MMTec (MTC) AI Stock Analysis

• Market Cap: $24.17M
• Dividend Yield: N/A
• Average Volume (3M): 111.97K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 34
• Sector: Technology
• Sector Strength: 45
• Industry: Software - Application
• EPS (TTM): -3.66
• Shares Outstanding: 25,186,865
• 10 Day Avg. Volume: 119,415
• 30 Day Avg. Volume: 111,975
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 31.19
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

MMTec faces significant profitability challenges and has a negative valuation profile due to its lack of earnings. While technical indicators are neutral, the stock's weak fundamental financial health, especially its negative net profit margin, is the primary concern. Without earnings call data or corporate events to influence the score, the focus remains on overcoming operational inefficiencies for better financial stability.

MMTec Business Overview & Revenue Model

Company Description

MMTec, Inc. (MTC) is a technology-driven company that operates within the financial services sector, primarily focusing on providing comprehensive technology solutions to the Chinese markets. Its core products and services include online trading platforms, market data services, and software as a service (SaaS) solutions catered to brokers and institutional clients, enabling them to optimize their trading operations and enhance efficiency.

How the Company Makes Money

MMTec makes money through a diversified revenue model that includes subscription fees for its SaaS offerings, transaction-based fees from its trading platforms, and sales of market data to institutional clients. The company collaborates with financial institutions to offer tailored technology solutions that align with specific market needs, which also contributes significantly to its earnings. Additionally, strategic partnerships with brokerage firms allow MMTec to expand its reach and leverage industry expertise, further amplifying its revenue streams.

MMTec Financial Statement Overview

Summary

MMTec demonstrates strong gross margins and a solid equity position; however, it struggles with operational profitability and cash flow stability. High net income is driven by non-operational factors, necessitating caution in evaluating financial health.

Income Statement

The income statement shows a mixed performance. Gross profit margin is strong, indicating efficient cost control relative to revenue. However, the net profit margin is disproportionately high due to a significant one-time gain or reversal, not from operational profitability, as EBIT and EBITDA margins are negative. Revenue growth has been inconsistent, with a decline in the most recent year. Overall, while there are strengths in gross margin, the net profit margin is not reflective of operational success.

Balance Sheet

The balance sheet reflects a solid equity position with a favorable equity ratio, suggesting resilience and capacity to absorb financial fluctuations. The debt-to-equity ratio remains moderate, indicating manageable leverage. ROE is high due to improved net income, albeit the sustainability of this is questionable. The balance sheet is strong, but the high net income is not from core operations.

Cash Flow

Cash flow analysis reveals challenges, with negative operating cash flow indicating operational struggles. Free cash flow is negative, showing that cash generated is insufficient to cover capital expenditures. The ratios of operating and free cash flow to net income are concerning, highlighting reliance on non-operational income sources. Cash flow management requires attention.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	869.93K	1.10M	653.04K	742.13K	200.80K
	Gross Profit
0.00	696.99K	868.05K	511.73K	734.72K	109.91K
	EBIT
-2.30M	-4.84M	-5.79M	-5.93M	-3.18M	-2.22M
	EBITDA
-2.28M	-4.24M	-5.85M	-6.44M	-3.13M	-2.91M
	Net Income Common Stockholders
-28.37M	48.96M	-5.45M	-8.22M	-3.19M	-2.18M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.83M	1.76M	3.83M	11.21M	1.43M	3.64M
	Total Assets
11.42M	156.99M	11.42M	14.59M	3.71M	6.21M
	Total Debt
1.05M	33.16M	1.05M	463.82K	786.79K	987.66K
	Net Debt
-2.77M	31.40M	-2.77M	-10.74M	-639.13K	-2.65M
	Total Liabilities
2.03M	34.62M	2.03M	1.24M	1.01M	1.45M
	Stockholders Equity
9.38M	122.36M	9.38M	13.35M	2.70M	4.75M
Cash Flow		Free Cash Flow
-1.90M	-5.15M	-5.59M	-4.13M	-2.00M	-2.27M
	Operating Cash Flow
-1.89M	-5.15M	-5.59M	-4.10M	-1.98M	-2.14M
	Investing Cash Flow
629.53K	-86.54M	-3.54M	-2.59M	-331.94K	-725.48K
	Financing Cash Flow
2.55M	89.67M	1.75M	16.47M	37.25K	6.44M

MMTec Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.96
• 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 MTC, the sentiment is Negative. The current price of 0.96 is above the 20-day moving average (MA) of 0.94, below the 50-day MA of 1.16, and below the 200-day MA of 2.10, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 46.57 is Neutral, neither overbought nor oversold. The STOCH value of 63.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MTC.

MMTec Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	58 Neutral	$10.03B	10.00	-6.85%	3.09%	7.49%	-11.58%
NTWK	55 Neutral	$28.02M	39.37	-2.43%	―	9.28%	60.89%
CXAI	49 Neutral	$21.79M	―	-94.70%	―	-3.04%	65.43%
HKIT	48 Neutral	$25.45M	31.71	2.02%	―	-47.08%	-59.18%
MTC	43 Neutral	$24.17M	―	40.01%	―	―	―
AIXI	38 Underperform	$30.85M	―	544.07%	―	6.89%	6.39%
CNTM	28 Underperform	$23.25M	―	-108.59%	―	―	-85.24%