Greenland Technologies Holding (NasdaqCM:GTEC) - Share price, News & Analysis

GTEC fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	4/6
Past Performance	2/6
Financial Health	4/6
Dividends	0/6

GTEC Stock Overview

Greenland Technologies Holding Corporation develops, manufactures, and sells drivetrain systems for material handling machineries and electric vehicles, and electric industrial vehicles.

Rewards

Price-To-Earnings ratio (7.4x) is below the US market (14.7x)

Earnings are forecast to grow 25.76% per year

Risk Analysis

Profit margins (5.7%) are lower than last year (10.6%)

Shareholders have been diluted in the past year

Does not have a meaningful market cap ($44M)

Greenland Technologies Holding Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Greenland Technologies Holding
Historical stock prices
Current Share Price	US$3.86
52 Week High	US$12.60
52 Week Low	US$2.60
Beta	2.53
1 Month Change	11.24%
3 Month Change	-34.47%
1 Year Change	-57.44%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-48.60%

Recent News & Updates

May 11

Greenland Technologies Holding (NASDAQ:GTEC) Is Experiencing Growth In Returns On Capital

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Firstly, we'll want to...

Shareholder Returns

	GTEC	US Machinery	US Market
7D	8.7%	1.5%	6.6%
1Y	-57.4%	-20.1%	-18.4%

Return vs Industry: GTEC underperformed the US Machinery industry which returned -20.1% over the past year.

Return vs Market: GTEC underperformed the US Market which returned -18.4% over the past year.

Price Volatility

Is GTEC's price volatile compared to industry and market?
GTEC volatility
GTEC Average Weekly Movement	10.3%
Machinery Industry Average Movement	6.1%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.2%

Stable Share Price: GTEC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: GTEC's weekly volatility has decreased from 16% to 10% over the past year.

About the Company

Founded	Employees	CEO	Website
2006	328	Raymond Z. Wang	https://ir.gtec-tech.com

Greenland Technologies Holding Corporation develops, manufactures, and sells drivetrain systems for material handling machineries and electric vehicles, and electric industrial vehicles. The company offers transmission products for forklift trucks that are used in manufacturing and logistic applications, such as factories, workshops, warehouses, fulfillment centers, shipyards, and seaports. It also develops robotic cargo carriers.

Greenland Technologies Holding Fundamentals Summary

How do Greenland Technologies Holding's earnings and revenue compare to its market cap?
GTEC fundamental statistics
Market Cap	US$43.73m
Earnings (TTM)	US$5.92m
Revenue (TTM)	US$103.54m

7.4x

P/E Ratio

0.4x

P/S Ratio

Is GTEC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
GTEC income statement (TTM)
Revenue	US$103.54m
Cost of Revenue	US$82.68m
Gross Profit	US$20.86m
Other Expenses	US$14.93m
Earnings	US$5.92m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.52
Gross Margin	20.14%
Net Profit Margin	5.72%
Debt/Equity Ratio	14.3%

How did GTEC perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is GTEC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GTEC?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for GTEC. This is calculated by dividing GTEC's market cap by their current preferred multiple.
What is GTEC's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$43.73m

GTEC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.6x
Enterprise Value/EBITDA	5.1x
PEG Ratio	0.3x

Price to Earnings Ratio vs Peers

How does GTEC's PE Ratio compare to its peers?

GTEC PE Ratio vs Peers

The above table shows the PE ratio for GTEC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	35.9x

Forward PE

Price-To-Earnings vs Peers: GTEC is good value based on its Price-To-Earnings Ratio (7.4x) compared to the peer average (35.9x).

Price to Earnings Ratio vs Industry

How does GTEC's PE Ratio compare vs other companies in the U.S. Machinery Industry?

Price-To-Earnings vs Industry: GTEC is good value based on its Price-To-Earnings Ratio (7.4x) compared to the US Machinery industry average (21.7x)

Price to Earnings Ratio vs Fair Ratio

What is GTEC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GTEC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	7.4x
Fair PE Ratio	25.2x

Price-To-Earnings vs Fair Ratio: GTEC is good value based on its Price-To-Earnings Ratio (7.4x) compared to the estimated Fair Price-To-Earnings Ratio (25.2x).

Share Price vs Fair Value

What is the Fair Price of GTEC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate GTEC's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate GTEC's fair value for valuation analysis.

Price to Earnings Growth Ratio

PEG Ratio: GTEC is good value based on its PEG Ratio (0.3x)

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Future Growth

How is Greenland Technologies Holding forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

25.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: GTEC's forecast earnings growth (25.8% per year) is above the savings rate (1.9%).

Earnings vs Market: GTEC's earnings (25.8% per year) are forecast to grow faster than the US market (13.9% per year).

High Growth Earnings: GTEC's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: GTEC's revenue (19.2% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: GTEC's revenue (19.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if GTEC's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Greenland Technologies Holding performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

34.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GTEC has high quality earnings.

Growing Profit Margin: GTEC's current net profit margins (5.7%) are lower than last year (10.6%).

Past Earnings Growth Analysis

Earnings Trend: GTEC's earnings have grown significantly by 34.9% per year over the past 5 years.

Accelerating Growth: GTEC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GTEC had negative earnings growth (-31.4%) over the past year, making it difficult to compare to the Machinery industry average (24%).

Return on Equity

High ROE: GTEC's Return on Equity (9.9%) is considered low.

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Financial Health

How is Greenland Technologies Holding's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: GTEC's short term assets ($141.0M) exceed its short term liabilities ($83.9M).

Long Term Liabilities: GTEC's short term assets ($141.0M) exceed its long term liabilities ($2.2M).

Debt to Equity History and Analysis

Debt Level: GTEC's net debt to equity ratio (0.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if GTEC's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: GTEC's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: GTEC's interest payments on its debt are well covered by EBIT (20.1x coverage).

Balance Sheet

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Dividend

What is Greenland Technologies Holding current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate GTEC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GTEC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GTEC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GTEC's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as GTEC has not reported any payouts.

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Management

How experienced are the management team and are they aligned to shareholders interests?

2.7yrs

Average management tenure

CEO

Raymond Z. Wang (37 yo)

2.67yrs

Tenure

US$540,760

Compensation

Mr. Raymond Z. Wang serves as Chief Executive Officer and President at Greenland Technologies Holding Corporation since October 24, 2019. Mr. Wang serves as Vice Chairman of the board of ONE Project. He ha...

CEO Compensation Analysis

Compensation vs Market: Raymond Z.'s total compensation ($USD540.76K) is about average for companies of similar size in the US market ($USD749.40K).

Compensation vs Earnings: Raymond Z.'s compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.

Leadership Team

Experienced Management: GTEC's management team is considered experienced (2.7 years average tenure).

Board Members

Experienced Board: GTEC's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.9%.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31