Borqs Technologies (BRQSF) AI Stock Analysis

• Market Cap: $4.08M
• Dividend Yield: N/A
• Average Volume (3M): 33.24K
• Price to Earnings (P/E): 0.2
• Beta (1Y): 0.53
• Revenue Growth: -13.52%
• EPS Growth: N/A
• Country: US
• Employees: 305
• Sector: Technology
• Sector Strength: 95
• Industry: Information Technology Services
• EPS (TTM): N/A
• Shares Outstanding: 28,970,078
• 10 Day Avg. Volume: 12,149
• 30 Day Avg. Volume: 33,237
• PEG Ratio: N/A
• Price to Book (P/B): -0.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.71
• Enterprise Value/Revenue: 0.02
• Enterprise Value/Gross Profit: 0.34
• Enterprise Value/Ebitda: -0.10
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 42 Neutral
• Price Target: $0.00 ▼(-100.00%Downside)

Borqs Technologies struggles with severe financial issues, including negative equity and weak cash flows, which are the most significant factors dragging down the score. Technical analysis indicates poor market momentum, while valuation metrics show a lack of investor confidence. The absence of dividends compounds the stock's unattractiveness.

Borqs Technologies Business Overview & Revenue Model

Company Description

Borqs Technologies, Inc. (BRQSF) is a global leader in Internet of Things (IoT) and embedded software products and solutions. The company specializes in providing customizable, end-to-end IoT solutions for various segments including smart connected devices and cloud service applications. Borqs serves diverse industries such as telecommunication, utilities, and automotive through its innovative products and technical expertise.

How the Company Makes Money

Borqs Technologies generates revenue through the development and sale of IoT products and solutions. The company's primary revenue streams include the licensing of its proprietary software, sale of integrated circuit chips, and provision of end-to-end IoT solutions for industries such as telecom and utilities. Additionally, Borqs partners with hardware manufacturers to embed its software in smart devices, ensuring a continuous income stream through both licensing and service agreements. The company's strategic partnerships with major telecommunications operators and technology firms also significantly contribute to its earnings by expanding its market reach and enhancing its service offerings.

Borqs Technologies Financial Statement Overview

Summary

Borqs Technologies faces significant financial challenges, with declining revenues and negative equity indicating solvency risks. Although there is an improvement in free cash flow, overall cash flow remains negative, highlighting liquidity issues.

Income Statement

Borqs Technologies has shown a concerning decline in revenue from $52.54M in 2022 to $27.71M in 2024, indicating a negative growth trend. The gross profit margin improved slightly in 2024 but remains low at approximately 20.87%. Despite a positive net income of $16.70M in 2024, this is largely due to non-operating activities, as the EBIT remains negative. The company struggles with profitability, evidenced by negative EBIT and EBITDA margins.

Balance Sheet

The balance sheet of Borqs Technologies reveals significant financial instability. The company has a negative stockholders' equity of $-3.41M in 2024, indicating that liabilities exceed assets. The debt-to-equity ratio is not meaningful due to negative equity, and the company has a high debt burden. The equity ratio is negative, which poses a risk to financial health and stability.

Cash Flow

Borqs Technologies exhibits weak cash flow performance with negative operating cash flow and free cash flow in 2024. However, there is an improvement from 2023, as free cash flow increased from $-7.04M to $-2.88M. The operating cash flow to net income ratio is negative, suggesting that the reported net income is not supported by cash flow from operations, indicating potential sustainability issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.71M	32.05M	52.54M	29.56M	26.75M
Gross Profit	5.79M	8.09M	11.12M	2.61M	1.60M
EBITDA	19.98M	-25.30M	-15.29M	-41.02M	-26.31M
Net Income	16.70M	-26.47M	-34.03M	-55.87M	-35.50M
Balance Sheet
Total Assets	25.41M	21.43M	30.14M	53.25M	29.35M
Cash, Cash Equivalents and Short-Term Investments	5.85M	4.54M	12.74M	6.12M	3.04M
Total Debt	596.00K	5.41M	2.27M	13.39M	17.30M
Total Liabilities	29.01M	35.86M	41.30M	70.54M	91.59M
Stockholders Equity	-3.40M	-13.62M	-10.79M	-23.25M	-62.13M
Cash Flow
Free Cash Flow	-2.88M	-7.04M	-6.24M	-29.52M	-8.27M
Operating Cash Flow	-2.77M	-6.79M	-5.52M	-28.74M	-8.06M
Investing Cash Flow	9.89M	-5.01M	-3.37M	-998.00K	3.96M
Financing Cash Flow	-4.05M	1.84M	14.90M	34.27M	-1.35M

Borqs Technologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRQSF, the sentiment is Neutral. The current price of 0.17 is above the 20-day moving average (MA) of 0.16, below the 50-day MA of 0.18, and below the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 51.10 is Neutral, neither overbought nor oversold. The STOCH value of 60.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BRQSF.

Borqs Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$34.60B	5.43	-11.67%	1.84%	5.30%	-18.55%
DTST	63 Neutral	$34.34M	186.43	0.90%	―	-4.17%	-72.98%
CYCU	54 Neutral	$12.02M	33.15	-144.50%	―	―	-416.57%
BTCM	45 Neutral	$64.77M	―	-114.24%	―	―	―
BRQSF	42 Neutral	$4.08M	0.24	136.99%	―	-13.52%	―
TDTH	39 Underperform	$101.06M	―		―	―	―