Miramar Hotel & Investment Co (0071) AI Stock Analysis

• Market Cap: HK$6.83B
• Dividend Yield: 5.36%
• Average Volume (3M): 77.21K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.18
• Revenue Growth: -2.09%
• EPS Growth: -28.30%
• Country: HK
• Employees: 1,342
• Sector: Consumer Cyclical
• Sector Strength: 66
• Industry: Real Estate - Services
• EPS (TTM): 0.47
• Shares Outstanding: 690,959,660
• 10 Day Avg. Volume: 72,529
• 30 Day Avg. Volume: 77,210
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ―

Miramar Hotel & Investment Co has a strong overall profile, driven by robust revenue growth and an excellent equity position. The stock's attractive valuation with a high dividend yield adds to its appeal. However, challenges in net profitability and cash flow generation, alongside technical indicators suggesting overbought conditions, present risks that could impact future performance.

Miramar Hotel & Investment Co Business Overview & Revenue Model

Company Description

Miramar Hotel & Investment Co (0071) is a diversified company based in Hong Kong, primarily engaged in the hospitality, property investment, and retail sectors. The company's core operations include managing hotels, leasing properties, and operating retail shops. Miramar Hotel & Investment Co is known for its high-quality services and strategically located properties, appealing to both business and leisure travelers.

How the Company Makes Money

Miramar Hotel & Investment Co generates revenue through several key streams. The hospitality segment contributes significantly to its income, primarily through room bookings, food and beverage services, and event hosting at its hotels. The company also earns a substantial portion of its revenue from property leasing, where it rents out commercial and residential properties. Additionally, the retail segment adds to its earnings by operating various retail outlets and offering a range of consumer products. Strategic partnerships with travel agencies, corporate clients, and marketing alliances further enhance its revenue potential. These diversified revenue streams enable the company to maintain a stable and robust financial performance.

Miramar Hotel & Investment Co Financial Statement Overview

Summary

Miramar Hotel & Investment Co demonstrates strong revenue growth and an excellent equity position, with significant improvements in EBIT margins. However, challenges are present in net profitability and cash flow generation, particularly in 2024, which could impact future financial flexibility and operational efficiency.

Income Statement

The company shows a strong gross profit margin consistently at 100% in 2024. However, the net profit margin has decreased from 38.3% in 2023 to 26.1% in 2024, indicating increased costs or reduced efficiency. The revenue growth rate from 2023 to 2024 is approximately 12%, which is a positive sign, but it follows a significant increase from 2022 to 2023. EBIT margins are robust, rising from 38% in 2023 to 90.2% in 2024. EBITDA margin is absent for 2024, indicating potential gaps in operational insights.

Balance Sheet

The company maintains a strong equity position with a debt-to-equity ratio of 0% in 2024, reflecting no reliance on debt financing and a high equity ratio of 93.1%. This indicates financial stability and low risk. Return on Equity (ROE) is lower at 3.57% in 2024 compared to 4.77% in 2023, suggesting a decline in profitability relative to shareholders' equity.

Cash Flow

The cash flow situation is challenging with zero operating cash flow and free cash flow in 2024, indicating possible operational inefficiencies or reinvestment. The operating cash flow to net income and free cash flow to net income ratios are unavailable for 2024, which hinders a comprehensive cash flow analysis. However, previous years showed positive cash flow activities.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.86B	2.55B	1.38B	1.25B	1.31B
Gross Profit	997.69M	966.48M	621.41M	622.75M	535.99M
EBITDA	1.00B	1.20B	639.94M	491.32M	501.23M
Net Income	746.56M	977.14M	480.10M	329.96M	301.90M
Balance Sheet
Total Assets	22.45B	21.97B	21.25B	21.08B	21.05B
Cash, Cash Equivalents and Short-Term Investments	6.45B	5.66B	5.44B	5.31B	5.11B
Total Debt	94.70M	75.52M	99.06M	86.41M	90.16M
Total Liabilities	1.35B	1.30B	1.12B	1.04B	1.05B
Stockholders Equity	20.88B	20.49B	19.97B	19.88B	19.85B
Cash Flow
Free Cash Flow	207.64M	1.04B	533.71M	509.36M	276.59M
Operating Cash Flow	236.43M	1.08B	594.47M	517.38M	316.24M
Investing Cash Flow	577.07M	-1.65B	853.84M	-1.48B	-471.11M
Financing Cash Flow	-52.35M	-411.40M	-362.80M	-385.14M	-493.15M

Miramar Hotel & Investment Co Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 9.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0071, the sentiment is Neutral. The current price of 9.88 is below the 20-day moving average (MA) of 9.91, above the 50-day MA of 9.75, and above the 200-day MA of 9.08, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 52.31 is Neutral, neither overbought nor oversold. The STOCH value of 45.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0071.

Miramar Hotel & Investment Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0071	72 Outperform	HK$6.83B	9.81	3.35%	5.36%	-2.09%	-28.30%
0225	62 Neutral	HK$605.99M	―	-10.79%	6.55%	-4.53%	-22.06%
0029	61 Neutral	HK$3.16B	0.55	-0.74%	0.07%	-23.73%	-101.00%
Sector *	57 Neutral	HK$25.99B	4.36	-4.73%	5.52%	-0.90%	-51.66%
0105	54 Neutral	HK$1.94B	―	-7.47%	6.48%	1.14%	-248.81%
0266	49 Neutral	HK$968.45M	―	-7.76%	7.84%	0.09%	-266.18%
0277	49 Neutral	HK$499.02M	―	-2.14%	0.94%	-7.37%	-456.37%

Miramar Hotel & Investment Co Corporate Events

Miramar Hotel & Investment Announces New Car Park Consultancy Agreement

Miramar Hotel & Investment Company has announced a new agreement through its subsidiary, Whirlwind Security, with E. M. Parking, a subsidiary of Henderson Land. This agreement, effective from August 2025 to July 2027, involves Whirlwind Security providing consultancy, management, and operation services for a parking facility. The transaction is classified as a continuing connected transaction under Hong Kong’s Listing Rules, requiring reporting and annual review but exempt from independent shareholders’ approval.

Miramar Hotel Signs New Tenancy Agreement with Century Time

Miramar Hotel & Investment Co., Limited announced the signing of a New Tenancy Agreement with Century Time, a non wholly-owned subsidiary of Hong Kong Ferry, for the leasing of Premises A and B in Mira Place Tower A, Tsimshatsui, Kowloon, Hong Kong. The agreement, effective from June 2025, outlines a three-year lease for Premises A and a two-year and nine-month lease for Premises B, with specific rent terms and a rent-free period for Premises B. These transactions are considered continuing connected transactions under the Listing Rules, subject to reporting and annual review requirements but exempt from independent shareholders’ approval.

Miramar Hotel & Investment Co. Announces AGM Results and Executive Director Retirement

Miramar Hotel and Investment Company, Limited held its Annual General Meeting on June 5, 2025, where all proposed resolutions were passed, including the approval of financial statements, a final dividend, and the re-election of several directors. Additionally, the company announced the retirement of executive director Mr. Eddie Lau Yum Chuen, acknowledging his 29 years of service. This meeting and the resolutions passed are expected to strengthen the company’s governance and operational strategies, while Mr. Lau’s retirement marks the end of a significant era for the company.

Miramar Hotel Announces Board Composition and Roles

Miramar Hotel and Investment Company, Limited has announced the composition of its board of directors, detailing the roles and functions of each member. This announcement provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the leadership dynamics and decision-making processes within the organization.