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CPHI Stock Analysis - CHINA PHARMA HOLDINGS, INC. AI Rating

CPHI NYSE Pharmaceutical Preparations DE CIK: 0001106644
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-09-30
AI Rating
STRONG SELL
95% Confidence

📊 CPHI Key Takeaways

Revenue: $2.9M
Net Margin: -67.3%
Free Cash Flow: $-62.6K
Current Ratio: 0.35x
Debt/Equity: 0.52x
EPS: $-0.57
AI Rating: STRONG SELL with 95% confidence

Investment Thesis

China Pharma Holdings exhibits severe financial distress with negative profitability across all metrics, collapsing revenue (-35.4% YoY), and critical liquidity constraints (0.35x current ratio). The company is burning cash operationally while carrying substantial debt, with no operational improvements or insider confidence evident in recent activity.

CPHI Strengths

  • + Modest asset base of $15.8M provides some liquidation value
  • + Debt-to-equity ratio of 0.52x is relatively moderate given financial distress
  • + Active SEC reporting maintains transparency on deteriorating fundamentals

CPHI Risks

  • ! Severe cash burn with negative operating cash flow (-$3.7K) and negative free cash flow (-$62.6K) threatens solvency within months
  • ! Critical liquidity crisis with current ratio of 0.35x and only $267.6K cash against $7.5M liabilities creates immediate insolvency risk
  • ! Revenue collapse of 35.4% YoY combined with negative gross margin (-9.7%) indicates fundamental business deterioration with no path to profitability
  • ! Negative interest coverage (-100.0x) demonstrates inability to service debt obligations
  • ! Zero insider Form 4 filings in 90 days suggests loss of management confidence

Key Metrics to Watch

CPHI Financial Metrics

Revenue
$2.9M
Net Income
$-2.0M
EPS (Diluted)
$-0.57
Free Cash Flow
$-62.6K
Total Assets
$15.8M
Cash Position
$267.6K

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

CPHI Profitability Ratios

Gross Margin -9.7%
Operating Margin -69.9%
Net Margin -67.3%
ROE -23.6%
ROA -12.4%
FCF Margin -2.1%

CPHI vs Healthcare Sector

How CHINA PHARMA HOLDINGS, INC. compares to Healthcare sector averages

Net Margin
CPHI -67.3%
vs
Sector Avg 12.0%
CPHI Sector
ROE
CPHI -23.6%
vs
Sector Avg 15.0%
CPHI Sector
Current Ratio
CPHI 0.4x
vs
Sector Avg 2.0x
CPHI Sector
Debt/Equity
CPHI 0.5x
vs
Sector Avg 0.6x
CPHI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CPHI Balance Sheet & Liquidity

Current Ratio
0.35x
Quick Ratio
0.10x
Debt/Equity
0.52x
Debt/Assets
47.4%
Interest Coverage
-99.98x
Long-term Debt
$4.3M

CPHI 5-Year Financial Trend

CPHI 5-year financial data: Year 2020: Revenue $10.9M, Net Income -$20.7M, EPS N/A. Year 2021: Revenue $10.9M, Net Income -$2.9M, EPS N/A. Year 2022: Revenue $9.6M, Net Income -$3.4M, EPS $-0.74. Year 2023: Revenue $8.1M, Net Income -$4.0M, EPS $-3.78. Year 2024: Revenue $7.0M, Net Income -$3.1M, EPS $-0.91.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CHINA PHARMA HOLDINGS, INC.'s revenue has declined by 36% over the 5-year period, indicating business contraction. The most recent EPS of $-0.91 indicates the company is currently unprofitable.

CPHI Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-2.1%
Free cash flow / Revenue

CPHI Quarterly Performance

Quarterly financial performance data for CHINA PHARMA HOLDINGS, INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $756.2K -$528.4K $-0.17
Q2 2025 $924.9K -$528.4K $-0.16
Q1 2025 $1.1M -$785.6K $-0.24
Q3 2024 $1.1M -$476.0K $-0.06
Q2 2024 $924.9K -$476.0K $-0.09
Q3 2023 $1.8M -$476.0K $-0.06
Q2 2023 $1.1M -$593.0K $-0.06
Q1 2023 $1.6M -$476.0K $-0.06

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CPHI Capital Allocation

Operating Cash Flow
-$3.7K
Cash generated from operations
Capital Expenditures
$58.9K
Investment in assets
Dividends
None
No dividend program

CPHI SEC Filings

Access official SEC EDGAR filings for CHINA PHARMA HOLDINGS, INC. (CIK: 0001106644)

📋 Recent SEC Filings

Date Form Document Action
Mar 3, 2026 8-K ea0279672-8k_china.htm View →
Feb 10, 2026 8-K ea0276369-8k_china.htm View →
Jan 6, 2026 8-K ea0271960-8k_chinapharm.htm View →
Dec 23, 2025 8-K ea0270909-8k_chinapharm.htm View →
Dec 10, 2025 8-K ea026901601-8k_chinapharma.htm View →

Frequently Asked Questions about CPHI

What is the AI rating for CPHI?

CHINA PHARMA HOLDINGS, INC. (CPHI) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CPHI's key strengths?

Modest asset base of $15.8M provides some liquidation value. Debt-to-equity ratio of 0.52x is relatively moderate given financial distress.

What are the risks of investing in CPHI?

Severe cash burn with negative operating cash flow (-$3.7K) and negative free cash flow (-$62.6K) threatens solvency within months. Critical liquidity crisis with current ratio of 0.35x and only $267.6K cash against $7.5M liabilities creates immediate insolvency risk.

What is CPHI's revenue and growth?

CHINA PHARMA HOLDINGS, INC. reported revenue of $2.9M.

Does CPHI pay dividends?

CHINA PHARMA HOLDINGS, INC. does not currently pay dividends.

Where can I find CPHI SEC filings?

Official SEC filings for CHINA PHARMA HOLDINGS, INC. (CIK: 0001106644) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CPHI's EPS?

CHINA PHARMA HOLDINGS, INC. has a diluted EPS of $-0.57.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-09-30 | Powered by Claude AI