Computer & Technologies Holdings Ltd. (0046) AI Stock Analysis

• Market Cap: HK$354.31M
• Dividend Yield: 7.53%
• Average Volume (3M): 30.73K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.24
• Revenue Growth: 1.39%
• EPS Growth: -11.89%
• Country: HK
• Employees: 337
• Sector: Technology
• Sector Strength: 84
• Industry: Information Technology Services
• EPS (TTM): 0.12
• Shares Outstanding: 244,334,380
• 10 Day Avg. Volume: 40,779
• 30 Day Avg. Volume: 30,726
• PEG Ratio: -0.93
• Price to Book (P/B): 1.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.94
• 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

• Rating: 71 Outperform
• Price Target: HK$1.50 ▲(3.45%Upside)

The company's stock score is influenced primarily by its strong financial performance and attractive valuation. Technical analysis presents a mixed picture with bearish signals, which slightly detract from the overall score. The absence of recent earnings call data and corporate events means these factors did not influence the score.

Computer & Technologies Holdings Ltd. Business Overview & Revenue Model

Company Description

Computer And Technologies Holdings Limited, an investment holding company, provides information technology (IT) solutions for enterprises, multinational corporations, and government organizations in Hong Kong, Mainland China, and internationally. It operates in three segments: Application Services, Solutions and Integration Services, and Investments. The Application Services segment primarily provides enterprise applications software and e-business services for enterprises, including the provision of enterprise application software with implementation and ongoing support services; and government electronic trading services, cloud services, and other related value-added services. Its Solutions and Integration Services segment offers IT solutions implementation and application software development; provision of IT and related operation/infrastructure outsourcing services; business process outsourcing services; and IT systems and network infrastructure with related design, implementation, and ongoing support services. The company's Investments segment engages in various types of investing activities, such property investment for rental income and/or for capital appreciation, and treasury investment in securities. The company also provides system and network integration services; computer support and programming services; products, solutions, and consulting services for cyber intelligence and security; enterprise information management, retail management, and procurement management software products; and human resources management services, as well as sale of computer networks and system platforms, provision of training, and implementation and maintenance of software services. Computer And Technologies Holdings Limited was founded in 1991 and is headquartered in Hong Kong, Hong Kong.

How the Company Makes Money

Computer & Technologies Holdings Ltd. generates revenue through multiple streams, primarily focusing on the sale of enterprise software products and IT services. The company's software solutions cater to diverse business needs, including enterprise resource planning (ERP), human resources management, and business intelligence. Additionally, it earns income through systems integration services, where it designs and implements IT systems tailored to client requirements. Another significant revenue stream is its IT infrastructure services, which include maintenance, support, and managed services. The company also benefits from strategic partnerships with technology vendors and alliances that expand its market reach and enhance its product offerings.

Computer & Technologies Holdings Ltd. Financial Statement Overview

Summary

The company shows financial stability with strong profitability metrics and low leverage. Despite a recent dip in revenue growth and declining cash flow growth, it maintains healthy profit margins and a solid balance sheet with low debt levels.

Income Statement

The income statement shows stable gross and net profit margins with a recent dip in revenue growth. The gross profit margin for 2024 is approximately 54.85%, and the net profit margin is about 11.13%. Revenue saw a slight decline of 2.84% from 2022 to 2023, indicating challenges in maintaining revenue growth. However, EBIT and EBITDA margins are healthy at 17.08% and 14.67%, respectively, reflecting good operational efficiency.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of approximately 0.04, indicating low leverage. The equity ratio is solid at 74.51%, showcasing robust shareholder equity relative to total assets. ROE for 2024 is at 5.80%, which is moderate, but reflects consistent profitability. Overall, the balance sheet reflects financial stability and low risk.

Cash Flow

The cash flow statement indicates solid free cash flow generation with a slight decline in operating cash flow compared to the previous year. The free cash flow to net income ratio is 1.31, demonstrating efficient conversion of earnings to cash. However, free cash flow growth rate is negative at -24.08%, suggesting a need for improvement in cash flow expansion.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
261.08M	257.50M	268.72M	265.50M	256.26M
	Gross Profit
143.19M	135.84M	145.00M	152.43M	144.79M
	EBIT
44.60M	26.05M	54.16M	57.70M	63.55M
	EBITDA
63.00M	59.87M	71.38M	71.90M	75.35M
	Net Income Common Stockholders
29.07M	33.35M	47.01M	53.84M	60.13M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
128.91M	316.14M	313.98M	305.94M	303.01M
	Total Assets
672.61M	654.51M	678.49M	681.30M	667.27M
	Total Debt
19.30M	9.16M	12.03M	18.25M	7.04M
	Net Debt
-109.61M	-306.99M	-297.75M	-280.15M	-288.59M
	Total Liabilities
170.35M	148.51M	155.40M	157.67M	151.71M
	Stockholders Equity
501.09M	504.66M	521.65M	522.14M	513.22M
Cash Flow		Free Cash Flow
37.98M	50.02M	59.70M	53.82M	72.72M
	Operating Cash Flow
44.03M	50.44M	60.64M	56.35M	78.34M
	Investing Cash Flow
-13.16M	-120.36M	89.71M	-114.01M	37.30M
	Financing Cash Flow
-38.99M	-59.90M	-51.88M	-54.97M	-37.57M

Computer & Technologies Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0046, the sentiment is Neutral. The current price of 1.45 is above the 20-day moving average (MA) of 1.44, below the 50-day MA of 1.46, and below the 200-day MA of 1.63, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.68 is Neutral, neither overbought nor oversold. The STOCH value of 19.44 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0046.

Computer & Technologies Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0046	71 Outperform	HK$354.31M	12.22	5.78%	7.53%	1.39%	-11.89%
Sector *	62 Neutral	$11.93B	10.60	-7.51%	3.00%	7.40%	-8.09%
HKXCF		$66.88B	37.14	27.96%	2.36%	―	―
ZTCOF		$20.24B	12.45	11.39%	2.93%	―	―
0079	49 Neutral	HK$39.46M	―	-13.13%	―	-14.62%	-8.17%
VI6		€1.91B	15.91	19.23%	1.72%	―	―
1415	66 Neutral	HK$21.09B	22.79	25.73%	―	168.87%	150.80%

Computer & Technologies Holdings Ltd. Corporate Events

Computer & Technologies Holdings Ltd. Announces AGM Results and Dividend Payment

Computer & Technologies Holdings Ltd. announced that all ordinary resolutions were passed at their Annual General Meeting held on June 3, 2025. The resolutions included the approval of audited financial statements, re-election of directors, and the re-appointment of auditors. Additionally, the company declared a final dividend, expected to be paid on June 24, 2025. This announcement signifies a stable governance structure and financial health, potentially reassuring stakeholders about the company’s ongoing operations and strategic direction.

Computer & Technologies Holdings Ltd. Announces 2025 Annual General Meeting

Computer & Technologies Holdings Ltd. has announced its upcoming annual general meeting scheduled for June 3, 2025, in Hong Kong. Key agenda items include reviewing the audited financial statements for 2024, declaring a final cash dividend of 5.5 HK cents per share, re-electing directors, and re-appointing auditors. Additionally, the company seeks approval to allot and issue shares, which could impact its capital structure and shareholder value.

Computer & Technologies Holdings Ltd. Reports 2024 Annual Results

Computer & Technologies Holdings Ltd. reported its annual results for the year ended December 31, 2024, showing a slight increase in revenue to HK$261,076,000 from HK$257,504,000 in 2023. Despite the revenue growth, the company’s profit for the year decreased to HK$28,896,000 from HK$33,243,000 in the previous year, attributed to higher income tax expenses and increased finance costs. This financial performance may impact the company’s market positioning and stakeholder confidence.

Computer & Technologies Holdings Ltd. Declares Final Dividend for 2024

Computer & Technologies Holdings Ltd. has announced a final ordinary cash dividend of HKD 0.055 per share for the financial year ending December 31, 2024. This announcement reflects the company’s financial health and commitment to delivering shareholder value, with the dividend payment scheduled for June 24, 2025, following shareholder approval on June 3, 2025.