NLI Holdings Inc. (NL) Revenue-to-Profit Sankey Flow & SEC XBRL Financials

NL scores 45 out of 100 with a letter grade of D, labeled "Roarable Sell — Underperform / Distribution Warning." The five pillars are:

• Fundamental Cash Engine: 8 / 20. The rating cites ROIC of 3.4% and FCF yield of -11.75%. For an investor, this pillar carries the most weight against the stock: the business is currently not generating free cash relative to its market value.
• Whale 13F Flow: 11 / 20. Described as institutional accumulation and options positioning. The underlying holder data is not provided (see Analyst View section), so the score cannot be traced to specific filings.
• Insider Conviction: 4 / 20. The lowest pillar score, reflecting SEC Form 4 and Congressional PTR cluster flow as weak in the rating's assessment. This is the clearest negative signal on insider conviction.
• Macro Regime Fit: 11 / 20. Beta of 1.0 and sector sensitivity are cited. A beta of 1.0 means the rating treats the stock as moving in line with the market; it does not indicate a defensive profile.
• Forensic Balance Sheet: 11 / 20. The rating cites Altman Z of 2.5, Piotroski F of 4/9, and Debt/Equity of 0.5. These are middling readings rather than distress or strength.

Investor implications: upside, if it comes, would need to be driven by an improvement in cash generation, since the cash engine pillar is the weakest fundamental input and the rating does not identify a catalyst that resolves it. The 5.15% dividend yield and 16.7x EV/EBITDA are presented in the data, but the negative FCF yield raises the question of how sustainable the yield is relative to cash generation. The overall rating is a distribution warning, meaning the framework reads the current setup as unfavorable for accumulation.

NLI Holdings Inc. (NL) is a NYSE-listed operating company in the Major Chemicals industry (Materials sector) with an equity market capitalization of $347.7M. The business operates with a gross margin of 30.4%, an operating margin of 6.7%, and a return on invested capital (ROIC) of 3.4% (free cash flow yield of -11.75%). Within the Major Chemicals peer group, investor evaluation centers on operating leverage, unit margin durability, and capital allocation efficiency across market cycles.

And market data, gross margin is 30.4%, operating margin 6.7%, and net margin -23.9%. ROIC is 3.4%. The rating cites an Altman Z-Score of 2.5 and a Piotroski F-Score of 4/9. Cash declined from $163.2M (FY 2024) to $110.6M (FY 2025) while FY 2025 free cash flow was negative at -$40.1M; debt is —, though Debt/Equity of 0.5 is cited in the rating.

• 🐂 Primary Bull Case: The stock carries a 5.15% dividend yield and a 16.7x EV/EBITDA multiple while its beta of 1.0 and middling Altman Z of 2.5 show no acute balance-sheet distress. With Fundamental Cash Engine at 8/20 (ROIC 3.4%, FCF yield -11.75%) and Institutional Whale Flow at 12/20, sustained execution supports upside toward the top of the $5.04 – $8.60 52-week range.
• 🐻 Primary Bear Case: Free cash flow was negative at -$40.1M in FY 2025 with a -11.75% FCF yield, and insider conviction scored just 4 of 20 in the RQD rating. Investors must weigh current valuation and 16.7x EV/EBITDA against 6.7% operating margins and a 1.00 macro beta if sector demand softens.

Supply_chain is NONE, butterfly_links is empty, and proprietary_signals is empty. Upstream suppliers, downstream customers, and sector correlations are — Investors should note that the absence of mapped links means the framework cannot identify 2nd-order bottlenecks from this dataset; any assessment of ripple effects would require sources not included here.

• Key Question #1: What are NL's specific products, customers, and revenue drivers behind the $158.3M FY 2025 revenue?
• Key Question #2: What drove the swing from FY 2024 net income of $67.2M to FY 2025 net loss of -$37.8M despite positive operating income of $10.7M?
• Key Question #3: What is the total debt figure, and how does it reconcile with the cited Debt/Equity of 0.5?