Last Updated: 17 Sep 2024
Executive Summary
Universe Pharmaceuticals Inc. (UPC) is a pharmaceutical company engaged in the manufacture, marketing, distribution, and sale of traditional Chinese medicine products in China. The company has a market capitalization of $12.86 million and is trading at $0.46 per share. UPC has been facing financial challenges, with negative earnings and margins. However, the company has a strong balance sheet with a book value of $10.91 per share.
Company Overview
UPC was founded in 2001 and is headquartered in Ji'an, China. The company has a team of experienced professionals with expertise in traditional Chinese medicine and pharmaceutical manufacturing. UPC's products are sold through a network of distributors and retailers in China.
Fundamental Analysis
UPC's financial performance has been weak in recent years. The company has reported negative earnings and margins for the past several quarters. In the latest quarter, UPC reported a loss per share of $1.70 on revenue of $32.31 million. The company's gross profit margin was -19.1% and its operating margin was -26.6%.
UPC's balance sheet is relatively strong. The company has $10.91 per share in book value and no long-term debt. However, UPC's current liabilities exceed its current assets, which may be a concern for investors.
Technical Analysis
UPC's stock price has been in a downtrend for the past year. The stock recently broke below its 200-day moving average, which is a bearish technical signal. The stock's relative strength index (RSI) is also below 30, which indicates that the stock is oversold.
Short Term Outlook
UPC's short-term outlook is negative. The company's stock price is in a downtrend and the technical indicators are bearish. The company's financial performance has also been weak, and there are no signs of improvement in the near term.
Long Term Outlook
UPC's long-term outlook is uncertain. The company's financial performance has been weak, and there are no signs of improvement in the near term. However, the company has a strong balance sheet and a team of experienced professionals. If UPC can improve its financial performance, it may be able to turn its business around.
Analyst Recommendations
Analysts are currently neutral on UPC. The average analyst rating is "hold." Analysts are concerned about the company's financial performance and the negative technical indicators. However, analysts believe that UPC has the potential to turn its business around.
