Trio-Tech International (TRT) AI Stock Analysis

• Market Cap: $22.64M
• Dividend Yield: N/A
• Average Volume (3M): 3.12K
• Price to Earnings (P/E): 37.8
• Beta (1Y): 0.08
• Revenue Growth: -14.64%
• EPS Growth: -97.84%
• Country: US
• Employees: 673
• Sector: Technology
• Sector Strength: 86
• Industry: Semiconductors
• EPS (TTM): 0.12
• Shares Outstanding: 4,312,805
• 10 Day Avg. Volume: 2,974
• 30 Day Avg. Volume: 3,117
• 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: 0.42
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 1.03
• Enterprise Value/Ebitda: 2.84
• 1Y Price Target: $6.00
• Price Target Upside: 11.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 65 Neutral
• Price Target: $6.00 ▲(11.11% Upside)

Trio-Tech International's overall stock score reflects a stable financial foundation with significant potential for strategic growth. The strong balance sheet and recent corporate actions, like the acquisition and share buyback, are positives. However, low profitability and challenging valuation metrics weigh down the score. Technical indicators are neutral, suggesting stability but limited immediate upside. Strategic initiatives to boost revenue and profitability are crucial for improving the outlook.

Trio-Tech International Business Overview & Revenue Model

Company Description

Trio-Tech International (TRT) is a diversified company specializing in the design, development, manufacturing, and sale of equipment and systems used in the testing and burn-in of semiconductor devices. The company operates in several sectors, including semiconductor testing services, manufacturing, and distribution of semiconductor testing equipment. With a global presence, Trio-Tech serves a wide range of industries by providing essential quality assurance solutions to ensure the reliability and performance of semiconductor devices.

How the Company Makes Money

Trio-Tech International generates its revenue through multiple streams. The primary source of income is its semiconductor testing services, where the company offers testing and burn-in services to ensure the functionality and reliability of semiconductor devices for its clients. Additionally, Trio-Tech earns revenue from the manufacturing and sale of its proprietary semiconductor testing equipment and systems. The company may also engage in distribution activities, where it partners with other manufacturers to offer a broader range of products to its customers. Key factors contributing to its earnings include its technological expertise, global operational footprint, and strong relationships with semiconductor manufacturers and distributors.

Trio-Tech International Financial Statement Overview

Summary

Trio-Tech International's financial performance is stable but faces challenges. The balance sheet is strong with low leverage, but profitability and revenue growth are weak. Cash flow is solid from operations but declining free cash flow is a concern.

Income Statement

Trio-Tech International's income statement shows moderate performance with a gross profit margin of 25.9% and a net profit margin of 0.05% in the TTM (Trailing-Twelve-Months). The EBIT and EBITDA margins are 0.41% and 9.43%, respectively, indicating operational efficiency challenges. Revenue has declined from $43.2 million to $35.5 million in the TTM, reflecting a negative growth trend. Overall, while profitability margins are low, there is potential for improvement if the company can reverse its revenue decline.

Balance Sheet

The balance sheet of Trio-Tech International is strong, with a low debt-to-equity ratio of 0.03, signifying minimal financial leverage. The equity ratio is robust at 80.87%, indicating a stable capital structure with high equity financing. However, the return on equity is very low at 0.06% in the TTM, suggesting limited profitability relative to shareholder equity. While the company maintains a solid balance sheet, improving ROE would enhance financial performance.

Cash Flow

The company's cash flow statement reflects a mixed scenario. The operating cash flow to net income ratio is favorable, highlighting efficient cash generation from operations. However, the free cash flow growth rate is negative, declining from $2.016 million to $336,000 in the TTM, indicating reduced liquidity. Despite strong operational cash flow, the decline in free cash flow is a concern that needs addressing for sustained financial health.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.31M	43.25M	44.06M	32.46M	34.47M
Gross Profit	10.76M	11.71M	11.73M	7.67M	7.27M
EBITDA	5.94M	7.58M	6.25M	2.29M	4.44M
Net Income	1.05M	1.54M	2.40M	-1.13M	878.00K
Balance Sheet
Total Assets	42.54M	42.19M	43.42M	38.31M	35.66M
Cash, Cash Equivalents and Short-Term Investments	16.53M	14.21M	13.12M	12.49M	10.85M
Total Debt	2.85M	4.11M	6.06M	4.46M	4.11M
Total Liabilities	10.96M	12.62M	15.42M	12.25M	10.51M
Stockholders Equity	31.33M	29.41M	27.87M	25.63M	23.97M
Cash Flow
Free Cash Flow	2.02M	3.61M	655.00K	526.00K	1.99M
Operating Cash Flow	2.56M	8.11M	2.12M	1.64M	3.01M
Investing Cash Flow	-113.00K	-6.07M	-444.00K	-567.00K	-2.62M
Financing Cash Flow	-90.00K	-1.24M	911.00K	-2.00K	-732.00K

Trio-Tech International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.40
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRT, the sentiment is Negative. The current price of 5.4 is below the 20-day moving average (MA) of 5.53, below the 50-day MA of 5.46, and below the 200-day MA of 5.78, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 47.46 is Neutral, neither overbought nor oversold. The STOCH value of 21.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRT.

Trio-Tech International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRT	65 Neutral	$22.64M	37.80	0.06%	―	-14.64%	-97.84%
Sector *	61 Neutral	$35.48B	7.70	-10.11%	1.88%	8.73%	-9.23%
PRSO	51 Neutral	$5.53M	―	-200.76%	―	1.80%	89.30%
LEDS	48 Neutral	$15.62M	―	-14.79%	―	485.62%	85.02%
PXLW	43 Neutral	$53.25M	―	-2911.20%	―	-44.05%	-2.33%
WKEY	40 Underperform	$62.81M	―	-51.84%	―	-61.52%	35.64%
SMTK	39 Underperform	$3.37M	―	-451.42%	―	125.58%	-0.65%

Trio-Tech International Corporate Events

Trio-Tech Acquires Full Ownership of Jiangsu Subsidiary

On June 30, 2025, Trio-Tech International, through its subsidiary Trio-Tech (SIP) Co., Ltd., acquired the remaining 49% equity interest in Trio-Tech (Jiangsu) Co. Ltd., making it a wholly-owned subsidiary. This strategic acquisition strengthens Trio-Tech’s operational control and presence in the Chinese market, potentially enhancing its competitive positioning in the semiconductor industry.

Trio-Tech Announces $1 Million Share Buyback Plan

On May 8, 2025, Trio-Tech International‘s Board of Directors approved a share repurchase program authorizing the buyback of up to $1.0 million of its common stock over two years, reflecting confidence in its long-term growth strategy. Despite a decline in third-quarter revenue due to market pressures and supply chain delays, the company remains optimistic about future growth, particularly in Southeast Asia, and continues to focus on financial flexibility and operational efficiency.