Quhuo (QH) AI Stock Analysis

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Quhuo

(NASDAQ:QH)

36Underperform

Quhuo's stock faces significant challenges with declining financial performance, bearish technical indicators, and poor valuation metrics. The company's weak revenue and profit margins combined with technical analysis signals and a negative P/E ratio suggest a high-risk investment.

Quhuo (QH) vs. S&P 500 (SPY)

Market Cap

$106.74M

Dividend YieldN/A

Average Volume (3M)38.08K

Price to Earnings (P/E)―

Beta (1Y)2.11

Revenue Growth-18.93%

EPS Growth-1133.29%

CountryUS

Employees421

SectorTechnology

Sector Strength82

IndustrySoftware - Application

Share Statistics

EPS (TTM)0.10

Shares Outstanding89,065,350

10 Day Avg. Volume75,963

30 Day Avg. Volume38,078

Financial Highlights & Ratios

PEG Ratio0.13

Price to Book (P/B)1.83

Price to Sales (P/S)0.00

P/FCF Ratio-0.13

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Quhuo Business Overview & Revenue Model

Company DescriptionQuhuo Limited (QH) is a leading workforce operational solution provider in China, focusing on technology-driven platform services. The company specializes in offering solutions across various sectors, including on-demand food delivery, ride-hailing, housekeeping, and other lifestyle services. Quhuo leverages its robust technology infrastructure to optimize workforce management and improve operational efficiency for its clients.

How the Company Makes MoneyQuhuo generates revenue primarily through service fees charged to its business clients for the operational support it provides. The company partners with various online platforms and businesses, helping them manage and optimize their workforce needs efficiently. Quhuo's revenue streams include the fees collected from sectors such as food delivery, where it manages delivery personnel, ride-hailing, where it coordinates drivers, and housekeeping services, where it organizes and deploys service staff. By enhancing the operational capabilities of its clients, Quhuo effectively monetizes its technology solutions and expertise in workforce management.

Quhuo Financial Statement Overview

Summary

Quhuo faces several financial challenges across its income statement, balance sheet, and cash flow. Although there are slight improvements in net profitability, declining revenue and negative EBIT margins highlight operational issues. The balance sheet shows a stable capital structure with moderate leverage but low returns on equity. Cash flow struggles hinder the company's ability to generate cash from its operations. Overall, while there are areas of stability, significant improvements are needed to enhance financial performance.

Income Statement

Neutral

Quhuo's recent financial performance shows a mixed picture. The gross profit margin has declined over the years, from 7.82% in 2019 to 4.50% in 2023. The net profit margin turned positive at 0.90% in 2023, recovering from negative values in previous years, indicating a slight improvement in net profitability. However, revenue has been declining, with a negative growth rate of -3.08% from 2022 to 2023. Additionally, EBIT and EBITDA margins are negative, reflecting operational challenges.

Balance Sheet

Neutral

Quhuo's balance sheet reveals a stable equity base with a slight increase in stockholders' equity. The debt-to-equity ratio is 0.21 in 2023, showing moderate leverage. However, the return on equity is low at 0.66%, indicating limited profitability for shareholders. The equity ratio remains stable at 49.03%, suggesting a balanced financial structure. Overall, the company maintains a sound capital structure but faces profitability issues.

Cash Flow

Negative

Cash flow analysis shows significant challenges, with a negative free cash flow of -130.1 million in 2023, deteriorating from previous years. The operating cash flow to net income ratio is negative, indicating cash flow issues. The free cash flow to net income ratio is also negative, highlighting difficulties in converting earnings into cash. These cash flow challenges pose a risk to financial stability.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
3.59B	3.70B	3.82B	4.03B	2.58B	2.06B
	Gross Profit
124.55M	166.61M	252.69M	175.60M	192.51M	162.28M
	EBIT
-56.20M	-7.79M	35.65M	-85.27M	6.15M	19.55M
	EBITDA
-34.96M	-4.36M	55.16M	-88.08M	-3.54M	6.42M
	Net Income Common Stockholders
-39.55M	3.33M	-13.13M	-191.23M	-5.60M	-13.45M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
59.55M	113.56M	159.80M	207.42M	299.38M	183.05M
	Total Assets
0.00	1.03B	1.06B	1.15B	1.13B	743.90M
	Total Debt
0.00	105.53M	71.12M	155.19M	111.30M	155.92M
	Net Debt
59.55M	60.34M	-24.33M	126.59M	13.49M	29.14M
	Total Liabilities
0.00	526.66M	558.04M	661.94M	527.73M	1.52B
	Stockholders Equity
124.17M	506.19M	501.16M	470.94M	556.29M	-779.32M
Cash Flow		Free Cash Flow
-115.64M	-130.11M	61.98M	-111.63M	-51.28M	-22.00M
	Operating Cash Flow
-116.41M	-97.28M	74.72M	-30.89M	11.11M	17.62M
	Investing Cash Flow
24.00M	18.38M	77.21M	-110.41M	-187.08M	12.48M
	Financing Cash Flow
18.58M	24.22M	-82.14M	68.67M	153.09M	80.55M

Quhuo Technical Analysis

Technical Analysis Sentiment

Negative

Last Price1.18

Price Trends

50DMA

1.38

Negative

100DMA

1.39

Negative

200DMA

1.24

Negative

Market Momentum

MACD

-0.05

Positive

RSI

36.17

Neutral

STOCH

42.74

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QH, the sentiment is Negative. The current price of 1.18 is below the 20-day moving average (MA) of 1.32, below the 50-day MA of 1.38, and below the 200-day MA of 1.24, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 36.17 is Neutral, neither overbought nor oversold. The STOCH value of 42.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QH.

Quhuo Risk Analysis

Quhuo disclosed 90 risk factors in its most recent earnings report. Quhuo reported the most risks in the “Finance & Corporate” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Quhuo Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRGE	61 Neutral	$188.62M	―	-27.44%	―	16.03%	30.99%
Sector *	60 Neutral	$11.64B	10.63	-6.94%	2.93%	7.63%	-11.15%
MAPS	58 Neutral	$182.16M	14.58	23.24%	―	0.20%	―
SMRT	51 Neutral	$148.72M	―	-22.66%	―	-25.43%	-135.09%
NXTT	44 Neutral	$811.45M	1.12	80.54%	―	-44.58%	1200.82%
QH	36 Underperform	$106.74M	―	0.61%	―	-18.93%	-1133.29%

* Technology Sector Average

Performance Comparison

Quhuo

1.18

0.59

100.00%

MAPS

WM Technology

1.08

0.08

8.00%

FRGE

Forge Global Holdings

14.35

-12.50

-46.55%

SMRT

SmartRent

0.86

-1.78

-67.42%

NXTT

Next Technology Holding

2.10

-2.80

-57.14%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.