Wang & Lee Group (WLGSF) AI Stock Analysis

• Market Cap: $7.34K
• Dividend Yield: N/A
• Average Volume (3M): 107.58M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.29
• Revenue Growth: -42.11%
• EPS Growth: -289.90%
• Country: US
• Employees: 26
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): N/A
• Shares Outstanding: 698,719
• 10 Day Avg. Volume: 35,021,855
• 30 Day Avg. Volume: 107,580,173
• PEG Ratio: -17.77
• Price to Book (P/B): 3.83K
• Price to Sales (P/S): 3390.17
• P/FCF Ratio: -8.53K
• Enterprise Value/Market Cap: -250.02
• Enterprise Value/Revenue: -0.44
• Enterprise Value/Gross Profit: -2.33
• Enterprise Value/Ebitda: 3.28
• 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: 53 Neutral
• Price Target: ―

Wang & Lee Group, Inc. shows robust revenue growth but struggles with profitability and cash flow issues, impacting its financial stability. Technical indicators suggest strong momentum, yet the high valuation and volatility pose risks. Investors should weigh potential growth against these financial and valuation challenges.

Positive Factors

Revenue Growth

Strong revenue growth indicates increased market demand and successful business expansion, which can drive long-term growth potential.

Equity Improvement

Positive equity suggests improved financial health and a stronger asset base, enhancing the company's stability and investment appeal.

Gross Profit Margin

Improved gross profit margin reflects better cost management and pricing strategies, which can support future profitability and competitiveness.

Negative Factors

Profitability Challenges

Ongoing profitability issues indicate challenges in converting revenue into profit, which could hinder long-term financial sustainability.

Cash Flow Issues

Negative cash flows suggest difficulties in generating cash from operations, potentially limiting reinvestment and growth opportunities.

Reliance on Financing

Dependence on external funding can increase financial risk and interest obligations, impacting the company's long-term financial flexibility.

Wang & Lee Group Business Overview & Revenue Model

Company Description

WANG & LEE GROUP, Inc., through its subsidiary, operates as a construction contractor in Hong Kong and Mainland China. It engages in the contract engineering, installation, and out-fitting activities for low voltage electrical systems, mechanical ventilation and air-conditioning systems, fire safety systems, and water supply and sewage disposal systems for the public and private sectors. The company also offers fire services, which includes fire prevention, detection, suppression and extinguishing systems, and plumbing and drainage systems. It serves small startups and large companies, as well as private individuals, offices, factories, shopping malls, hotels, hospitals, schools and educational institutes, theme parks, construction companies, and property developers, as well as the HK SAR government. The company was founded in 1981 and is based in Kwun Tong, Hong Kong. WANG & LEE GROUP, Inc. operates as a subsidiary of Wang & Lee Brothers, Inc.

How the Company Makes Money

null

Wang & Lee Group Financial Statement Overview

Summary

Wang & Lee Group, Inc. is experiencing growth in revenue but continues to face profitability and cash flow challenges. The balance sheet shows improvement in equity, yet the company's dependency on financing may pose risks. Strengthening operational efficiency and profitability are essential for long-term financial health.

Income Statement

Wang & Lee Group, Inc. has shown a significant increase in revenue over the recent year, with a revenue growth rate of 63.7% from 2022 to 2023. However, the company is currently operating at a loss, as indicated by negative net income and EBIT. Gross profit margin has improved to 35.8%, but the net profit margin remains negative at -9.5%, indicating ongoing profitability challenges.

Balance Sheet

The company's financial position is mixed. The debt-to-equity ratio is 0.32, reflecting moderate leverage. However, the stockholders' equity has recently turned positive, indicating improvement, yet the return on equity (ROE) is negative due to the net loss. The equity ratio is healthy at 50.9%, suggesting a stable asset base relative to equity.

Cash Flow

Cash flow analysis shows challenges, with a negative free cash flow and operating cash flow. There is a substantial increase in financing cash flow, which may indicate reliance on external funding. The free cash flow to net income ratio is negative, pointing to cash generation issues relative to reported earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.17M	3.95M	6.83M	4.17M	4.14M	4.07M
Gross Profit	785.70K	412.17K	2.44M	785.70K	859.76K	735.16K
EBITDA	-558.90K	-2.40M	-554.88K	-558.90K	-340.96K	338.99K
Net Income	-596.88K	-2.54M	-648.85K	-596.88K	-354.74K	278.02K
Balance Sheet
Total Assets	3.10M	8.72M	11.79M	3.10M	2.42M	2.12M
Cash, Cash Equivalents and Short-Term Investments	609.62K	4.30M	5.21M	609.62K	537.74K	8.22K
Total Debt	1.11M	2.46M	1.95M	1.11M	1.01M	61.12K
Total Liabilities	4.81M	5.23M	5.78M	4.81M	3.54M	2.89M
Stockholders Equity	-1.71M	3.49M	6.01M	-1.71M	-1.12M	-765.74K
Cash Flow
Free Cash Flow	-352.77K	-1.57M	-3.81M	-352.76K	-482.80K	-77.31K
Operating Cash Flow	-352.76K	-1.57M	-3.81M	-352.76K	-482.80K	-74.38K
Investing Cash Flow	0.00	0.00	0.00	0.00	0.00	-2.93K
Financing Cash Flow	422.53K	634.68K	8.41M	422.53K	1.02M	83.89K

Wang & Lee Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WLGSF, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.04, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 32.89 is Neutral, neither overbought nor oversold. The STOCH value of 17.38 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WLGSF.

Wang & Lee Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ECG	72 Outperform	$4.51B	24.98	35.26%	―	28.20%	24.27%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
WLGSF	53 Neutral	$7.34K	―	-53.53%	―	-42.11%	-289.90%
ONEG	42 Neutral	$84.32M	―	―	―	―	―
MSW	41 Neutral	$14.40M	-19.58	-578.91%	―	23.25%	-343.35%