Oriental Enterprise Holdings Limited (0018) AI Stock Analysis

• Market Cap: €827.28M
• Dividend Yield: 5.88%
• Average Volume (3M): 117.23K
• Price to Earnings (P/E): 29.0
• Beta (1Y): 0.38
• Revenue Growth: -15.60%
• EPS Growth: -58.97%
• Country: HK
• Employees: 817
• Sector: Communication Services
• Sector Strength: 97
• Industry: Publishing
• EPS (TTM): 0.00
• Shares Outstanding: 2,397,918,000
• 10 Day Avg. Volume: 110,200
• 30 Day Avg. Volume: 117,234
• PEG Ratio: -0.59
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 1.69
• P/FCF Ratio: 7.71
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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: 61 Neutral
• Price Target: HK$0.50 ▲(47.06% Upside)

The overall stock score of 61 reflects strong cost management and a solid balance sheet, offset by declining revenues and cash flow challenges. The technical indicators suggest a neutral to slightly bearish trend, while the valuation is supported by a reasonable P/E ratio and attractive dividend yield. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Strong Cost Management

Efficient cost management is evident from the high gross profit margin, which supports profitability even amid revenue declines, providing a buffer against economic fluctuations.

Solid Balance Sheet

The minimal leverage indicates financial stability and flexibility, allowing the company to invest in growth opportunities without the burden of high interest obligations.

Healthy Cash Conversion

A strong cash conversion ratio reflects the company's ability to efficiently turn profits into cash, supporting ongoing operations and potential reinvestment in the business.

Negative Factors

Declining Revenue

The declining revenue trend poses a challenge to growth and profitability, potentially impacting the company's ability to sustain its market position and invest in future opportunities.

Profitability Margin Pressure

Reduced net profit margins indicate challenges in maintaining profitability, which could affect long-term financial health and shareholder returns if not addressed.

Significant Drop in Free Cash Flow

A sharp decline in free cash flow growth limits the company's ability to fund new projects and manage financial obligations, posing a risk to future operational flexibility.

Oriental Enterprise Holdings Limited Business Overview & Revenue Model

Company Description

Oriental Enterprise Holdings Limited (0018) is a diversified investment company based in Hong Kong, primarily engaged in the sectors of property development, investment, and management, as well as the provision of financial services. The company focuses on enhancing its portfolio through strategic acquisitions and partnerships, leveraging market opportunities in the real estate sector, while also exploring investments in innovative financial technologies and services to broaden its revenue base.

How the Company Makes Money

The company generates revenue primarily through its property development and investment activities, earning income from leasing and selling commercial and residential properties. Additionally, Oriental Enterprise Holdings Limited engages in providing financial services, which contribute to its earnings through fees and commissions. Strategic partnerships with local and international firms further enhance its capacity to identify lucrative investment opportunities, while diversifying its revenue streams. The company's emphasis on developing high-value real estate projects and maintaining a robust financial services portfolio is crucial for its long-term profitability.

Oriental Enterprise Holdings Limited Financial Statement Overview

Summary

Oriental Enterprise Holdings Limited demonstrates strong cost management and a solid balance sheet with low leverage. However, declining revenues and profitability margins, coupled with a significant drop in free cash flow, pose challenges. The company needs to address revenue growth and improve cash flow generation to enhance its financial health.

Income Statement

Oriental Enterprise Holdings Limited has shown a declining revenue trend over the years, with a notable revenue decrease of 12.15% in the most recent year. Despite this, the company maintains a strong gross profit margin of 87.70%, indicating efficient cost management. However, the net profit margin has decreased to 9.62%, reflecting challenges in maintaining profitability. The EBIT and EBITDA margins have also declined, suggesting pressure on operating efficiency.

Balance Sheet

The company exhibits a very low debt-to-equity ratio of 0.0076, indicating minimal leverage and a strong equity position. The return on equity has decreased to 3.18%, which is a concern for shareholder returns. The equity ratio remains robust, reflecting a stable financial structure with a high proportion of equity financing.

Cash Flow

The cash flow analysis reveals a significant decline in free cash flow growth, down by 239.12%, which is a major concern. However, the operating cash flow to net income ratio of 1.80 indicates that the company generates sufficient cash from operations relative to its net income. The free cash flow to net income ratio is healthy at 0.95, suggesting good cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	620.49M	545.09M	629.00M	677.16M	735.78M	699.62M
Gross Profit	161.68M	478.06M	539.79M	212.15M	282.16M	191.54M
EBITDA	93.89M	87.35M	127.47M	245.60M	233.50M	271.06M
Net Income	69.45M	52.43M	75.10M	166.56M	166.74M	211.24M
Balance Sheet
Total Assets	1.87B	1.81B	1.96B	1.89B	2.06B	2.08B
Cash, Cash Equivalents and Short-Term Investments	540.77M	526.25M	560.94M	665.20M	633.59M	654.26M
Total Debt	13.99M	12.59M	14.13M	7.57M	7.05M	7.11M
Total Liabilities	171.46M	149.41M	162.33M	162.32M	193.83M	143.96M
Stockholders Equity	1.68B	1.65B	1.78B	1.72B	1.86B	1.93B
Cash Flow
Free Cash Flow	-86.06M	119.73M	-121.78M	98.51M	219.33M	103.10M
Operating Cash Flow	-80.52M	125.78M	-113.19M	103.13M	228.60M	107.31M
Investing Cash Flow	234.92M	20.89M	17.68M	180.55M	-8.65M	-3.65M
Financing Cash Flow	-174.93M	-169.59M	-1.30M	-263.77M	-239.79M	-47.96M

Oriental Enterprise Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0018, the sentiment is Neutral. The current price of 0.34 is below the 20-day moving average (MA) of 0.34, below the 50-day MA of 0.35, and below the 200-day MA of 0.36, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.50 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0018.

Oriental Enterprise Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2230	66 Neutral	HK$491.04M	9.34	8.69%	7.04%	25.88%	0.69%
0018	61 Neutral	€827.28M	28.99	1.85%	5.88%	-15.60%	-58.97%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
1481	58 Neutral	HK$1.86B	910.00	1.72%	―	66.20%	―
1105	49 Neutral	HK$206.93M	-2.49	-5.12%	―	-7.76%	-55.96%
2125	47 Neutral	HK$374.20M	-9.01	-2.12%	―	-41.22%	54.66%
6698	46 Neutral	HK$470.28M	―	-6.83%	―	-57.29%	88.62%

Oriental Enterprise Holdings Limited Corporate Events

Oriental Enterprise Holdings Limited Passes All 2025 AGM Resolutions

Oriental Enterprise Holdings Limited successfully held its 2025 Annual General Meeting on August 20, 2025, where all proposed resolutions were passed by shareholders. These resolutions included the approval of financial statements, the declaration of a final dividend, re-election and appointment of directors, and granting mandates for share buybacks and issuance. The adoption of a new Articles of Association was also approved, indicating a strategic move to potentially enhance governance and operational flexibility.

The most recent analyst rating on (HK:0018) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Oriental Enterprise Holdings Limited stock, see the HK:0018 Stock Forecast page.

Oriental Enterprise Holdings Limited Announces Board Composition and Governance Structure

Oriental Enterprise Holdings Limited has announced the composition of its board of directors, which includes a mix of executive, non-executive, and independent non-executive directors. The board members are assigned to various committees, such as the Executive Committee, Audit Committee, and others, reflecting a structured governance approach. This announcement highlights the company’s commitment to maintaining a robust governance framework, which is crucial for its strategic decision-making and operational oversight. The detailed roles and functions of the directors and their committee memberships underscore the company’s focus on comprehensive corporate governance, potentially impacting stakeholder confidence positively.

The most recent analyst rating on (HK:0018) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Oriental Enterprise Holdings Limited stock, see the HK:0018 Stock Forecast page.