What Should You know About Hesai (HSAI) Before Investing?

Shares of Small-cap consumer cyclical company Hesai moved -8.9% this afternoon, and are now trading at $8.1 per share.

Hesai Group, through with its subsidiaries, engages in the development, manufacture, and sale of three-dimensional light detection and ranging solutions (LiDAR).

Hesai investors should be aware of the below:

Hesai has moved -61.5% over the last year. Based on its trailing earning per share of -0.81, Hesai has a trailing 12 month Price to Earnings (P/E) ratio of -10.0

2019-12-31 2020-12-31 2021-12-31 2022-12-31
Revenue (MM) $348 $416 $721 $1,203
Gross Margins 70.3% 57.5% 53.0% 39.2%
Operating Margins 3.5% -24.5% -36.8% -31.4%
Net Margins -34.54% -25.8% -33.97% -25.01%
Net Income (MM) -$120 -$107 -$245 -$301
Net Interest Income $19,107 $20,925 $32,584 $58,734
Depreciation & Amort. -$9,724 -$19,215 -$28,231 -$nan
Earnings Per Share -$1.4 -$0.85 -$19.57 -$0.81
EPS Growth n/a 39.29% -2202.35% 95.86%
Diluted Shares (MM) 126 126 126 126
Free Cash Flow (MM) $7 -$429 -$510 n/a
Capital Expenditures (MM) -$40 -$77 -$282 n/a
Net Current Assets (MM) $857 $1,034 $2,591 -$3,849
Current Ratio 4.32 7.25 3.92 3.26
Long Term Debt (MM) n/a n/a n/a $18
LT Debt to Equity nan nan nan -0.01

Hesai has growing revenues and a flat capital expenditure trend and an excellent current ratio. Additionally, the company's financial statements display wider gross margins than its peer group and a strong EPS growth Trend. However, the firm suffers from consistently negative margins with a negative growth trend and negative and highly variable cash flows.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.