Taoping (TAOP) AI Stock Analysis

• Market Cap: $2.76M
• Dividend Yield: N/A
• Average Volume (3M): 138.19K
• Price to Earnings (P/E): 0.4
• Beta (1Y): 1.57
• Revenue Growth: -15.10%
• EPS Growth: -177.14%
• Country: US
• Employees: 63
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -6.54
• Shares Outstanding: 890,000
• 10 Day Avg. Volume: 234,213
• 30 Day Avg. Volume: 138,193
• PEG Ratio: -3.89
• Price to Book (P/B): 3.62
• Price to Sales (P/S): 1.56
• P/FCF Ratio: -16.69
• Enterprise Value/Market Cap: 3.21
• Enterprise Value/Revenue: 0.21
• Enterprise Value/Gross Profit: 0.97
• Enterprise Value/Ebitda: 2.37
• 1Y Price Target: $3.00
• Price Target Upside: -4.76% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 43 Neutral
• Price Target: $3.00 ▼(-4.76% Downside)

Taoping's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and cash flow challenges. Technical analysis provides a neutral outlook, while valuation metrics highlight ongoing profitability issues. The lack of earnings call and corporate events data limits additional insights.

Taoping Business Overview & Revenue Model

Company Description

Taoping Inc. provides cloud-based platform, resource sharing, and big data solutions to the Chinese new media, education residential community management, and elevator Internet of Things (IoT) industries in the People's Republic of China. It operates through three segments: Cloud-Based Technology, Blockchain Technology, and Traditional Information Technology. The company offers cloud-based software as a service to automate the interactive workflows between advertising agencies and their customers, including establishing new advertising projects, submitting advertisement proposals, revising and approving advertising proposals, processing payment online, remotely uploading advertisement content, and tracking and analyzing performance data. It also provides project-based technology products and services for the public sector; and software and hardware with integrated solutions, including information technology infrastructure, Internet-enabled display technologies, and IoT platforms to customers in government, education, residential community management, media, transportation, healthcare, and other private sectors, as well as related maintenance and support services. In addition, the company offers cloud-application-terminal and IoT technology based digital advertising distribution network and media resource sharing platform in the out-of-home advertising markets. Further, it operates Taoping Net, an advertising-resources trading service platform, which connect screen owners, advertisers, and consumers; Taoping App, which enable customers to distribute and manage ads from mobile terminals; and cryptocurrency mining and blockchain related services. The company was formerly known as China Information Technology, Inc. and changed its name to Taoping Inc. in June 2018. Taoping Inc. was founded in 1993 and is headquartered in Causeway Bay, Hong Kong.

How the Company Makes Money

Taoping generates revenue through several key streams, primarily by selling advertising services and digital signage products to businesses and government entities. The company earns income from the deployment of its digital advertising platforms, which allow clients to reach targeted audiences effectively. Additionally, Taoping monetizes its cloud services by providing software and data analytics solutions that enable clients to manage and optimize their advertising campaigns. Significant partnerships with various advertisers and technology firms contribute to its earnings, as these collaborations enhance the company's service offerings and market reach. Furthermore, Taoping benefits from recurring revenue models through long-term contracts and service agreements with clients, ensuring a steady cash flow.

Taoping Financial Statement Overview

Summary

Taoping shows strong revenue growth, but its profitability remains a concern with persistent losses. The balance sheet is moderately leveraged, but cash flow issues persist, indicating potential liquidity challenges. Continued focus on cost management and improving cash flow would be crucial for financial stability.

Income Statement

Taoping's revenue grew significantly by 59.4% from 2022 to 2023, indicating strong sales performance. However, the net profit margin is negative due to continued losses, though there is a slight improvement compared to previous years. The gross profit margin is moderate at 22.9%, showing the company can cover direct costs, but the negative EBIT and EBITDA margins highlight challenges in managing operating expenses.

Balance Sheet

The debt-to-equity ratio stands at 0.70, which is moderate, suggesting some leverage but not excessively high. The equity ratio is 38.9%, indicating a reasonable proportion of assets financed by equity. Although stockholders' equity has increased, the company's financial stability is affected by consistent net losses, impacting return on equity, which remains negative.

Cash Flow

Taoping's operating cash flow is negative, but there is an improvement from 2022. Free cash flow remains negative, signaling cash management issues. However, the free cash flow growth rate has improved due to a smaller deficit than in previous years. The operating cash flow to net income ratio is negative, reflecting challenges in translating revenue into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.64M	36.67M	38.64M	24.23M	19.39M	11.06M
Gross Profit	9.12M	7.77M	8.85M	7.23M	9.34M	3.94M
EBITDA	3.73M	772.61K	3.35M	3.54M	-8.63M	-13.90M
Net Income	1.92M	-1.82M	-697.94K	-7.08M	-9.92M	-17.69M
Balance Sheet
Total Assets	34.08M	35.13M	32.83M	29.21M	47.16M	30.78M
Cash, Cash Equivalents and Short-Term Investments	480.30K	1.58M	1.30M	1.01M	4.53M	882.77K
Total Debt	9.88M	7.89M	9.00M	7.25M	8.04M	7.39M
Total Liabilities	18.24M	19.26M	20.06M	19.59M	27.90M	29.80M
Stockholders Equity	15.84M	15.87M	12.76M	9.62M	19.25M	-7.66M
Cash Flow
Free Cash Flow	-5.61M	-3.44M	-3.54M	-10.83M	-27.44M	-3.45M
Operating Cash Flow	-4.19M	-2.38M	-2.33M	-9.04M	-16.15M	-1.78M
Investing Cash Flow	-1.64M	-1.08M	-1.21M	4.31M	-14.00M	-1.73M
Financing Cash Flow	5.99M	3.75M	3.84M	22.72K	33.03M	3.07M

Taoping Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.15
• 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 TAOP, the sentiment is Positive. The current price of 3.15 is above the 20-day moving average (MA) of 3.07, below the 50-day MA of 3.32, and below the 200-day MA of 6.47, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 49.34 is Neutral, neither overbought nor oversold. The STOCH value of 72.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TAOP.

Taoping Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CETX	52 Neutral	$4.15M	<0.01	-1102.76%	―	16.50%	―
APCX	46 Neutral	$5.78M	―	-349.71%	―	30.52%	56.70%
TAOP	43 Neutral	$2.76M	0.44	-46.76%	―	-15.10%	-177.14%
RVYL	40 Underperform	$12.02M	―	-2201.06%	―	-33.86%	74.09%
ATCH	34 Underperform	$46.07M	―	470.97%	―	―	―

Taoping Corporate Events

Taoping Inc. Releases Six-Month Financial Report Amidst Market Challenges

On October 1, 2025, Taoping Inc. released its unaudited consolidated financial statements for the six months ending June 30, 2025, and 2024. The report, filed with the SEC, highlights the company’s financial position, showing a decrease in total assets and equity compared to the previous year. This financial disclosure is crucial for stakeholders to assess Taoping’s financial health and operational performance amid challenges such as economic conditions affecting technology spending and competitive pressures in the advertising sector.

Taoping Inc. Acquires Skyladder Group to Enhance AI and Elevator Services

On September 29, 2025, Taoping Inc. announced a Share Purchase Agreement to acquire 100% equity interest in Skyladder Group Limited, a Hong Kong-based company, for approximately US$21.36 million. This strategic acquisition, payable in ordinary shares, is expected to enhance Taoping’s market position by expanding its service offerings in intelligent elevator services and AI-driven supervision. The transaction is set to close by December 31, 2025, with performance targets in place to unlock share tranches, impacting stakeholders by potentially increasing the company’s operational capabilities and market reach.

Taoping Inc. Restructures Share Classes and Expands Authorized Shares

On August 18, 2025, Taoping Inc., a British Virgin Islands business company, held a special meeting of shareholders in Shenzhen, China. During the meeting, shareholders approved significant changes to the company’s capital structure, including the creation of new classes of shares and an increase in the authorized number of shares from 100 million to over 5 billion. This restructuring aims to enhance the company’s flexibility in capital management and potentially strengthen its market position.

Taoping Inc. Announces Special Shareholder Meeting for Major Share Restructuring

Taoping Inc. has announced a special meeting of its shareholders scheduled for August 18, 2025, to vote on significant changes to its share structure. The proposed changes include creating a new class of shares and increasing the maximum number of shares the company can issue to 5,060,000,000. This includes 5,000,000,000 ordinary shares, 50,000,000 Class A shares, and 10,000,000 preferred shares. The Class A shares will have enhanced voting rights and conversion privileges, primarily for directors and executives. These changes are aimed at restructuring the company’s governance and shareholding framework, potentially impacting its market positioning and control dynamics.