Euro Tech Holdings Company Limited

AI-generated fair value estimate for this company.

Method: Sum-of-the-parts NAV: net cash + capitalized normalized earnings (8x weighted 3yr avg net income)

Reasoning: Net cash of ~$3.95M (cash $4.283M less total debt $0.329M, FY2025) plus operating-business value of ~$5.35M from an 8x multiple on weighted-average normalized net income of ~$0.67M (weights 50/30/20 on FY2025 $0.157M, FY2024 $0.734M, FY2023 ~$1.85M). The low multiple reflects a 15-year history of flat-to-volatile revenue ($13M-$27M range, no secular growth) and a sharp FY2025 earnings decline tied to US-China tariffs hurting the trading segment, partially offset by double-digit growth in the industrial wastewater/BWTS engineering segment. Total estimated equity value is ~$9.3M, or ~$1.25/share on 7.41M shares outstanding, below the current market cap of $12.08M (~$1.63/share), implying the stock is modestly overvalued versus normalized earnings power even though it trades below book value (~$2.11/share) and holds a clean net-cash balance sheet.