Recent News
March 25, 2026 — Goldman Sachs reiterated its price target after an investor meeting in Shanghai. March 5–April 2026 — a series of Hong Kong Exchange filings disclosed note issuances and updates to the company’s note status. April–May 2026 — company filings show corporate actions including a completed US$200 million share repurchase program and other share/note adjustments reported to regulators.
Technical Analysis
ADX at 21.92 indicates an emerging trend strength; the directional structure shows DI+ decreasing while DI- exhibits a dip-and-reversal, creating a directional bias that favors sellers in the immediate term relative to the current valuation.
MACD sits at -0.94 with a peak-and-reversal pattern and trades below its signal line (-0.81), signaling bearish momentum that conflicts with the fundamental valuation gap and increases the probability of near-term downside pressure.
MRO reads 3.06 and remains positive, which implies price sits above the model target and therefore carries a higher likelihood of downward mean reversion relative to the present valuation.
RSI at 40.25 with a peak-and-reversal pattern reflects weakening internals without oversold conviction; price retains room to move lower before classic oversold thresholds arrive.
Price relationships reinforce the bearish technical picture: close at $20.00 sits below the 12-day EMA ($20.96 decreasing), below the 20-day average ($21.32) and well under the 50-day ($23.15) and 200-day ($26.27) averages, pointing to short-term downside pressure against a valuation that appears favorable.
Bands and cloud structure add context: price near the lower Bollinger band (1x lower ~ $20.10, 2x lower ~ $18.88) and below the Ichimoku kijun and tenkan values (Kijun $21.96, Tenkan $20.55), which frames support ~ $18.9–$20.1 and resistance near $21.3–$22.5.
Volume spike today (13.48M vs 10-day avg 4.50M and 200-day avg 2.73M) signals heavier participation on recent moves and increases the likelihood that the current directional bias resolves sooner rather than drifting sideways indefinitely.
Fundamental Analysis
Total revenue reached $8,321,367,000 with YoY revenue growth of 41.05% and QoQ growth of 74.56%, supporting a narrative of accelerating top-line momentum despite near-term market skepticism.
Operating income stands at $503,883,000 and EBIT at $548,254,000, yielding an EBIT margin of 6.59%; that margin sits well below the industry peer mean of 34.03% and the industry peer median of 34.63%, indicating room for margin expansion relative to peer profitability benchmarks.
Net income totaled $513,401,000 and EPS came in at $1.31 versus an estimate of $1.16, an EPS surprise of 12.93%, which strengthens the quality of current earnings versus consensus while forward EPS implies a higher multiple ahead.
Leverage measures show total debt of $9,786,021,000 and debt/EBITDA roughly 17.85x; interest coverage reads 13.58x, reflecting low absolute cost of debt but elevated leverage on an EBITDA basis that warrants monitoring as cash deployment continues.
Liquidity and cash strength remain material: cash and short-term investments total $24,153,062,000 and operating cash flow reached $843,960,000 with a cash conversion ratio above 1.0, supporting capital returns and strategic investment without immediate liquidity strain.
Valuation multiples sit at a trailing PE of 15.07 and P/B of 0.78; forward PE near 74.85 reflects elevated expectations after the recent quarter but the WMDST valuation assessment places the stock as under-valued given cash reserves, accelerating revenue, and a modest trailing multiple.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-05-19 |
| NEXT REPORT DATE: | 2026-08-18 |
| CASH FLOW | Begin Period Cash Flow | — |
| Operating Cash Flow | $ 844.0 M | |
| Capital Expenditures | — | |
| Change In Working Capital | $ -513.40 M | |
| Dividends Paid | — | |
| Cash Flow Delta | — | |
| End Period Cash Flow | — | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 8.3 B | |
| Forward Revenue | $ 576.9 M | |
| COSTS | ||
| Cost Of Revenue | $ 5.2 B | |
| Depreciation | — | |
| Depreciation and Amortization | — | |
| Research and Development | $ 921.1 M | |
| Total Operating Expenses | $ 7.8 B | |
| PROFITABILITY | ||
| Gross Profit | $ 3.1 B | |
| EBITDA | $ 548.3 M | |
| EBIT | $ 548.3 M | |
| Operating Income | $ 503.9 M | |
| Interest Income | $ 113.5 M | |
| Interest Expense | $ 40.4 M | |
| Net Interest Income | $ 73.1 M | |
| Income Before Tax | $ 507.9 M | |
| Tax Provision | $ -6.04 M | |
| Tax Rate | 25.0 % | |
| Net Income | $ 513.4 M | |
| Net Income From Continuing Operations | $ 513.4 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.16 | |
| EPS Actual | $ 1.31 | |
| EPS Difference | $ 0.15 | |
| EPS Surprise | 12.931 % | |
| Forward EPS | $ 0.34 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 41.2 B | |
| Intangible Assets | $ 5.9 B | |
| Net Tangible Assets | $ 9.6 B | |
| Total Current Assets | $ 27.6 B | |
| Cash and Short-Term Investments | $ 24.2 B | |
| Cash | $ 12.2 B | |
| Net Receivables | $ 1.3 B | |
| Inventory | $ 212.5 M | |
| Long-Term Investments | $ 2.1 B | |
| LIABILITIES | ||
| Accounts Payable | $ 5.8 B | |
| Short-Term Debt | $ 4.9 B | |
| Total Current Liabilities | $ 20.3 B | |
| Net Debt | — | |
| Total Debt | $ 9.8 B | |
| Total Liabilities | $ 25.6 B | |
| EQUITY | ||
| Total Equity | $ 15.6 B | |
| Retained Earnings | $ -26.47 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 37.55 | |
| Shares Outstanding | 414.718 M | |
| Revenue Per-Share | $ 20.07 | |
| VALUATION | Market Capitalization | $ 12.1 B |
| Enterprise Value | $ -2.24 B | |
| Enterprise Multiple | -4.086 | |
| Enterprise Multiple QoQ | -24.005 % | |
| Enterprise Multiple YoY | -95.196 % | |
| Enterprise Multiple IPRWA | high: 172.49 median: 80.873 mean: 76.907 BILI: -4.086 low: -131.235 |
|
| EV/R | -0.269 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.643 | |
| Asset To Liability | 1.607 | |
| Debt To Capital | 0.386 | |
| Debt To Assets | 0.238 | |
| Debt To Assets QoQ | -2.064 % | |
| Debt To Assets YoY | 394.508 % | |
| Debt To Assets IPRWA | high: 0.935 BILI: 0.238 mean: 0.129 median: 0.1 low: 0.001 |
|
| Debt To Equity | 0.628 | |
| Debt To Equity QoQ | -3.403 % | |
| Debt To Equity YoY | 464.034 % | |
| Debt To Equity IPRWA | high: 2.068 BILI: 0.628 mean: 0.202 median: 0.143 low: -0.935 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.779 | |
| Price To Book QoQ | 4.297 % | |
| Price To Book YoY | 42.477 % | |
| Price To Book IPRWA | high: 12.969 median: 9.015 mean: 8.398 BILI: 0.779 low: -3.34 |
|
| Price To Earnings (P/E) | 15.073 | |
| Price To Earnings QoQ | -41.147 % | |
| Price To Earnings YoY | -12.874 % | |
| Price To Earnings IPRWA | high: 160.153 median: 109.822 mean: 99.777 BILI: 15.073 low: -47.921 |
|
| PE/G Ratio | 1.388 | |
| Price To Sales (P/S) | 1.457 | |
| Price To Sales QoQ | 0.683 % | |
| Price To Sales YoY | 46.172 % | |
| Price To Sales IPRWA | high: 33.532 median: 32.888 mean: 30.681 BILI: 1.457 low: 0.004 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 74.846 | |
| Forward PE/G | 6.894 | |
| Forward P/S | 20.907 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 1.252 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.205 | |
| Asset Turnover Ratio QoQ | 5.107 % | |
| Asset Turnover Ratio YoY | -14.138 % | |
| Asset Turnover Ratio IPRWA | high: 0.492 BILI: 0.205 median: 0.201 mean: 0.191 low: 0.002 |
|
| Receivables Turnover | 6.923 | |
| Receivables Turnover Ratio QoQ | -0.043 % | |
| Receivables Turnover Ratio YoY | 22.784 % | |
| Receivables Turnover Ratio IPRWA | high: 8.623 BILI: 6.923 mean: 2.158 median: 1.897 low: 0.163 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 13.182 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -90.462 | |
| Cash Conversion Cycle Days QoQ | -1.44 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 97.243 mean: 0.879 median: -2.112 BILI: -90.462 low: -294.971 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.152 | |
| CapEx To Revenue | — | |
| CapEx To Depreciation | — | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 20.3 B | |
| Net Invested Capital | $ 25.2 B | |
| Invested Capital | $ 25.2 B | |
| Net Tangible Assets | $ 9.6 B | |
| Net Working Capital | $ 7.2 B | |
| LIQUIDITY | ||
| Cash Ratio | 1.188 | |
| Current Ratio | 1.355 | |
| Current Ratio QoQ | -17.291 % | |
| Current Ratio YoY | 1.279 % | |
| Current Ratio IPRWA | high: 10.171 mean: 2.097 median: 2.005 BILI: 1.355 low: 0.114 |
|
| Quick Ratio | 1.345 | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | 1.812 % | |
| Quick Ratio IPRWA | high: 1.727 median: 1.689 mean: 1.652 BILI: 1.345 low: 0.067 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 17.849 | |
| Cost Of Debt | 0.311 % | |
| Interest Coverage Ratio | 13.584 | |
| Interest Coverage Ratio QoQ | 15.216 % | |
| Interest Coverage Ratio YoY | 217.954 % | |
| Interest Coverage Ratio IPRWA | high: 289.65 median: 132.265 mean: 110.985 BILI: 13.584 low: -107.388 |
|
| Operating Cash Flow Ratio | 0.042 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 103.643 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 3.092 % | |
| Revenue Growth | 8.274 % | |
| Revenue Growth QoQ | 74.557 % | |
| Revenue Growth YoY | 41.05 % | |
| Revenue Growth IPRWA | high: 44.631 % mean: 11.803 % median: 11.22 % BILI: 8.274 % low: -27.55 % |
|
| Earnings Growth | 10.857 % | |
| Earnings Growth QoQ | -158.355 % | |
| Earnings Growth YoY | -87.623 % | |
| Earnings Growth IPRWA | high: 300.0 % BILI: 10.857 % mean: 2.099 % median: -1.742 % low: -143.243 % |
|
| MARGINS | ||
| Gross Margin | 37.028 % | |
| Gross Margin QoQ | 0.987 % | |
| Gross Margin YoY | 2.71 % | |
| Gross Margin IPRWA | high: 100.0 % mean: 62.916 % median: 59.793 % BILI: 37.028 % low: 5.477 % |
|
| EBIT Margin | 6.589 % | |
| EBIT Margin QoQ | 1.934 % | |
| EBIT Margin YoY | 496.83 % | |
| EBIT Margin IPRWA | high: 107.803 % median: 34.627 % mean: 34.027 % BILI: 6.589 % low: -89.445 % |
|
| Return On Sales (ROS) | 6.055 % | |
| Return On Sales QoQ | 31.488 % | |
| Return On Sales YoY | 448.46 % | |
| Return On Sales IPRWA | high: 85.377 % median: 31.568 % mean: 31.127 % BILI: 6.055 % low: -89.445 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | — | |
| Free Cash Flow Yield | — | |
| Free Cash Flow Yield QoQ | — | |
| Free Cash Flow Yield YoY | — | |
| Free Cash Flow Yield IPRWA | — | |
| Free Cash Growth | — | |
| Free Cash Growth QoQ | — | |
| Free Cash Growth YoY | — | |
| Free Cash Growth IPRWA | — | |
| Free Cash To Net Income | — | |
| Cash Flow Margin | 10.142 % | |
| Cash Flow To Earnings | 1.644 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | 1.266 % | |
| Return On Assets QoQ | 5.941 % | |
| Return On Assets YoY | 355.396 % | |
| Return On Assets IPRWA | high: 13.424 % median: 6.089 % mean: 5.784 % BILI: 1.266 % low: -16.222 % |
|
| Return On Capital Employed (ROCE) | 2.631 % | |
| Return On Equity (ROE) | 0.033 | |
| Return On Equity QoQ | 4.468 % | |
| Return On Equity YoY | 416.771 % | |
| Return On Equity IPRWA | high: 0.431 median: 0.083 mean: 0.082 BILI: 0.033 low: -0.443 |
|
| DuPont ROE | 3.37 % | |
| Return On Invested Capital (ROIC) | 1.631 % | |
| Return On Invested Capital QoQ | 7.657 % | |
| Return On Invested Capital YoY | -481.075 % | |
| Return On Invested Capital IPRWA | high: 12.209 % median: 7.518 % mean: 7.075 % BILI: 1.631 % low: -22.288 % |
|