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LIANHE SOWELL INTERNATIONAL (LHSW) Stock Fundamental Analysis

NASDAQ:LHSW - Nasdaq - KYG5480C1042 - Common Stock - Currency: USD

2.34  -0.07 (-2.9%)

After market: 2.4 +0.06 (+2.56%)

Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to LHSW. LHSW was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. Both the profitability and the financial health of LHSW get a neutral evaluation. Nothing too spectacular is happening here. LHSW is valued expensive and it does not seem to be growing.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year LHSW was profitable.
LHSW had a negative operating cash flow in the past year.
LHSW Yearly Net Income VS EBIT VS OCF VS FCFLHSW Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2022 2023 2024 0 1M -1M 2M -2M

1.2 Ratios

LHSW has a Return On Assets of 18.99%. This is amongst the best in the industry. LHSW outperforms 95.20% of its industry peers.
Looking at the Return On Equity, with a value of 41.47%, LHSW belongs to the top of the industry, outperforming 96.80% of the companies in the same industry.
LHSW has a better Return On Invested Capital (27.06%) than 98.40% of its industry peers.
Industry RankSector Rank
ROA 18.99%
ROE 41.47%
ROIC 27.06%
ROA(3y)5.81%
ROA(5y)N/A
ROE(3y)18.62%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
LHSW Yearly ROA, ROE, ROICLHSW Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2022 2023 2024 0 20 -20 40

1.3 Margins

With a decent Profit Margin value of 7.60%, LHSW is doing good in the industry, outperforming 77.60% of the companies in the same industry.
With a decent Operating Margin value of 7.75%, LHSW is doing good in the industry, outperforming 74.40% of the companies in the same industry.
LHSW has a Gross Margin of 21.59%. This is in the lower half of the industry: LHSW underperforms 61.60% of its industry peers.
Industry RankSector Rank
OM 7.75%
PM (TTM) 7.6%
GM 21.59%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
LHSW Yearly Profit, Operating, Gross MarginsLHSW Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2022 2023 2024 0 20 -20 40 -40

4

2. Health

2.1 Basic Checks

LHSW has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for LHSW remains at a similar level compared to 1 year ago.
Compared to 1 year ago, LHSW has a worse debt to assets ratio.
LHSW Yearly Shares OutstandingLHSW Yearly Shares OutstandingYearly Shares Outstanding 2022 2023 2024 10M 20M 30M 40M 50M
LHSW Yearly Total Debt VS Total AssetsLHSW Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2022 2023 2024 5M 10M 15M

2.2 Solvency

LHSW has an Altman-Z score of 10.25. This indicates that LHSW is financially healthy and has little risk of bankruptcy at the moment.
LHSW has a Altman-Z score of 10.25. This is amongst the best in the industry. LHSW outperforms 88.80% of its industry peers.
A Debt/Equity ratio of 0.24 indicates that LHSW is not too dependend on debt financing.
LHSW's Debt to Equity ratio of 0.24 is in line compared to the rest of the industry. LHSW outperforms 44.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF N/A
Altman-Z 10.25
ROIC/WACC3.62
WACC7.48%
LHSW Yearly LT Debt VS Equity VS FCFLHSW Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2022 2023 2024 0 2M -2M 4M 6M

2.3 Liquidity

LHSW has a Current Ratio of 1.44. This is a normal value and indicates that LHSW is financially healthy and should not expect problems in meeting its short term obligations.
LHSW's Current ratio of 1.44 is on the low side compared to the rest of the industry. LHSW is outperformed by 76.00% of its industry peers.
LHSW has a Quick Ratio of 1.44. This is a normal value and indicates that LHSW is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.44, LHSW is doing worse than 60.80% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.44
Quick Ratio 1.44
LHSW Yearly Current Assets VS Current LiabilitesLHSW Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2022 2023 2024 5M 10M 15M

2

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 74.84% over the past year.
Looking at the last year, LHSW shows a very strong growth in Revenue. The Revenue has grown by 180.01%.
EPS 1Y (TTM)74.84%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-21.05%
Revenue 1Y (TTM)180.01%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%0.71%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
LHSW Yearly Revenue VS EstimatesLHSW Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2022 2023 2024 10M 20M 30M

1

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 29.25, LHSW can be considered very expensive at the moment.
LHSW's Price/Earnings is on the same level as the industry average.
LHSW is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 29.25
Fwd PE N/A
LHSW Price Earnings VS Forward Price EarningsLHSW Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 0 0 0 0

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as LHSW.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 28.29
LHSW Per share dataLHSW EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 0.2 0.4 0.6 0.8 1

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

LHSW does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

LIANHE SOWELL INTERNATIONAL

NASDAQ:LHSW (6/5/2025, 8:00:02 PM)

After market: 2.4 +0.06 (+2.56%)

2.34

-0.07 (-2.9%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)N/A N/A
Earnings (Next)N/A N/A
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap121.68M
AnalystsN/A
Price TargetN/A
Short Float %N/A
Short Ratio0.41
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE 29.25
Fwd PE N/A
P/S 2.27
P/FCF N/A
P/OCF N/A
P/B 12.41
P/tB 12.45
EV/EBITDA 28.29
EPS(TTM)0.08
EY3.42%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)-0.05
FCFYN/A
OCF(TTM)-0.05
OCFYN/A
SpS1.03
BVpS0.19
TBVpS0.19
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 18.99%
ROE 41.47%
ROCE 40.99%
ROIC 27.06%
ROICexc 27.34%
ROICexgc 27.41%
OM 7.75%
PM (TTM) 7.6%
GM 21.59%
FCFM N/A
ROA(3y)5.81%
ROA(5y)N/A
ROE(3y)18.62%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover2.5
Health
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF N/A
Debt/EBITDA 0.52
Cap/Depr 30.74%
Cap/Sales 0.17%
Interest Coverage 49.47
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.44
Quick Ratio 1.44
Altman-Z 10.25
F-Score4
WACC7.48%
ROIC/WACC3.62
Cap/Depr(3y)49.69%
Cap/Depr(5y)N/A
Cap/Sales(3y)2.1%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)74.84%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-21.05%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)180.01%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%0.71%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y62.8%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-45.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-41.23%
OCF growth 3YN/A
OCF growth 5YN/A