Tantech Holdings (TANH) AI Stock Analysis

• Market Cap: $2.33M
• Dividend Yield: N/A
• Average Volume (3M): 54.55K
• Price to Earnings (P/E): 1.7
• Beta (1Y): 1.53
• Revenue Growth: 6.27%
• EPS Growth: -34.07%
• Country: US
• Employees: 86
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Household & Personal Products
• EPS (TTM): 1.16
• Shares Outstanding: 1,188,911
• 10 Day Avg. Volume: 54,745
• 30 Day Avg. Volume: 54,547
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.06
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• 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

The overall score for Tantech Holdings reflects solid financial fundamentals, especially in terms of a strong balance sheet and improved profitability. However, declining revenues and free cash flow are concerns. The technical indicators reveal weak market momentum, while the extremely low P/E ratio suggests undervaluation, potentially due to market skepticism or risk factors. The absence of dividend yield may deter some investors.

Tantech Holdings Business Overview & Revenue Model

Company Description

Tantech Holdings Ltd, together with its subsidiaries, develops and manufactures bamboo-based charcoal products for industrial energy, household cooking, heating, purification, agricultural, and cleaning applications in the People's Republic of China and internationally. The company operates in two segments: Consumer Products and Electric Vehicle. It provides pressed and formed charcoal briquettes for use in grills, incense burners, and other applications under the Algold brand. The company also offers Charcoal Doctor branded products, such as air purifiers and humidifiers, automotive accessories for air purification, underfloor humidity control products, pillows and mattresses, wardrobe deodorizers, mouse pads and wrist mats, refrigerator deodorants, charcoal toilet cleaner disks, liquid charcoal cleaners, shoe insoles, and decorative charcoal gifts. In addition, it provides bamboo vinegar, a liquid byproduct for use in disinfectants, detergents, lotions, specialized soaps, toilet cleaners, and fertilizers, as well as in various agricultural applications; and trades in charcoal products. Further, the company develops and sells electric buses, electric logistics cars, and specialty electric vehicles, such as brushless cleaning cars, electric cleaning cars, special emergency vehicles, and funeral cars; and solar cells, lithium-ion batteries, auto parts, and electric control systems. It is also involved in the supply chain business. The company was founded in 2001 and is headquartered in Lishui, the People's Republic of China.

How the Company Makes Money

Tantech Holdings generates revenue through the sale of its bamboo charcoal-based products across various consumer and industrial markets. The company capitalizes on the eco-friendly trend, offering products that are marketed based on their sustainability and environmental benefits. Revenue streams include direct sales to consumers, as well as distribution through retail partners. Additionally, the company has diversified its income by entering the electric vehicle market, producing and selling electric buses and specialty vehicles. This diversification allows Tantech Holdings to tap into the growing demand for new energy vehicles in China and globally. Significant partnerships and collaborations in both the bamboo charcoal and electric vehicle sectors also contribute to the company's earnings by expanding its market reach and operational capabilities.

Tantech Holdings Financial Statement Overview

Summary

Tantech Holdings demonstrates solid fundamentals with a strong balance sheet and improved profitability metrics. However, challenges remain with declining revenues and reduced free cash flow. While profitability has improved, maintaining revenue growth is crucial for sustained financial strength.

Income Statement

The company's gross profit margin for the latest year is approximately 21.5%, indicating a reasonable level of profitability from its core operations. However, there is a decline in revenue from the previous year by approximately 11.54%, which is a concern. Net profit margin improved significantly to 11.8%, driven by higher net income, but the negative revenue growth could impact future earnings.

Balance Sheet

Tantech Holdings shows a strong equity position with an equity ratio of 88.7%, indicating a low reliance on debt financing. The debt-to-equity ratio is low at 0.075, suggesting minimal financial leverage. Return on equity improved significantly to 4.44%, highlighting better utilization of shareholder funds, but overall growth in assets has been modest.

Cash Flow

The company's free cash flow decreased by 40.76% year-over-year, which could constrain its ability to reinvest in operations or pursue growth opportunities. The operating cash flow to net income ratio is 0.94, indicating that operating cash flows are almost aligned with reported net income, suggesting good cash conversion.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
49.10M	47.32M	53.49M	55.26M	42.28M	49.23M
	Gross Profit
10.92M	10.17M	10.09M	10.43M	4.48M	5.98M
	EBIT
1.65M	1.83M	6.33M	-8.51M	1.66M	731.64K
	EBITDA
1.87M	8.25M	7.03M	-6.56M	-9.46M	-7.95M
	Net Income Common Stockholders
4.88M	5.58M	3.02M	-10.69M	-10.02M	-9.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
415.27K	29.09M	18.98M	43.14M	37.12M	12.44M
	Total Assets
78.71M	141.69M	134.13M	134.53M	116.30M	115.45M
	Total Debt
9.29M	9.51M	9.31M	12.87M	8.68M	7.35M
	Net Debt
8.87M	-19.58M	-9.67M	-30.28M	-28.44M	-5.09M
	Total Liabilities
16.23M	18.68M	18.20M	21.99M	16.80M	20.92M
	Stockholders Equity
59.32M	125.72M	118.08M	114.26M	98.85M	90.19M
Cash Flow		Free Cash Flow
10.60M	4.86M	8.21M	-8.31M	14.03M	14.60M
	Operating Cash Flow
10.61M	5.26M	8.29M	-8.09M	14.17M	14.70M
	Investing Cash Flow
-2.08M	-2.58M	-45.00M	524.08K	-122.96K	-5.93M
	Financing Cash Flow
408.76K	7.43M	15.29M	12.81M	8.94M	-5.46M

Tantech Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TANH, the sentiment is Neutral. The current price of 2.13 is above the 20-day moving average (MA) of 2.07, below the 50-day MA of 2.89, and below the 200-day MA of 7.60, indicating a neutral trend. The MACD of -0.32 indicates Negative momentum. The RSI at 44.19 is Neutral, neither overbought nor oversold. The STOCH value of 78.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TANH.

Tantech Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$7.23B	11.55	3.67%	4.04%	2.96%	-13.54%
TANH	56 Neutral	$2.33M	1.69	3.96%	―	6.27%	-34.07%
JWEL	46 Neutral	$3.86M	―	-32.36%	―	-16.85%	-9.20%
VMAR	41 Neutral	$7.68M	―	-80.86%	―	-55.43%	55.17%
KXIN	38 Underperform	$10.85M	―	-86.66%	―	-81.46%	-2552.53%
NVVE	29 Underperform	$2.98M	―	-559.17%	―	-35.99%	-909.64%
VLCN	28 Underperform	$3.06M	―	-864.11%	―	23.80%	99.03%