ReTo Eco-Solutions Inc. Class A Shares (RETO)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

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

On 2026-10-13, the market valued ReTo at $7.9 million, or $1.05 per Class A share. That is cigar-butt territory, but Graham warned that cheapness must be tested against solvency and earning power. The company designs and sells ecological equipment, mining gear, smart craft beer machines, and solid waste treatment from China into several overseas markets with only 48 employees. I see no evidence of a durable moat: no revenue growth figure, no profit growth figure, and no multi-year filing record. FairStock's Lynch screen assigns no category because there are only 0 years of filed annual results, while it needs 3. The financial picture is ugly. FairStock calculates a P/E of -0.01, ROE of -46.15%, ROCE of -5.60%, and a P/B of 0.02. That P/B looks optically deep, but when returns are that negative, book value can be a mirage. The Piotroski F-Score is 0/9 and the Altman Z-Score is -3.23, both pointing to distress. Debt-to-equity of 0.10 is the one modest comfort; low leverage gives some room, but not much if losses persist. The 52-week range of $0.15 to $20.85 shows extreme volatility and a market that has repeatedly repriced the story. FairStock's overall score of 45/100 is not a vote of confidence. Growth trajectory is unproven. With no filed annual history, I cannot judge whether this is a cyclical trough or a terminal decline. My conclusion: the price may look statistically cheap, but I see no margin of safety in the business quality or financial health.

In plain English: ReTo Eco-Solutions makes environmental and industrial equipment, including mining gear and smart beer machines, mainly for customers in China and several other countries. The business looks very weak: it is losing money, its accounting signals are poor, and it has almost no filing history. The stock price is very low compared with its stated accounting value, but that may reflect serious financial trouble rather than a bargain.

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

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