GURE:NASDAQGulf Resources, Inc. Analysis
Data as of 2026-03-11 - not real-time
$4.58
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
Gulf Resources trades well below its 20‑day and 50‑day simple moving averages, with a bearish MACD histogram and an RSI hovering around the mid‑range, indicating limited upward momentum and a neutral‑to‑bearish short‑term bias. Volume is on the rise, but the stock faces extreme 30‑day volatility and sits near a support level around $4.15, while resistance sits near $5.84, suggesting a constrained price corridor.
On the fundamentals side, the company is posting negative gross, operating and profit margins, carries a debt‑to‑equity ratio above 7, and generates negative free cash flow, underscoring significant financial strain. However, the market price is a fraction of book value (price‑to‑book ~0.06) and far below a discounted cash‑flow estimate of roughly $95 per share, highlighting a stark valuation disconnect that could attract contrarian interest if the balance sheet can be stabilized.
On the fundamentals side, the company is posting negative gross, operating and profit margins, carries a debt‑to‑equity ratio above 7, and generates negative free cash flow, underscoring significant financial strain. However, the market price is a fraction of book value (price‑to‑book ~0.06) and far below a discounted cash‑flow estimate of roughly $95 per share, highlighting a stark valuation disconnect that could attract contrarian interest if the balance sheet can be stabilized.
Market Outlook
Short Term
< 1 yearCautious
Model confidence: 7/10
Key Factors
- Bearish MACD and price below key moving averages
- High short‑term volatility and proximity to support
- Continued negative earnings and cash flow
Medium Term
1–3 yearsNeutral
Model confidence: 5/10
Key Factors
- Massive valuation gap to book and DCF
- Potential for balance‑sheet restructuring or debt reduction
- Uncertainty around earnings recovery and cash‑flow generation
Long Term
> 3 yearsPositive
Model confidence: 6/10
Key Factors
- Extremely low price‑to‑book ratio indicating deep discount
- DCF fair value suggests substantial upside if operations stabilize
- Long‑run exposure to Chinese chemical market growth
Key Metrics & Analysis
Financial Health
Revenue Growth303.40%
Profit Margin-286.76%
ROE-43.38%
ROA-4.60%
Debt/Equity7.50
P/B Ratio0.1
Op. Cash Flow$5.5M
Free Cash Flow$-12061764
Technical Analysis
TrendNeutral
RSI46.0
Support$4.15
Resistance$5.84
MA 20$5.08
MA 50$4.60
MA 200$5.60
MACDBearish
VolumeIncreasing
Fear & Greed Index77.09
Valuation
Fair Value$94.82
GradeUndervalued
TypeValue
Risk Assessment
Beta-0.02
Volatility99.40%
Sector RiskMedium
Reg. RiskHigh
Geo RiskHigh
Currency RiskMedium
Liquidity RiskHigh
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.