Guardforce AI Co., Limited Fundamental Analysis (NASDAQ: GFAI)
Guardforce AI Co., Limited Fundamental Analysis (NASDAQ: GFAI)
Guardforce AI Co., Limited (NASDAQ: GFAI) shows weak financial fundamentals with a PE ratio of -0.72, profit margin of -21.31%, and ROE of -23.20%. The company generates $0.0B in annual revenue with weak year-over-year growth of 0.61%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -9.9/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GFAI's fundamental strength across five key dimensions:
Efficiency Score
WeakGFAI struggles to generate sufficient returns from assets.
Valuation Score
ExcellentGFAI trades at attractive valuation levels.
Growth Score
ModerateGFAI shows steady but slowing expansion.
Financial Health Score
ExcellentGFAI maintains a strong and stable balance sheet.
Profitability Score
WeakGFAI struggles to sustain strong margins.
Key Financial Metrics
Is GFAI Expensive or Cheap?
P/E Ratio
GFAI trades at -0.72 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, GFAI's PEG of -0.03 indicates potential undervaluation.
Price to Book
The market values Guardforce AI Co., Limited at 0.24 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -6.68 times EBITDA. This is generally considered low.
How Well Does GFAI Make Money?
Net Profit Margin
For every $100 in sales, Guardforce AI Co., Limited keeps $-21.31 as profit after all expenses.
Operating Margin
Core operations generate -18.90 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-23.20 in profit for every $100 of shareholder equity.
ROA
Guardforce AI Co., Limited generates $-16.99 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Guardforce AI Co., Limited generates limited operating cash flow of $-229.53K, signaling weaker underlying cash strength.
Free Cash Flow
Guardforce AI Co., Limited generates weak or negative free cash flow of $-649.90K, restricting financial flexibility.
FCF Per Share
Each share generates $-0.02 in free cash annually.
FCF Yield
GFAI converts -11.10% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.03
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.24
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.16
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.23
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.23
vs 25 benchmark
ROA
Return on assets percentage
-0.17
vs 25 benchmark
ROCE
Return on capital employed
-0.17
vs 25 benchmark
How GFAI Stacks Against Its Sector Peers
| Metric | GFAI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.72 | 27.00 | Better (Cheaper) |
| ROE | -23.20% | 1114.00% | Weak |
| Net Margin | -21.31% | -250.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.75 | Strong (Low Leverage) |
| Current Ratio | 5.23 | 21.91 | Strong Liquidity |
| ROA | -16.99% | -1340474.00% (disorted) | Weak |
GFAI outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Guardforce AI Co., Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-99.39%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
98.61%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
-100.18%
Industry Style: Cyclical, Value, Infrastructure
Declining