Sharp (SHCAY) AI Stock Analysis

• Market Cap: $3.61B
• Dividend Yield: N/A
• Average Volume (3M): 120.00
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.60
• Revenue Growth: -12.33%
• EPS Growth: 45.04%
• Country: US
• Employees: 43,445
• Sector: Technology
• Sector Strength: 77
• Industry: Consumer Electronics
• EPS (TTM): N/A
• Shares Outstanding: 2,601,626,200
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 120
• PEG Ratio: 0.19
• Price to Book (P/B): 3.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.40
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Sharp Corporation is currently facing significant financial challenges, with a negative net income and high debt levels impacting its overall score. While the technical analysis provides mixed signals, the company's negative valuation metrics further weigh down the assessment. Positive operating cash flow offers some stability, but strategic improvements are needed to enhance financial health.

Sharp Business Overview & Revenue Model

Company Description

Sharp Corporation (SHCAY) is a Japanese multinational corporation that designs and manufactures electronic products. It operates in various sectors, including consumer electronics, home appliances, and business solutions. The company's core products include televisions, audio equipment, mobile phones, solar cells, and home appliances like refrigerators and microwaves. Sharp is also involved in the production of electronic components, such as LCD panels, and offers services in information technology and telecommunications.

How the Company Makes Money

Sharp Corporation makes money through a diversified revenue model that includes the sale of consumer electronics, home appliances, and electronic components. The company generates significant revenue from its line of LCD panels, which are used in both its own products and sold to other manufacturers. Additionally, Sharp earns income from its business solutions segment, which provides office equipment like printers and copiers, as well as IT services. The company has strategic partnerships and collaborations with other tech firms to enhance its product offerings and expand its market reach. Sharp's earnings are also influenced by its investments in renewable energy solutions, including solar technology, which aligns with global sustainability trends.

Sharp Financial Statement Overview

Summary

Sharp faces significant financial challenges with declining revenue and profitability, reflected by a negative net income. The high debt-to-equity ratio is a concern, though the company maintains adequate cash reserves and positive operating cash flow, offering some stability.

Income Statement

Sharp's income statement shows a challenging period with declining revenue and profitability. The TTM data reveals a negative net income, indicating significant losses. Revenue growth has been inconsistent, with recent declines. The gross profit margin is under pressure, reflecting reduced profitability. Weak EBIT and EBITDA margins further highlight operational challenges.

Balance Sheet

Sharp's balance sheet presents a mixed picture. The company's debt-to-equity ratio is relatively high, indicating significant leverage. This poses potential risks, especially given the negative net income. However, the equity ratio shows a reasonable portion of assets financed by equity, which can provide some stability. The company's liquidity position is fair, with adequate cash reserves.

Cash Flow

The cash flow statement indicates some strengths despite overall financial difficulties. Sharp maintains positive operating cash flow, which is a positive sign. However, free cash flow generation has been inconsistent, with recent periods showing improvement. The operating cash flow to net income ratio suggests better cash conversion, but the free cash flow to net income ratio reflects ongoing challenges in generating surplus cash.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
2.22T	2.32T	2.55T	2.50T	2.43T	2.27T
	Gross Profit
386.53B	347.89B	330.83B	431.72B	421.32B	409.80B
	EBIT
3.64B	-20.34B	-25.72B	84.72B	83.11B	52.77B
	EBITDA
50.83B	-60.55B	-139.95B	157.12B	155.06B	124.09B
	Net Income Common Stockholders
-155.59B	-149.98B	-260.84B	73.99B	53.26B	20.96B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
245.76B	227.13B	262.06B	287.36B	341.92B	225.05B
	Total Assets
1.57T	1.59T	1.77T	1.96T	1.93T	1.83T
	Total Debt
553.43B	589.86B	725.59B	626.57B	724.92B	776.47B
	Net Debt
307.67B	362.73B	463.53B	339.21B	383.00B	551.42B
	Total Liabilities
1.41T	1.43T	1.55T	1.49T	1.56T	1.54T
	Stockholders Equity
146.79B	143.18B	208.74B	454.57B	350.65B	275.60B
Cash Flow		Free Cash Flow
30.61B	71.92B	-42.27B	12.08B	153.26B	-25.65B
	Operating Cash Flow
64.76B	124.50B	14.75B	75.16B	204.64B	68.09B
	Investing Cash Flow
18.68B	10.88B	-40.97B	-31.45B	-14.11B	-127.88B
	Financing Cash Flow
-76.83B	-149.67B	-18.48B	-124.29B	-76.72B	4.56B

Sharp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SHCAY, the sentiment is Negative. The current price of 1.35 is below the 20-day moving average (MA) of 1.47, below the 50-day MA of 1.52, and below the 200-day MA of 1.56, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 39.29 is Neutral, neither overbought nor oversold. The STOCH value of 63.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SHCAY.

Sharp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SONY	79 Outperform	$149.09B	20.06	14.40%	0.37%	1.77%	18.85%
LPL	61 Neutral	$3.09B	―	-37.33%	―	17.34%	34.72%
Sector *	60 Neutral	$11.60B	10.64	-6.04%	2.94%	7.87%	-11.74%
SHCAY	46 Neutral	$3.61B	14.58	24.28%	―	-12.33%	45.04%