ReTo Eco-Solutions Inc logo

ReTo Eco-Solutions Inc(RETO)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
1-STAR RATING
PASS
LAST CLOSE
$1.66
10/06/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for RETO

10/06/2026: RETO (1-star) is currently NOT-A-BUY. Pass it for now.

ReTo Eco-Solutions Inc is a China-based provider of eco-friendly construction materials and environmental engineering services. The company's primary strength lies in its proprietary waste-to-material technology, which aligns with government sustainability policies in China. While it has the potential to benefit from urban renewal and green infrastructure spending, the company faces significant execution and competitive risks from low-cost traditional material suppliers. Financially, it has struggled with inconsistent revenue and profitability, making it a higher-risk investment. The stock may best suit speculative investors monitoring government infrastructure policy, but it is not currently suitable for those seeking dividend income or stability.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorWeak fitThe company's history of inconsistent growth and project-dependency makes it a challenging prospect for traditional growth investors.
Momentum investorWeak fitThis stock generally lacks the consistent price trends and volume momentum required for momentum-based strategies.
Value investorMixed fitWhile the stock may trade at low multiples, the underlying business quality and financial stability warrant caution.
Dividend investorWeak fitThe company does not pay a dividend and has not demonstrated the free cash flow required to support future payments.
Low-risk investorWeak fitHigh price volatility and reliance on unpredictable project outcomes make this unsuitable for risk-averse portfolios.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighThe stock is susceptible to large price swings due to low liquidity and market sentiment.
Valuation riskMedium / highValuation is difficult to justify given the historical volatility in earnings.
Competition risk (construction materials)HighLow-cost local competitors place constant pressure on pricing and market share.
Business qualityMediumOperational results are highly dependent on external project cycles rather than recurring revenue streams.
Dividend incomeLow / noneInvestors should not expect any income from this security.
Execution riskMedium / highFailure to secure or complete large-scale infrastructure projects can lead to significant revenue shortfalls.

Price Behavior

Steep Decline
PRICE PATH

Steep Decline

The stock price has dropped sharply with strong downward pressure.

Extreme Price Shocks
PRICE STABILITY

Extreme Price Shocks

The stock has experienced exceptionally large and disruptive price movements during the period.

Analysis of Past Performance

Type Stock
Historic Profit -48.31%
Avg. Invested days 9
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 10/06/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
RETO receives a 2-star rating, reflecting soft or weak scores across the available pillars. The rating is constrained by weak unit economics, soft company fundamentals, and soft analyst coverage.

Company Fundamentals

★★★★★
RETO has soft overall fundamentals (2 stars), with soft financial health, moderate growth momentum, and soft ownership. In FY2025 versus FY2024, strong revenue growth (+84.3%) is partially offset by negative earnings growth (-47.7%), weak cash generation (FCF margin -132.1%), weak profitability (net margin -366.1%).

Financial Health Rating

★★★★★
RETO's financial health is soft, with the relatively strongest area being soft liquidity, including working-capital and asset support (WC/assets -16.0%). Operating efficiency is weak (1 stars), which helps explain the 2-star overall score.

Growth Momentum Score

★★★★★
Revenue growth is RETO's strongest growth driver at +84.3% FY2025 versus FY2024 (strong, 5 stars). By comparison, while earnings growth (-47.7%, negative) and free-cash-flow growth (-3.2%, slightly negative) hold the profile back, so recent growth is not broad-based across the business.

Ownership

★★★★★
Institutional ownership is 0.0% (soft) and 7.0% of outstanding shares are publicly tradable (soft). Insider ownership is only 0.00%, which materially reduces the ownership score.

Top 5 Institutional Investors

UBS Group AG 0.00%
SBI Securities Co Ltd 0.00%

Unit Economics (Per $1K Revenue)

★★★★★
RETO generates approximately $353 of gross profit, $-879 of operating income, and $-1,321 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Operating losses and cash burn explain the 1-star rating, with weak cash conversion and weak capital efficiency.

Economic Dimensions

★★★★★
Effective Tax Rate: 0.00%

Quantitative Style Profile

★★★★★
RETO has a Value-Oriented profile. Weak momentum is the primary drawback, while elevated volatility.

Style Classification

Quality Focused

Value-OrientedHigh VolatilitySmall / Mid Cap Risk

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 3.93M USD
Price to earnings Ratio -
1Y Target Price -
Price to earnings Ratio -
1Y Target Price -
Volume (30-day avg) 3.9M shares
Beta 1.24
52 Weeks Range 1.46 - 492.00
Updated Date 10/06/2026
52 Weeks Range 1.46 - 492.00
Updated Date 10/06/2026
Dividends yield (FY) -
Basic EPS (TTM) -1763.51

How Company Makes Money

Business areaWhat it includesRetail investor read
Construction MaterialsSale of eco-friendly bricks and pavers for building and road projects.Revenue comes from selling physical building materials to construction projects.
Equipment SalesSales of machinery used for brick and paver manufacturing.Revenue comes from selling the specialized machines that make the construction materials.
Environmental EngineeringConsulting and project management for waste disposal and urban renewal.Revenue comes from contracts to solve environmental problems for local governments.
GeographyOperations are primarily centered within mainland China.Success is tied almost entirely to the economic and policy landscape in China.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

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Valuation

Trailing PE -
Forward PE -
Enterprise Value 7.87M
Price to Sales(TTM) 1.17
Enterprise Value 7.87M
Price to Sales(TTM) 1.17
Enterprise Value to Revenue 2.34
Enterprise Value to EBITDA -1.28
Shares Outstanding 2.32M
Shares Floating 163.49K
Shares Outstanding 2.32M
Shares Floating 163.49K
Percent Insiders -
Percent Institutions -

Icon representing Upturn AI-generated SWOT analysis summary Upturn AI Summary

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About ReTo Eco-Solutions Inc

Exchange NASDAQ
Headquarters -
IPO Launch date 2017-11-29
CEO & Director Mr. Sie Wei Tiong
Sector Basic Materials
Industry Building Materials
Full time employees 48
Full time employees 48

ReTo Eco-Solutions, Inc. focuses to design, research and development, manufactures, and sale of ecological environmental protection equipment and intelligent equipment in China, the Middle East, India, Malaysia, Africa, Maldives. It engages in the research, development, and production of mining equipment and smart craft beer machines, as well as solid waste treatment solutions and equipment. In addition, it offers technical support and consulting services. ReTo Eco-Solutions, Inc. was incorporated in 2015 and is headquartered in Beijing, the People's Republic of China.