Microvast Holdings (MVST) AI Stock Analysis

• Market Cap: $778.16M
• Dividend Yield: N/A
• Average Volume (3M): 8.20M
• Price to Earnings (P/E): ―
• Beta (1Y): -1.07
• Revenue Growth: 21.69%
• EPS Growth: -28.26%
• Country: US
• Employees: 1,921
• Sector: Industrials
• Sector Strength: 90
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.05
• Shares Outstanding: 325,588,700
• 10 Day Avg. Volume: 4,441,137
• 30 Day Avg. Volume: 8,196,148
• PEG Ratio: -0.16
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.99
• 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: $3.00
• Price Target Upside: 25.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Microvast Holdings' overall score reflects a balanced view of its current situation. The company demonstrates strong technical momentum and positive sentiment from recent earnings, contributing positively to its score. However, significant financial performance challenges, particularly in profitability and valuation, weigh down the overall outlook. The company's ability to sustain revenue growth and navigate global uncertainties will be crucial in improving its future stock performance.

Positive Factors

Gross Margin Improvement

The company achieved a notable improvement in gross profit margins, rising to 33.2% from 22.3% year-over-year.

Revenue Growth

Microvast reported its 1Q25 results with revenues of $116.5M, up 43.2% YoY, significantly beating expectations.

Technology Innovation

The company highlighted its solid-state battery 3D printing technology that allows for cell fabrication with varying sizes, shapes, and design adaptability, which should open new applications.

Negative Factors

Customer Concentration Risk

The company faces several risks, including dilution risk, customer concentration risk, and regulatory risk.

Risk Factors

Risks include dilution risk, customer concentration risk, execution risk, regulatory risk, raw material supply risk, competition risk, technological risks, and uncertainty related to macroeconomic conditions.

Microvast Holdings Business Overview & Revenue Model

Company Description

Microvast Holdings, Inc. is a technology-driven company engaged in the design, development, and manufacture of lithium-ion battery solutions tailored for electric vehicles and other applications. Operating within the energy storage and electric vehicle sectors, Microvast offers a range of battery cells, modules, and packs that are known for their fast charging capabilities, high energy density, and long cycle life. The company is committed to advancing sustainable energy technologies and supporting the transition to cleaner transportation solutions.

How the Company Makes Money

Microvast Holdings generates revenue primarily through the sale of its lithium-ion battery products, which are utilized in electric vehicles, energy storage systems, and other industrial applications. The company's key revenue streams include the production and sale of battery cells, modules, and packs to original equipment manufacturers (OEMs) and other industrial clients. Microvast also engages in significant partnerships and collaborations with automotive manufacturers and technology firms to co-develop and integrate advanced battery solutions into their products, further contributing to its income. Additionally, the company's focus on research and development enables it to innovate and enhance its product offerings, thus maintaining its competitive edge in the energy storage market.

Microvast Holdings Financial Statement Overview

Summary

Microvast Holdings is showing growth in revenue and improved gross margins, yet faces significant profitability and cash flow challenges. The balance sheet is stable but marked by inefficiencies in generating profits from equity.

Income Statement

Microvast Holdings has shown a consistent increase in total revenue over the years, with a notable revenue growth rate of 20.98% in the TTM (Trailing-Twelve-Months). However, the company is still facing challenges in achieving profitability, as evidenced by negative net and EBIT margins. The gross profit margin has improved to 27.25% in the TTM, indicating a better cost management, but the net profit margin remains negative at -30.88%, pointing to ongoing profitability challenges.

Balance Sheet

The balance sheet of Microvast Holdings reflects a moderate financial structure, with a debt-to-equity ratio of 0.52, showing a balanced approach to leveraging. However, the return on equity is negative at -22.49%, highlighting inefficiencies in generating profits from shareholder investments. The equity ratio of 49.86% indicates a stable capital structure, supported by a decent proportion of equity financing.

Cash Flow

Microvast's cash flow statement reveals ongoing challenges in cash generation, with negative operating and free cash flows in the TTM. The free cash flow growth rate remains negative, and the operating cash flow to net income ratio indicates that the company is not yet able to cover its net losses through operational cash flows. The financing activities have provided some relief, but substantial improvements are needed in cash flow management.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
370.99M	306.62M	204.50M	151.98M	107.52M	76.43M
	Gross Profit
101.06M	57.23M	9.07M	-42.74M	17.14M	-231.00K
	EBIT
-115.11M	-108.68M	-159.95M	-194.06M	-29.11M	-53.86M
	EBITDA
-74.58M	-80.85M	-132.26M	-180.36M	-11.09M	-38.81M
	Net Income Common Stockholders
-114.56M	-106.34M	-158.20M	-211.49M	-33.63M	-59.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
809.14K	51.13M	256.49M	480.93M	21.50M	140.30K
	Total Assets
277.26M	1.10B	984.96M	995.29M	404.51M	280.50M
	Total Debt
0.00	202.77M	173.07M	147.40M	151.03M	150.15M
	Net Debt
-809.14K	158.23M	-58.35M	-333.53M	129.53M	150.01M
	Total Liabilities
141.27K	532.54M	371.98M	308.59M	698.29M	296.12K
	Stockholders Equity
277.12M	564.19M	612.98M	686.70M	-384.60M	280.20M
Cash Flow		Free Cash Flow
-77.81M	-262.09M	-204.81M	-132.90M	-3.09M	-6.89M
	Operating Cash Flow
-23.31M	-75.30M	-53.93M	-45.04M	15.56M	13.37M
	Investing Cash Flow
-24.46M	-165.60M	-175.94M	-87.86M	-17.67M	-3.95M
	Financing Cash Flow
82.60M	29.53M	4.97M	624.95M	-507.00K	-52.18M

Microvast Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.39
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MVST, the sentiment is Positive. The current price of 2.39 is above the 20-day moving average (MA) of 2.08, above the 50-day MA of 1.72, and above the 200-day MA of 1.12, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 78.53 is Negative, neither overbought nor oversold. The STOCH value of 86.42 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MVST.

Microvast Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$4.38B	12.03	5.25%	249.91%	4.11%	-11.02%
MVST	59 Neutral	$778.16M	―	-26.38%	―	21.69%	-28.26%
SLDP	52 Neutral	$256.49M	―	-20.64%	―	3.22%	-33.20%
AMPX	51 Neutral	$330.30M	―	-68.88%	―	166.95%	-3.40%
ENVX	49 Neutral	$1.44B	―	-85.86%	―	77.59%	2.01%
EOSE	45 Neutral	$1.44B	―	125.43%	―	37.60%	-161.38%
ADSE	42 Neutral	$716.16M	―	-279.62%	―	173.83%	-76.24%

Microvast Holdings Corporate Events

Microvast Holdings Appoints New CFO Carl T. Schultz

On April 7, 2025, Fariyal Khanbabi stepped down as Chief Financial Officer of Microvast Holdings, Inc., and Carl T. ‘Pat’ Schultz was appointed as the new CFO, effective April 21, 2025. Schultz, with over 20 years of financial leadership experience, previously served as CFO for Air Liquide North America and is expected to play a crucial role in achieving Microvast’s growth and long-term financial objectives.

Spark’s Take on MVST Stock

According to Spark, TipRanks’ AI Analyst, MVST is a Neutral.

Microvast Holdings shows promising revenue growth and improved operational efficiency, particularly in the EMEA market. However, challenges persist with significant net losses and a negative valuation profile, impacting overall financial health. The technical indicators suggest moderate stability, but the lack of dividend and competitive pressures in the APAC region remain concerns. Strategic improvements in profitability and market repositioning are crucial for enhancing investor confidence.

To see Spark’s full report on MVST stock, click here.