Kandi Technologies (KNDI) AI Stock Analysis

• Market Cap: $117.80M
• Dividend Yield: N/A
• Average Volume (3M): 372.32K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.29
• Revenue Growth: 3.21%
• EPS Growth: -6985.88%
• Country: US
• Employees: 840
• Sector: Consumer Cyclical
• Sector Strength: 82
• Industry: Auto - Parts
• EPS (TTM): 0.02
• Shares Outstanding: 85,985,664
• 10 Day Avg. Volume: 101,771
• 30 Day Avg. Volume: 372,319
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.03
• Enterprise Value/Revenue: 0.03
• Enterprise Value/Gross Profit: 0.10
• Enterprise Value/Ebitda: -0.07
• 1Y Price Target: $1.50
• Price Target Upside: 9.49% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 52 Neutral
• Price Target: $1.50 ▲(9.49% Upside)

Kandi Technologies' overall stock score reflects significant financial challenges, including negative profitability and volatile cash flows, which weigh heavily on the score. While technical indicators show bullish momentum, overbought signals suggest caution. The valuation is unattractive due to a negative P/E ratio and lack of dividend yield. The earnings call provided some optimism with strategic initiatives and improved gross margins, but revenue and net income declines remain concerns.

Positive Factors

Strategic Partnerships

Kandi's partnerships in emerging tech sectors, like robotics and battery swapping, position it well for future growth and market expansion.

Gross Margin Improvement

Improved gross margins reflect better cost management and operational efficiencies, enhancing long-term profitability potential.

Strong Cash Position

A robust cash position provides financial flexibility for strategic investments and weathering economic uncertainties.

Negative Factors

Revenue Decline

A significant drop in revenue indicates challenges in sales and market demand, potentially impacting long-term growth prospects.

Profitability Challenges

Decreased net income highlights ongoing profitability issues, which could affect the company's ability to reinvest and grow.

Volatile Cash Flows

Negative operating cash flow suggests difficulties in sustaining operations without external financing, posing long-term financial risks.

Kandi Technologies Business Overview & Revenue Model

Company Description

Kandi Technologies Group, Inc. (KNDI) is a Chinese electric vehicle manufacturer specializing in the design, development, and production of electric vehicles (EVs) and related components. The company operates primarily in the electric vehicle sector, focusing on producing electric scooters, electric cars, and battery systems. Kandi Technologies aims to provide affordable, eco-friendly transportation solutions, leveraging its innovative technologies and partnerships to enhance its product offerings in the growing EV market.

How the Company Makes Money

Kandi Technologies generates revenue primarily through the sale of electric vehicles, electric scooters, and battery systems. The company has established strategic partnerships with various local governments and enterprises, which facilitate its market penetration and distribution of its products. Additionally, Kandi earns income from licensing its technology and through joint ventures, particularly in the development of EV infrastructure and battery management systems. The company also benefits from government incentives and subsidies aimed at promoting electric vehicle usage, which can enhance its profitability and sales volume.

Kandi Technologies Financial Statement Overview

Summary

Kandi Technologies faces significant financial challenges, with inconsistent revenue growth, negative profitability, and volatile cash flows. The balance sheet shows a low leverage level and a stable asset base, but the company struggles to generate positive returns for shareholders. Overall, the financial health of the company is concerning, highlighting the need for strategic improvements to enhance profitability and cash flow stability.

Income Statement

Kandi Technologies has experienced inconsistent revenue growth, with a 3.2% increase in 2024. However, the company struggles with profitability, as indicated by a negative net profit margin and declining EBIT and EBITDA margins. The gross profit margin has slightly decreased over the years, reflecting challenges in maintaining cost efficiency.

Balance Sheet

The company maintains a relatively low debt-to-equity ratio of 0.25, indicating conservative leverage. However, the return on equity is negative due to consistent net losses, impacting shareholder value. The equity ratio is stable, suggesting a solid asset base, albeit with declining total assets over time.

Cash Flow

Kandi Technologies demonstrates a volatile cash flow situation. The operating cash flow remains negative, reflecting challenges in generating cash from operations. Free cash flow is also negative, indicating potential liquidity concerns. Despite this, the company has managed to maintain positive investing and financing cash flows.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	127.57M	123.60M	117.81M	91.49M	76.92M
Gross Profit	39.27M	41.37M	19.52M	16.25M	13.49M
EBITDA	-41.86M	16.71M	-379.00K	39.66M	-5.28M
Net Income	-50.50M	7.13K	-12.12M	22.86M	-10.39M
Balance Sheet
Total Assets	473.90M	495.46M	482.98M	520.16M	495.25M
Cash, Cash Equivalents and Short-Term Investments	42.79M	67.70M	165.25M	184.27M	142.08M
Total Debt	84.86M	41.53M	24.69M	11.36M	92.44K
Total Liabilities	127.27M	88.95M	85.29M	76.96M	91.48M
Stockholders Equity	344.70M	404.12M	396.97M	443.20M	403.77M
Cash Flow
Free Cash Flow	-18.75M	-114.41M	27.66M	-18.90M	-69.07M
Operating Cash Flow	-17.82M	-101.16M	31.48M	241.69K	-50.88M
Investing Cash Flow	25.72M	32.28M	-35.03M	22.21M	51.15M
Financing Cash Flow	22.51M	14.83M	-4.33M	747.93K	126.45M

Kandi Technologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.37
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KNDI, the sentiment is Neutral. The current price of 1.37 is below the 20-day moving average (MA) of 1.46, above the 50-day MA of 1.30, and above the 200-day MA of 1.22, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 48.40 is Neutral, neither overbought nor oversold. The STOCH value of 20.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KNDI.

Kandi Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CAAS	70 Outperform	$138.48M	4.72	8.04%	―	17.08%	-18.03%
Sector *	61 Neutral	$18.17B	12.71	-2.56%	3.03%	1.42%	-15.85%
WKSP	53 Neutral	$23.45M	―	-91.21%	―	232.13%	41.77%
KNDI	52 Neutral	$117.80M	―	-13.49%	―	3.21%	-6985.88%
SYPR	51 Neutral	$48.59M	―	-12.94%	―	-6.71%	37.34%
CVGI	50 Neutral	$72.86M	1.82	-27.62%	―	-27.36%	-218.40%
GGR	47 Neutral	$98.14M	―	-64.97%	―	-13.37%	-75.09%

Kandi Technologies Corporate Events

Kandi Technologies Reports Decline in H1 2025 Financial Performance

Kandi Technologies reported a significant decline in its financial performance for the first half of 2025, with revenues dropping by 39.3% year-over-year to $36.3 million, primarily due to decreased sales of off-road vehicles and EV products. Despite the revenue decline, the company maintained a solid financial position with $257 million in cash and cash equivalents. The company’s gross margin improved to 45.2% from 31.7% in the previous year, attributed to a favorable product mix and regional revenue shifts. Operating expenses decreased, but research and development costs rose due to a new battery project. The net income for the period was $1.7 million, a decrease of 28.7% from the previous year, impacted by reduced revenues and losses from long-term investments.