Antelope Enterprise Holdings (AEHL) AI Stock Analysis

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Antelope Enterprise Holdings

(NASDAQ:AEHL)

28Underperform

Antelope Enterprise Holdings faces severe financial challenges, reflected in declining revenues, persistent losses, and high leverage. Technical indicators confirm a bearish outlook, with negative momentum and oversold conditions. Valuation metrics are unfavorable, with a negative P/E ratio and no dividend yield. The earnings call offers some hope with strategic initiatives, but substantial financial and operational improvements are necessary to achieve growth. Overall, the stock remains fraught with risks, warranting a cautious stance.

Antelope Enterprise Holdings (AEHL) vs. S&P 500 (SPY)

Market Cap

$9.40M

Dividend YieldN/A

Average Volume (3M)2.04M

Price to Earnings (P/E)―

Beta (1Y)-0.92

Revenue Growth7.51%

EPS GrowthN/A

CountryUS

Employees66

SectorIndustrials

Sector Strength90

IndustryConstruction

Share Statistics

EPS (TTM)-4.10

Shares Outstanding1,113,291

10 Day Avg. Volume304,341

30 Day Avg. Volume2,040,460

Financial Highlights & Ratios

PEG Ratio>-0.01

Price to Book (P/B)0.04

Price to Sales (P/S)0.00

P/FCF Ratio-0.27

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Antelope Enterprise Holdings Business Overview & Revenue Model

Company DescriptionAntelope Enterprise Holdings Limited, through its subsidiaries, manufactures and sells ceramic tiles for exterior siding and interior flooring, and design in residential and commercial buildings in the People's Republic of China. The company provides porcelain tiles, glazed tiles, glazed porcelain tiles, rustic tiles, and polished glazed tiles. It sells its products under the HD or Hengda brands through a network of distributors, as well as directly to property developers. The company was formerly known as China Ceramics Co., Ltd. and changed its name to Antelope Enterprise Holdings Limited in October 2020. Antelope Enterprise Holdings Limited was founded in 1993 and is headquartered in Jinjiang, the People's Republic of China.

How the Company Makes MoneyAntelope Enterprise Holdings makes money through the sale of its ceramic tile products. The company generates revenue by manufacturing and selling various types of tiles, including porcelain and glazed tiles, to a broad customer base that includes property developers, contractors, and retailers. AEHL's revenue is influenced by the demand for construction and renovation projects, both in the domestic Chinese market and in international markets where it exports its products. The company may also engage in strategic partnerships with distributors and retailers to enhance its market reach and sales volume.

Antelope Enterprise Holdings Financial Statement Overview

Summary

Antelope Enterprise Holdings is facing significant financial challenges across all areas. The company struggles with declining revenues and persistent losses, high financial leverage, and negative cash flows. These factors contribute to an overall weak financial position, raising concerns about the company's sustainability without improvements in operational efficiency and financial stability.

Income Statement

Negative

The company has shown a significant decline in revenue over the years, with the revenue dropping from 327.6 million in 2019 to 510.5 million in 2023. The gross profit margin has been inconsistent, and the company reported negative EBIT and EBITDA margins in 2023, indicating operational inefficiencies. The net profit margin is also negative, reflecting ongoing profitability challenges.

Balance Sheet

Negative

The balance sheet indicates a high debt-to-equity ratio due to increasing total debt and decreasing equity, which suggests financial leverage concerns. The return on equity is negative, highlighting poor returns on shareholders' investment. However, the company has managed to maintain a reasonable level of total assets, although equity has been severely depleted over the years.

Cash Flow

Very Negative

The cash flow statement reveals negative operating and free cash flows, indicating cash flow difficulties. The operating cash flow to net income ratio is negative due to negative operating cash flows, and free cash flow has been consistently negative, signaling issues with generating cash from operations.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
517.15M	510.55M	286.35M	216.27M	182.99M	327.58M
	Gross Profit
31.24M	53.05M	27.92M	67.34M	-26.00M	81.33M
	EBIT
-95.06M	-88.08M	-8.37M	37.88M	-40.17M	59.46M
	EBITDA
-96.65M	-85.50M	-5.16M	-20.06M	-151.00K	-23.75M
	Net Income Common Stockholders
-97.17M	-14.34M	-5.65M	-90.06M	-193.09M	-9.50M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
263.50M	4.51M	12.46M	27.88M	12.34M	8.21M
	Total Assets
1.23B	121.50M	110.01M	177.87M	225.39M	362.28M
	Total Debt
97.00M	15.54M	10.55M	83.08M	96.51M	42.01M
	Net Debt
-166.50M	11.74M	6.62M	55.20M	84.16M	33.80M
	Total Liabilities
345.19M	19.26M	103.54M	128.31M	128.04M	89.39M
	Stockholders Equity
882.24M	96.94M	1.05M	50.86M	97.35M	272.89M
Cash Flow		Free Cash Flow
-87.08M	-60.85M	-15.48M	-9.40M	-359.00K	6.29M
	Operating Cash Flow
-73.82M	-60.35M	-15.45M	-8.12M	-313.00K	6.29M
	Investing Cash Flow
14.42M	18.54M	-10.49M	-1.28M	2.74M	-1.07M
	Financing Cash Flow
77.23M	42.80M	2.27M	24.40M	1.33M	-5.91M

Antelope Enterprise Holdings Technical Analysis

Technical Analysis Sentiment

Negative

Last Price2.61

Price Trends

50DMA

3.43

Negative

100DMA

4.90

Negative

200DMA

27.26

Negative

Market Momentum

MACD

-0.25

Negative

RSI

45.11

Neutral

STOCH

53.38

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AEHL, the sentiment is Negative. The current price of 2.61 is below the 20-day moving average (MA) of 2.72, below the 50-day MA of 3.43, and below the 200-day MA of 27.26, indicating a bearish trend. The MACD of -0.25 indicates Negative momentum. The RSI at 45.11 is Neutral, neither overbought nor oversold. The STOCH value of 53.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AEHL.

Antelope Enterprise Holdings Risk Analysis

Antelope Enterprise Holdings disclosed 49 risk factors in its most recent earnings report. Antelope Enterprise Holdings reported the most risks in the “Finance & Corporate” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Antelope Enterprise Holdings Peers Comparison

Overall Rating

UnderperformOutperform

Sector (64)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWIM	71 Outperform	$776.17M	77.89	-4.13%	―	-5.58%	-465.52%
JBI	70 Neutral	$1.18B	24.10	9.51%	―	-13.95%	-63.37%
Sector *	64 Neutral	$4.38B	12.03	5.25%	249.91%	4.11%	-11.02%
APT	63 Neutral	$49.21M	12.84	6.43%	―	-4.49%	0.06%
CSTE	46 Neutral	$73.95M	―	-17.84%	―	-20.34%	53.57%
JELD	45 Neutral	$371.90M	―	-55.39%	―	-14.12%	-1264.86%
AEHL	28 Underperform	$9.40M	―	-53.77%	―	7.51%	―

* Industrials Sector Average

Performance Comparison

AEHL

Antelope Enterprise Holdings

2.61

-57.21

-95.64%

APT

Alpha Pro Tech

4.58

-0.38

-7.66%

CSTE

CaesarStone Sdot-Yam

2.13

-4.25

-66.61%

JELD

JELD-WEN

4.44

-10.66

-70.60%

JBI

Janus International Group

8.50

-5.42

-38.94%

SWIM

Latham Group

6.76

2.94

76.96%

Antelope Enterprise Holdings Earnings Call Summary

Earnings Call Date:May 01, 2025

(Q2-2024)

% Change Since: 0.77%|

Next Earnings Date:Oct 06, 2025

Earnings Call Sentiment Neutral

The earnings call reflects a mixed outlook. While the company has made strategic moves to diversify and improve its financial position, such as increasing client engagements and entering the energy sector, it faces challenges with decreased revenue, gross profit, and increased administrative expenses. The company is in a transition phase with potential for growth but also significant current setbacks.

Q2-2024 Updates

Positive Updates

Increased Client Engagements

Antelope Enterprise engaged with more than 70 clients in the first half of 2024, an increase of nearly 20 clients compared to the same period in 2023.

Strategic Entry into Energy Sector

The company plans to enter the energy sector in the third quarter of 2024, launching in Texas to meet the growing needs of the computing power industry.

Improvement in Cash Position

Cash and cash equivalents increased by $1.8 million or 333.2% to $2.3 million as of June 30, 2024, compared to $0.6 million as of December 31, 2023.

Strong Shareholder Equity Growth

Shareholders' equity increased by $3.6 million or 25.2% to $18 million as of June 30, 2024, compared to $14.4 million as of December 31, 2023.

Negative Updates

Decline in Revenue and Gross Profit

Revenue decreased by $1.1 million or 2.6% to $43.5 million, and gross profit decreased by $3.3 million or 46.7% to $3.5 million for the first half of 2024 compared to the same period in 2023.

Increased Administrative Expenses

Administrative expenses increased by $1.3 million or 22.8% to $6.9 million in the first half of 2024.

Loss from Continuing Operations

Loss from continuing operations before taxation increased by $1.1 million or 19.3% to $6.5 million for the first half of 2024.

Decreased Gross Profit Margin

Gross profit margin for the livestreaming ecommerce business was 8% in the first half of 2024, down from 15.3% in the same period of 2023.

Company Guidance

During the Antelope Enterprise Holdings First Half 2024 Earnings Conference Call, the company reported a revenue of $43.5 million, reflecting a 2.6% decrease from $44.6 million in the same period of 2023, attributed to the loss of major clients and a strategic pivot towards engaging more mid-tier clients. The company increased its client base by nearly 20, totaling over 70 clients in the first half of 2024. Gross profit decreased significantly to $3.5 million, a 46.7% drop from $6.8 million in 2023, with the gross profit margin falling from 15.3% to 8%. Selling and distribution expenses reduced by 55.9% to $3.1 million, while administrative expenses rose by 22.8% to $6.9 million. The company recorded a loss from continuing operations of $6.5 million, up from a $5.5 million loss in 2023. Loss per share improved to $0.96 from $3.38. The company’s cash increased to $2.3 million, and shareholders' equity rose to $18 million. A key strategic development includes entering the energy sector in Texas, leveraging natural gas generators to supply electricity directly to high-demand sectors like data centers, aiming for cost-effective energy solutions.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.