YSX Tech Co., Ltd Class A (YSXT) AI Stock Analysis

• Market Cap: $24.84M
• Dividend Yield: N/A
• Average Volume (3M): 594.99K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 1.43
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 39
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): N/A
• Shares Outstanding: 22,260,176
• 10 Day Avg. Volume: 595,956
• 30 Day Avg. Volume: 594,989
• PEG Ratio: -3.81
• Price to Book (P/B): 5.09
• Price to Sales (P/S): 1.62
• P/FCF Ratio: -136.37
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 3.71
• Enterprise Value/Ebitda: 5.52
• 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: 64 Neutral
• Price Target: $1.00 ▼(-16.67% Downside)

YSX Tech Co., Ltd Class A's overall score is primarily influenced by its strong revenue growth and undervaluation, offset by declining profitability and bearish technical indicators. The lack of dividend yield and cash flow issues further impact the score negatively.

Positive Factors

Revenue Growth

Sustained 109.57% revenue growth indicates material market traction and accelerating customer adoption. Over the next 2–6 months, this top-line expansion supports scaling of platform economics, funds reinvestment in R&D and sales, and improves the likelihood of durable revenue base if recurring streams persist.

Diversified Revenue Streams

A mix of subscription SaaS, IoT hardware, consulting/integration, and partner channels reduces single‑market dependence. Structurally, diversified streams enhance revenue visibility, enable cross‑sell, and mitigate cyclical swings, supporting more stable cash generation and customer stickiness over months.

Conservative Capital Structure

Low leverage and a strong equity ratio provide financial flexibility to fund capex, product development, or strategic initiatives without heavy refinancing. This balance sheet strength reduces insolvency risk and preserves optionality to invest behind growth during adverse market conditions.

Negative Factors

Cash Flow Deficits

Negative operating and free cash flows indicate weak cash conversion from operations, forcing reliance on external financing or equity to fund growth. Over several months this can constrain hardware production, R&D spend, and customer deployments, and increase dilution or interest exposure if unresolved.

Declining Profitability Margins

A material drop in gross margin and compressing net margin point to rising costs or pricing pressure that erodes unit economics. Persisting margin weakness limits free cash generation and the ability to reinvest profitably, making sustainable margin recovery essential for durable financial health.

Declining Return on Equity

ROE falling to 14.56% signals reduced effectiveness in turning equity into profits, likely reflecting margin pressure or lower asset efficiency. If this trend continues, it can weaken the company’s ability to attract capital and may necessitate strategic shifts that slow long‑term value creation.

YSX Tech Co., Ltd Class A Business Overview & Revenue Model

Company Description

YSX Tech. Co., Ltd, through its subsidiaries, provides insurance aftermarket value-added services to auto insurance and brokerage companies in China. The company offers vehicle safety inspection and check services, such as gearbox inspection, transmission inspection, steering system inspection, multi-point inspection, vehicle electronic system inspection, and brake system inspection services; vehicle driving risk screening services; designated driver and rescue services, including arranging designated drivers to drive alcohol drinkers home safely, car jump-start and towing services; and vehicle maintenance and other value-added services, such as car wash, windshield and windscreen wiper maintenance, four-wheel positioning, tire repair and rotation, vehicle body paint, air conditioning system maintenance, engine inspection and maintenance, oil change, car waxing, and battery services. It also provides software development and information technology services. The company was incorporated in 2022 and is based in Guangzhou, China. YSX Tech. Co., Ltd operates as a subsidiary of Jeffre Xiao XJ Holding Limited.

How the Company Makes Money

YSX Tech generates revenue through multiple streams. Primarily, the company earns money by selling its software solutions and licenses, which include subscription-based models for its ERP and cloud services. Additionally, the company profits from hardware sales, particularly its IoT devices, which are marketed to both businesses and consumers. Another significant revenue stream comes from consulting and integration services, where YSX Tech provides expertise to help clients implement and optimize its technology solutions. Partnerships with major industry players, such as cloud service providers and hardware manufacturers, further enhance its market reach and revenue potential, allowing YSX Tech to broaden its service offerings and enter new markets.

YSX Tech Co., Ltd Class A Financial Statement Overview

Summary

YSX Tech Co., Ltd Class A shows strong revenue growth but faces declining profitability margins. The balance sheet is stable with low leverage, yet cash flow management is a concern due to negative operating and free cash flows.

Income Statement

YSX Tech Co., Ltd Class A has demonstrated impressive revenue growth of 109.57% in the latest year, indicating strong expansion. However, the gross profit margin has decreased from 16.57% to 10.34%, suggesting rising costs or pricing pressures. The net profit margin also declined to 5.63%, reflecting reduced profitability. Despite these challenges, the company maintains a positive EBIT margin of 6.80% and EBITDA margin of 6.95%, showcasing operational efficiency.

Balance Sheet

The company's balance sheet shows a manageable debt-to-equity ratio of 0.22, indicating prudent leverage. However, the return on equity has decreased to 14.56%, suggesting a decline in profitability relative to shareholder equity. The equity ratio stands at 67.20%, reflecting a strong equity base relative to total assets, which enhances financial stability.

Cash Flow

YSX Tech Co., Ltd Class A faces challenges in cash flow management, with negative operating cash flow and free cash flow. The free cash flow growth rate is significantly high at 930.13%, but this is due to a low base effect. The operating cash flow to net income ratio is negative, indicating cash flow issues, while the free cash flow to net income ratio is slightly above 1, suggesting that free cash flow is marginally covering net income.

Breakdown	TTM	Dec 2024	Dec 2024	Dec 2022	Dec 2021
Income Statement
Total Revenue	71.45M	71.45M	58.55M	49.23M	30.15M
Gross Profit	7.38M	7.39M	6.96M	7.15M	5.00M
EBITDA	4.97M	4.97M	5.34M	6.11M	4.18M
Net Income	4.02M	4.02M	4.57M	4.90M	3.35M
Balance Sheet
Total Assets	41.10M	41.10M	27.87M	20.76M	20.80M
Cash, Cash Equivalents and Short-Term Investments	7.11M	7.11M	6.39M	4.85M	4.15M
Total Debt	6.15M	6.15M	3.82M	2.11M	2.80M
Total Liabilities	13.48M	13.48M	9.24M	5.94M	10.95M
Stockholders Equity	27.62M	27.62M	18.63M	14.82M	9.85M
Cash Flow
Free Cash Flow	-6.57M	-6.66M	-695.34K	1.03M	2.50M
Operating Cash Flow	-6.40M	-6.49M	-693.96K	1.03M	2.62M
Investing Cash Flow	1.94M	1.94M	-228.18K	-1.98M	-124.85K
Financing Cash Flow	7.16M	7.25M	1.99M	482.47K	1.51M

YSX Tech Co., Ltd Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YSXT, the sentiment is Negative. The current price of 1.2 is below the 20-day moving average (MA) of 1.28, below the 50-day MA of 1.54, and below the 200-day MA of 3.23, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 39.96 is Neutral, neither overbought nor oversold. The STOCH value of 21.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YSXT.

YSX Tech Co., Ltd Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
YSXT	64 Neutral	$24.84M	5.72	18.36%	―	―	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
NTIP	50 Neutral	$29.89M	-11.82	-5.87%	7.58%	-92.03%	-77.99%
PMEC	42 Neutral	$36.50M	-18.34	-13.00%	―	2.52%	45.76%
SST	41 Neutral	$39.69M	-0.46	-99.29%	―	-20.49%	25.95%