Company Overview
Cheetah Net Supply Chain Service Inc. operates as a provider of logistics and warehousing services across the United States and international markets, while also offering freight forwarding, labor services, and cargo loading and unloading solutions. The company functions within the Industrials sector, specifically categorized under the Integrated Freight & Logistics industry, which implies a focus on the movement and storage of goods within a broader economic framework. This entity employs a workforce of 12 individuals and holds a market capitalization of $51.62M, generating annual revenue of $1.29M. These valuation and revenue figures indicate that the company is a small-cap enterprise with limited financial scale relative to major industry peers, suggesting it operates with a lean operational footprint and potentially high volatility typical of micro-cap logistics firms.
Financial Health
The company reported revenue of $1.29M over the trailing twelve-month period, yet it posted a net income loss of $3,649,703 and an EBITDA loss of $3,701,015, revealing a significant gap between top-line generation and bottom-line profitability driven by substantial operating expenses. Free cash flow stands at $-410,412, which indicates a negative financial flexibility where the company is consuming more cash from operations than it is generating, relying on external financing or existing cash reserves to fund activities. Gross margin is recorded at 12.9%, while operating margin is -1374.5% and profit margin is -283.2%, levels that collectively demonstrate severe underperformance where costs are massively exceeding revenue and profitability is deeply negative across all measures. The firm holds $233,217 in cash against $1.88M in debt, resulting in a debt-to-equity ratio of 20.05, which suggests a highly leveraged balance sheet where liabilities significantly outweigh equity and liquid assets. Despite the high debt load, the current ratio is 6.74, indicating that the company technically possesses sufficient current assets to cover short-term obligations, though this metric may be skewed by the composition of those assets in a loss-making environment. Return on Equity is -33.2% and Return on Assets is -17.7%, metrics that reveal management is currently destroying shareholder value and failing to generate returns on the capital base employed in the business.
Valuation Assessment
The trailing twelve-month P/E ratio is N/A due to the negative earnings, while the forward P/E is -1.46, a difference that implies the market is pricing in continued negative earnings or expects a turnaround that has not yet materialized in current metrics. The price-to-book ratio is 5.51, indicating that the stock trades at a significant premium relative to its book value, a situation often seen in distressed small-cap stocks where market sentiment drives price far above the net asset value. Alternative valuation metrics such as the price-to-sales ratio of 40.06 and an EV/EBITDA of -14.39 suggest that traditional earnings-based valuations are inapplicable, and investors are relying on revenue multiples that are unusually high for a company with such negative profitability and cash flow. The 52-week high is $2.31 and the low is $1.03, meaning the stock is currently trading within a range defined by these extremes, with the current price position reflecting the market's assessment of its recovery potential versus its recent volatility. The beta is 1.45, which signifies that the stock price is expected to be 45% more volatile than the broader market, exposing shareholders to higher swings in value during periods of market stress or recovery.
Growth & Income
Revenue growth year-over-year is -58.7%, while earnings growth is N/A due to the prior period losses, implying that the company is currently contracting its top line and has not yet established a positive earnings trajectory to support sustainable growth comparisons. As the company does not pay a dividend, indicated by a dividend yield of N/A and a payout ratio of 0.0%, it does not distribute cash to shareholders, effectively reinvesting its limited cash flow back into operations or using it to service its existing debt burden. The overall growth and income profile is characterized by significant revenue contraction and a complete absence of dividend income, positioning the stock purely as a speculative play on potential operational turnaround rather than a source of current yield or stable capital appreciation.