ReTo Eco Valuation
| RETO Stock | USD 0.89 0.13 12.75% |
Today, the company appears to be overvalued. ReTo Eco Solutions holds a recent Real Value of $0.98 per share. The prevailing price of the company is $0.89. Our model determines the value of ReTo Eco Solutions from analyzing the company fundamentals such as Current Valuation of 9.01 M, return on asset of -0.0833, and Return On Equity of -0.38 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that ReTo Eco's price fluctuation is extremely dangerous at this time. Calculation of the real value of ReTo Eco Solutions is based on 3 months time horizon. Increasing ReTo Eco's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since ReTo Eco is currently traded on the exchange, buyers and sellers on that exchange determine the market value of ReTo Stock. However, ReTo Eco's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 0.89 | Real 0.98 | Hype 1.04 | Naive 0.91 |
The intrinsic value of ReTo Eco's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence ReTo Eco's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of ReTo Eco Solutions helps investors to forecast how ReTo stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of ReTo Eco more accurately as focusing exclusively on ReTo Eco's fundamentals will not take into account other important factors: ReTo Eco Total Value Analysis
ReTo Eco Solutions is at this time anticipated to have valuation of 9.01 M with market capitalization of 9 M, debt of 109.6 K, and cash on hands of 832.39 K. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the ReTo Eco fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
9.01 M | 9 M | 109.6 K | 832.39 K |
ReTo Eco Investor Information
The company has price-to-book ratio of 0.32. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. ReTo Eco Solutions recorded a loss per share of 101.51. The entity had not issued any dividends in recent years. The firm had 1:10 split on the 1st of March 2024. Based on the analysis of ReTo Eco's profitability, liquidity, and operating efficiency, ReTo Eco Solutions is not in a good financial situation at this time. It has a very high probability of going through financial hardship in November.ReTo Eco Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. ReTo Eco has an asset utilization ratio of 5.34 percent. This suggests that the Company is making $0.0534 for each dollar of assets. An increasing asset utilization means that ReTo Eco Solutions is more efficient with each dollar of assets it utilizes for everyday operations.ReTo Eco Ownership Allocation
ReTo Eco holds 6.37 pct. of its outstanding shares held by insiders and 0.45 pct. owned by third-party entities.ReTo Eco Profitability Analysis
The company reported the previous year's revenue of 1.83 M. Net Loss for the year was (8.31 M) with profit before overhead, payroll, taxes, and interest of 677.98 K.About ReTo Eco Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of ReTo Eco Solutions. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of ReTo Eco Solutions based exclusively on its fundamental and basic technical indicators. By analyzing ReTo Eco's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of ReTo Eco's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of ReTo Eco. We calculate exposure to ReTo Eco's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of ReTo Eco's related companies.ReTo Eco-Solutions, Inc., together with its subsidiaries, manufactures and distributes construction materials primarily in China. ReTo Eco-Solutions, Inc. was founded in 1999 and is headquartered in Beijing, the Peoples Republic of China. Reto Eco-Solutions operates under Building Materials classification in the United States and is traded on NASDAQ Exchange. It employs 115 people.
ReTo Eco Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 2.7 M |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in ReTo Eco Solutions. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in manufacturing. You can also try the Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Is Construction Materials space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ReTo Eco. If investors know ReTo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ReTo Eco listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of ReTo Eco Solutions is measured differently than its book value, which is the value of ReTo that is recorded on the company's balance sheet. Investors also form their own opinion of ReTo Eco's value that differs from its market value or its book value, called intrinsic value, which is ReTo Eco's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ReTo Eco's market value can be influenced by many factors that don't directly affect ReTo Eco's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between ReTo Eco's value and its price as these two are different measures arrived at by different means. Investors typically determine if ReTo Eco is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ReTo Eco's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.