Last Updated: 17 Sep 2024
Executive Summary
36Kr Holdings Inc. (KRKR) is a Chinese business content and services provider to participants of the new economy. The company's latest stock price is $0.24. Despite reporting negative earnings and profitability metrics, analysts maintain a Strong Buy rating with a target price of $1.25, indicating potential for significant upside.
Company Overview
36Kr Holdings Inc. provides business content, data, and services to entrepreneurs, investors, and other stakeholders in China's new economy. The company's platform includes news, analysis, data, and networking opportunities. 36Kr Holdings Inc. also operates a venture capital arm that invests in early-stage technology companies.
Fundamental Analysis
Revenue: TTM revenue of $302.7 million, down 0.393% YoY
Earnings: Net loss of $104.8 million in TTM, resulting in an EPS of -$0.44
Profitability: Negative profit margins, with an operating margin of -0.699% and a net profit margin of -0.436%
Valuation: Price-to-sales ratio of 0.0316, indicating undervaluation relative to peers
Technical Analysis
Trend: Stock price is currently trading below its 50-day and 200-day moving averages, indicating a downtrend
Support and Resistance: Key support level at $0.22, while resistance is seen at $0.264
Momentum Indicators: Relative Strength Index (RSI) is below 30, indicating oversold conditions
Short Term Outlook
In the short term, the stock price of 36Kr Holdings Inc. is likely to remain volatile. The company's negative earnings and profitability metrics may continue to weigh on sentiment. However, the oversold conditions indicated by technical analysis suggest a potential for a short-term bounce.
Long Term Outlook
Analysts maintain a Strong Buy rating on 36Kr Holdings Inc. due to its strong brand recognition, position in China's growing new economy, and potential for future profitability. The company's venture capital arm and investments in early-stage technology companies could provide long-term growth opportunities.
Analyst Recommendations
Based on the fundamental and technical analysis, analysts recommend a Strong Buy rating on 36Kr Holdings Inc. with a target price of $1.25. The company's current undervaluation, potential for future profitability, and oversold conditions present a compelling opportunity for investors with a long-term horizon.
