Gulf Resources Inc. (NV) Common Stock (GURE)

FairStock Score: 49/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable businesses with honest accounting, pricing power, and a margin of safety. Gulf Resources does not obviously fit that mold. It makes bromine and crude salt in China, commodity products where the company is likely a price taker. The financial record is ugly: in fiscal 2023 ended 2023-12-31, it reported revenue $30.0M and a net loss of $61.8M, or diluted EPS -$58.16. Fiscal 2024 ended 2024-12-31 had revenue $7.7M and a net loss of $59.9M, or diluted EPS -$54.88. Fiscal 2025 ended 2025-12-31 improved to revenue $25.4M and a net loss of $43.9M, or diluted EPS -$32.95. The filed figures remain volatile. In fiscal Q1 2026 ended 2026-03-31, it lost $3.9M on $2.4M revenue. In fiscal Q2 2026 ended 2026-06-30, it earned $1.1M on $12.9M revenue and diluted EPS $0.64. That swing is encouraging but not yet a proven turnaround. Financial health is weak: FairStock calculates a Piotroski F-Score of 3/9, an Altman Z-Score of 0.13, ROE -34.23%, and ROCE -3.36%. The balance sheet shows D/E 0.16. On price, at the close on 2026-10-13 of $2.79, market cap was $5.1M. FairStock’s P/B is 0.04, so the market values it at a tiny fraction of book value; FCF yield is 21.9% on $1.1M trailing free cash flow. That looks statistically cheap. But with a negative P/E, a tiny market cap, volatile commodity exposure, and a Lynch category of TURNAROUND—loss in the latest year after earlier profits—I treat the low P/B as compensation for risk, not proof of value. Without sustained positive earnings, the cheapness is fragile.

In plain English: Gulf Resources makes bromine and crude salt in China. The business has been weak: it lost large amounts of money in fiscal 2023, 2024, and 2025, though it reported a small profit in the quarter ended 2026-06-30. At $2.79 on 2026-10-13, the price looks very cheap compared with the company’s stated net assets, but the losses and weak financial health make that cheapness uncertain.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K/A (period ended 2025-12-31) · FY2024 10-K/A (period ended 2024-12-31) · FY2023 10-K/A (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer