ScoreWhy is Gulf Resources, Inc. ?
1
Poor Management Efficiency with a low ROE of 2.43%
- The company has been able to generate a Return on Equity (avg) of 2.43% signifying low profitability per unit of shareholders funds
2
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 2.43%
3
With a growth in Net Profit of 4509.15%, the company declared Very Positive results in Sep 25
- NET PROFIT(HY) Higher at USD -5.35 MM
- RAW MATERIAL COST(Y) Fallen by -109.21% (YoY)
- INVENTORY TURNOVER RATIO(HY) Highest at 47.37 times
4
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -24.24%, its profits have risen by 80.9%
5
Majority shareholders : Mutual Funds
6
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -24.24% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Gulf Resources, Inc. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Gulf Resources, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Gulf Resources, Inc.
-25.76%
0.23
914.67%
S&P 500
13.68%
0.71
19.28%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.79%
EBIT Growth (5y)
5.20%
EBIT to Interest (avg)
6.92
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.05
Sales to Capital Employed (avg)
0.12
Tax Ratio
10.34%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
4.40%
ROCE (avg)
5.99%
ROE (avg)
2.43%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
0.06
EV to EBIT
-0.26
EV to EBITDA
0.44
EV to Capital Employed
0.01
EV to Sales
0.07
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-5.62%
ROE (Latest)
-15.48%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend28What is working for the Company
NET PROFIT(HY)
Higher at USD -5.35 MM
RAW MATERIAL COST(Y)
Fallen by -109.21% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 47.37 times
DEBTORS TURNOVER RATIO(HY)
Highest at 8.76 times
NET SALES(Q)
Highest at USD 9.04 MM
OPERATING PROFIT(Q)
Highest at USD 3.86 MM
-11What is not working for the Company
NET PROFIT(Q)
At USD -5.3 MM has Fallen at -61.98%
DEBT-EQUITY RATIO
(HY)
Highest at 2.09 %
CASH AND EQV(HY)
Lowest at USD 13.56 MM
PRE-TAX PROFIT(Q)
Lowest at USD -5.3 MM
EPS(Q)
Lowest at USD -26.35
Here's what is working for Gulf Resources, Inc.
Net Sales
At USD 9.04 MM has Grown at 159.92%
over average net sales of the previous four periods of USD 3.48 MMMOJO Watch
Near term sales trend is extremely positive
Net Sales (USD MM)
Net Sales
Highest at USD 9.04 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 3.86 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Inventory Turnover Ratio
Highest at 47.37 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 8.76 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -109.21% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Gulf Resources, Inc.
Pre-Tax Profit
At USD -5.3 MM has Fallen at -136.54%
over average net sales of the previous four periods of USD -2.24 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (USD MM)
Net Profit
At USD -5.3 MM has Fallen at -61.98%
over average net sales of the previous four periods of USD -3.27 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (USD MM)
Debt-Equity Ratio
Highest at 2.09 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Pre-Tax Profit
Lowest at USD -5.3 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (USD MM)
EPS
Lowest at USD -26.35
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (USD)
Cash and Eqv
Lowest at USD 13.56 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
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