is It Tech Packaging, Inc.. (ITP) a Good Investment?
IT Tech Packaging is experiencing severe operational distress with negative profitability across all metrics, declining revenues (-12.4% YoY), and deteriorating operational efficiency. Despite adequate liquidity and low leverage, the company's inability to generate positive operating or net income, combined with minimal free cash flow generation (0.6% FCF margin), indicates fundamental business model challenges that require urgent operational restructuring.
IT Tech Packaging shows weak core fundamentals, with double-digit revenue decline and deeply negative operating and net margins indicating an unprofitable business model at current scale. While the balance sheet is conservative with low leverage and acceptable liquidity, cash generation is minimal relative to revenue and does not offset persistent earnings weakness.
Why Buy It Tech Packaging, Inc.. Stock? ITP Key Strengths
- Strong liquidity position with current ratio of 1.92x and quick ratio of 1.71x
- Conservative balance sheet with low debt-to-equity ratio of 0.03x and minimal long-term debt burden
- Positive free cash flow of $358.5K despite operational losses, indicating some working capital recovery
- Low leverage with debt/equity of 0.03x reduces financial distress risk
- Liquidity is still adequate, with current ratio of 1.92x and quick ratio of 1.71x
- Positive operating cash flow and free cash flow, albeit modest, show the business is not currently burning large amounts of cash
ITP Stock Risks: It Tech Packaging, Inc.. Investment Risks
- Severe profitability crisis with negative operating margin of -10.0% and net margin of -11.3%
- Revenue contraction of -12.4% YoY indicating declining market demand or competitive pressures in converted paper products
- Critically low gross margin of 5.5% suggesting poor cost control, unfavorable product mix, or aggressive pricing pressure
- Negative interest coverage ratio of -14.5x reflecting inability to service debt from operating earnings
- Deteriorating returns on equity (-4.5%) and assets (-3.9%) demonstrating capital destruction
- Zero insider purchases in past 90 days suggests management lacks confidence in operational turnaround
- Revenue fell 12.4% YoY, pointing to weakening demand or poor competitive positioning
- Profitability is severely weak, with 5.5% gross margin and -10.0% operating margin leaving little buffer for costs
- Negative interest coverage and ongoing net losses suggest the business remains fundamentally fragile despite a strong equity base
Key Metrics to Watch
- Quarterly revenue trend to determine if -12.4% decline accelerates or stabilizes
- Gross margin recovery path and evidence of cost reduction initiatives
- Operating cash flow sustainability and runway given cumulative operating losses
- Management commentary on market conditions and restructuring plans in upcoming 10-Q/10-K filings
- Gross margin and operating margin progression
- Revenue trend and operating cash flow consistency
It Tech Packaging, Inc.. (ITP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 0.6% FCF margin may limit capital allocation flexibility.
ITP Profit Margin, ROE & Profitability Analysis
ITP vs Materials Sector: How It Tech Packaging, Inc.. Compares
How It Tech Packaging, Inc.. compares to Materials sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is It Tech Packaging, Inc.. Stock Overvalued? ITP Valuation Analysis 2026
Based on fundamental analysis, It Tech Packaging, Inc.. has mixed fundamental signals relative to the Materials sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
It Tech Packaging, Inc.. Balance Sheet: ITP Debt, Cash & Liquidity
ITP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: It Tech Packaging, Inc..'s revenue has declined by 26% over the 5-year period, indicating business contraction. The most recent EPS of $-0.99 indicates the company is currently unprofitable.
ITP Revenue Growth, EPS Growth & YoY Performance
ITP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $25.1M | -$1.4M | $-0.11 |
| Q2 2025 | $24.8M | -$77.7K | $-0.01 |
| Q1 2025 | $6.9M | -$3.5M | $-0.35 |
| Q3 2024 | $15.8M | -$2.0M | $-0.20 |
| Q2 2024 | $26.2M | -$77.7K | $-0.01 |
| Q1 2024 | $6.9M | -$2.7M | $-0.27 |
| Q3 2023 | $15.8M | -$1.9M | $-0.19 |
| Q2 2023 | $30.0M | -$287.9K | $-0.03 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
It Tech Packaging, Inc.. Dividends, Buybacks & Capital Allocation
ITP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for It Tech Packaging, Inc.. (CIK: 0001358190)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ITP
What is the AI rating for ITP?
It Tech Packaging, Inc.. (ITP) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 88% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ITP's key strengths?
Claude: Strong liquidity position with current ratio of 1.92x and quick ratio of 1.71x. Conservative balance sheet with low debt-to-equity ratio of 0.03x and minimal long-term debt burden. ChatGPT: Low leverage with debt/equity of 0.03x reduces financial distress risk. Liquidity is still adequate, with current ratio of 1.92x and quick ratio of 1.71x.
What are the risks of investing in ITP?
Claude: Severe profitability crisis with negative operating margin of -10.0% and net margin of -11.3%. Revenue contraction of -12.4% YoY indicating declining market demand or competitive pressures in converted paper products. ChatGPT: Revenue fell 12.4% YoY, pointing to weakening demand or poor competitive positioning. Profitability is severely weak, with 5.5% gross margin and -10.0% operating margin leaving little buffer for costs.
What is ITP's revenue and growth?
It Tech Packaging, Inc.. reported revenue of $61.3M.
Does ITP pay dividends?
It Tech Packaging, Inc.. pays dividends, with $0.3M distributed to shareholders in the trailing twelve months.
Where can I find ITP SEC filings?
Official SEC filings for It Tech Packaging, Inc.. (CIK: 0001358190) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ITP's EPS?
It Tech Packaging, Inc.. has a diluted EPS of $-0.51.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is ITP a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, It Tech Packaging, Inc.. has a SELL rating with 88% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is ITP stock overvalued or undervalued?
Valuation metrics for ITP: ROE of -4.5% (sector avg: 14%), net margin of -11.3% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy ITP stock in 2026?
Our dual AI analysis gives It Tech Packaging, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ITP's free cash flow?
It Tech Packaging, Inc..'s operating cash flow is $388.5K, with capital expenditures of $30.0K. FCF margin is 0.6%.
How does ITP compare to other Materials stocks?
Vs Materials sector averages: Net margin -11.3% (avg: 10%), ROE -4.5% (avg: 14%), current ratio 1.92 (avg: 1.6).