NasdaqCM:TAOP

Stock Analysis Report

Executive Summary

Taoping Inc. provides cloud-based platform, resource sharing, and big data solutions to the Chinese new media, education residential community management, and elevator Internet of Things (IoT) industries in the People's Republic of China.


Snowflake Analysis

Mediocre balance sheet and overvalued.


Similar Companies

Share Price & News

How has Taoping's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TAOP's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.5%

TAOP

2.1%

US IT

0.06%

US Market


1 Year Return

-46.8%

TAOP

37.4%

US IT

19.4%

US Market

Return vs Industry: TAOP underperformed the US IT industry which returned 37.4% over the past year.

Return vs Market: TAOP underperformed the US Market which returned 19.4% over the past year.


Shareholder returns

TAOPIndustryMarket
7 Day-2.5%2.1%0.06%
30 Day-26.9%4.6%1.1%
90 Day32.9%14.9%8.9%
1 Year-46.8%-46.8%38.8%37.4%21.9%19.4%
3 Year-27.8%-27.8%111.5%102.4%48.9%39.3%
5 Year-82.9%-82.9%147.5%125.5%71.9%53.1%

Price Volatility Vs. Market

How volatile is Taoping's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Taoping undervalued compared to its fair value and its price relative to the market?

3.6x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate TAOP's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate TAOP's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: TAOP is unprofitable, so we can't compare its PE Ratio to the IT industry average.

PE vs Market: TAOP is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TAOP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TAOP is good value based on its PB Ratio (3.6x) compared to the US IT industry average (4.3x).


Next Steps

Future Growth

How is Taoping forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.4%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Taoping has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Taoping performed over the past 5 years?

65.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TAOP is currently unprofitable.

Growing Profit Margin: TAOP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TAOP is unprofitable, but has reduced losses over the past 5 years at a rate of 65.1% per year.

Accelerating Growth: Unable to compare TAOP's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TAOP is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (12%).


Return on Equity

High ROE: TAOP has a negative Return on Equity (-13.12%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Taoping's financial position?


Financial Position Analysis

Short Term Liabilities: TAOP's short term assets ($30.3M) exceed its short term liabilities ($25.2M).

Long Term Liabilities: TAOP has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: TAOP's debt to equity ratio (44.8%) is considered high.

Reducing Debt: TAOP's debt to equity ratio has reduced from 95.7% to 44.8% over the past 5 years.


Balance Sheet

Inventory Level: TAOP has a high level of physical assets or inventory.

Debt Coverage by Assets: TAOP's debt is covered by short term assets (assets are 4.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if TAOP has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if TAOP has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Taoping's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TAOP's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

4.5yrs

Average management tenure


CEO

Jianghuai Lin (50yo)

13.3yrs

Tenure

US$133,324

Compensation

Mr. Jianghuai Lin has been the Chief Executive Officer of China Information Technology, Inc. since October 03, 2006 and has been its Chairman since September 06, 2006. Mr. Lin has been the Chairman and Gen ...


Leadership Team

NamePositionTenureCompensationOwnership
Jianghuai Lin
Chairman & CEO13.3yrsUS$133.32k41.81% $10.6m
Zhiqiang Zhao
President11.4yrsUS$89.52k0.36% $92.0k
Zhixiong Huang
Chief Operating Officer4.5yrsUS$79.44kno data
Yifu Liu
Executive Vice President5.9yrsUS$95.24kno data
Junping Sun
Chief Investment Officer & Senior VP4.5yrsno datano data
Guangzeng Chen
CTO & Chief Product Officer4.2yrsno data0.098% $24.9k
Iris Yan
Director of Investor Relations and Corporate Secretary0yrsno datano data
Liqiong Yan
Assistant CFO & Secretary of Board of Directors0yrsno datano data

4.5yrs

Average Tenure

49yo

Average Age

Experienced Management: TAOP's management team is considered experienced (4.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jianghuai Lin
Chairman & CEO13.3yrsUS$133.32k41.81% $10.6m
Zhiqiang Zhao
President11.4yrsUS$89.52k0.36% $92.0k
Chiahung Hu
Independent Director7.7yrsUS$18.00kno data
Yunsen Huang
Independent Director7.7yrsUS$5.71k0.24% $60.3k
Yong Jiang
Independent Director6.5yrsno datano data

7.7yrs

Average Tenure

50yo

Average Age

Experienced Board: TAOP's board of directors are considered experienced (7.7 years average tenure).


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 2.3%.


Top Shareholders

Company Information

Taoping Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Taoping Inc.
  • Ticker: TAOP
  • Exchange: NasdaqCM
  • Founded: 1993
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: US$25.470m
  • Shares outstanding: 41.76m
  • Website: https://www.taop.com

Number of Employees


Location

  • Taoping Inc.
  • Everbright Bank Building
  • 21st Floor
  • Shenzhen
  • Guangdong Province
  • 518040
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TAOPNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDSep 2006
C3IDB (Deutsche Boerse AG)YesCommon StockDEEURSep 2006

Biography

Taoping Inc. provides cloud-based platform, resource sharing, and big data solutions to the Chinese new media, education residential community management, and elevator Internet of Things (IoT) industries in the People's Republic of China. The company operates in two segments, Cloud-based Technology and Traditional Information Technology. It offers cloud-based software as a service to automate the interactive workflow between advertising agencies and their customers, including establishing new projects, submitting advertisement proposals, revising and approving advertising proposals, processing payment online, remotely uploading advertisement content, and tracking and analyzing performance data. The company also provides project-based technology products and services for the public sector; and software and hardware with fully integrated solutions, including information technology infrastructure, Internet-enabled display technologies, and IoT platforms to customers in government, education, residential community management, media, transportation, healthcare, other private sectors, as well as related maintenance and support services. In addition, it offers Internet-based advertisement distribution and display terminal sharing systems and online retail platform to out-of-home advertising markets. Further, the company operates Taoping Net, an advertising-resources trading service platform, which connect screen owners, advertisers, and consumers; and Taoping App, which enable customers to distribute and manage advertisements from mobile terminals. The company was formerly known as China Information Technology, Inc. and changed its name to Taoping Inc. in June 2018. Taoping Inc. was founded in 1993 and is headquartered in Shenzhen, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 00:48
End of Day Share Price2020/02/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.