Treasure Global, Inc. (TGL) AI Stock Analysis

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Treasure Global, Inc.

(NASDAQ:TGL)

Rating:41Neutral

Price Target:

$1.00

▼(-21.26%Downside)

The overall stock score is significantly impacted by poor financial performance due to declining revenue and persistent losses. The technical analysis suggests potential short-term stabilization, but the valuation remains unattractive with a negative P/E ratio. The absence of earnings call data and notable events means these factors do not influence the score.

Treasure Global, Inc. (TGL) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$4.84M

Dividend YieldN/A

Average Volume (3M)2.80M

Price to Earnings (P/E)―

Beta (1Y)-0.20

Revenue Growth-96.03%

EPS Growth95.03%

CountryUS

Employees25

SectorTechnology

Sector Strength78

IndustrySoftware - Application

Share Statistics

EPS (TTM)1.09

Shares Outstanding3,807,842

10 Day Avg. Volume5,579,051

30 Day Avg. Volume2,803,772

Financial Highlights & Ratios

PEG Ratio-0.02

Price to Book (P/B)0.19

Price to Sales (P/S)0.00

P/FCF Ratio-0.87

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Treasure Global, Inc. Business Overview & Revenue Model

Company DescriptionTreasure Global, Inc. (TGL) is a technology-driven company operating primarily in the digital commerce and fintech sectors. The company focuses on developing innovative solutions that enhance consumer and merchant experiences through digital platforms. Core products and services include a comprehensive digital payment platform and a loyalty rewards program designed to streamline transactions and promote customer engagement.

How the Company Makes MoneyTreasure Global, Inc. generates revenue through transaction fees charged on its digital payment platform, as well as through partnerships with merchants who utilize their loyalty rewards program to attract and retain customers. The company also earns income from licensing its technology to third parties and through strategic alliances that expand its market reach. Key factors contributing to its earnings include the growth of digital commerce, increased adoption of fintech solutions, and the company's ability to form valuable partnerships with other businesses in the retail and financial sectors.

Treasure Global, Inc. Earnings Call Summary

Earnings Call Date:May 15, 2025

(Q3-2024)

% Change Since: -30.22%|

Next Earnings Date:Dec 23, 2025

Earnings Call Sentiment Neutral

Treasure Global demonstrated significant achievements in AI and blockchain, as well as improved profitability and recognition in the e-commerce sector. However, these gains were overshadowed by a substantial revenue decline and reduced cash reserves, indicating challenges in maintaining user engagement and financial stability.

Q3-2024 Updates

Positive Updates

ZCITY Premium Store Success

The launch of the ZCITY Premium Store exceeded expectations, enhancing gross profit margins and driving transactions with over 6,000 Bill Saver Bonanza Packs sold in four months.

AI and Blockchain Initiatives

Treasure Global strengthened its position in the blockchain market with new partnerships and AI initiatives, including an exclusive AI wallet on Telegram and collaboration with AIO Synergy to revolutionize the AI landscape.

Significant Gross Profit Increase

Gross profit reached USD 217,000, marking a substantial increase of 47% compared to the same period last year.

Decrease in Net Losses

Net losses decreased substantially to approximately USD 1.7 million compared to USD 2.9 million in the third quarter of fiscal year 2023.

Marketing Contract Achievement

Secured a USD 2 million marketing contract with Satria Dunia Sdn Bhd to showcase Korean beauty products using ZCITY's AI marketing engine.

Recognition at Asia eCommerce Awards

ZCITY won a silver trophy for the best e-commerce solution at the MARKETING-INTERACTIVE Asia eCommerce Awards 2023.

Negative Updates

Revenue Decline

Total revenue for the quarter was USD 1.6 million, reflecting a decrease of approximately 76% compared to USD 6.7 million in the second quarter of fiscal year 2024.

Decline in Quarterly Active Users

Quarterly active users for the quarter ending March 31, 2024, decreased despite ongoing efforts to enhance ZCITY's features and offerings.

Cash Balance Reduction

Cash balance decreased to approximately USD 0.3 million from USD 4.1 million as of March 31, 2023.

Company Guidance

In the third quarter of fiscal year 2024, Treasure Global Inc. demonstrated significant progress across various metrics, despite a challenging macro environment. The company reported a substantial increase in gross profit, reaching USD 217,000, up by 47% from the previous year. However, total revenue for the quarter saw a decline to USD 1.6 million, a 76% drop compared to the previous quarter, attributed to the strategic shift towards higher-margin business channels. Net losses decreased significantly to approximately USD 1.7 million from USD 2.9 million the previous year, driven by cost management and operational efficiency improvements. The company's cash balance stood at approximately USD 0.3 million as of March 31, 2024, with future sales expected to bolster this position. ZCITY, a key platform for Treasure Global, reported over 2.69 million registered users, 2,027 registered merchants, and 41,455 quarterly active users, with 0.19 million transactions recorded in the quarter. Despite some declines in user engagement, the company remains optimistic about ZCITY's long-term growth potential, focusing on enhancing features and offerings. The call highlighted the company's strategic initiatives, including AI-driven innovations, market expansion, and a new partnership within the blockchain sector, as well as a USD 2 million marketing contract with Satria Dunia Sdn Bhd to promote Korean beauty products. Treasure Global's commitment to innovation and strategic market positioning is poised to drive sustained growth and shareholder value.

Treasure Global, Inc. Financial Statement Overview

Summary

Treasure Global, Inc. struggles with declining revenue, persistent losses, and liquidity issues, despite an improved debt position. Negative margins, equity concerns, and cash flow challenges highlight financial instability.

Income Statement

Very Negative

The income statement shows a significant decline in revenue over the years, with a shrinking gross profit margin from previous periods. The company is experiencing consistent negative EBIT and net income, indicating operational inefficiencies and profitability challenges. Revenue growth has been negative, contributing to a low score in this vertical.

Balance Sheet

Negative

The balance sheet reveals a transition from high leverage in prior years to a debt-free status in the latest TTM. However, the negative stockholders' equity in previous years and low return on equity highlight ongoing financial instability. The company's equity ratio has improved, suggesting better asset management, but the overall weak financial health limits the score.

Cash Flow

Negative

The cash flow statement indicates negative operating and free cash flows, reflecting liquidity issues. There is no visible growth in free cash flow, and the operating cash flow to net income ratio is adversely affected by persistent losses. Although financing activities have provided some cash inflow, they have not been sufficient to stabilize cash flow metrics.

TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Breakdown
Income Statement		Total Revenue
2.40M	22.07M	69.41M	79.67M	14.02M	268.17K
	Gross Profit
703.95K	816.06K	523.28K	476.19K	139.94K	42.99K
	EBIT
-4.56M	-6.06M	-10.24M	-10.18M	-7.59M	-110.97K
	EBITDA
-3.98M	-5.35M	-10.10M	-10.06M	-7.51M	-110.97K
	Net Income Common Stockholders
-4.44M	-6.59M	-11.73M	-11.75M	-7.92M	-110.97K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
762.88K	371.65K	4.59M	1.85M	2.84M	372.00
	Total Assets
19.10M	4.28M	6.37M	2.70M	3.69M	635.38K
	Total Debt
7.25K	64.71K	5.03M	14.89M	5.07M	54.44K
	Net Debt
-251.33K	-135.30K	434.11K	13.05M	2.22M	54.07K
	Total Liabilities
694.08K	897.85K	6.50M	18.30M	10.21M	214.72K
	Stockholders Equity
18.40M	3.38M	-130.33K	-15.60M	-6.52M	420.65K
Cash Flow		Free Cash Flow
-2.14M	-4.92M	-9.65M	-8.98M	-6.88M	-489.65K
	Operating Cash Flow
-3.19M	-4.71M	-9.56M	-8.66M	-6.80M	-489.30K
	Investing Cash Flow
-2.24M	-252.61K	-61.24K	-311.74K	-84.85K	-342.00
	Financing Cash Flow
4.37M	350.47K	12.66M	8.16M	9.80M	493.87K

Treasure Global, Inc. Technical Analysis

Technical Analysis Sentiment

Negative

Last Price1.27

Price Trends

50DMA

1.94

Negative

100DMA

4.68

Negative

200DMA

15.87

Negative

Market Momentum

MACD

-0.23

Negative

RSI

35.52

Neutral

STOCH

10.32

Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TGL, the sentiment is Negative. The current price of 1.27 is below the 20-day moving average (MA) of 1.49, below the 50-day MA of 1.94, and below the 200-day MA of 15.87, indicating a bearish trend. The MACD of -0.23 indicates Negative momentum. The RSI at 35.52 is Neutral, neither overbought nor oversold. The STOCH value of 10.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TGL.

Treasure Global, Inc. Risk Analysis

Treasure Global, Inc. disclosed 48 risk factors in its most recent earnings report. Treasure Global, Inc. reported the most risks in the "Tech & Innovation" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Treasure Global, Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$11.80B	10.08	-7.46%	2.99%	7.37%	-8.21%
VERB	53 Neutral	$10.07M	―	-66.08%	―	3125.00%	98.06%
SOPA	49 Neutral	$6.61M	―	-528.72%	―	-15.60%	64.21%
IDAI	44 Neutral	$4.63M	―	-369.03%	―	-34.68%	-265.79%
TGL	41 Neutral	$4.84M	―	-8.88%	―	-96.03%	95.03%
NVNI	40 Underperform	$12.35M	―		―	―	―

* Technology Sector Average

Performance Comparison

TGL

Treasure Global, Inc.

1.27

-150.23

-99.16%

VERB

Verb Technology Company

7.10

-17.86

-71.55%

SOPA

Society Pass

1.32

-0.03

-2.22%

NVNI

Nvni Group

0.36

-0.92

-71.88%

IDAI

T Stamp, Inc. Class A

1.86

-5.79

-75.69%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.