Borqs Technologies (BRQSF) AI Stock Analysis

• Market Cap: $5.21M
• Dividend Yield: N/A
• Average Volume (3M): 10.79K
• Price to Earnings (P/E): 0.3
• Beta (1Y): 0.61
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 305
• Sector: Technology
• Sector Strength: 82
• Industry: Information Technology Services
• EPS (TTM): N/A
• Shares Outstanding: 28,970,078
• 10 Day Avg. Volume: 11,506
• 30 Day Avg. Volume: 10,786
• PEG Ratio: <0.01
• Price to Book (P/B): -0.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.77
• Enterprise Value/Market Cap: -0.82
• Enterprise Value/Revenue: -0.03
• Enterprise Value/Gross Profit: -0.50
• Enterprise Value/Ebitda: 0.14
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 29 Underperform
• Price Target: ―

Borqs Technologies faces significant financial difficulties, with declining revenues and negative equity as primary concerns. The technical indicators reflect weak market momentum, and the absence of valuation metrics like P/E ratio and dividend yield compounds the uncertainty. The overall score is heavily influenced by the company's precarious financial situation and lack of positive growth indicators.

Borqs Technologies Business Overview & Revenue Model

Company Description

Borqs Technologies (BRQSF) is a global provider of Internet of Things (IoT) software and products, as well as mobile virtual network operator (MVNO) services. The company specializes in the development of smart connected devices and cloud platform solutions, catering to various industries including telecommunications, automotive, and utilities. Borqs is known for its robust portfolio of IoT solutions that enable seamless connectivity and intelligent data processing for smart devices.

How the Company Makes Money

Borqs Technologies generates revenue through multiple streams. The primary source of income is the sale of its IoT software and products, which include hardware solutions and embedded software for smart connected devices. The company also earns from its cloud platform services that provide IoT device management and data analytics capabilities. Additionally, Borqs offers MVNO services, where it partners with existing network operators to provide mobile services under its own brand, thus earning a share of the subscription revenue. Strategic partnerships with telecommunications companies and participation in large-scale IoT projects also play a crucial role in its revenue generation.

Borqs Technologies Financial Statement Overview

Summary

Borqs Technologies is experiencing significant financial challenges, including declining revenue, substantial operating losses, and negative equity. These indicate a need for strategic restructuring to improve financial health. The company's cash flow situation is concerning, with negative free cash flow limiting operational flexibility. Overall, the company is in a precarious financial position, requiring urgent attention to stabilize and improve its operations.

Income Statement

Borqs Technologies shows a concerning decline in revenue, with a revenue decrease of 39% from 2022 to 2023. Gross profit margins have decreased from 21.2% in 2022 to 25.3% in 2023, indicating pressure on the company's core profitability. Operating losses are significant, with negative EBIT and EBITDA margins, leading to a negative net profit margin of -82.6% in 2023.

Balance Sheet

The company has a negative stockholders' equity, indicating financial instability and risk. The debt-to-equity ratio is not meaningful due to negative equity, while the equity ratio is also negative. These factors suggest a weak balance sheet with high liabilities relative to assets.

Cash Flow

Operating cash flow remains negative, with a deteriorating trend from 2022 to 2023. The free cash flow is also negative, further indicating liquidity challenges. The operating cash flow to net income ratio is not favorable due to negative figures, showing inefficiencies in converting income into cash.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
33.83M	32.05M	52.54M	29.56M	26.75M	0.00
	Gross Profit
8.57M	8.09M	11.12M	2.61M	1.60M	0.00
	EBIT
-4.90M	-10.29M	-787.00K	-26.15M	-40.62M	0.00
	EBITDA
-4.37M	-25.30M	-15.29M	-41.02M	-26.31M	-21.40M
	Net Income Common Stockholders
17.36M	-26.47M	-34.03M	-55.87M	-35.50M	-34.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
6.07M	4.54M	12.74M	6.12M	3.04M	16.97M
	Total Assets
24.27M	21.43M	30.14M	53.25M	29.35M	0.00
	Total Debt
3.39M	5.41M	2.27M	13.39M	17.30M	0.00
	Net Debt
840.00K	4.36M	-9.04M	7.27M	14.26M	-16.97M
	Total Liabilities
29.55M	35.86M	41.30M	70.54M	91.59M	22.97M
	Stockholders Equity
-4.47M	-13.62M	-10.79M	-23.25M	-62.13M	0.00
Cash Flow		Free Cash Flow
0.00	-7.04M	-6.24M	-29.52M	-8.27M	0.00
	Operating Cash Flow
0.00	-6.79M	-5.52M	-28.74M	-8.06M	0.00
	Investing Cash Flow
0.00	-5.01M	-3.37M	-998.00K	3.96M	0.00
	Financing Cash Flow
0.00	1.84M	14.90M	34.27M	-1.35M	0.00

Borqs Technologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.19
• 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 Negative. The current price of 0.19 is above the 20-day moving average (MA) of 0.18, below the 50-day MA of 0.20, and below the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.18 is Neutral, neither overbought nor oversold. The STOCH value of 65.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BRQSF.

Borqs Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRDM	78 Outperform	$3.07B	26.70	18.01%	1.97%	6.64%	403.10%
GILT	64 Neutral	$370.04M	26.64	4.79%	―	13.49%	-39.61%
GSAT	64 Neutral	$2.97B	―	-18.66%	―	14.55%	-81.21%
Sector *	62 Neutral	$31.72B	6.46	-12.45%	1.96%	5.62%	-22.66%
CMBM	41 Neutral	$9.60M	―	-112.88%	―	-34.89%	-579.83%
BRQSF	29 Underperform	$5.21M	0.30	136.99%	―	―	―