TMD Energy Limited (TMDE) AI Stock Analysis

• Market Cap: $12.81M
• Dividend Yield: N/A
• Average Volume (3M): 36.13K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.51
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 66
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): N/A
• Shares Outstanding: 23,565,000
• 10 Day Avg. Volume: 23,644
• 30 Day Avg. Volume: 36,134
• PEG Ratio: -7.57
• Price to Book (P/B): 4.69
• Price to Sales (P/S): 0.12
• P/FCF Ratio: -2.99
• Enterprise Value/Market Cap: 11.53
• 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: 54 Neutral
• Price Target: $0.70 ▲(69.51% Upside)

The score is held back primarily by weak financial quality—very low net margin, high leverage, and negative operating/free cash flow—despite revenue growth and some operational efficiency improvement. Technically, the stock is above key moving averages, but overbought RSI and negative MACD temper the trend signal. Valuation impact is neutral due to missing P/E and dividend yield.

Positive Factors

Revenue Growth Trend

Sustained revenue growth of 8.77% indicates expanding project deliveries and customer wins across solar and wind. Over 2–6 months this supports a larger project pipeline, stronger bargaining power with suppliers, and a firmer base to scale operating leverage as projects mature.

Operational Margin Improvement

Improvements in gross and operating margins reflect better cost control and project execution. Durable margin gains improve cash conversion on new projects, help absorb fixed costs, and increase resilience to input-cost shocks across the construction and O&M lifecycle.

Long-term Contracts and Partnerships

Long-term PPAs and government/private partnerships create predictable revenue streams and easier access to project financing. These structural relationships enhance pipeline visibility, reduce merchant exposure, and support multi-year project development and capital deployment plans.

Negative Factors

High Financial Leverage

Very high leverage raises refinancing and covenant risk and limits strategic flexibility. In a capital-intensive renewables business, elevated debt amplifies sensitivity to interest rates and project delays, constraining ability to fund new projects or withstand adverse cashflow swings.

Weak Cash Generation

Negative operating cash flow and declining free cash flow undermine internal funding for capex and project pipeline. Reliance on external financing increases, raising funding cost and execution risk, and reducing capacity to reinvest in growth or buffer cyclical setbacks.

Very Thin Net Profitability

A 0.27% net margin and falling ROE signal weak ability to convert revenue into shareholder returns. Persistently low profitability reduces retained earnings for balance sheet repair and leaves little cushion against cost inflation, commodity swings, or project overruns.

TMD Energy Limited Business Overview & Revenue Model

Company Description

TMD Energy Limited, an investment holding company, provides marine fuel bunkering services in Hong Kong, Malaysia, Indonesia, Singapore, and Vietnam. The company involved in marketing and supply of marine gas and fuel oil, including high sulfur fuel oil, low sulfur fuel oil, and very low sulfur fuel oil products to ships and vessels. It also provides vessel chartering and ship management services for in-house and external vessels; sale of cargo oil and fresh water; and general cleaning and disinfecting services. It operates with a fleet of 15 well-maintained bunkering vessels. TMD Energy Limited was incorporated in 2023 and is based in the Kuala Lumpur, Malaysia. TMD Energy Limited is a subsidiary of Straits Energy Resources Berhad.

How the Company Makes Money

TMD Energy Limited generates revenue through multiple streams, primarily by developing and managing renewable energy projects. The company earns money by selling energy produced from its solar and wind installations to local utilities and businesses under long-term power purchase agreements (PPAs). Additionally, TMDE provides consulting services for energy efficiency and sustainability projects, allowing it to charge fees for expertise and project management. Significant partnerships with government entities and private sector companies enhance its project pipeline and enable access to funding opportunities, further contributing to its earnings. The company may also benefit from incentives and subsidies offered for renewable energy initiatives, which can bolster its profitability.

TMD Energy Limited Financial Statement Overview

Summary

Mixed fundamentals: revenue grew 8.77% and operating margins improved, but profitability is very thin (0.27% net margin), leverage is high (debt-to-equity 4.47), and operating/free cash flow deteriorated with operating cash flow turning negative.

Income Statement

TMD Energy Limited shows a mixed performance in its income statement. The company achieved a revenue growth of 8.77% from 2023 to 2024, indicating positive sales momentum. However, the net profit margin remains low at 0.27% in 2024, reflecting challenges in converting revenue into profit. The gross profit margin improved slightly to 2.33% in 2024, suggesting better cost management. The EBIT and EBITDA margins also show improvement, indicating enhanced operational efficiency.

Balance Sheet

The balance sheet of TMD Energy Limited reveals moderate financial stability. The debt-to-equity ratio increased significantly to 4.47 in 2024, indicating high leverage and potential financial risk. The equity ratio stands at 16.24%, showing a relatively low proportion of equity financing. Return on equity decreased to 10.50% in 2024, suggesting reduced profitability for shareholders.

Cash Flow

The cash flow statement highlights significant challenges for TMD Energy Limited. The operating cash flow turned negative in 2024, indicating cash flow issues from core operations. Free cash flow also deteriorated, reflecting increased capital expenditures and reduced cash availability. The free cash flow to net income ratio is negative, underscoring cash flow management concerns.

Breakdown	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	688.61M	633.08M	702.10M
Gross Profit	16.04M	12.09M	13.26M
EBITDA	12.85M	10.21M	8.22M
Net Income	1.88M	2.00M	2.37M
Balance Sheet
Total Assets	110.10M	104.40M	81.93M
Cash, Cash Equivalents and Short-Term Investments	16.07M	4.83M	11.27M
Total Debt	79.86M	24.76M	28.35M
Total Liabilities	90.96M	82.18M	61.89M
Stockholders Equity	17.88M	17.45M	16.11M
Cash Flow
Free Cash Flow	-28.04M	-2.50M	-6.09M
Operating Cash Flow	-24.29M	654.22K	518.56K
Investing Cash Flow	-3.76M	-3.15M	-6.61M
Financing Cash Flow	38.66M	-2.49M	8.05M

TMD Energy Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MXC	78 Outperform	$21.99M	13.32	9.11%	0.96%	7.26%	40.01%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
TMDE	54 Neutral	$12.81M	―	―	―	―	―
PVL	54 Neutral	$59.40M	28.13	4.93%	6.02%	18.14%	-68.41%