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WiMi Hologram Cloud (WIMI)
NASDAQ:WIMI

WiMi Hologram Cloud (WIMI) AI Stock Analysis

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WI

WiMi Hologram Cloud

(NASDAQ:WIMI)

Rating:54Neutral
Price Target:
$2.50
▲(1.63%Upside)
WiMi's overall stock score reflects a mixed financial performance with improvements in certain areas like net income and free cash flow. The low valuation suggests potential for upside, but technical indicators signal bearish momentum. The company's financial stability is strengthened by a strong cash position and low leverage.

WiMi Hologram Cloud (WIMI) vs. SPDR S&P 500 ETF (SPY)

WiMi Hologram Cloud Business Overview & Revenue Model

Company DescriptionWiMi Hologram Cloud Inc. provides augmented reality (AR) based holographic services and products in China. It operates in three segments: AR Advertising Services, AR Entertainment, and Semiconductor Related Products and Services. The company primarily offers holographic AR advertising services and holographic AR entertainment products. Its holographic AR advertising software enables users to insert into video footages real or animated three-dimensional objects; and online holographic AR advertising solution embeds holographic AR ads into films and shows. The company's holographic AR entertainment products consist primarily of payment middleware software, game distribution platform, and holographic mixed reality software. In addition, it engages in the provision of central processing algorithm services, and provides computer chip products to enterprise customers, as well as sells comprehensive solutions for central processing algorithms and related services with software and hardware integration. Further, the company's holographic AR technologies are used in software engineering, content production, cloud, and big data. WiMi Hologram Cloud Inc. was founded in 2015 and is headquartered in Beijing, the People's Republic of China.
How the Company Makes MoneyWiMi Hologram Cloud primarily generates revenue through its diverse range of holographic products and services. The key revenue streams include holographic AR advertising, where the company collaborates with brands to create immersive advertising experiences. Additionally, WiMi earns money from holographic entertainment services, which involve creating and distributing holographic content for concerts, events, and other entertainment venues. The company may also engage in partnerships and collaborations with other firms to integrate its holographic technology into various applications, contributing to its revenue. WiMi's ability to innovate and expand its offerings in the AR and VR sectors significantly impacts its earnings.

WiMi Hologram Cloud Financial Statement Overview

Summary
WiMi Hologram Cloud shows a mixed financial picture with recent improvements in net income and free cash flow, but faces challenges with declining revenue and operational margins. The strong cash position and low leverage add stability, though improved asset management and consistent revenue growth are needed.
Income Statement
40
Negative
WiMi Hologram Cloud's income statement shows a declining revenue trend over the past few years, with revenue decreasing from 2019 to 2024. Gross profit margin has also decreased, indicating cost pressures. The company reported negative EBIT and EBITDA in recent years, reflecting operational challenges. Net profit margin improved in 2024, turning positive after a series of losses, suggesting some recovery.
Balance Sheet
55
Neutral
The balance sheet highlights a strong cash position with cash and short-term investments significantly exceeding total debt, resulting in negative net debt. The debt-to-equity ratio is low, indicating low leverage. However, the equity ratio has been declining, and stockholders' equity decreased slightly in 2024, signaling potential risks in asset management.
Cash Flow
65
Positive
The cash flow analysis shows substantial growth in free cash flow in 2024, with a significant increase in operating cash flow. The free cash flow to net income ratio is favorable, suggesting efficient cash management. However, the company has experienced fluctuations in financing and investing cash flows, indicating inconsistent cash flow stability.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
764.92M541.92M585.37M682.29M933.79M766.01M
Gross Profit
224.68M153.98M173.70M143.05M249.57M169.43M
EBIT
-287.83M-29.08M-617.06M-260.33M-127.93M-153.42M
EBITDA
-192.75M118.05M-222.07M-308.71M-228.44M-135.73M
Net Income Common Stockholders
-411.33M71.64M-421.19M-376.82M-254.39M-144.96M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.16B1.92B773.84M611.23M785.44M387.90M
Total Assets
1.43B2.15B1.03B1.26B1.51B1.17B
Total Debt
164.76M125.62M49.92M44.07M90.37M101.10M
Net Debt
-337.94M-944.89M-288.25M-528.71M-661.54M-253.92M
Total Liabilities
553.26M767.42M269.47M110.98M165.56M163.37M
Stockholders Equity
749.81M999.18M752.98M1.05B1.26B997.25M
Cash FlowFree Cash Flow
187.07M532.88M20.49M-239.26M33.00M-67.45M
Operating Cash Flow
242.87M532.90M88.56M-238.16M58.16M-66.96M
Investing Cash Flow
-413.82M-416.77M-304.74M-90.25M-237.67M-228.13M
Financing Cash Flow
267.78M667.60M3.86M108.86M579.41M562.64M

WiMi Hologram Cloud Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.46
Price Trends
50DMA
4.15
Negative
100DMA
6.37
Negative
200DMA
8.03
Negative
Market Momentum
MACD
-0.58
Negative
RSI
32.83
Neutral
STOCH
14.81
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WIMI, the sentiment is Negative. The current price of 2.46 is below the 20-day moving average (MA) of 3.07, below the 50-day MA of 4.15, and below the 200-day MA of 8.03, indicating a bearish trend. The MACD of -0.58 indicates Negative momentum. The RSI at 32.83 is Neutral, neither overbought nor oversold. The STOCH value of 14.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WIMI.

WiMi Hologram Cloud Risk Analysis

WiMi Hologram Cloud disclosed 83 risk factors in its most recent earnings report. WiMi Hologram Cloud 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

WiMi Hologram Cloud Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$14.74B5.90-4.02%6.40%2.72%-31.67%
58
Neutral
$27.35M-12.15%17.04%-2188.42%
57
Neutral
$83.41M-16.55%-2.67%21.65%
54
Neutral
$24.16M4.848.21%-8.74%
49
Neutral
$52.02M-34.39%18.20%50.08%
HHHHS
44
Neutral
$30.05M-147.49%-4.46%-3053.30%
41
Neutral
$37.20M-123.16%-15.07%33.40%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WIMI
WiMi Hologram Cloud
2.46
-5.46
-68.94%
HHS
Harte-Hanks
4.08
-3.76
-47.96%
INUV
Inuvo
3.47
1.02
41.63%
MCHX
Marchex
1.90
0.39
25.83%
FLNT
Fluent
1.85
-1.60
-46.38%
SWAG
Stran & Company
1.45
0.34
30.63%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.