GBA Holdings Limited (0261) AI Stock Analysis

• Market Cap: HK$65.50M
• Dividend Yield: N/A
• Average Volume (3M): 1.20M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.50
• Revenue Growth: -32.43%
• EPS Growth: 55.29%
• Country: HK
• Employees: 64
• Sector: Industrials
• Sector Strength: 72
• Industry: Real Estate - Diversified
• EPS (TTM): -0.15
• Shares Outstanding: 284,801,670
• 10 Day Avg. Volume: 1,584,433
• 30 Day Avg. Volume: 1,196,660
• PEG Ratio: -0.02
• Price to Book (P/B): 0.19
• Price to Sales (P/S): 1.84
• P/FCF Ratio: -4.60
• 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: 44 Neutral
• Price Target: HK$0.22 ▼(-3.04% Downside)

The overall stock score of 44 reflects significant financial challenges, particularly in profitability and cash flow, which are the most critical factors. Technical analysis provides mixed signals, with a bearish long-term trend but neutral momentum indicators. Valuation is weak due to negative earnings and lack of dividends, further impacting the stock's attractiveness.

Positive Factors

Strong Equity Position

A strong equity position indicates financial stability, providing a buffer against market volatility and supporting long-term investment capacity.

Controlled Leverage

Controlled leverage with low debt levels enhances financial flexibility, reducing risk and supporting sustainable growth strategies.

EPS Growth

Positive EPS growth suggests improving profitability prospects, which can enhance shareholder value and attract long-term investors.

Negative Factors

Negative Revenue Growth

Negative revenue growth indicates declining sales, which can pressure margins and limit the company's ability to invest in future growth opportunities.

Negative Cash Flow

Consistently negative cash flow highlights liquidity challenges, potentially restricting the company's capacity to fund operations and growth without external financing.

Negative Profit Margins

Negative profit margins reflect inefficiencies and losses, which can undermine financial health and limit reinvestment in business development.

GBA Holdings Limited Business Overview & Revenue Model

Company Description

GBA Holdings Limited, an investment holding company, designs, develops, sells, and supplies telecom, electronic, and infant and baby products in Mainland China, Hong Kong, and internationally. It offers cordless products, such as DECT cordless, digital cordless, corded/cordless combo phone systems, and designer phones; and design phones, corded phones, and Qi charging pads, as well as family radio systems and Bluetooth products. The company's infant and child products include baby monitoring products, feeding and grooming products, nursing kits and safety products, and home appliances. It is also involved in the development and sale of properties; trading of telecom, electronic, and child products; and finance business. The company was formerly known as Greater Bay Area Investments Group Holdings Limited and changed its name to GBA Holdings Limited in August 2020. GBA Holdings Limited is headquartered in Shatin, Hong Kong.

How the Company Makes Money

GBA Holdings Limited generates revenue through multiple streams. Its core revenue model is centered around property development and investment, where the company acquires, develops, and manages real estate assets to generate rental income and capital appreciation. Additionally, the company provides financial advisory services, earning fees from clients seeking guidance on investments and business strategies. In the technology sector, GBA Holdings may generate revenue through the sale of technology solutions and partnerships with tech firms. Significant partnerships with local and international companies enhance its market reach and operational capabilities, contributing to its earnings growth.

GBA Holdings Limited Financial Statement Overview

Summary

GBA Holdings Limited is facing considerable financial challenges, particularly in terms of profitability and cash flow. The income statement reveals negative profit margins and revenue volatility. The balance sheet shows stability with a strong equity base but increasing liabilities. Cash flow is negative, indicating liquidity challenges and potential risks to financial stability.

Income Statement

The company's income statement reveals a challenging financial environment with negative profit margins. The gross profit margin is consistently negative, indicating that cost of goods sold surpasses the revenue generated. Net profit margins have also been negative, reflecting substantial losses. Revenue has decreased sharply since 2021, with significant revenue growth volatility, posing a risk to financial stability.

Balance Sheet

The balance sheet shows a strong equity base with a high equity ratio, indicating stability. However, the company has been experiencing decreasing total assets and increasing liabilities, leading to a rising debt-to-equity ratio. Despite this, the company maintains a low level of total debt, and recent years have shown a slight improvement in net debt, suggesting controlled leverage.

Cash Flow

The cash flow statement highlights negative operating and free cash flows over recent years, indicating potential liquidity challenges. The company has struggled with generating positive cash flow from operations, and free cash flow has been consistently negative, which could affect its ability to fund future growth or meet obligations without external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	58.91M	57.05M	78.38M	56.00M	469.00M	394.00M
Gross Profit	-36.12M	-3.28M	-4.60M	-63.00M	49.00M	-25.00M
EBITDA	-56.10M	-58.19M	-90.05M	-175.00M	-58.00M	-134.00M
Net Income	-75.25M	-55.78M	-98.41M	-176.07M	-60.00M	-123.00M
Balance Sheet
Total Assets	683.60M	659.94M	730.19M	754.00M	978.00M	1.48B
Cash, Cash Equivalents and Short-Term Investments	56.39M	29.59M	53.33M	44.36M	97.00M	209.00M
Total Debt	44.42M	16.51M	23.07M	5.24M	2.00M	0.00
Total Liabilities	160.61M	129.91M	121.60M	75.00M	99.00M	555.00M
Stockholders Equity	538.06M	547.35M	615.33M	679.00M	879.00M	926.00M
Cash Flow
Free Cash Flow	-39.15M	-22.77M	-28.84M	-36.00M	-101.00M	57.00M
Operating Cash Flow	-37.91M	-22.00M	-28.52M	-32.00M	-101.00M	57.00M
Investing Cash Flow	-26.61M	-4.40M	-4.73M	17.98M	33.00M	47.00M
Financing Cash Flow	31.07M	2.84M	46.44M	21.43M	-1.00M	-97.00M

GBA Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.23
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0261, the sentiment is Negative. The current price of 0.23 is below the 20-day moving average (MA) of 0.24, below the 50-day MA of 0.26, and below the 200-day MA of 0.31, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.60 is Neutral, neither overbought nor oversold. The STOCH value of 36.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0261.

GBA Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0760	56 Neutral	HK$82.35M	-0.60	-8.38%	―	-48.96%	-185.64%
1195	52 Neutral	HK$60.78M	-10.00	-4.93%	―	-0.99%	48.65%
2330	46 Neutral	HK$89.66M	―	―	―	―	―
0261	44 Neutral	HK$65.50M	-0.74	-13.47%	―	-32.43%	55.29%
0899	42 Neutral	HK$73.45M	-0.07	-37.49%	―	46.92%	-3901.26%
1965	37 Underperform	HK$57.51M	-0.16	-307.36%	―	-6.40%	-143.33%