Shun Ho Property Investments Ltd (0219) AI Stock Analysis

• Market Cap: HK$373.48M
• Dividend Yield: N/A
• Average Volume (3M): 38.24K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.16
• Revenue Growth: 3.58%
• EPS Growth: -91.61%
• Country: HK
• Employees: 643
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Lodging
• EPS (TTM): -0.27
• Shares Outstanding: 579,753,300
• 10 Day Avg. Volume: 64,624
• 30 Day Avg. Volume: 38,240
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.05
• Price to Sales (P/S): 0.52
• P/FCF Ratio: 1.83
• 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$0.77 ▲(32.76% Upside)

The score is primarily supported by a resilient financial position (low leverage) and positive operating/free cash flow, but held back by volatile bottom-line results and widening recent net losses. Technicals are constructive with price above key moving averages, though overbought signals reduce confidence. Valuation is constrained by a negative P/E and no provided dividend yield.

Positive Factors

Low Leverage / Strong Equity Base

Consistently low leverage and a sizeable equity base provide durable financial resilience for a cyclical travel/lodging landlord. This capital strength supports downturn absorption, funds maintenance or selective investment without relying on volatile debt markets, and preserves strategic optionality.

Positive Operating & Free Cash Flow

Sustained positive operating and free cash flow underline the business's cash-generative running operations. Reliable cash flow funds capex, interest and potential distributions, enables debt reduction or portfolio reinvestment, and reduces reliance on external financing over the medium term.

Top-line Recovery & Strong Margins

A material revenue rebound accompanied by higher gross and robust EBITDA margins signals improving demand and operating leverage in the property portfolio. If sustained, these structural improvements can drive durable cash generation and justify reinvestment in assets or services that enhance long-term returns.

Negative Factors

Widening Net Losses

A large, widening net loss erodes retained earnings and compresses shareholder returns despite operating profitability. Persistent bottom-line deficits can constrain dividend capacity, limit capital allocation choices, and force asset disposals or equity actions if non-operating losses continue over multiple periods.

Earnings Quality & Cash Conversion Variability

Inconsistent linkage between reported earnings and cash flows creates forecasting risk and obscures true operating performance. Variable cash conversion increases the chance of surprises in funding needs, complicates capital planning, and reduces investor confidence in management's reported profitability metrics.

Weak Return on Equity

Negative ROE indicates the company is not earning adequate returns on its sizable equity base, signaling inefficient capital deployment or large non-operating losses. Over time, persistently low or negative ROE can pressure management to restructure assets, cut costs, or change strategy to restore shareholder value.

Shun Ho Property Investments Ltd Business Overview & Revenue Model

Company Description

Shun Ho Property Investments Limited, an investment holding company, invests in and operates hotels in Hong Kong, the People's Republic of China, and the United Kingdom. It operates through Hospitality Services, Property Investment, and Securities Investment segments. The company operates Best Western Plus Hotel, Kowloon; Best Western Plus Hotel, Hong Kong; Magnificent International Hotel, Shanghai; Best Western Hotel, Causeway Bay; Ramada Hong Kong Harbour View; Ramada Hong Kong Grand; Grand City Hotel; Ramada Hong Kong Grand View; Royal Scot Hotel, London; and Wood Street Hotel, London. It is also involved in the investment, development, and leasing of properties; hotel management; financing; and securities investment activities. The company was formerly known as Shun Ho Technology Holdings Limited. The company is based in Central, Hong Kong. Shun Ho Property Investments Limited is a subsidiary of Omnico Company Inc.

How the Company Makes Money

Shun Ho Property Investments Ltd generates revenue primarily through rental income from its portfolio of commercial and residential properties. The company leases out spaces to tenants, thus creating a steady cash flow. Additionally, Shun Ho invests in property development projects, which can yield significant profits upon completion and sale of units. The company may also engage in strategic partnerships with other real estate developers or investment firms to co-develop projects or share resources, further enhancing its revenue potential. Factors such as location of properties, market demand, and overall economic conditions play crucial roles in influencing its earnings.

Shun Ho Property Investments Ltd Financial Statement Overview

Summary

Balance sheet strength and low leverage (debt-to-equity ~0.11–0.14) plus consistently positive operating/free cash flow support stability. However, earnings quality is a concern: despite a sharp 2024 revenue rebound and improved gross margin, net losses widened and profitability has been volatile, driving negative recent ROE.

Income Statement

Revenue rebounded strongly in 2024 (+139% YoY) after a flat 2023, showing improving top-line momentum. Gross margin improved to ~45% in 2024 from ~32% in 2023, and operating profitability (EBITDA margin ~30%) remains positive. However, net profitability is volatile: net loss widened to -HK$290M in 2024 (net margin ~-42%) after a smaller loss in 2023, following outsized profit in 2022—suggesting earnings are highly swingy and likely influenced by non-operating items and/or revaluations.

Balance Sheet

Leverage appears conservative, with debt-to-equity consistently low (~0.11–0.14) and equity forming a sizable base (equity ~HK$7.0–7.4B vs. assets ~HK$9.5–10.0B). This provides balance-sheet resilience for a cyclical Travel Lodging business. The main weakness is shareholder returns: return on equity turned negative in 2023–2024 (about -1% to -4%), reflecting recent net losses despite the strong capital base.

Cash Flow

Cash generation is a key support: operating cash flow stayed positive across the period and rose to HK$214M in 2024, with free cash flow also positive at HK$193M (up strongly YoY). That said, cash conversion versus accounting earnings is mixed—recent net losses make earnings quality harder to read, and operating cash flow covered less than half of net income in 2024 (and was below 1x in most years except 2022), pointing to variability in how profits translate into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	698.74M	683.97M	606.03M	612.69M	514.41M	387.91M
Gross Profit	328.49M	311.05M	189.60M	380.52M	275.12M	223.11M
EBITDA	224.99M	207.11M	173.24M	822.17M	226.34M	-93.87M
Net Income	-335.26M	-289.92M	-72.97M	482.15M	68.23M	-171.63M
Balance Sheet
Total Assets	9.38B	9.52B	9.90B	9.97B	9.12B	9.13B
Cash, Cash Equivalents and Short-Term Investments	198.48M	234.98M	334.48M	286.68M	274.80M	173.67M
Total Debt	903.86M	1.01B	1.03B	1.06B	749.07M	850.48M
Total Liabilities	1.19B	1.30B	1.34B	1.37B	1.04B	1.12B
Stockholders Equity	6.97B	7.03B	7.34B	7.38B	6.99B	6.93B
Cash Flow
Free Cash Flow	179.55M	192.55M	134.51M	275.39M	201.83M	105.84M
Operating Cash Flow	191.13M	214.00M	166.82M	285.07M	217.63M	142.49M
Investing Cash Flow	-13.38M	-235.19M	-24.66M	-556.84M	-31.20M	-33.41M
Financing Cash Flow	-148.87M	-76.45M	-103.78M	316.92M	-95.72M	-89.14M

Shun Ho Property Investments Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0219, the sentiment is Positive. The current price of 0.58 is below the 20-day moving average (MA) of 0.68, below the 50-day MA of 0.61, and below the 200-day MA of 0.59, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 63.00 is Neutral, neither overbought nor oversold. The STOCH value of 80.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0219.

Shun Ho Property Investments Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0219	61 Neutral	HK$373.48M	-1.08	-4.72%	―	3.58%	-91.61%
0201	56 Neutral	HK$626.29M	-22.58	-0.66%	―	3.97%	41.51%
0617	49 Neutral	HK$264.16M	-0.16	-19.01%	―	-2.75%	-17.31%
0253	49 Neutral	HK$157.15M	-0.79	-4.69%	―	3.58%	-87.78%
0355	47 Neutral	HK$272.15M	-0.26	-18.68%	―	-3.51%	-15.27%
0078	40 Neutral	HK$485.34M	-0.27	-29.62%	―	-0.60%	34.74%