Abits Group (ABTS) AI Stock Analysis

• Market Cap: $9.08M
• Dividend Yield: N/A
• Average Volume (3M): 15.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: 31.69%
• EPS Growth: 86.25%
• Country: US
• Employees: 11
• Sector: Financial
• Sector Strength: 73
• Industry: Financial - Capital Markets
• EPS (TTM): -0.38
• Shares Outstanding: 2,370,312
• 10 Day Avg. Volume: 6,394
• 30 Day Avg. Volume: 15,911
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.12
• Enterprise Value/Revenue: 2.87
• Enterprise Value/Gross Profit: 5.70
• Enterprise Value/Ebitda: 14.93
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: ―

Abits Group's overall stock score is primarily impacted by weak financial performance, characterized by persistent losses and negative cash flows. The technical analysis provides some hope for stabilization or minor gains, but the valuation metrics reflect deep financial challenges. The lack of additional insights from the earnings call further underscores the need for strategic improvements to drive future performance.

Abits Group Business Overview & Revenue Model

Company Description

Abits Group Inc., a digital company, engages in the provision of bitcoin mining and related services in the United States. The company was formerly known as Moxian (BVI) Inc and changed its name to Abits Group Inc. in November 2023. Abits Group Inc. was incorporated in 2021 and is based in Tsim Sha Tsui, Hong Kong.

How the Company Makes Money

Abits Group (ABTS) generates revenue through a multifaceted business model that leverages its diverse portfolio. The company earns income from the sale of its technology products and software solutions, which cater to both individual consumers and large enterprises. In the energy sector, ABTS capitalizes on the growing demand for sustainable alternatives by offering renewable energy products and services, including solar panels and energy management systems. Additionally, ABTS benefits from its consumer goods division, which markets a wide range of products to meet everyday needs. Strategic partnerships with key players in various industries further bolster the company's revenue streams, providing access to new markets and enhancing its competitive edge.

Abits Group Financial Statement Overview

Summary

Abits Group exhibits financial instability with ongoing losses and negative cash flows. Despite an increase in revenue, profitability remains elusive. The strong equity position is a positive, yet the lack of debt only partially offsets the risks associated with persistent losses. The company needs to improve its margins and cash flow management to strengthen its financial health.

Income Statement

Abits Group's income statement reveals weak profitability with a negative net profit margin and significant EBIT and EBITDA losses. Although there is a notable increase in total revenue from the previous year, the revenue growth is driven from a low base. The company has struggled to maintain positive gross profit margins in recent years, reflecting operating challenges.

Balance Sheet

The balance sheet shows a strong equity position with no debt, resulting in a debt-to-equity ratio of zero. However, the company's return on equity is negative due to continued losses. The equity ratio is relatively healthy, indicating that the company is not highly leveraged. Despite this, the substantial net losses are a concern for future equity sustainability.

Cash Flow

Cash flow analysis highlights negative free cash flow, though there has been a significant improvement in operating cash flow. The company has been able to maintain liquidity, but the high capital expenditures indicate ongoing investments that are not yet yielding positive returns. Free cash flow remains negative, posing challenges for future cash sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Sep 2020
Income Statement
Total Revenue	6.71M	1.68M	164.43K	219.33K	946.47K
Gross Profit	3.38M	1.23M	-296.86K	219.33K	946.47K
EBITDA	1.86M	-7.59M	-15.26M	-2.68M	72.72K
Net Income	-931.71K	-12.61M	-22.65M	-2.74M	72.72K
Balance Sheet
Total Assets	11.37M	12.32M	24.53M	7.74M	2.30M
Cash, Cash Equivalents and Short-Term Investments	1.12M	884.20K	2.51M	2.51M	5.25K
Total Debt	0.00	0.00	0.00	0.00	359.55K
Total Liabilities	990.35K	1.01M	613.46K	1.17M	1.89M
Stockholders Equity	10.38M	11.31M	23.92M	6.57M	400.77K
Cash Flow
Free Cash Flow	-679.63K	-7.49M	-40.02M	-1.10M	-1.73M
Operating Cash Flow	1.92M	1.76M	-7.32M	-1.10M	-1.73M
Investing Cash Flow	-1.66M	-3.36M	-32.71M	0.00	0.00
Financing Cash Flow	0.00	0.00	40.00M	3.60M	1.13M

Abits Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.67
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ABTS, the sentiment is Negative. The current price of 3.67 is below the 20-day moving average (MA) of 3.99, below the 50-day MA of 4.26, and below the 200-day MA of 5.29, indicating a bearish trend. The MACD of -0.13 indicates Positive momentum. The RSI at 42.80 is Neutral, neither overbought nor oversold. The STOCH value of 32.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ABTS.

Abits Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$17.89B	12.03	10.28%	3.73%	9.80%	1.66%
NCPL	54 Neutral	$10.29M	―	-107.11%	―	-82.44%	22.28%
ABTS	47 Neutral	$9.08M	―	-11.74%	―	31.69%	86.25%
MEGL	43 Neutral	$11.53M	―	-3.59%	―	-7.05%	-875.61%
LGHL	39 Underperform	$1.36M	―	-130.38%	―	-123.11%	56.36%
MIGI	39 Underperform	$9.01M	―	-461.16%	―	-11.36%	64.27%
WAI	―	$1.26M	―		―	―	―