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Amtd Idea Group (AMTD)
:AMTD
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AMTD IDEA Group (AMTD) AI Stock Analysis

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AMTD

AMTD IDEA Group

(NYSE:AMTD)

Rating:70Outperform
Price Target:
$1.00
▼(-5.66%Downside)
AMTD's stock score reflects a balance of strong valuation and financial stability against challenges in revenue growth and cash flow. The low P/E ratio indicates potential for capital gains, while the mixed technical signals and declining revenue suggest caution. Strong profitability and a solid balance sheet provide a buffer against operational challenges.

AMTD IDEA Group (AMTD) vs. SPDR S&P 500 ETF (SPY)

AMTD IDEA Group Business Overview & Revenue Model

Company DescriptionAMTD IDEA Group, an investment holding company, engages in investment banking activities in Hong Kong, Mainland China, the United States, and internationally. The company operates through three segments: Investment Banking, Asset Management, and Strategic Investment. It offers a range of investment banking services, including equity underwriting, debt underwriting, securities brokerage, institutional sales and distribution, and research, as well as advisory services on credit rating, financing, and mergers and acquisitions transactions. The company also provides professional investment management and advisory services primarily to corporate and other institutional clients. In addition, it makes long-term strategic investments focusing on Asia's financial and new economy sectors. The company was formerly known as AMTD International Inc. AMTD IDEA Group was incorporated in 2019 and is based in Central, Hong Kong. AMTD IDEA Group operates as a subsidiary of AMTD Group Company Limited.
How the Company Makes MoneyAMTD IDEA Group generates revenue through multiple streams. Its investment banking division earns fees from advisory services for mergers and acquisitions, underwriting services for equity and debt offerings, and other corporate finance activities. The asset management arm collects management and performance fees from managing investment funds and portfolios for clients. Additionally, the company has expanded into digital financial services, where it derives income from digital banking solutions and fintech partnerships. Strategic investments in various sectors also contribute to income through dividends and capital gains. Key partnerships with leading financial institutions and technology companies enhance its service capabilities and market reach, further driving revenue growth.

AMTD IDEA Group Financial Statement Overview

Summary
AMTD IDEA Group displays a mixed financial performance. Strong profitability margins are offset by a significant revenue decline and weakened cash flow generation. The balance sheet remains robust with low leverage and high equity, providing some stability. Revenue growth and cash flow management are key areas for improvement.
Income Statement
65
Positive
The company's income statement shows a significant drop in revenue in the most recent year, falling from $122.7 million to $54.1 million, indicating a negative revenue growth rate. Despite a lower revenue base, the company achieved a strong gross profit margin of 45.2% and an impressive net profit margin of 94.4%, suggesting effective cost management and operational efficiency. However, the declining revenue trend poses a potential risk to future profitability.
Balance Sheet
78
Positive
AMTD IDEA Group maintains a solid balance sheet with low leverage, evidenced by a debt-to-equity ratio of 0.18. The company's equity ratio is strong at 76.9%, indicating substantial financial stability and a strong equity base. Return on equity is robust at 32.1%, suggesting effective use of shareholders' funds. However, the decrease in cash and cash equivalents over the years could affect liquidity.
Cash Flow
70
Positive
The cash flow statement reflects a challenging year with operating cash flow dropping significantly to $5.16 million. The free cash flow growth rate is negative, denoting a decrease in cash generation capability. However, the company maintains a free cash flow to net income ratio of 0.10, indicating some ability to convert profits into cash. The cash flow situation requires monitoring to ensure future operational flexibility.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue54.07M122.72M22.42M177.64M141.51M
Gross Profit24.45M157.25M21.51M177.47M141.25M
EBITDA75.49M102.06M155.74M172.90M131.91M
Net Income51.04M142.99M18.23M157.22M146.92M
Balance Sheet
Total Assets2.07B1.49B1.06B857.67M1.36B
Cash, Cash Equivalents and Short-Term Investments87.86M120.23M138.16M67.49M58.56M
Total Debt283.49M96.55M457.24K16.13M14.99M
Total Liabilities369.89M193.02M58.25M115.17M103.47M
Stockholders Equity1.59B1.29B969.74M740.50M1.25B
Cash Flow
Free Cash Flow5.15M39.91M26.80M55.76M257.19M
Operating Cash Flow5.16M39.98M26.80M55.76M257.21M
Investing Cash Flow-45.34M-266.97M-73.88M-46.00M-461.96M
Financing Cash Flow-17.34M209.35M117.52M-854.11K164.39M

AMTD IDEA Group Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.06
Price Trends
50DMA
1.02
Positive
100DMA
1.03
Positive
200DMA
1.11
Negative
Market Momentum
MACD
<0.01
Negative
RSI
51.11
Neutral
STOCH
37.63
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMTD, the sentiment is Neutral. The current price of 1.06 is above the 20-day moving average (MA) of 1.03, above the 50-day MA of 1.02, and below the 200-day MA of 1.11, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 51.11 is Neutral, neither overbought nor oversold. The STOCH value of 37.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AMTD.

AMTD IDEA Group Risk Analysis

AMTD IDEA Group disclosed 66 risk factors in its most recent earnings report. AMTD IDEA Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
Our financial information prepared under U.S. GAAP may not be comparable to our financial information prepared under IFRS. Q4, 2023
2.
We may have exposure to greater than anticipated tax liabilities. Q4, 2023
3.
We face significant competition in all aspects of our business. Q4, 2023

AMTD IDEA Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$1.27B15.848.52%11.76%13.86%-29.53%
73
Outperform
$1.48B10.4016.46%4.38%0.66%36.96%
70
Outperform
$1.13B1.4911.11%
70
Outperform
$1.36B78.845.24%1.16%18.92%
70
Outperform
$2.02B40.3510.77%0.88%20.66%-47.25%
68
Neutral
$17.10B11.199.70%3.58%11.11%-4.55%
65
Neutral
$1.15B10.748.11%12.37%-3.55%-20.43%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AMTD
AMTD IDEA Group
1.04
-0.52
-33.33%
PX
P10 Holdings
12.31
2.47
25.10%
CSWC
Capital Southwest
23.33
0.46
2.01%
NMFC
New Mountain Finance
10.59
-0.47
-4.25%
VRTS
Virtus Investment Partners
197.69
-18.92
-8.73%
WT
WisdomTree
13.66
2.18
18.99%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 23, 2025