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Melco International (HK:0200)
:0200
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Melco International (0200) AI Stock Analysis

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HK:0200

Melco International

(0200)

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Underperform 39 (OpenAI - 4o)
Rating:39Underperform
Price Target:
HK$4.50
▼(-12.11% Downside)
Melco International's overall stock score is primarily impacted by its weak financial performance, characterized by high leverage and persistent losses. Technical indicators suggest a bearish trend, and valuation metrics highlight ongoing profitability challenges. The absence of earnings call insights and corporate events leaves these areas unaddressed.
Positive Factors
Revenue Growth
The revenue growth indicates expanding market reach and improved customer engagement, which can support long-term business sustainability.
Operational Efficiency
Improved gross margins suggest better cost management and operational efficiency, enhancing profitability potential over time.
Market Position
A strong market position in Macau provides a competitive edge, leveraging the region's status as a global gaming hub to attract high-end clientele.
Negative Factors
High Leverage
High leverage increases financial risk, potentially limiting the company's ability to invest in growth opportunities and affecting long-term stability.
Persistent Losses
Ongoing losses indicate challenges in achieving profitability, which can undermine investor confidence and limit future growth potential.
Cash Flow Concerns
Lack of clarity in cash flow reporting raises concerns about liquidity and the company's ability to sustain operations without financial strain.

Melco International (0200) vs. iShares MSCI Hong Kong ETF (EWH)

Melco International Business Overview & Revenue Model

Company DescriptionMelco International Development Limited, an investment holding company, engages in the leisure and entertainment business in Macau, the Philippines, Cyprus, Japan, and Hong Kong. It operates in two segments, Casino and Hospitality, and Others. The company develops, owns, and operates a network of casino gaming and entertainment casino resorts. It is also involved in the development and operation of integrated casino and entertainment resort, and related activities; and operation of satellite casinos. In addition, the company provides financing, management, and property investment services. Further, it operates electronic gaming machines. The company was formerly known as The Macao Electric Lighting Company, Limited and changed its name to Melco International Development Limited in 1988. Melco International Development Limited was founded in 1910 and is headquartered in Central, Hong Kong.
How the Company Makes MoneyMelco International generates revenue primarily through its gaming operations, which include casino gaming tables and slot machines located in its integrated resorts. The company earns significant income from the gaming segment, attracting high-end players and mass-market customers. Additionally, Melco benefits from its non-gaming revenue streams, which include hotel accommodations, food and beverage services, retail shopping, and entertainment offerings. The company's revenue model is bolstered by its focus on premium experiences that cater to affluent customers. Strategic partnerships with various entertainment providers and brands enhance its offerings, driving customer engagement and spend. Furthermore, Melco's investments in marketing and promotional activities help to attract a diverse clientele, contributing to its overall earnings.

Melco International Financial Statement Overview

Summary
Melco International faces significant financial challenges, including high leverage, persistent losses, and unclear cash flow positions. Despite improvements in gross margins and revenue growth, the overall financial health remains weak, with significant risks due to high debt levels and negative net income.
Income Statement
45
Neutral
Melco International has experienced significant volatility in its revenue and profitability over the years. Despite a revenue increase in 2024, the company has faced persistent losses, with a negative net profit margin of -2.17% in 2024. The gross profit margin improved to 78.33% in 2024 from 35% in 2023, indicating better operational efficiency. However, the net income remains negative, reflecting challenges in achieving profitability.
Balance Sheet
30
Negative
The company's balance sheet reflects high leverage with a debt-to-equity ratio of 1373.44 in 2024, up from 99.04 in 2023, indicating significant risk. The equity ratio is low at 0.05% in 2024, showing minimal equity cushion. Return on equity is negative, driven by continuous net losses, undermining shareholder value.
Cash Flow
25
Negative
Melco International's cash flow statements show no reported data for 2024, indicating potential issues in cash management or reporting. Previously, the company had a positive free cash flow in 2023, but the lack of clarity in 2024 raises concerns about sustainability and liquidity.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue38.37B36.17B17.87B6.73B9.08B7.57B
Gross Profit29.95B28.34B6.26B-3.24B-2.28B-4.24B
EBITDA8.80B7.12B5.19B-2.07B556.11M-3.71B
Net Income-180.57M-784.60M-1.74B-5.11B-3.81B-6.34B
Balance Sheet
Total Assets84.72B84.75B89.41B97.09B94.19B95.53B
Cash, Cash Equivalents and Short-Term Investments9.06B9.03B10.77B14.34B13.46B13.86B
Total Debt63.42B63.11B65.87B74.57B61.59B54.15B
Total Liabilities76.63B76.54B79.04B83.71B71.73B64.76B
Stockholders Equity974.67M45.93M665.00M1.79B6.86B10.76B
Cash Flow
Free Cash Flow3.19B6.37B6.69B-9.51B-7.15B-10.74B
Operating Cash Flow5.88B8.73B8.51B-5.19B-2.08B-7.19B
Investing Cash Flow-5.04B-2.22B-1.52B-4.11B-4.20B-366.19M
Financing Cash Flow-1.11B-8.10B-10.56B7.22B3.22B8.11B

Melco International Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5.12
Price Trends
50DMA
5.06
Negative
100DMA
5.17
Negative
200DMA
4.19
Positive
Market Momentum
MACD
-0.02
Negative
RSI
53.54
Neutral
STOCH
80.06
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0200, the sentiment is Positive. The current price of 5.12 is above the 20-day moving average (MA) of 4.91, above the 50-day MA of 5.06, and above the 200-day MA of 4.19, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 53.54 is Neutral, neither overbought nor oversold. The STOCH value of 80.06 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0200.

Melco International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$58.47B13.58452.88%5.54%5.59%-4.38%
72
Outperform
$174.30B18.3212.59%3.01%4.94%15.38%
72
Outperform
$158.87B22.24111.35%2.29%-3.13%-13.65%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
61
Neutral
$34.07B18.435.66%-4.41%-31.45%
40
Neutral
$18.54B-0.13%12.29%98.20%
39
Underperform
$10.76B-54.80-28.54%13.18%86.18%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0200
Melco International
5.18
1.42
37.73%
HK:0880
SJM Holdings
2.71
-0.16
-5.57%
HK:2282
MGM China Holdings
16.97
7.45
78.24%
HK:0027
Galaxy Entertainment Group
40.70
6.30
18.31%
HK:1928
Sands China
21.80
2.12
10.78%
HK:1128
Wynn Macau
6.54
1.02
18.44%

Melco International Corporate Events

Melco Resorts Reports Strong Q3 2025 Financial Performance
Nov 6, 2025

Melco Resorts & Entertainment Limited, a subsidiary of Melco International, reported a significant increase in its financial performance for the third quarter of 2025. The company achieved total operating revenues of $1.31 billion, marking an 11% rise from the previous year, driven by improvements in both gaming and non-gaming operations. Operating income also rose to $184.5 million, and net income attributable to Melco Resorts increased to $74.7 million. The company managed its financial position by repaying significant amounts of debt and issuing new senior notes, indicating a strategic approach to capital management.

The most recent analyst rating on (HK:0200) stock is a Sell with a HK$4.50 price target. To see the full list of analyst forecasts on Melco International stock, see the HK:0200 Stock Forecast page.

Melco Resorts Reports Strong Q3 2025 Financial Performance
Nov 6, 2025

Melco Resorts & Entertainment Limited reported a significant increase in its third-quarter 2025 financial results, with total operating revenues rising by 11% to US$1.31 billion, driven by improved gaming and non-gaming operations. The company’s net income also saw a substantial rise, reaching US$74.7 million compared to US$27.3 million in the previous year. The growth was attributed to solid performance in Macau, where Property EBITDA improved by 21%, and notable increases in the Philippines and Cyprus, where Property EBITDA grew by 45% and 53% respectively. These results underscore Melco’s strategic focus on enhancing customer experiences and maintaining cost discipline, positioning the company strongly within the competitive resort industry.

The most recent analyst rating on (HK:0200) stock is a Sell with a HK$4.50 price target. To see the full list of analyst forecasts on Melco International stock, see the HK:0200 Stock Forecast page.

Melco International Announces New Hospital Agreement at Studio City
Sep 16, 2025

Melco International’s subsidiary, SCRS, has entered into an agreement with iRad to operate a private hospital specializing in imaging and diagnostic services at the Studio City integrated resort. This agreement, effective from January 2025, is set for an initial period until November 2034, with options for renewal. The transaction is classified as a continuing connected transaction under Hong Kong’s Listing Rules, requiring reporting and annual review but exempt from independent shareholder approval.

The most recent analyst rating on (HK:0200) stock is a Hold with a HK$6.70 price target. To see the full list of analyst forecasts on Melco International stock, see the HK:0200 Stock Forecast page.

Melco International Reports Strong Interim Financial Results
Aug 30, 2025

Melco International Development Limited is a Hong Kong-based investment holding company primarily engaged in the development, ownership, and operation of integrated resort facilities across Asia and Europe, with a notable presence in the gaming and hospitality sector.

Melco International Reports Strong Financial Turnaround in H1 2025
Aug 29, 2025

Melco International reported significant financial improvements for the first half of 2025, with net revenues increasing by 12.4% to HK$19.96 billion, driven by enhanced performance in gaming and non-gaming sectors. The company also turned a profit of HK$350.8 million, a notable recovery from the previous year’s loss, although no interim dividend was declared.

The most recent analyst rating on (HK:0200) stock is a Sell with a HK$4.50 price target. To see the full list of analyst forecasts on Melco International stock, see the HK:0200 Stock Forecast page.

Melco International Schedules Board Meeting to Approve Interim Results
Aug 18, 2025

Melco International Development Limited has announced a board meeting scheduled for August 29, 2025, to approve the interim results for the first half of the year ending June 30, 2025. This meeting is significant as it will provide insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (HK:0200) stock is a Buy with a HK$5.20 price target. To see the full list of analyst forecasts on Melco International stock, see the HK:0200 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 22, 2025