SolarMax Technology, Inc. (SMXT) AI Stock Analysis

• Market Cap: $56.48M
• Dividend Yield: N/A
• Average Volume (3M): 451.89K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.41
• Revenue Growth: -27.65%
• EPS Growth: 16.39%
• Country: US
• Employees: 76
• Sector: General
• Sector Strength: N/A
• Industry: Solar
• EPS (TTM): -0.04
• Shares Outstanding: 54,302,950
• 10 Day Avg. Volume: 274,029
• 30 Day Avg. Volume: 451,890
• 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: 1.32
• Enterprise Value/Revenue: 2.81
• Enterprise Value/Gross Profit: 17.75
• Enterprise Value/Ebitda: -6.22
• 1Y Price Target: $1.00
• Price Target Upside: -3.85% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 41 Neutral
• Price Target: $1.00 ▼(-3.85% Downside)

SolarMax Technology, Inc. is facing significant financial difficulties, with negative profitability and high leverage being the most impactful factors. Technical analysis provides no strong momentum, and valuation metrics are unattractive due to negative earnings. These factors collectively result in a low overall stock score.

SolarMax Technology, Inc. Business Overview & Revenue Model

Company Description

SolarMax Technology, Inc., through its subsidiaries, operates as an integrated solar energy company in the United States and China. The company engages in the sale and installation of photovoltaic and battery backup systems; financing the sale of photovoltaic and battery backup systems; sale of LED systems; and identifying and procuring solar farm projects for resale to third parties, as well as provision of engineering, procuring, and construction services for solar farm projects. It serves residential, commercial, and government customers. The Company was incorporated in 2008 and is based in Riverside, California.

How the Company Makes Money

SolarMax Technology, Inc. generates revenue through several key streams. The primary source is the sale and installation of solar power systems, which includes both residential and commercial projects. The company also offers financing options, allowing customers to purchase systems through loans or leasing agreements, contributing to its income. Additionally, the company may receive revenue from maintenance and repair services provided to existing customers. Strategic partnerships with manufacturers and suppliers of solar panels and related equipment also play a significant role in reducing costs and enhancing margins, thus contributing to the company's profitability. Furthermore, any government incentives or rebates for renewable energy adoption can also impact the company's earnings positively.

SolarMax Technology, Inc. Financial Statement Overview

Summary

SolarMax Technology, Inc. faces significant financial challenges. Despite a 10.06% revenue growth, the company struggles with negative net profit margins (-62.91%) and high financial leverage with a negative debt-to-equity ratio (-2.18). Negative operating and free cash flows further highlight cash management issues.

Income Statement

SolarMax Technology, Inc. shows a mixed performance in its income statement. The company has experienced a recent revenue growth of 10.06% TTM, indicating some positive momentum. However, profitability remains a significant concern with negative net profit margins (-62.91% TTM) and EBIT margins (-51.13% TTM), reflecting ongoing operational challenges. The gross profit margin has improved to 15.86% TTM, but the company is still struggling to convert this into net profitability.

Balance Sheet

The balance sheet of SolarMax Technology, Inc. reveals high financial leverage with a negative debt-to-equity ratio of -2.18 TTM, indicating more debt than equity. The return on equity is positive at 117.35% TTM, but this is due to negative equity, which is a risk factor. The equity ratio is not available due to negative equity, highlighting financial instability.

Cash Flow

The cash flow statement shows significant challenges for SolarMax Technology, Inc. The operating cash flow is negative, and the free cash flow has decreased by 55.32% TTM, indicating cash management issues. The operating cash flow to net income ratio is negative, suggesting inefficiencies in converting income into cash. The free cash flow to net income ratio is 1.0, but this is due to both metrics being negative, which is not a positive indicator.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.58M	22.99M	54.14M	44.72M	37.74M	131.58M
Gross Profit	4.21M	2.31M	11.15M	7.48M	5.95M	16.45M
EBITDA	-12.02M	-30.19M	3.56M	-3.63M	-1.26M	5.22M
Net Income	-16.72M	-34.96M	434.79K	-6.87M	-3.32M	974.05K
Balance Sheet
Total Assets	38.24M	38.63M	48.66M	61.48M	72.02M	96.14M
Cash, Cash Equivalents and Short-Term Investments	8.12M	7.12M	2.54M	3.82M	9.89M	17.01M
Total Debt	32.98M	34.84M	41.88M	47.98M	48.53M	57.47M
Total Liabilities	53.35M	53.71M	64.54M	77.69M	80.46M	101.57M
Stockholders Equity	-15.11M	-15.08M	-15.89M	-16.21M	-8.45M	-5.22M
Cash Flow
Free Cash Flow	-1.49M	-9.13M	3.79M	-2.06M	-5.35M	-23.27M
Operating Cash Flow	-1.49M	-9.13M	3.81M	-1.97M	-5.35M	-23.17M
Investing Cash Flow	1.50M	-6.32M	-6.55K	-280.52K	2.03M	11.22M
Financing Cash Flow	646.27K	13.31M	-5.05M	-7.50M	-5.07M	23.50M

SolarMax Technology, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMXT, the sentiment is Negative. The current price of 1.04 is below the 20-day moving average (MA) of 1.11, below the 50-day MA of 1.10, and below the 200-day MA of 1.25, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 38.49 is Neutral, neither overbought nor oversold. The STOCH value of 16.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMXT.

SolarMax Technology, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SOL	49 Neutral	95.46M	-24.16	-4.15%	―	-33.25%	81.55%
SPRU	49 Neutral	37.10M	-0.49	-62.22%	―	22.78%	-27.59%
TYGO	47 Neutral	157.78M	-2.85	-3034.87%	―	52.31%	-2421.56%
ZEO	42 Neutral	79.36M	-1.94	16.21%	―	86.59%	55.95%
MAXN	41 Neutral	59.65M	-0.02	209.06%	―	-54.68%	63.56%
SMXT	41 Neutral	$56.48M	―	―	―	-27.65%	16.39%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%