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Deep Value: cash covers more than 100% of the stock price

This company holds roughly $98M in cash and investments — more than its entire stock-market value, based on its latest quarterly filing. You're paying very little for the actual business. Sometimes that's a genuine bargain or a takeover target, sometimes it's cheap for a reason. Not a buy signal on its own — always ask why it's this cheap.

Sound Group logo

Sound Group

SOGP
Software - Application · Technology
Exchange
NASDAQ
Winston Score
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No score yet — Winston is napping.
We couldn’t gather enough financial data to score this stock reliably.

Winston Score History

The full picture

Sound Group Inc. is a Chinese technology company that runs online audio platforms. Its main products include audiobook and podcast-style apps where users can listen to stories, educational content, and entertainment. The company serves everyday consumers in China who want spoken-word content on their phones.

Sound Group makes money by charging users subscription fees for premium content and by selling virtual gifts and other digital items inside its apps. It operates almost entirely in China, making it a small player in a market dominated by larger Chinese tech companies like Tencent and ByteDance. The company's relatively high return on invested capital suggests it runs a lean operation, but its tiny size and heavy dependence on the Chinese market expose it to regulatory risk from Beijing, which has a history of tightening rules around online content platforms.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

YoY Growth Rate

Revenue data limited

EPS Growth

YoY Growth Rate

EPS data limited

Insider Activity

47.3%ownership

Rising

Insiders increasing their stake — aligned with shareholders

Cash Position

Cash flow positive

$660M cash & investments

Company generates more cash than it spends — no dilution risk from fundraising

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Profit per sale
Gross Margin
29.2%
Modest — 29.2% gross margin
Profit after running costs
Operating Margin
7.0%
Modest — 7.0% operating margin
Return on the money invested
ROCE
7.7%
Weak — 7.7% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
N/A
Data not available
Profit growth
EPS YoY
N/A
Data not available
How steady the profit is
EPS Consistency
5/8 quarters
Mixed — about half the quarters showed growth

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Cash Flow

Profit that turns into cash
Cash Conversion
N/A
Data not available
Spare cash per sale
FCF Margin
N/A
Data not available

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Stability

What it owes vs what it owns
Debt / Equity
N/A
Data not available
Covers its interest
Interest Cover
N/A
Data not available

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Valuation

Price vs profit
P/E Ratio (TTM)
3.4x
no trend
Attractive valuation — P/E 3.4

P/E under 10. The price tag is small relative to last year's profit.

Cheaper or dearer next year
P/E vs Forward
N/A
not available
Data not available

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Dividends

Dividend
Dividend Yield
25.85%
no trend
Healthy income — 25.85% yield

Yield above 6% — often a flag the market is pricing in a cut.

Dividend record
Dividend Growth
N/A
no trend
Data not available

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