Clps (CLPS) AI Stock Analysis

• Market Cap: $31.23M
• Dividend Yield: N/A
• Average Volume (3M): 65.19K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.15
• Revenue Growth: 15.17%
• EPS Growth: -172.09%
• Country: US
• Employees: 3,642
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): -0.24
• Shares Outstanding: 29,743,452
• 10 Day Avg. Volume: 173,668
• 30 Day Avg. Volume: 65,189
• PEG Ratio: -0.02
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -6.73
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 0.24
• Enterprise Value/Gross Profit: 1.02
• Enterprise Value/Ebitda: 61.05
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $1.00 ▲(7.53% Upside)

The score is held down primarily by weak financial performance—especially negative margins and negative operating/free cash flow—while technicals provide partial support as the stock trades above major moving averages with a positive MACD. Valuation is constrained by losses (negative P/E) and no dividend yield data.

Positive Factors

Revenue Growth

A strong revenue growth rate indicates that Clps is successfully expanding its market presence and client base, which is crucial for long-term business sustainability and competitiveness.

Diversified Revenue Streams

Clps's diversified revenue streams from consulting, software, and partnerships reduce dependency on a single income source, enhancing financial stability and resilience against market fluctuations.

Long-term Client Relationships

Long-term client relationships foster repeat business, providing a stable revenue base and enhancing customer loyalty, which is vital for sustained growth and profitability.

Negative Factors

Negative Profitability

Negative profitability indicates operational inefficiencies and cost management issues, which can hinder the company's ability to reinvest in growth and innovation, affecting long-term competitiveness.

Cash Flow Challenges

Negative cash flows limit Clps's ability to fund operations and invest in growth opportunities, potentially leading to liquidity issues and constraining financial flexibility.

Rising Debt Levels

Rising debt levels increase financial risk and interest obligations, which can strain cash flow and limit the company's ability to invest in strategic initiatives.

Clps Business Overview & Revenue Model

Company Description

CLPS Incorporation provides information technology, consulting, and solutions to institutions operating in banking, insurance, and financial sectors in the People's Republic of China and internationally. It offers IT consulting services in credit card business areas, such as credit card application, account setup, authorization and activation, settlement, collection, promotion, point system, anti-fraud, statement, reporting, and risk management. The company also provides banking services, including business analysis, system design, development, testing, system maintenance, and operation support; and services in loans, deposit, general ledger, wealth management, debit card, anti-money-laundering, statement and reporting, and risk management, as well as architecture consulting services for banking systems, and online and mobile banking. In addition, it offers solutions in the field of wealth management; e-commerce solutions in online platforms, cross-border e-commerce, logistics, and back-end technology, such as big data analysis and intelligent decision-making among others; and driving, automatic control, and other AI-driven technology solutions for the automotive industry. Further, the company provides IT consulting services to its clients in the banking, wealth management, e-commerce, and automotive industries, among others; and software project development, maintenance, and testing services. Additionally, it offers CLPS Virtual Banking platform, a training platform for IT talents; recruitment and headhunting, as well as fee-for-service training services; and sells product and third-party software. The company was founded in 2005 and is headquartered in Kwun Tong, Hong Kong.

How the Company Makes Money

Clps generates revenue through multiple streams, primarily by offering IT consulting and software development services to clients in diverse industries. The company's revenue model includes charging for project-based services, ongoing maintenance contracts, and subscription fees for software solutions. Key revenue streams consist of custom software development projects, IT system integration services, and advisory services for technology implementation. Additionally, Clps has established significant partnerships with various technology providers, which allows it to resell or integrate third-party solutions, further contributing to its earnings. The company also benefits from long-term client relationships that lead to repeat business, enhancing its financial stability.

Clps Financial Statement Overview

Summary

Revenue grew modestly (6.93%), but profitability is weak with negative net, EBIT, and EBITDA margins, and cash generation is a key concern given negative operating and free cash flow. Balance sheet leverage has risen but remains manageable, though negative ROE reflects recent losses.

Income Statement

The company has experienced a modest revenue growth rate of 6.93% in the most recent year, but profitability metrics are concerning. The net profit margin is negative, indicating losses, and both EBIT and EBITDA margins are also negative, reflecting operational challenges. The gross profit margin has decreased over the years, suggesting pressure on cost management.

Balance Sheet

The debt-to-equity ratio has increased, indicating rising leverage, but it remains at a manageable level. The return on equity is negative, reflecting recent losses. However, the equity ratio is relatively stable, suggesting a solid capital structure. The company needs to improve profitability to enhance balance sheet strength.

Cash Flow

The company is facing cash flow challenges, with negative operating and free cash flows in the latest period. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, indicating cash flow issues. Improving cash generation is crucial for financial stability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	153.82M	164.48M	142.81M	150.36M	152.02M	126.06M
Gross Profit	36.35M	34.43M	31.69M	33.26M	40.08M	40.17M
EBITDA	604.82K	-3.20M	-590.87K	1.99M	8.60M	9.00M
Net Income	-1.23M	-7.05M	-2.33M	192.53K	4.46M	6.82M
Balance Sheet
Total Assets	119.42M	118.11M	110.03M	95.32M	101.88M	82.73M
Cash, Cash Equivalents and Short-Term Investments	37.27M	29.07M	31.22M	22.21M	18.40M	28.90M
Total Debt	31.65M	33.87M	26.23M	11.37M	14.47M	7.55M
Total Liabilities	56.76M	60.52M	46.11M	29.81M	34.08M	25.00M
Stockholders Equity	60.69M	55.54M	62.51M	64.58M	66.55M	56.69M
Cash Flow
Free Cash Flow	0.00	-3.80M	6.81M	9.19M	-17.55M	-3.68M
Operating Cash Flow	-4.17M	-2.54M	8.93M	9.71M	3.20M	-2.61M
Investing Cash Flow	-15.45M	-1.75M	-12.25M	-306.05K	-16.29M	-6.08M
Financing Cash Flow	7.89M	2.90M	10.19M	-4.32M	7.47M	19.80M

Clps Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.93
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLPS, the sentiment is Positive. The current price of 0.93 is below the 20-day moving average (MA) of 0.95, above the 50-day MA of 0.91, and below the 200-day MA of 0.96, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 66.57 is Neutral, neither overbought nor oversold. The STOCH value of 89.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CLPS.

Clps Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
USIO	61 Neutral	$38.23M	-92.67	-2.06%	―	3.24%	-115.15%
WYY	59 Neutral	$65.18M	-26.93	-17.37%	―	9.62%	26.59%
DTST	56 Neutral	$33.52M	-30.72	-0.97%	―	-20.20%	-799.54%
CLPS	51 Neutral	$31.23M	-4.24	-11.94%	―	15.17%	-172.09%
CYCU	44 Neutral	$7.95M	―	-184.82%	―	―	-81.60%