SenseTime Group, Inc. Class B (0020) AI Stock Analysis

• Market Cap: HK$87.40B
• Dividend Yield: N/A
• Average Volume (3M): 1.01B
• Price to Earnings (P/E): ―
• Beta (1Y): 2.68
• Revenue Growth: 17.96%
• EPS Growth: 46.64%
• Country: HK
• Employees: 3,756
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.04
• Shares Outstanding: 38,060,004,000
• 10 Day Avg. Volume: 795,657,744
• 30 Day Avg. Volume: 1,006,383,683
• PEG Ratio: 0.31
• Price to Book (P/B): 1.99
• Price to Sales (P/S): 12.38
• P/FCF Ratio: -9.61
• 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: HK$2.74
• Price Target Upside: 26.85% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$2.50 ▲(15.74% Upside)

SenseTime Group's overall stock score is primarily driven by its financial performance challenges, including negative profitability and cash flow issues. While technical analysis shows some positive trends, the valuation remains unattractive due to ongoing losses. The absence of earnings call insights and corporate events further limits the score.

Positive Factors

Revenue Growth

The consistent revenue growth indicates a strong demand for SenseTime's AI solutions, suggesting the company's products are gaining traction across its target markets.

Strong Equity Position

A strong equity position with low leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities without excessive debt burden.

AI Market Expansion

As a leader in AI, SenseTime is well-positioned to capitalize on the expanding AI market, driving long-term growth through innovation and sector diversification.

Negative Factors

Profitability Issues

Significant losses and negative profit margins indicate ongoing operational challenges, which may hinder long-term financial sustainability and investor confidence.

Negative Cash Flow

Negative cash flow suggests that the company is not generating sufficient cash from its operations, which could limit its ability to fund growth initiatives and meet financial obligations.

Operational Challenges

Negative EBIT and EBITDA margins highlight inefficiencies in operations, which could impact the company's ability to achieve profitability and sustain growth over the long term.

SenseTime Group, Inc. Class B Business Overview & Revenue Model

Company Description

SenseTime Group Inc., an investment holding company, engages in developing and selling artificial intelligence software platforms in the People's Republic of China, Northeast Asia, Southeast Asia, and internationally. The company offers SenseFoundry Enterprise Platform to facilitate and accelerate the digital transformation of enterprise customers; SenseFoundry Platform for smart cities; SenseME that enables various IoT devices to facilitate perceptial intelligence and content enhancement; SenseMARS, a software platform that serves as the key enabling technology for the Metaverse applications; SenseCare Smart Health Platform, a high-performance diagnostic and treatment assistance solution; and SenseAuto Platform that provides automobile companies with advanced driver assistance systems and smart cabin systems, as well as AI-as-a-Service. Further, it provides management consulting services; system integration and software development services; and AI technology consulting and IC design services, as well as engages in wholesale and retail activities. The company also provides advertisement publishing services; sells cultural products; engages in equity investments activity; and sells software and hardware products. It serves various industries, including commercial space management, residential property management, urban management, manufacturing, infrastructure, transportation, mobile devices and applications, healthcare, and automobiles. The company was incorporated in 2014 and is headquartered in Shanghai, the People's Republic of China.

How the Company Makes Money

SenseTime Group, Inc. primarily generates revenue through the development and licensing of its AI software solutions. The company's key revenue streams include the sale of AI software licenses and AI-powered applications tailored for industries such as smart cities, healthcare, and autonomous vehicles. SenseTime also partners with various enterprises and government entities to deploy its AI solutions, contributing to its earnings. Additionally, the company may engage in strategic collaborations and partnerships that enhance its market reach and technological capabilities, further driving revenue growth.

SenseTime Group, Inc. Class B Financial Statement Overview

Summary

SenseTime Group shows revenue growth but struggles with profitability, as indicated by negative profit margins and cash flow metrics. The balance sheet is strong in equity, but ongoing losses threaten financial stability.

Income Statement

The company's revenue grew from HK$3.41 billion in 2023 to HK$3.77 billion in 2024, showing a moderate growth rate of 10.8%. However, profitability metrics remain a concern, with a negative gross profit margin of 42.9% and a net profit margin of -113.4%, indicating significant losses. EBIT and EBITDA margins are also negative, reflecting ongoing operational challenges.

Balance Sheet

The balance sheet reveals a relatively strong equity position with a debt-to-equity ratio of 0.26, indicating low leverage. The equity ratio stands at 67.8%, showing a significant proportion of assets financed by equity. However, the company has consistently incurred losses, which could strain equity over time.

Cash Flow

The company reports a negative free cash flow, exacerbated by increasing capital expenditures. The operating cash flow to net income ratio is negative, reflecting cash outflows from operations. Free cash flow to net income ratio is also negative, suggesting insufficient cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.39B	3.77B	3.41B	3.81B	4.70B	3.45B
Gross Profit	1.76B	1.62B	1.50B	2.54B	3.28B	2.43B
EBITDA	-2.12B	-3.64B	-5.11B	-2.91B	-16.45B	-11.64B
Net Income	-3.30B	-4.28B	-6.44B	-6.04B	-17.18B	-12.16B
Balance Sheet
Total Assets	35.58B	34.60B	32.89B	37.43B	36.94B	38.48B
Cash, Cash Equivalents and Short-Term Investments	12.96B	12.56B	11.05B	14.81B	21.79B	17.32B
Total Debt	8.38B	6.12B	4.76B	3.52B	723.80M	1.39B
Total Liabilities	13.11B	10.96B	9.73B	8.41B	4.96B	59.41B
Stockholders Equity	22.28B	23.46B	23.16B	28.97B	31.89B	-21.07B
Cash Flow
Free Cash Flow	-2.72B	-4.86B	-4.75B	-8.25B	-3.75B	-2.53B
Operating Cash Flow	-1.04B	-3.93B	-3.23B	-3.08B	-2.49B	-1.23B
Investing Cash Flow	-1.03B	-2.80B	3.46B	-9.30B	-1.55B	-7.07B
Financing Cash Flow	5.70B	6.26B	1.08B	3.33B	9.38B	13.19B

SenseTime Group, Inc. Class B Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.16
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0020, the sentiment is Neutral. The current price of 2.16 is below the 20-day moving average (MA) of 2.40, below the 50-day MA of 2.41, and above the 200-day MA of 1.78, indicating a neutral trend. The MACD of -0.07 indicates Positive momentum. The RSI at 35.66 is Neutral, neither overbought nor oversold. The STOCH value of 13.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0020.

SenseTime Group, Inc. Class B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
1675	61 Neutral	€8.36B	19.19	6.90%	2.98%	-17.90%	56.67%
3896	51 Neutral	HK$28.87B	-10.89	-30.89%	―	19.98%	-9.04%
0268	50 Neutral	$52.50B	-2,147.83	-0.26%	―	9.71%	84.42%
0020	46 Neutral	HK$87.40B	-22.40	-14.61%	―	17.96%	46.64%
0909	43 Neutral	HK$6.17B	-92.46	-1.31%	3.10%	-17.48%	83.80%
9600	42 Neutral	HK$204.81M	-1.86	-14.03%	―	15.44%	10.57%

SenseTime Group, Inc. Class B Corporate Events

SenseTime’s Shareholders Approve Key Executive RSU Grants

SenseTime Group Inc., a company incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange, held its postponed Extraordinary General Meeting on September 29, 2025. During this meeting, all proposed resolutions regarding the grant of restricted stock units (RSUs) to key executives were approved by shareholders. This approval indicates strong shareholder support for the company’s leadership team and their strategic initiatives, potentially impacting the company’s operational focus and market positioning positively.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$3.53 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Postpones EGM Due to Typhoon Warning

SenseTime Group Inc. has announced the postponement of its extraordinary general meeting (EGM) initially scheduled for September 23, 2025, due to an anticipated typhoon in Hong Kong. The meeting will now take place on September 29, 2025, at the same venue, with all resolutions and proxy arrangements remaining unchanged.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$3.53 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Announces Conditional Grant of RSUs to Senior Executives

SenseTime Group Inc. has announced the conditional grant of 1,360,000,000 restricted share units (RSUs) under its 2022 RSU Scheme to senior executives, representing approximately 3.52% of the company’s total issued shares. This move is aimed at aligning the interests of the executives with the company’s performance targets, with vesting periods set between 2026 and 2031, contingent upon achieving specific performance metrics. This strategic initiative is expected to enhance executive commitment and potentially impact the company’s market positioning positively.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$2.50 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Group Announces EGM for RSU Grants to Executives

SenseTime Group Inc., a company incorporated in the Cayman Islands, has announced an extraordinary general meeting (EGM) to be held on September 23, 2025, in Hong Kong. The meeting will address the approval of the grant of Restricted Stock Units (RSUs) to several executive directors under the 2022 RSU Scheme. The resolutions include granting 600 million RSUs to Dr. Xu Li, 200 million RSUs each to Dr. Wang Xiaogang, Dr. Lin Dahua, and Mr. Yang Fan, and 160 million RSUs to Mr. Wang Zheng. These grants are part of the company’s strategy to incentivize its leadership team and align their interests with the company’s long-term goals.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$2.50 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Reports Strong Revenue Growth Amid AI Industry Expansion

SenseTime Group, Inc. reported its interim results for the first half of 2025, showing a significant increase in revenue by 35.6% compared to the previous year. The company has made substantial progress in generative AI and computer vision, leading to improved profit margins and cash flow. The ‘AI+’ initiative by China’s State Council is expected to further boost AI adoption, positioning SenseTime favorably in the market. The company has restructured its revenue segments to better align with its strategic focus, enhancing operational vitality and market appeal.

The most recent analyst rating on (HK:0020) stock is a Hold with a HK$1.83 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Reports Revenue Growth Amid AI Industry Shifts

SenseTime Group, Inc. reported a 35.6% increase in revenue for the first half of 2025, driven by strong performance in generative AI and computer vision segments. The company has restructured its business to enhance operational efficiency and market appeal, aligning with China’s ‘AI+’ initiative to accelerate AI adoption. Despite a significant reduction in losses, SenseTime continues to focus on entrepreneurship and innovation, aiming to strengthen its industry position and stakeholder value.

The most recent analyst rating on (HK:0020) stock is a Hold with a HK$1.83 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Schedules Board Meeting to Discuss Interim Results and Dividend

SenseTime Group Inc. has announced a board meeting scheduled for August 28, 2025, to discuss and approve the interim results for the first half of 2025 and to consider the recommendation of an interim dividend. This meeting is significant for stakeholders as it will provide insights into the company’s financial performance and potential shareholder returns.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$1.80 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.

SenseTime Completes HK$2.498 Billion Share Placement to Boost AI Development

SenseTime Group, Inc. has successfully completed the placement of new Class B shares, raising approximately HK$2,498 million. The proceeds will be used to enhance its core business operations, including AI infrastructure development, generative AI research, and exploring AI applications in innovative fields. This strategic move is expected to strengthen SenseTime’s market position and expand its technological capabilities, benefiting stakeholders by potentially increasing the company’s influence in the AI sector.

The most recent analyst rating on (HK:0020) stock is a Buy with a HK$2.10 price target. To see the full list of analyst forecasts on SenseTime Group, Inc. Class B stock, see the HK:0020 Stock Forecast page.