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HKITHitek Global
$0.28$54497
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  4. Financial Ratios

Hitek Global (HKIT) Financial Ratios

Latest Ratios: P/E Ratio 0.3x · EV/EBITDA N/A · ROE 0.5%. (2016–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

HKIT Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$54497$2M$19M$13M———————
Enterprise Value$-912037$762316$14M$6M———————
P/E Ratio →0.2810.04—11.96———————
P/S Ratio0.010.266.382.75———————
P/B Ratio0.000.050.530.44———————
P/FCF———————————
P/OCF———————————

P/E links to full P/E history page with 30-year chart

HKIT EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—0.124.761.28———————
EV / EBITDA———38.40———————
EV / EBIT—1.74—3.05———————
EV / FCF———————————

HKIT Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin10.6%10.6%34.6%42.1%55.0%60.1%54.6%54.0%56.1%53.4%26.9%
Operating Margin-27.4%-27.4%-60.1%2.2%25.3%32.6%30.2%31.6%40.6%37.7%6.0%
Net Profit Margin2.8%2.8%-30.9%23.0%22.0%25.8%29.1%29.1%32.1%31.0%5.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE0.5%0.5%-2.8%5.0%10.6%13.7%16.8%25.2%36.3%56.7%16.2%
ROA0.4%0.4%-2.3%3.7%7.4%10.6%13.0%19.5%27.1%36.4%8.3%
ROIC-4.1%-4.1%-5.0%0.4%9.4%15.5%15.0%22.7%39.1%53.7%11.1%
ROCE-4.7%-4.7%-4.9%0.4%10.4%16.0%16.3%26.1%44.9%69.0%17.6%

HKIT Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.070.070.070.090.20————0.030.28
Debt / EBITDA———17.201.63————0.061.47
Net Debt / Equity—-0.03-0.13-0.240.11-0.16-0.17-0.09-0.11-0.140.19
Net Debt / EBITDA———-44.170.90-0.85-0.87-0.30-0.26-0.270.99
Debt / FCF——————-1.24-17.94—-4.0556.14
Interest Coverage1.421.42-1.736.087.55——453.00599.81645.56—

Net cash position: cash ($4M) exceeds total debt ($3M)

HKIT Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio8.238.2313.087.352.664.654.534.082.993.521.93
Quick Ratio8.228.2213.027.182.564.504.483.822.953.381.69
Cash Ratio4.374.3711.545.381.312.611.971.401.481.350.86
Asset Turnover—0.150.070.130.300.380.400.600.750.971.50
Inventory Turnover73.6173.6112.294.746.716.3121.986.2241.9211.569.33
Days Sales Outstanding—1047.96356.97484.28271.08174.47244.89208.8199.59104.8065.17

HKIT Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield100.0%10.0%—8.4%———————
FCF Yield———————————
Buyback Yield0.0%0.0%0.0%0.0%———————
Total Shareholder Yield0.0%0.0%0.0%0.0%———————
Shares Outstanding—$172282$287847$265149$219754$299754$219754$311754$299754$219754$311754

Key Metrics

Growth RegimeMixed
ProfitabilityNegative
Balance SheetHealthy
Cash FlowBurning
Top Statement Risk

Regulatory obsolescence and margin erosion

Distorted Multiples Mask Operational Decay

Based on reported figures, HKIT trades at a P/S ratio of 0.01, which appears to reflect the market's skepticism toward the company's low-margin hardware-heavy business model rather than a genuine undervaluation of a scalable software-application firm.

The extremely low P/S multiple suggests that investors are discounting the company's revenue due to its poor quality and lack of operating leverage. This valuation implies that the market views the current top-line growth as transitory and non-recurring, likely anticipating that the company's reliance on hardware distribution will continue to suppress future earnings potential.

Capital Efficiency Deteriorating Under Pressure

As reported in financial statements, HKIT's ROIC has trended into negative territory, reaching -1.0% in 2025Q4, which indicates that the company is failing to generate adequate returns on its invested capital compared to its historical performance in 2021.

The decline in ROIC from 8.5% in 2021Q2 to negative levels suggests that the company's recent capital allocation toward hardware procurement is value-destructive. This trend warrants further investigation into whether management can pivot back to higher-margin service offerings or if the current business model is structurally incapable of compounding capital.

Working Capital Cycles Signal Inefficiency

According to recent SEC filings, HKIT's cash conversion cycle has ballooned to 181 days in 2025Q4, reflecting significant friction in managing receivables and inventory compared to the more efficient 94-day cycle observed in 2021Q4.

The sharp increase in Days Sales Outstanding (DSO) to 164 days suggests that the company is struggling to collect payments from its enterprise clients, which may indicate weak bargaining power or deteriorating credit quality among its customer base. This inefficiency ties up critical liquidity and forces the company to rely on external or non-operating sources to fund its operations.

Superficial Liquidity Masks Operational Risk

Based on the reported figures, HKIT maintains a current ratio of 8.23 as of 2025Q4, which appears superficially robust but fails to account for the company's persistent cash burn and the potential for inventory obsolescence in its hardware-heavy asset base.

While the high current ratio suggests a lack of immediate solvency risk, the underlying quality of these current assets is questionable given the company's inability to convert them into positive operating cash flow. Investors should monitor whether this liquidity position remains stable if the company's reliance on non-operating income, such as government subsidies, is reduced.

Misapplied Metrics Obscure Business Reality

The most commonly misapplied metric for HKIT is the P/E ratio, which obscures the company's underlying operational losses by including non-recurring non-operating income, thereby providing a misleading picture of the firm's true earning power.

Because HKIT's net income is frequently bolstered by subsidies or other non-operating items, the P/E ratio fails to reflect the fact that the core business is currently operating at a loss. Analysts should instead focus on operating margins and free cash flow to assess the sustainability of the business model, as these metrics better capture the economic reality of the company's hardware-reselling activities.

Download Financial Ratios Data

Includes 30+ ratios · 10 years · Updated daily

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HKIT — Frequently Asked Questions

Quick answers to the most common questions about buying HKIT stock.

What is Hitek Global's P/E ratio?

Hitek Global's current P/E ratio is 0.3x. The historical average is 11.0x.

What is Hitek Global's ROE?

Hitek Global's return on equity (ROE) is 0.5%. The historical average is 17.8%.

Is HKIT stock overvalued?

Based on historical data, Hitek Global is trading at a P/E of 0.3x. Compare with industry peers and growth rates for a complete picture.

What are Hitek Global's profit margins?

Hitek Global has 10.6% gross margin and -27.4% operating margin.