PAX Global Technology (0327) AI Stock Analysis

• Market Cap: $6.50B
• Dividend Yield: 15.66%
• Average Volume (3M): 15.31M
• Price to Earnings (P/E): 9.2
• Beta (1Y): 0.65
• Revenue Growth: -9.88%
• EPS Growth: -37.81%
• Country: HK
• Employees: 1,509
• Sector: Industrials
• Sector Strength: 89
• Industry: Business Equipment & Supplies
• EPS (TTM): 0.24
• Shares Outstanding: 1,059,642,000
• 10 Day Avg. Volume: 18,756,014
• 30 Day Avg. Volume: 15,307,052
• PEG Ratio: -0.28
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.25
• 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: $5.97
• Price Target Upside: -2.04% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: HK$6.00 ▼(-1.48%Downside)

PAX Global Technology has a strong overall stock score driven by solid financial performance, attractive valuation metrics, and positive technical indicators. The company's robust balance sheet and operational efficiency provide resilience, while the stock's valuation offers potential for income and capital appreciation. However, technical indicators suggest caution due to potential overbought conditions.

PAX Global Technology Business Overview & Revenue Model

Company Description

PAX Global Technology Limited (0327) is a leading provider of electronic payment terminal solutions and services, catering to financial institutions and payment service providers worldwide. The company specializes in the design, development, and sale of point-of-sale (POS) terminals, including countertop, mobile, and smart terminals, as well as related software and services. With a strong focus on innovation and customer satisfaction, PAX Global Technology has established a significant presence in the global electronic payment industry.

How the Company Makes Money

PAX Global Technology primarily generates revenue through the sale of electronic payment terminals, which include a range of products such as countertop, mobile, and smart POS devices. These terminals are sold to banks, payment processors, and other financial institutions, which in turn deploy them to merchants for processing electronic payments. Additionally, the company offers software solutions and value-added services that enhance the functionality and security of its hardware products. PAX also earns revenue from after-sales services, maintenance, and technical support contracts. Partnerships with major financial institutions and technology providers further bolster the company's market presence and revenue opportunities.

PAX Global Technology Financial Statement Overview

Summary

PAX Global Technology maintains strong operational efficiency and profitability with healthy gross and net profit margins. The balance sheet shows financial stability with a strong equity position and low debt-to-equity ratio. However, challenges in revenue growth and variability in cash flow generation are noted.

Income Statement

PAX Global Technology has demonstrated a mixed performance in terms of revenue growth, with fluctuations over the past years. The most recent year shows a decline in revenue compared to the previous year, indicating potential challenges in maintaining growth. However, the company maintains healthy gross profit and net profit margins, suggesting operational efficiency and profitability. The EBIT and EBITDA margins are also robust, indicating strong earnings relative to revenue.

Balance Sheet

The company's balance sheet is solid, with a strong equity position and a low debt-to-equity ratio, highlighting financial stability and low leverage risk. The equity ratio is high, indicating that a significant portion of the company's assets is financed by equity. This positions the company well for long-term sustainability and reduces financial risk.

Cash Flow

Cash flow analysis shows a positive trajectory in free cash flow, with substantial growth in recent years. The operating cash flow to net income ratio is favorable, suggesting efficient cash conversion from net income. However, fluctuations in free cash flow growth rate indicate some variability in cash generation, which could pose challenges in maintaining consistent cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.04B	6.71B	8.06B	7.20B	5.65B
Gross Profit	2.85B	2.99B	3.31B	2.83B	2.34B
EBITDA	870.70M	1.32B	1.49B	1.35B	1.13B
Net Income	713.43M	1.16B	1.26B	1.08B	900.12M
Balance Sheet
Total Assets	9.17B	9.08B	9.49B	8.82B	7.64B
Cash, Cash Equivalents and Short-Term Investments	3.30B	2.92B	3.19B	3.55B	3.83B
Total Debt	87.83M	108.22M	85.93M	116.60M	122.59M
Total Liabilities	1.60B	1.59B	2.58B	2.36B	2.06B
Stockholders Equity	7.53B	7.46B	6.93B	6.49B	5.60B
Cash Flow
Free Cash Flow	1.04B	314.27M	317.92M	-42.00K	616.59M
Operating Cash Flow	1.19B	527.27M	648.53M	347.66M	735.05M
Investing Cash Flow	-335.75M	-172.21M	-300.02M	-234.77M	-113.38M
Financing Cash Flow	-570.45M	-525.92M	-449.17M	-448.14M	-207.07M

PAX Global Technology Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0327, the sentiment is Positive. The current price of 6.09 is above the 20-day moving average (MA) of 5.74, above the 50-day MA of 5.11, and above the 200-day MA of 4.83, indicating a bullish trend. The MACD of 0.28 indicates Negative momentum. The RSI at 71.93 is Negative, neither overbought nor oversold. The STOCH value of 41.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0327.

PAX Global Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0842	80 Outperform	HK$3.65B	5.70	12.91%	5.49%	17.69%	3.08%
0327	80 Outperform	$6.50B	9.16	9.50%	15.66%	-9.88%	-37.81%
Sector *	65 Neutral	$10.75B	15.65	5.18%	1.92%	3.09%	-27.41%
1662	61 Neutral	HK$945.00M	23.71	8.13%	―	46.88%	759.62%
1463	52 Neutral	HK$715.69M	357.14	-11.77%	―	2.77%	-322.58%
1854	47 Neutral	HK$2.51B	―		―	―	―

PAX Global Technology Corporate Events

PAX Global Technology Announces Leadership Change

PAX Global Technology Limited has announced a leadership change with the resignation of Mr. Lu Jie as Executive Director and CEO, effective July 3, 2025, due to other work engagements. Mr. Nie Guoming, the current Chairman of the Board and Executive Director, will assume the role of CEO, bringing over 25 years of experience in the card payment industry to the position. This transition is expected to maintain the company’s strategic direction and operational stability.

PAX Global Technology Announces Board Composition and Roles

PAX Global Technology Limited has announced the composition of its board of directors and the roles and functions of its members. The board comprises both executive and independent non-executive directors, with specific committees for audit, nomination, and remuneration, indicating a structured governance approach that may enhance operational oversight and strategic decision-making.

PAX Global Technology Announces Successful 2025 AGM Resolutions

PAX Global Technology Limited announced the successful results of its 2025 Annual General Meeting, where all proposed resolutions were approved by shareholders. Key resolutions included the adoption of the company’s financial statements, the declaration of a final dividend, re-election of directors, and granting of mandates to the board for share issuance and repurchase. These outcomes reinforce the company’s strategic direction and governance, potentially enhancing shareholder confidence and market positioning.

PAX Global Technology Announces 2025 AGM and Key Resolutions

PAX Global Technology Limited has announced its 2025 Annual General Meeting scheduled for May 21, 2025. Key agenda items include the adoption of financial statements, declaration of a final dividend, re-election of directors, and reappointment of auditors. The company also seeks approval for the issuance of additional shares, which could impact its capital structure and shareholder value.