Recon Technology Ltd (RCON) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Recon Technology Ltd stock (RCON) is currently trading at $0.86. Recon Technology Ltd PS ratio (Price-to-Sales) is 0.24. Analyst consensus price target for RCON is $2.01. WallStSmart rates RCON as Sell.
- RCON PE ratio analysis and historical PE chart
- RCON PS ratio (Price-to-Sales) history and trend
- RCON intrinsic value — DCF, Graham Number, EPV models
- RCON stock price prediction 2025 2026 2027 2028 2029 2030
- RCON fair value vs current price
- RCON insider transactions and insider buying
- Is RCON undervalued or overvalued?
- Recon Technology Ltd financial analysis — revenue, earnings, cash flow
- RCON Piotroski F-Score and Altman Z-Score
- RCON analyst price target and Smart Rating
Recon Technology
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Smart Analysis
Recon Technology Ltd (RCON) · 8 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in price/sales, price/book, revenue growth. Concerns around market cap and return on equity. Mixed signals suggest waiting for clearer direction before acting.
Recon Technology Ltd (RCON) Key Strengths (3)
Paying less than $1 for every $1 of annual revenue
Trading below book value, meaning the market prices it less than net assets
Revenue surging 102.20% year-over-year
Supporting Valuation Data
Recon Technology Ltd (RCON) Areas to Watch (5)
Company is destroying shareholder value
Losing money on operations
Company is losing money with a negative profit margin
Very low institutional interest at 1.03%
Micro-cap company with very limited liquidity and high volatility
Recon Technology Ltd (RCON) Detailed Analysis Report
Overall Assessment
This company scores 39/100 in our Smart Analysis, earning a F grade. Out of 8 metrics analyzed, 3 register as strengths (avg 10.0/10) while 5 fall into concern territory (avg 1.0/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on Price/Sales, Price/Book, Revenue Growth. Valuation metrics including Price/Sales (0.24), Price/Book (0.42) suggest the stock is attractively priced. Growth metrics are encouraging with Revenue Growth at 102.20%.
The Bear Case
The primary concerns are Return on Equity, Operating Margin, Profit Margin. Profitability pressure is visible in Return on Equity at -6.51%, Operating Margin at -14.60%, Profit Margin at -25.50%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether Return on Equity improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -6.51% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 102.20% strong but requiring continuation.
Risk Considerations
Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Fundamental challenges outweigh strengths at current levels. Return on Equity and Operating Margin are the primary drags. Consider waiting for meaningful improvement before committing capital.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
RCON Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
RCON's Price-to-Sales ratio of 0.24x trades 27% below its historical average of 0.33x (44th percentile). The current valuation is 88% below its historical high of 1.97x set in May 2021, and 2310% above its historical low of 0.01x in Apr 2024.
WallStSmart Analysis Synopsis
Data-driven financial summary for Recon Technology Ltd (RCON) · ENERGY › OIL & GAS EQUIPMENT & SERVICES
The Big Picture
Recon Technology Ltd is in a high-growth phase, prioritizing rapid expansion over margins. Revenue reached 109M with 102% growth year-over-year. The company is currently unprofitable, posting a -25.5% profit margin.
Key Findings
Revenue growing at 102% YoY, reaching 109M. This pace significantly outperforms most OIL & GAS EQUIPMENT & SERVICES peers.
Debt-to-equity ratio of 0.07 indicates a conservative balance sheet with 99M in cash.
The company is unprofitable with a -25.5% profit margin. The path to breakeven will be the key catalyst.
Free cash flow is -13M, meaning the company is burning cash. This may be acceptable for high-growth companies investing heavily.
What to Watch Next
Growth sustainability: can Recon Technology Ltd maintain 102%+ revenue growth, or will competition slow it down?
Sector dynamics: monitor OIL & GAS EQUIPMENT & SERVICES industry trends, competitive moves, and regulatory changes that could impact Recon Technology Ltd.
Bottom Line
Recon Technology Ltd is a high-conviction growth story with revenue accelerating at 102% while profitability is still developing. For growth-oriented investors, the trajectory is compelling. For value investors, the thin -25.5% margins and premium valuation suggest patience until the unit economics mature further.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Recon Technology Ltd(RCON)
NASDAQ
ENERGY
OIL & GAS EQUIPMENT & SERVICES
China
Recon Technology, Ltd. provides hardware, software and on-site services to companies in the oil extraction and extraction industry in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.