Nano Magic (NMGX) AI Stock Analysis

• Market Cap: $8.94M
• Dividend Yield: N/A
• Average Volume (3M): 195.00
• Price to Earnings (P/E): ―
• Beta (1Y): -0.32
• Revenue Growth: -11.23%
• EPS Growth: -26.88%
• Country: US
• Employees: 13
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Chemicals - Specialty
• EPS (TTM): -0.32
• Shares Outstanding: 14,408,674
• 10 Day Avg. Volume: 80
• 30 Day Avg. Volume: 195
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.38
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 33.90
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Nano Magic faces significant financial difficulties, with insolvency risks and negative cash flows. Technical analysis suggests potential short-term weakness, but some long-term support. Valuation is hindered by a negative P/E ratio and lack of dividends. Overall, the stock is rated low due to financial instability and valuation concerns.

Nano Magic Business Overview & Revenue Model

Company Description

Nano Magic Holdings Inc. develops, commercializes, and markets consumer and industrial products enabled by nanotechnology primarily in the United States. It operates through two segments, Product and Contract Services. The company offers anti-fogging towelettes to the military for safety, anti-fogging, and conditioning of lenses, masks, and head gears, as well as other applications, such as head's up displays; mar and stain resistant coatings for high end vitreous China tableware in restaurants, cruise ships, and casinos; clear protective coatings used on display panels and touch screens to remove fingerprints; protective and water repelling coatings for interior and exterior glass, and ceramic surfaces to clean and prevent scale and grime encrustation; and coatings for ceramic insulators for use in transit and underground subways systems to prevent caking of metal dust and greases on surfaces. It is also involved in the retail sale of liquid and towelette formulations for cleaning and protecting clear surfaces, such as electronic touchscreens, windshields, windows, mirrors, shower doors, eyeglasses, and sunglass lenses; and anti-fogging liquid and towelette formulations for safety glasses and sporting googles, as well as protective eye wear, including face shields, as well as retail and industrial sale of liquid formulations for cleaning surfaces. In addition, the company develops and sells printable and metallic inks and pastes, thermal management materials, and graphene foils and windows. Further, it provides nanotechnology design and development services for governmental and private customers. The company markets and sells its products directly to customers and retailers. The company was formerly known as Nano Magic Inc. and changed its name to Nano Magic Holdings Inc. in March 2021. Nano Magic Holdings Inc. was founded in 1985 and is headquartered in Madison Heights, Michigan.

How the Company Makes Money

Nano Magic generates revenue through the sale of its nanotechnology-based products. The company's key revenue streams include direct sales to consumers, partnerships with retailers, and collaborations with industrial clients who incorporate Nano Magic's solutions into their own products. By leveraging its proprietary technology, Nano Magic is able to offer premium-priced products that appeal to customers seeking advanced cleaning and protection solutions. Additionally, the company may engage in licensing agreements, allowing other companies to use its technology in exchange for fees or royalties, thereby diversifying its income sources.

Nano Magic Financial Statement Overview

Summary

Nano Magic faces significant financial challenges with declining revenue, negative profitability, and worsening cash flows. The balance sheet shows negative equity, indicating financial distress and potential solvency issues.

Income Statement

Nano Magic has experienced declining revenue and profitability. The TTM Gross Profit Margin is low at 2.01%, and the Net Profit Margin is negative, indicating consistent losses. Revenue has declined, with the TTM showing a negative growth trend compared to previous years, reflecting challenges in revenue generation and cost management.

Balance Sheet

The balance sheet reveals considerable financial concerns. The Debt-to-Equity ratio is undefined due to negative equity, indicating financial instability. The company's equity has turned negative, reflecting financial distress and potential solvency issues, which is a significant risk factor.

Cash Flow

Cash flow analysis shows negative Free Cash Flow and Operating Cash Flow, indicating liquidity challenges. The Free Cash Flow has worsened over time, highlighting issues in generating cash from operations. The Operating Cash Flow to Net Income ratio is negative, suggesting inefficiencies in converting income into cash.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
2.78M	2.58M	5.04M	4.76M	2.44M
	Gross Profit
363.87K	96.22K	1.69M	1.64M	323.90K
	EBIT
-2.84M	-3.29M	-1.77M	-792.20K	-1.03M
	EBITDA
-2.70M	-3.11M	-1.39M	-735.56K	-871.81K
	Net Income Common Stockholders
-2.86M	-2.10M	-1.59M	-805.98K	-1.05M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
527.46K	259.22K	253.19K	298.61K	227.04K
	Total Assets
3.52M	4.09M	4.11M	4.79M	1.32M
	Total Debt
1.27M	1.30M	1.29M	1.66M	443.27K
	Net Debt
740.76K	1.05M	1.05M	1.37M	226.47K
	Total Liabilities
2.21M	2.47M	2.19M	3.39M	1.77M
	Stockholders Equity
1.31M	1.62M	1.92M	1.40M	-446.86K
Cash Flow		Free Cash Flow
-1.55M	-1.71M	-1.50M	-2.14M	-889.80K
	Operating Cash Flow
-1.54M	-1.71M	-1.38M	-2.00M	-878.67K
	Investing Cash Flow
35.65K	20.09K	-127.26K	-143.69K	-11.36K
	Financing Cash Flow
1.77M	1.71M	1.46M	2.22M	810.33K

Nano Magic Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NMGX, the sentiment is Negative. The current price of 0.56 is below the 20-day moving average (MA) of 0.71, below the 50-day MA of 0.64, and below the 200-day MA of 0.64, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 32.29 is Neutral, neither overbought nor oversold. The STOCH value of 50.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NMGX.

Nano Magic Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FSI	64 Neutral	$45.28M	14.76	8.30%	―	-0.23%	9.23%
NTIC	63 Neutral	$68.12M	18.69	5.51%	3.01%	2.11%	-17.52%
SNES	55 Neutral	$4.49M	―	-160.41%	―	55.66%	96.71%
Sector *	49 Neutral	$1.95B	-1.21	-21.28%	3.72%	1.18%	-30.47%
NMGX	39 Underperform	$8.94M	―	-2243.98%	―	-11.23%	-26.88%
LOOP	38 Underperform	$53.95M	―	-449.80%	―	5.45%	-155.56%