Cheer Holding (CHR) AI Stock Analysis

• Market Cap: $12.62M
• Dividend Yield: N/A
• Average Volume (3M): 37.68K
• Price to Earnings (P/E): 0.4
• Beta (1Y): 0.16
• Revenue Growth: -3.37%
• EPS Growth: -23.21%
• Country: US
• Employees: 122
• Sector: Communication Services
• Sector Strength: 83
• Industry: Advertising Agencies
• EPS (TTM): 2.55
• Shares Outstanding: 11,635,568
• 10 Day Avg. Volume: 24,771
• 30 Day Avg. Volume: 37,682
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.14
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $3.75
• Price Target Upside: 247.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

Cheer Holding stands on a solid financial base with strong profitability and a robust balance sheet, yet it faces challenges with declining revenue and negative free cash flow. The technical analysis indicates bearish momentum, suggesting potential further declines in stock value. Valuation metrics, particularly a low P/E ratio, present an attractive opportunity but also call for caution due to possible underlying concerns. Overall, the company needs to address its revenue and cash flow issues to improve its stock performance.

Cheer Holding Business Overview & Revenue Model

Company Description

Cheer Holding (CHR) is a diversified conglomerate operating in multiple sectors including technology, real estate, and consumer goods. The company is renowned for its innovative solutions in tech development, strategic investments in prime real estate, and a robust portfolio of consumer products designed to enhance everyday life.

How the Company Makes Money

Cheer Holding primarily generates revenue through its diversified operations in technology, real estate, and consumer goods. In the technology sector, the company earns money by developing and licensing software solutions and providing IT services. The real estate division contributes to revenue through property development, leasing, and sales of commercial and residential properties. The consumer goods sector generates income by manufacturing and marketing a wide range of products, from household items to personal care products. Strategic partnerships with leading companies in each sector and a focus on innovation and customer satisfaction also play a crucial role in boosting the company's earnings.

Cheer Holding Financial Statement Overview

Summary

Cheer Holding shows strong gross profit margins and solid profitability metrics, with a stable balance sheet characterized by a low debt-to-equity ratio and high equity ratio. However, a slight revenue decline and negative free cash flow due to high capital expenditures present challenges.

Income Statement

Cheer Holding exhibits strong gross profit margins consistently above 70%. However, revenue has slightly declined over the past year by approximately 3.4%. Despite this, net profit margins remain healthy, and EBIT and EBITDA margins are solid, indicating efficient operational management. The company needs to address the recent revenue decline to maintain its profitability trajectory.

Balance Sheet

The company maintains a robust financial position with a low debt-to-equity ratio, reflecting conservative leverage. The equity ratio is high at around 88%, showcasing financial stability. Return on equity is strong, driven by consistent profitability. This strong balance sheet provides a buffer against economic fluctuations.

Cash Flow

Operating cash flow is positive, yet the free cash flow is negative due to significant capital expenditures. The operating cash flow to net income ratio indicates effective cash generation relative to earnings. However, the negative free cash flow signals potential challenges in funding operations without external financing.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
155.95M	147.20M	152.33M	157.08M	153.01M	123.76M
	Gross Profit
114.46M	107.81M	112.78M	116.50M	118.07M	85.28M
	EBIT
32.21M	25.59M	29.29M	26.73M	36.29M	30.67M
	EBITDA
36.09M	29.41M	33.06M	30.06M	38.80M	54.27M
	Net Income Common Stockholders
34.15M	25.97M	30.48M	26.89M	35.29M	48.99M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
194.23M	197.66M	194.53M	70.48M	77.30M	19.46M
	Total Assets
327.63M	346.59M	327.63M	205.96M	195.17M	143.40M
	Total Debt
5.95M	11.32M	5.95M	5.10M	6.42M	10.93M
	Net Debt
-188.27M	-186.34M	-188.27M	-65.38M	-70.89M	-6.80M
	Total Liabilities
47.63M	41.52M	47.63M	33.46M	35.71M	38.95M
	Stockholders Equity
279.93M	304.99M	279.93M	172.43M	158.91M	103.98M
Cash Flow		Free Cash Flow
8.26M	-1.99M	42.17M	-250.00K	43.66M	5.96M
	Operating Cash Flow
8.25M	22.88M	42.17M	7.74M	46.45M	8.74M
	Investing Cash Flow
59.00K	-24.86M	-3.00K	-7.99M	-1.05M	-4.42M
	Financing Cash Flow
24.98M	10.55M	82.02M	508.00K	13.29M	5.38M

Cheer Holding Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.08
• 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 CHR, the sentiment is Negative. The current price of 1.08 is below the 20-day moving average (MA) of 1.17, below the 50-day MA of 1.65, and below the 200-day MA of 2.40, indicating a bearish trend. The MACD of -0.16 indicates Negative momentum. The RSI at 34.10 is Neutral, neither overbought nor oversold. The STOCH value of 25.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CHR.

Cheer Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWAG	65 Neutral	$19.72M	―	-12.29%	―	8.76%	-969.71%
CHR	61 Neutral	$12.62M	0.43	8.88%	―	-3.37%	-23.21%
Sector *	59 Neutral	$13.71B	6.83	-3.41%	3.82%	2.31%	-35.16%
GIGM	54 Neutral	$17.68M	―	-5.49%	―	-31.80%	-192.09%
DLPN	47 Neutral	$12.17M	―	-79.76%	―	19.85%	41.89%
DRCT	43 Neutral	$4.65M	―	-320.07%	―	-60.35%	-1269.03%
ANGH	33 Underperform	$19.01M	―	-80.27%	―	13.03%	19.07%