Shanghai Turbo Enterprises Ltd. (AWM) AI Stock Analysis

• Market Cap: S$1.46M
• Dividend Yield: N/A
• Average Volume (3M): 1.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 5.47
• Revenue Growth: -3.96%
• EPS Growth: -153.93%
• Country: SG
• Employees: N/A
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): >-0.01
• Shares Outstanding: 30,520,000
• 10 Day Avg. Volume: 1,300
• 30 Day Avg. Volume: 1,173
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.02
• P/FCF Ratio: 0.27
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: S$0.05 ▲(370.00% Upside)

The score is primarily held back by weak financial quality—loss-making operations and high leverage—despite strong top-line growth and improving free cash flow. Technicals are moderately supportive with price above key moving averages and positive MACD, but risk remains high given the stock’s very high beta. Valuation is also constrained by negative earnings and no dividend yield data.

Positive Factors

Strong revenue growth

Sustained ~70% top-line expansion indicates successful market penetration and product demand. Over a multi-month horizon this scale can deepen OEM relationships, support fixed-cost absorption, and create a foundation for margin recovery if management converts growth into more efficient operations.

Improving free cash flow

Near-doubling of free cash flow materially improves the company's ability to fund R&D, capex, and working capital without relying solely on new debt. Over 2-6 months this strengthens operational flexibility and creates room to prioritize deleveraging or strategic investments despite current losses.

Diversified OEM and aftermarket model

A dual OEM and aftermarket revenue mix plus partnerships reduces concentration risk and smooths cyclicality. Aftermarket demand provides recurring replacement revenue while OEM contracts support scale and R&D collaboration, bolstering medium-term revenue resilience and customer stickiness.

Negative Factors

High leverage

Very high leverage constrains strategic flexibility and raises refinancing and solvency risk if cash generation falters. Over several months, heavy debt service can crowd out investments, amplify downturn impacts, and limit the company's ability to respond to supply shocks or fund margin-improving initiatives.

Persistent unprofitability

Negative net and EBIT margins show operations are not yet generating sustainable profits. Even with revenue growth, continued unprofitability undermines retained earnings accumulation, weakens ROE, and forces reliance on external funding—an adverse structural constraint on long-term shareholder value creation.

Declining gross margin

A falling gross margin suggests rising input costs or pricing pressure that erodes the core profitability of products. Unless management secures pricing power or cost reductions, margin compression will impede conversion of sales growth into profits and limit durable improvement in operating margins.

Shanghai Turbo Enterprises Ltd. Business Overview & Revenue Model

Company Description

Shanghai Turbo Enterprises Ltd. (AWM) is a prominent player in the automotive and industrial sectors, specializing in the design, manufacture, and distribution of high-performance turbochargers and related components. The company serves a diverse clientele, including automotive manufacturers, aftermarket suppliers, and industrial equipment firms, providing innovative solutions that enhance engine efficiency and performance. With a commitment to quality and technological advancement, AWM has established itself as a trusted brand in the turbocharging industry.

How the Company Makes Money

Shanghai Turbo Enterprises Ltd. generates revenue primarily through the sale of its turbocharger products, which are utilized in both passenger and commercial vehicles. The company operates a dual revenue model, encompassing both original equipment manufacturer (OEM) sales and aftermarket parts supply. Key revenue streams include direct sales to automotive manufacturers for new vehicles, as well as aftermarket sales to repair shops and service centers for replacement parts. Additionally, strategic partnerships with major automotive brands enhance market reach and bolster sales. The company also invests in research and development to innovate and expand its product line, allowing it to capture emerging market trends and increase its competitive edge.

Shanghai Turbo Enterprises Ltd. Financial Statement Overview

Summary

Shanghai Turbo Enterprises Ltd. exhibits robust revenue growth but faces significant profitability challenges, with negative margins and high leverage. The balance sheet indicates financial instability with high debt levels, while cash flow improvements provide some positive outlook. Overall, the company needs to address profitability and leverage issues to enhance financial health.

Income Statement

Shanghai Turbo Enterprises Ltd. shows a significant revenue growth rate of 70.01% in the latest year, indicating strong top-line expansion. However, the company struggles with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin has declined from the previous year, suggesting increased cost pressures or pricing challenges.

Balance Sheet

The company's balance sheet reflects high leverage with a debt-to-equity ratio of 4.52, indicating significant reliance on debt financing. The return on equity is negative, highlighting challenges in generating returns for shareholders. The equity ratio is low, suggesting limited financial stability and potential risks in meeting long-term obligations.

Cash Flow

Cash flow analysis reveals a strong free cash flow growth rate of 94.61%, demonstrating improved cash generation capabilities. However, the operating cash flow to net income ratio is low, indicating potential issues in converting earnings into cash. The free cash flow to net income ratio is positive, suggesting some ability to generate cash relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	82.18M	84.13M	80.96M	64.57M	62.56M	6.93M
Gross Profit	15.39M	15.97M	20.17M	10.67M	14.78M	-789.29K
EBITDA	5.85M	3.05M	3.87M	-49.00K	12.52M	-3.01M
Net Income	-3.21M	-4.92M	-3.07M	-9.22M	-244.00K	-5.91M
Balance Sheet
Total Assets	133.99M	95.20M	18.57M	96.54M	87.95M	65.23M
Cash, Cash Equivalents and Short-Term Investments	17.19M	12.30M	1.70M	13.70M	5.73M	3.81M
Total Debt	62.50M	42.50M	8.27M	43.50M	17.49M	9.50M
Total Liabilities	125.23M	85.79M	14.15M	74.66M	58.25M	41.31M
Stockholders Equity	8.76M	9.40M	4.42M	21.88M	29.70M	23.93M
Cash Flow
Free Cash Flow	-3.32M	5.35M	650.00K	-16.78M	-6.63M	254.33K
Operating Cash Flow	23.90M	16.07M	650.00K	-16.52M	-3.84M	265.86K
Investing Cash Flow	-27.22M	-10.72M	-451.05K	-241.00K	-6.62M	47.55K
Financing Cash Flow	16.21M	-4.00M	-1.29M	28.15M	8.01M	-911.70K

Shanghai Turbo Enterprises Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:AWM, the sentiment is Positive. The current price of 0.01 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.03, and below the 200-day MA of 0.02, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.78 is Neutral, neither overbought nor oversold. The STOCH value of 61.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:AWM.

Shanghai Turbo Enterprises Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BJD	48 Neutral	S$2.95M	-1.63	-58.09%	―	-28.47%	30.90%
LS9	46 Neutral	S$26.09M	-1.79	-235.02%	130.45%	-98.50%	-156.76%
V3M	46 Neutral	S$7.24M	-4.93	-713.20%	―	―	―
AWM	45 Neutral	S$1.46M	-1.67	-39.16%	―	-3.96%	-153.93%
V2Y	37 Underperform	S$3.71M	-3.06	―	―	―	―