Shengfeng Development Limited Class A (SFWL) AI Stock Analysis

• Market Cap: $80.02M
• Dividend Yield: N/A
• Average Volume (3M): 18.83K
• Price to Earnings (P/E): 7.4
• Beta (1Y): -0.16
• Revenue Growth: 24.75%
• EPS Growth: 5.52%
• Country: US
• Employees: 1,263
• Sector: Industrials
• Sector Strength: 66
• Industry: Integrated Freight & Logistics
• EPS (TTM): 0.13
• Shares Outstanding: 40,617,510
• 10 Day Avg. Volume: 31,564
• 30 Day Avg. Volume: 18,826
• PEG Ratio: 1.33
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.21
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Shengfeng Development Limited's strong financial performance is the most significant factor, driven by revenue and income growth and stable margins. However, technical analysis indicates potential bearish trends, and negative free cash flow poses a risk to liquidity. The valuation is attractive due to a low P/E ratio, but the lack of dividend yield is a downside. Overall, the stock presents a mixed outlook with financial strengths tempered by technical weaknesses and liquidity concerns.

Shengfeng Development Limited Class A Business Overview & Revenue Model

Company Description

Shengfeng Development Limited Class A (SFWL) is a company engaged in various sectors including logistics and supply chain management. The company provides comprehensive logistics services, encompassing transportation, warehousing, and distribution. SFWL aims to offer efficient and reliable logistics solutions to businesses, enhancing their supply chain operations.

How the Company Makes Money

Shengfeng Development Limited Class A generates revenue through its logistics and supply chain management services. The company's primary revenue streams include fees from transportation services, warehousing, and distribution services. By optimizing the logistics process for its clients, SFWL earns income through long-term contracts and partnerships with businesses across various industries. These partnerships are crucial as they provide steady revenue and opportunities for expanding service offerings. Additionally, the company may benefit from economies of scale, allowing it to offer competitive pricing while maintaining profitability.

Shengfeng Development Limited Class A Financial Statement Overview

Summary

Shengfeng Development Limited Class A shows strong revenue growth and improving profitability with a balanced leverage approach. However, the negative free cash flow highlights liquidity challenges that need attention for long-term stability.

Income Statement

Shengfeng Development Limited Class A has shown consistent revenue growth over the years, with a notable increase from $370.3 million in 2022 to $404.1 million in 2023, representing a revenue growth rate of 9.12%. Gross profit margin improved to 11.51% in 2023, and the net profit margin increased to 2.55%, indicating enhanced operational efficiency. The EBIT margin stood at 3.44%, and the EBITDA margin was 7.32%, reflecting stable earnings before interest, taxes, depreciation, and amortization. Overall, the company demonstrates strong revenue growth and improving profitability.

Balance Sheet

The debt-to-equity ratio decreased to 0.57 in 2023, indicating a conservative approach to leveraging. The return on equity improved to 9.54%, showing effective use of equity to generate profits. The equity ratio of 40.61% suggests a stable financial structure with a moderate level of equity financing. Despite the improvements, maintaining a balanced leverage ratio remains crucial for future stability.

Cash Flow

The operating cash flow to net income ratio improved to 1.18 in 2023, illustrating a positive cash flow generation relative to profits. However, free cash flow remains negative at -$16.6 million, indicating ongoing capital expenditures outpacing cash inflows, which could pose liquidity challenges. The company needs to focus on enhancing free cash flow to ensure sustainable financial health.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
446.28M	404.12M	370.32M	346.70M	287.46M	232.61M
	Gross Profit
44.81M	46.51M	41.53M	41.34M	35.98M	28.83M
	EBIT
12.00M	13.91M	9.85M	8.59M	6.20M	2.54M
	EBITDA
25.95M	29.60M	28.31M	24.84M	22.05M	15.36M
	Net Income Common Stockholders
8.89M	10.29M	7.79M	6.90M	6.09M	1.91M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
27.32M	26.73M	21.29M	18.64M	27.32M	18.41M
	Total Assets
232.18M	265.84M	245.26M	244.21M	232.18M	177.10M
	Total Debt
68.54M	61.81M	76.84M	75.57M	76.84M	57.78M
	Net Debt
41.23M	35.09M	55.56M	56.92M	49.52M	39.37M
	Total Liabilities
147.80M	153.53M	150.17M	148.31M	147.80M	104.40M
	Stockholders Equity
82.62M	107.95M	91.22M	91.59M	82.62M	71.17M
Cash Flow		Free Cash Flow
-54.05M	-16.60M	-318.00K	-9.09M	-5.61M	-4.50M
	Operating Cash Flow
-7.44M	12.11M	6.93M	16.59M	2.33M	-722.00K
	Investing Cash Flow
-28.18M	-18.82M	-6.71M	-23.87M	-7.82M	-17.01M
	Financing Cash Flow
18.11M	13.19M	6.05M	-2.13M	13.14M	15.77M

Shengfeng Development Limited Class A Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.97
• 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 SFWL, the sentiment is Neutral. The current price of 0.97 is above the 20-day moving average (MA) of 0.95, below the 50-day MA of 0.98, and below the 200-day MA of 1.16, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 50.23 is Neutral, neither overbought nor oversold. The STOCH value of 65.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SFWL.

Shengfeng Development Limited Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SFWL	68 Neutral	$80.02M	7.36	9.67%	―	24.75%	5.52%
GVH	64 Neutral	$7.33M	8.09	44.81%	―	-11.88%	11.17%
Sector *	63 Neutral	$4.14B	11.23	5.47%	215.40%	4.10%	-8.63%
CRGO	47 Neutral	$98.58M	―	-23.18%	―	49.48%	80.17%
AIRT	45 Neutral	$45.25M	―	-13.52%	―	3.36%	94.32%
PSIG	45 Neutral	$10.16M	―	-5.73%	―	―	-1274.56%