STAK INC. (STAK) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 115.54K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.37
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 47
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): N/A
• Shares Outstanding: 4,010,349
• 10 Day Avg. Volume: 44,290
• 30 Day Avg. Volume: 115,543
• PEG Ratio: -0.59
• Price to Book (P/B): 3.97
• Price to Sales (P/S): 2.22
• P/FCF Ratio: -15.24
• 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: 56 Neutral
• Price Target: $1.50 ▲(226.09% Upside)

The overall stock score is primarily driven by financial performance challenges, including declining revenues and profitability, increased leverage, and negative cash flows. Technical analysis further supports a bearish outlook, with the stock trading below key moving averages and momentum indicators signaling weakness. Lack of valuation data adds uncertainty to the assessment.

Positive Factors

Scalable Cloud Platform

A scalable cloud platform allows STAK to efficiently expand its services and customer base, supporting long-term growth in the SaaS sector.

Strategic Partnerships

Partnerships with major tech firms expand STAK's market reach and customer base, providing a durable competitive advantage and revenue growth potential.

Stable Gross Profit Margin

Stable gross profit margins indicate effective cost management, which is crucial for sustaining profitability in a competitive SaaS market.

Negative Factors

Declining Revenue Trend

A declining revenue trend suggests challenges in market demand or competitive positioning, which could impact long-term growth and profitability.

Increased Leverage

Higher leverage increases financial risk and can strain cash flow, limiting STAK's ability to invest in growth opportunities and weather economic downturns.

Negative Cash Flow

Negative operating cash flow indicates liquidity challenges, which can hinder STAK's ability to fund operations and invest in strategic initiatives.

STAK INC. Business Overview & Revenue Model

Company Description

Stak Inc. engages in the research, development, manufacturing, and sale of oilfield-specialized production and maintenance equipment. It offers oilfield vehicles, such as oil pumping trucks, oil-well repair trucks, fracking trucks, well flushing-wax removal trucks, boiler trucks, and other maintenance vehicles; and oilfield-specialized production and maintenance equipment, including well repair equipment components, fracking equipment, well cleaning and wax removal equipment, oil collection equipment, boiler equipment, and other oilfield-specialized production and maintenance equipment. The company also provides automation solutions services, including software development, training, debugging, and other services for oilfield-specialized production and maintenance equipment. Stak Inc. was founded in 2020 and is based in Changzhou, China. STAK Inc. is a subsidiary of Lanying Capital Ltd.

How the Company Makes Money

STAK INC. generates revenue primarily through subscription fees for its SaaS products. Customers pay recurring fees to access STAK's cloud platform and associated applications, which are available in different pricing tiers depending on the level of service and features required. Additionally, STAK earns money from professional services, including consulting and integration support to help businesses implement and optimize its solutions. Strategic partnerships with major technology firms and enterprise clients further enhance STAK's revenue by expanding its reach and customer base. The company's focus on innovation and continuous improvement of its product offerings also plays a crucial role in maintaining its competitive edge and financial performance.

STAK INC. Financial Statement Overview

Summary

STAK INC. faces challenges with declining revenues and profitability, increased leverage, and negative cash flows. There is some strength in the equity ratio, but the company needs to address operational inefficiencies and improve cash generation.

Income Statement

STAK INC. has shown a declining revenue trend with a significant drop from 2023 to 2024. The gross profit margin has remained relatively stable, indicating efficient cost management. However, the net profit margin has decreased, reflecting challenges in maintaining profitability. The EBIT and EBITDA margins have also declined, suggesting reduced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased, indicating higher leverage, which could pose financial risks. However, the equity ratio has improved, suggesting a stronger capital structure. Return on equity has decreased, reflecting lower profitability relative to shareholder equity.

Cash Flow

STAK INC. has experienced negative operating cash flow, which is concerning for liquidity. The free cash flow has also been negative, indicating challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is unfavorable, highlighting inefficiencies in cash conversion.

Breakdown	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.92M	21.15M	8.13M
Gross Profit	5.67M	6.76M	2.94M
EBITDA	3.21M	4.59M	2.13M
Net Income	2.44M	3.46M	1.64M
Balance Sheet
Total Assets	18.78M	15.00M	7.83M
Cash, Cash Equivalents and Short-Term Investments	658.15K	593.20K	31.91K
Total Debt	4.45M	1.58M	324.31K
Total Liabilities	8.20M	6.88M	6.55M
Stockholders Equity	10.58M	8.12M	1.28M
Cash Flow
Free Cash Flow	-2.75M	-4.13M	-710.19K
Operating Cash Flow	-2.74M	-1.53M	-632.73K
Investing Cash Flow	-273.21K	-2.96M	-77.45K
Financing Cash Flow	3.07M	4.96M	749.74K

STAK INC. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
STAK	56 Neutral	―	―	―	―	―	―
DTI	54 Neutral	$92.92M	―	-5.18%	―	7.46%	-165.76%
DWSN	44 Neutral	$61.47M	―	-19.81%	―	-22.31%	39.11%
KLXE	44 Neutral	$31.22M	-0.43	―	―	-12.57%	-45.75%
RCON	42 Neutral	$15.49M	―	-8.78%	―	-3.41%	-50.85%
NINE	41 Neutral	$19.12M	―	―	―	2.59%	16.02%