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Wetouch Technology (WETH)
NASDAQ:WETH
US Market

Wetouch Technology (WETH) AI Stock Analysis

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WETH

Wetouch Technology

(NASDAQ:WETH)

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Outperform 75 (OpenAI - 5.2)
Rating:75Outperform
Price Target:
$2.00
▲(43.88% Upside)
Action:UpgradedDate:01/13/26
The score is supported most by strong financial stability (minimal leverage) and a very low P/E valuation. It is tempered by inconsistent profitability/cash-flow conversion and a mixed technical picture with cautious momentum, plus some dilution risk from the expanded share authorization.
Positive Factors
Financial Stability
The company's low leverage indicates a strong financial position, reducing financial risk and providing stability for future operations.
Negative Factors
Profitability Decline
Declining margins indicate pressure on profitability, which could affect long-term earnings potential and operational efficiency.
Read all positive and negative factors
Positive Factors
Negative Factors
Financial Stability
The company's low leverage indicates a strong financial position, reducing financial risk and providing stability for future operations.
Read all positive factors

Wetouch Technology (WETH) vs. SPDR S&P 500 ETF (SPY)

Wetouch Technology Business Overview & Revenue Model

Company Description
Wetouch Technology Inc. engages in the research, development, manufacture, sale, and servicing of medium to large sized projected capacitive touchscreens in the Peoples Republic of China, Taiwan, South Korea, and internationally. Its product portf...
How the Company Makes Money
Wetouch Technology generates revenue primarily through the sale of its proprietary touch and interactive technologies, including touchscreens and haptic systems, directly to manufacturers and OEMs in various industries. The company also earns inco...

Wetouch Technology Financial Statement Overview

Summary
Strong overall financial quality driven by a very conservatively financed balance sheet (minimal leverage) and improved TTM operating performance. Offsetting factors are volatility in margins over time and uneven free-cash-flow conversion, with recent FCF growth negative.
Income Statement
72
Positive
Balance Sheet
91
Very Positive
Cash Flow
64
Positive
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue43.52M42.28M39.71M37.92M40.79M31.35M
Gross Profit14.70M13.61M17.19M14.05M18.43M15.61M
EBITDA10.57M9.33M12.66M11.42M13.01M12.94M
Net Income7.44M6.03M8.26M8.73M17.39M8.93M
Balance Sheet
Total Assets139.91M128.02M119.64M73.11M68.68M47.06M
Cash, Cash Equivalents and Short-Term Investments113.19M103.76M98.04M51.25M46.16M23.96M
Total Debt666.00K1.05M1.71M1.66M2.03M0.00
Total Liabilities4.74M3.43M6.72M4.27M4.37M2.71M
Stockholders Equity135.17M124.59M112.92M68.83M64.31M44.35M
Cash Flow
Free Cash Flow10.15M932.25K10.46M8.59M2.36M12.96M
Operating Cash Flow10.30M1.20M12.72M8.59M14.05M12.96M
Investing Cash Flow-152.63K-271.83K-2.26M0.006.16M0.00
Financing Cash Flow-434.58K7.45M39.95M-652.63K1.86M-4.70M

Wetouch Technology Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.39
Price Trends
50DMA
1.56
Negative
100DMA
1.71
Negative
200DMA
1.49
Negative
Market Momentum
MACD
-0.08
Negative
RSI
47.52
Neutral
STOCH
55.93
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WETH, the sentiment is Neutral. The current price of 1.39 is above the 20-day moving average (MA) of 1.37, below the 50-day MA of 1.56, and below the 200-day MA of 1.49, indicating a neutral trend. The MACD of -0.08 indicates Negative momentum. The RSI at 47.52 is Neutral, neither overbought nor oversold. The STOCH value of 55.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WETH.

Wetouch Technology Risk Analysis

Wetouch Technology disclosed 54 risk factors in its most recent earnings report. Wetouch Technology reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 1 New Risks
1.
Upon the effectiveness of the Trial Administrative Measures, we could be subject to the Trial Administrative Measures, as the Company has: (i) 50% or more of the issuer's operating revenue, total profit, total assets or net assets as documented in its audited consolidated financial statements for the most recent accounting year is accounted for by PRC domestic companies; and (ii) the main parts of the issuer's business activities are conducted in mainland China, or its main places of business are located in mainland China, or the senior managers in charge of its business operation and management are mostly Chinese citizens or domiciled in mainland China; and, if required, we cannot assure you that we will be able to complete such process on time or at all. Q4, 2022

Wetouch Technology Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$16.58M1.485.96%6.08%123.07%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
$15.41M1.8732.26%2.37%10.31%37.72%
48
Neutral
$4.32M-1.71%4.08%-102.70%
46
Neutral
$42.02M-0.60-8.21%48.49%-9554.26%
45
Neutral
$27.72M-8.84-43.53%
44
Neutral
$19.47M-1.60-46.07%32.78%36.50%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WETH
Wetouch Technology
1.39
0.10
7.75%
GBR
New Concept Energy
0.84
0.12
16.00%
DUO
Fangdd Network Group
1.09
-2.86
-72.41%
FTHM
Fathom Holdings
0.59
-0.18
-23.26%
OMH
Ohmyhome Limited
1.20
-0.90
-42.86%
LGPS
LogProstyle Inc.
0.65
-4.36
-87.00%

Wetouch Technology Corporate Events

Business Operations and StrategyRegulatory Filings and ComplianceShareholder Meetings
Wetouch Technology Expands Authorized Shares in Nevada Amendment
Neutral
Jan 12, 2026
Wetouch Technology Inc. amended its Articles of Incorporation in Nevada, effective January 7, 2026, following shareholder approval at the December 26, 2025 annual meeting. The amendment, reflected in the company’s Second Amended and Restated...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Wetouch Technology Shareholders Approve Expanded Share Authorization
Positive
Dec 31, 2025
On December 26, 2025, Wetouch Technology Inc. held its 2025 Annual Meeting of Stockholders, at which a quorum was present. Shareholders re-elected directors Guangrong Cai, Jian Feng, Jiaxing Huang, Jing Guo and Yunna Liu to the board to serve unti...
Executive/Board Changes
Wetouch Technology Appoints Yunna Liu to Board
Positive
Nov 3, 2025
On November 1, 2025, Wetouch Technology Inc. appointed Ms. Yunna Liu to its Board of Directors, including roles on the Audit, Compensation, and Nominating and Corporate Governance Committees, with Ms. Liu also serving as Chairperson of the Audit C...
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.Date of analysis: Jan 13, 2026