Global Mofy Metaverse Ltd. (GMM) AI Stock Analysis

• Market Cap: $60.99M
• Dividend Yield: N/A
• Average Volume (3M): 14.11K
• Price to Earnings (P/E): 0.4
• Beta (1Y): 0.43
• Revenue Growth: 53.82%
• EPS Growth: 68.04%
• Country: US
• Employees: 47
• Sector: Technology
• Sector Strength: 87
• Industry: Information Technology Services
• EPS (TTM): 0.06
• Shares Outstanding: 19,378,445
• 10 Day Avg. Volume: 7,588
• 30 Day Avg. Volume: 14,105
• PEG Ratio: -3.80
• Price to Book (P/B): 824.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.28K
• Enterprise Value/Market Cap: 31.90
• Enterprise Value/Revenue: 16.08
• Enterprise Value/Gross Profit: 93.51
• Enterprise Value/Ebitda: 38.64
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: $2.50 ▼(-5.30%Downside)

Global Mofy Metaverse Ltd. has a strong financial foundation with notable revenue growth and profitability, which is the primary strength. However, technical indicators signal a bearish trend, and cash flow management poses potential challenges. The mixed valuation, with a low P/E ratio but no dividend yield, further impacts the overall attractiveness of the stock.

Global Mofy Metaverse Ltd. Business Overview & Revenue Model

Company Description

Global Mofy Metaverse Limited, through its subsidiaries, provides virtual content production, digital marketing, and digital assets development services for the metaverse industry in the People's Republic of China. It offers services for visual effect design, content development, production, and integration based on customers specific needs. The company also provides advertisement production and promotion services to customers with integrated digital marketing services, including content planning, technical, content production assistance, and omni-channel online placement services. In addition, it grants use right of digital assets to customers on specific needs across various applications, such as movies, TV series, AR/VR, animation, advertising, and gaming. Global The company was incorporated in 2021 and is based in Beijing, the People's Republic of China.

How the Company Makes Money

Global Mofy Metaverse Ltd. generates revenue through several key streams. Primarily, the company earns from the sale and licensing of its VR and AR software solutions to businesses and developers seeking to incorporate immersive technology into their products and services. Additionally, GMM monetizes its metaverse platforms by offering customized virtual world-building services and hosting events in the digital space. Revenue is also derived from strategic partnerships with technology companies, content creators, and educational institutions, which leverage GMM's expertise to enhance their offerings. The company may also receive income through subscription fees for access to premium content and features within its metaverse environments.

Global Mofy Metaverse Ltd. Financial Statement Overview

Summary

Global Mofy Metaverse Ltd. shows strong revenue growth and profitability, with robust profit margins and a low debt-to-equity ratio. The company's financial stability is solid, but attention to cash flow management is needed due to negative free cash flow from capital expenditures.

Income Statement

Global Mofy Metaverse Ltd. demonstrates strong revenue growth and profitability. The revenue growth rate has been impressive, particularly from 2023 to 2024, showing a significant increase. The gross profit margin and net profit margin are healthy, indicating efficient cost management and profitability. The EBIT and EBITDA margins are robust, further reflecting operational efficiency and profitability. However, the slight decline in EBIT from 2022 to 2023 is a minor concern, though the overall trajectory remains positive.

Balance Sheet

The balance sheet of Global Mofy Metaverse Ltd. shows a solid equity position with a healthy equity ratio, indicating strong financial stability. The debt-to-equity ratio is relatively low, suggesting prudent financial leverage. The return on equity is strong, demonstrating effective utilization of shareholder funds to generate profits. The increase in stockholders' equity over the years highlights strong financial growth. However, the company should monitor its rising liabilities to maintain its solid financial standing.

Cash Flow

Cash flow analysis reveals steady improvement in operating cash flow, indicating enhanced cash generation from core operations. However, free cash flow remains negative due to significant capital expenditures, which could impact liquidity if not managed properly. The operating cash flow to net income ratio is positive, reflecting good conversion of income into cash. The free cash flow to net income ratio is negative, highlighting potential challenges in cash management despite profitability.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	41.36M	26.89M	17.19M	14.27M	5.04M
Gross Profit	20.80M	14.53M	4.12M	3.28M	1.11M
EBITDA	18.90M	8.83M	-10.64K	1.47M	-423.04K
Net Income	12.14M	6.55M	-267.22K	1.42M	-541.26K
Balance Sheet
Total Assets	59.19M	27.12M	8.53M	9.04M	2.90M
Cash, Cash Equivalents and Short-Term Investments	8.07M	11.22M	1.14M	1.09M	8.76K
Total Debt	6.00M	3.31M	1.87M	2.66M	870.12K
Total Liabilities	13.69M	6.30M	4.78M	6.82M	2.93M
Stockholders Equity	45.65M	20.96M	3.89M	2.36M	122.97K
Cash Flow
Free Cash Flow	-18.46M	-1.39M	-1.17M	-1.52M	-1.11M
Operating Cash Flow	18.11M	5.78M	-1.14M	-1.47M	-1.10M
Investing Cash Flow	-34.70M	-7.73M	-166.18K	-81.19K	-301.38K
Financing Cash Flow	16.92M	11.64M	1.47M	2.62M	1.06M

Global Mofy Metaverse Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.64
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GMM, the sentiment is Negative. The current price of 2.64 is below the 20-day moving average (MA) of 2.73, below the 50-day MA of 2.69, and below the 200-day MA of 4.44, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 46.43 is Neutral, neither overbought nor oversold. The STOCH value of 54.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GMM.

Global Mofy Metaverse Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	69 Neutral	¥229.24B	14.26	7.64%	2.72%	9.14%	8.60%
GMM	63 Neutral	$60.99M	0.41	36.45%	―	53.82%	68.04%
TRT	54 Neutral	$22.47M	37.80	0.06%	―	-14.64%	-97.84%
DUOT	53 Neutral	$92.88M	―	-189.13%	―	89.27%	26.30%
VRAR	51 Neutral	$30.95M	―	-40.76%	―	-12.30%	76.19%
WYY	49 Neutral	$31.88M	―	-14.76%	―	24.03%	49.96%
JZ	38 Underperform	$5.24M	―	-168.81%	―	-44.85%	92.11%