China Dongxiang (Group) Company (CDGXY) AI Stock Analysis

• Market Cap: $334.53M
• Dividend Yield: 5.43%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.46
• Revenue Growth: -2.30%
• EPS Growth: N/A
• Country: US
• Employees: 350
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.24
• Shares Outstanding: 117,901,460
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.06
• Price to Book (P/B): 0.18
• Price to Sales (P/S): 0.97
• P/FCF Ratio: 22.23
• Enterprise Value/Market Cap: 1.94
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 0.57
• Enterprise Value/Ebitda: 2.33
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: $3.00 ▲(5.26% Upside)

China Dongxiang (Group) Company has a mixed outlook. The financial performance shows signs of recovery, but challenges in revenue growth and cash conversion persist. Technical analysis indicates potential short-term weakness, though valuation metrics suggest the stock may be undervalued. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Gross Profit Margins

Strong gross profit margins indicate effective cost management and pricing power, which can support profitability and competitive positioning.

Balance Sheet Health

A low debt-to-equity ratio suggests financial stability and flexibility, providing the company with the ability to invest in growth opportunities.

Free Cash Flow Growth

Strong free cash flow growth enhances the company's ability to fund operations, pay dividends, and invest in future growth without relying on external financing.

Negative Factors

Inconsistent Revenue Growth

Inconsistent revenue growth can hinder long-term strategic planning and affect investor confidence, posing challenges to sustainable expansion.

Cash Conversion Challenges

Challenges in converting income to cash may impact liquidity and the ability to meet short-term obligations, affecting operational flexibility.

Low Return on Equity

Low return on equity suggests limited profitability relative to shareholders' equity, which may indicate inefficiencies in utilizing capital for growth.

China Dongxiang (Group) Company Business Overview & Revenue Model

Company Description

China Dongxiang (Group) Co., Ltd., together with its subsidiaries, designs, develops, markets, and sells sport-related apparel, footwear, and accessories in the People's Republic of China and internationally. The company offers its products under the Kappa and Phenix brands. It is also involved in the retail sale of sportswear through a network of retail shops and outlets, as well as online. In addition, the company invests in various financial assets and treasury products issued by commercial banks; designs and sells children's clothing products; engages in the hotel management and tourism; and develops and operates real estate properties. As of March 31, 2022, the company had 1,375 Kappa stores. China Dongxiang (Group) Co., Ltd. was founded in 2002 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

CDGXY generates revenue through multiple key streams, primarily from the sale of sportswear and apparel under its Kappa brand. The company operates a combination of retail outlets and online platforms to reach consumers directly, along with wholesale distribution to various retail partners. Significant revenue is also derived from licensing agreements, allowing third parties to produce and sell products under the Kappa brand. Additionally, strategic partnerships with sports teams and events further enhance brand visibility and sales opportunities, contributing to the company's financial performance.

China Dongxiang (Group) Company Financial Statement Overview

Summary

The company shows mixed financial performance. Strong gross profit margins and improved EBIT and EBITDA margins indicate recovery, but inconsistent revenue growth and modest net profit margins are concerns. The balance sheet is robust with low leverage, and cash flow improvements are notable, though cash conversion remains a challenge.

Income Statement

The company has shown inconsistent revenue growth with a recent decline of 1.08%. Gross profit margins are relatively strong at 68.58%, but net profit margins are modest at 12.32%. EBIT and EBITDA margins have improved significantly from negative values in previous years, indicating a recovery in operational efficiency.

Balance Sheet

The balance sheet is strong with a very low debt-to-equity ratio of 0.51%, indicating minimal leverage. Return on equity is low at 2.25%, suggesting limited profitability relative to equity. However, the equity ratio is robust, reflecting a solid capital structure.

Cash Flow

Cash flow metrics show improvement with a significant free cash flow growth of 151.61%. The operating cash flow to net income ratio is low at 0.21, indicating potential challenges in converting income to cash. However, the free cash flow to net income ratio is healthy at 51.62%.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.67B	1.68B	1.74B	1.68B	1.92B	1.97B
Gross Profit	1.14B	1.15B	1.19B	1.06B	1.12B	1.32B
EBITDA	279.55M	351.21M	-655.84M	176.17M	-1.86B	2.12B
Net Income	271.69M	207.00M	-639.36M	115.00M	-1.73B	1.81B
Balance Sheet
Total Assets	1.44B	10.04B	9.74B	10.58B	10.49B	12.64B
Cash, Cash Equivalents and Short-Term Investments	5.07B	4.70B	3.83B	3.97B	3.86B	5.38B
Total Debt	44.65M	47.22M	38.90M	57.56M	232.81M	216.24M
Total Liabilities	134.10M	832.42M	665.80M	911.38M	1.13B	1.10B
Stockholders Equity	1.31B	9.21B	9.07B	9.67B	9.35B	11.53B
Cash Flow
Free Cash Flow	152.11M	73.12M	143.47M	30.27M	-262.57M	62.77M
Operating Cash Flow	224.59M	141.65M	198.90M	101.60M	-211.19M	66.74M
Investing Cash Flow	39.33M	-141.10M	-923.98M	1.18B	276.79M	475.94M
Financing Cash Flow	-165.13M	-133.21M	-109.81M	-307.86M	-334.57M	-673.20M

China Dongxiang (Group) Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CDGXY, the sentiment is Negative. The current price of 2.85 is below the 20-day moving average (MA) of 2.87, below the 50-day MA of 2.94, and above the 200-day MA of 2.80, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 38.35 is Neutral, neither overbought nor oversold. The STOCH value of -0.42 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CDGXY.

China Dongxiang (Group) Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RL	76 Outperform	$21.43B	26.10	34.01%	0.93%	12.32%	29.40%
COLM	65 Neutral	$2.98B	16.63	10.84%	2.18%	2.76%	-7.83%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
UA	60 Neutral	$2.60B	―	-4.56%	―	-6.35%	-565.47%
CDGXY	57 Neutral	$334.53M	8.80	2.27%	5.43%	-2.30%	―
UAA	48 Neutral	$2.60B	-30.19	-4.56%	―	-6.35%	-565.47%