Sun Art Retail Group (SURRY) AI Stock Analysis

• Market Cap: $2.86B
• Dividend Yield: 5.78%
• Average Volume (3M): 11.00
• Price to Earnings (P/E): 50.9
• Beta (1Y): >-0.01
• Revenue Growth: -2.04%
• EPS Growth: N/A
• Country: US
• Employees: 85,778
• Sector: Consumer Cyclical
• Sector Strength: 77
• Industry: Department Stores
• EPS (TTM): 0.03
• Shares Outstanding: 954,050,500
• 10 Day Avg. Volume: 35
• 30 Day Avg. Volume: 11
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.24
• Enterprise Value/Revenue: <0.01
• Enterprise Value/Gross Profit: 0.04
• Enterprise Value/Ebitda: 0.26
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 56 Neutral
• Price Target: ―

Sun Art Retail Group's overall stock score is moderate, reflecting significant operational and profitability challenges, as evidenced by declining revenues and negative income statements. Although the company maintains a strong cash position, increased leverage poses a risk. Technical indicators are mixed, and the negative P/E ratio highlights valuation concerns despite a high dividend yield. These factors contribute to a cautious outlook.

Sun Art Retail Group Business Overview & Revenue Model

Company Description

Sun Art Retail Group Limited, an investment holding company, operates brick-and-mortar stores and online sales channels in the People's Republic of China. It operates hypermarkets, superstores, and mini stores under RT-Mart, RT-Super, and RT-Mini names. As of March 31, 2022, it had a total of 490 hypermarkets, nine superstores, and 103 mini stores. The company also provides consulting, investment, wholesaling, and retailing services. Sun Art Retail Group Limited was founded in 1998 and is based in Shanghai, the People's Republic of China.

How the Company Makes Money

Sun Art Retail Group generates its revenue primarily through the sale of consumer goods in its hypermarkets and online platforms. The company's key revenue streams include direct sales of merchandise across various categories such as food and non-food items. Sun Art benefits from the economies of scale achieved through its extensive network of stores, enabling cost efficiencies and price competitiveness. Additionally, the company has formed strategic partnerships with e-commerce giants like Alibaba, enhancing its online presence and driving sales through digital channels. These partnerships allow Sun Art to leverage Alibaba's technology and logistics infrastructure, broadening its customer base and boosting revenue growth through increased online sales.

Sun Art Retail Group Financial Statement Overview

Summary

Sun Art Retail Group faces operational and profitability challenges, as reflected in declining revenues and negative income statements. The balance sheet shows stability in cash reserves but increased leverage. Cash flow generation has also weakened, highlighting the need for operational improvements to sustain financial health.

Income Statement

Sun Art Retail Group has experienced declining revenue over recent years, with a significant drop from 2021 to 2024. The company posted negative EBIT and net income in the recent period, indicating operational challenges. Margins have deteriorated, with negative EBIT and net profit margins suggesting profitability issues.

Balance Sheet

The balance sheet reflects a reasonable equity base, with an equity ratio around 35% in 2024. However, the debt-to-equity ratio has increased, indicating rising leverage. Despite increased liabilities, the company maintains a significant cash position, which provides some financial stability.

Cash Flow

The cash flow statement shows a decline in operating cash flow over time, with a significant drop in 2024. Free cash flow remains positive but has decreased compared to prior years, impacting the company's ability to generate cash from operations. The free cash flow to net income ratio is affected by negative net income.

Breakdown	TTM	Mar 2023	Mar 2022	Mar 2021	Dec 2019	Dec 2018
Income Statement
Total Revenue	78.82B	83.66B	88.13B	99.69B	95.36B	99.36B
Gross Profit	19.36B	20.58B	21.47B	25.09B	25.73B	25.12B
EBITDA	2.72B	858.00M	3.51B	7.14B	9.11B	7.06B
Net Income	-181.00M	78.00M	-826.00M	2.86B	2.83B	2.59B
Balance Sheet
Total Assets	71.19B	64.12B	65.75B	69.23B	71.19B	61.78B
Cash, Cash Equivalents and Short-Term Investments	13.27B	19.18B	18.66B	20.12B	13.27B	13.48B
Total Debt	8.57B	7.71B	7.38B	8.05B	8.57B	1.00M
Total Liabilities	45.83B	39.92B	40.68B	41.37B	45.83B	36.68B
Stockholders Equity	23.93B	23.52B	23.96B	26.22B	23.93B	23.66B
Cash Flow
Free Cash Flow	2.44B	4.28B	3.56B	9.62B	4.60B	6.41B
Operating Cash Flow	3.98B	4.30B	3.58B	9.62B	4.61B	6.42B
Investing Cash Flow	-1.88B	-1.20B	3.30B	-11.07B	-1.81B	-2.11B
Financing Cash Flow	-1.46B	-1.99B	-3.68B	-2.68B	-3.02B	-1.20B

Sun Art Retail Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.96
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SURRY, the sentiment is Positive. The current price of 2.96 is above the 20-day moving average (MA) of 2.84, below the 50-day MA of 2.99, and above the 200-day MA of 2.67, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 56.14 is Neutral, neither overbought nor oversold. The STOCH value of 88.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SURRY.

Sun Art Retail Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DDS	77 Outperform	$8.17B	14.44	29.76%	5.01%	-2.44%	-10.73%
M	77 Outperform	$3.48B	6.48	12.92%	5.46%	-3.77%	4607.98%
BC	74 Outperform	$4.13B	100.08	2.85%	2.66%	-11.58%	-87.27%
KSS	67 Neutral	$1.54B	12.76	3.19%	9.16%	-7.03%	-56.59%
Sector *	63 Neutral	AU$3.11B	29.20	25.32%	4.46%	2.10%	-21.18%
JWN	60 Neutral		―		―	2.20%	120.00%
SURRY	56 Neutral	$2.86B	50.88	1.96%	5.78%	-2.04%	―