Upbest Group Limited (0335) AI Stock Analysis

• Market Cap: HK$1.82B
• Dividend Yield: 2.14%
• Average Volume (3M): 104.27K
• Price to Earnings (P/E): 27.2
• Beta (1Y): 0.61
• Revenue Growth: -20.02%
• EPS Growth: 10.62%
• Country: HK
• Employees: 38
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.01
• Shares Outstanding: 2,682,317,000
• 10 Day Avg. Volume: 44,600
• 30 Day Avg. Volume: 104,266
• PEG Ratio: -1.52
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 30.42
• P/FCF Ratio: 19.16
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: HK$0.50 ▼(-26.47% Downside)

Upbest Group Limited shows strong financial stability with robust revenue growth and a solid balance sheet. However, technical indicators suggest a lack of upward momentum, and the stock appears overvalued based on its P/E ratio. The dividend yield provides some compensation for the valuation concerns.

Positive Factors

Balance Sheet Health

A low debt-to-equity ratio indicates conservative financial management, providing stability and reducing risk from leverage.

Operational Efficiency

Strong EBIT and EBITDA margins suggest effective cost control and operational management, supporting profitability.

Revenue Streams

Diverse revenue streams from financial services enhance resilience against sector-specific downturns, supporting long-term growth.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow growth may impact liquidity and limit the company's ability to invest in growth opportunities.

Revenue Growth Decline

A significant decline in revenue growth suggests potential challenges in market demand or competitive pressures, impacting future performance.

Modest Return on Equity

Low return on equity indicates inefficiency in generating profits from shareholders' equity, limiting shareholder value creation.

Upbest Group Limited Business Overview & Revenue Model

Company Description

Upbest Group Limited, an investment holding company, provides a range of financial services primarily in Hong Kong, Macau, and the People's Republic of China. The company operates through: Broking, Financing, Corporate Finance, Assets Management, Property Investment, Precious Metal Trading, and Investment Holding segments. The Broking segment offers securities and futures brokerage. The Financing segment provides securities margin financing and money lending. The Corporate Finance segment offers corporate finance advisory, placing, and underwriting. The Assets Management segment provides assets management for listed and unlisted companies, and high net worth individuals. The Precious metal trading segment engages in the trading of precious metal. The Investment holding segment involved in share investments. The Property Investment segment involved in the property rental, management, and related businesses. Upbest Group Limited was founded in 1988 and is based in Central, Hong Kong. Upbest Group Limited is a subsidiary of CCAA Group Limited.

How the Company Makes Money

Upbest Group Limited generates revenue through multiple streams within the financial services sector. The primary revenue sources include commissions from securities brokerage activities, management fees from asset management services, and advisory fees from corporate finance transactions. Additionally, the company may earn revenue from proprietary trading and investment income. Strategic partnerships with other financial institutions and clients also contribute to its revenue, enhancing its service offerings and expanding its market reach.

Upbest Group Limited Financial Statement Overview

Summary

Upbest Group Limited exhibits strong revenue growth and operational efficiency, supported by a robust balance sheet with low leverage. However, the decline in free cash flow growth and modest return on equity highlight areas for potential improvement. Overall, the company is financially stable with opportunities to enhance cash flow management and shareholder returns.

Income Statement

Upbest Group Limited has demonstrated strong revenue growth with a 23.29% increase in the latest year. The company maintains a high gross profit margin of 100% consistently, indicating effective cost management. However, the net profit margin of 105.04% suggests potential one-time gains or accounting adjustments. EBIT and EBITDA margins are robust, reflecting operational efficiency.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio of 0.0389, indicating conservative leverage. Return on equity is modest at 2.44%, suggesting room for improvement in generating returns for shareholders. The equity ratio is strong, showcasing a stable financial position with significant equity backing.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 27.96%, which could be a concern for liquidity. The operating cash flow to net income ratio is 0.32, indicating that not all net income is translating into cash flow. However, the free cash flow to net income ratio is nearly 1, suggesting efficient cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.07M	66.13M	121.95M	115.48M	127.55M	121.63M
Gross Profit	56.07M	66.13M	121.95M	115.36M	127.47M	121.54M
EBITDA	43.82M	43.82M	98.28M	42.02M	84.48M	82.21M
Net Income	48.73M	69.46M	85.73M	100.31M	87.04M	46.23M
Balance Sheet
Total Assets	3.17B	3.17B	3.07B	3.05B	3.29B	3.47B
Cash, Cash Equivalents and Short-Term Investments	284.71M	284.71M	307.56M	459.33M	568.39M	816.19M
Total Debt	110.80M	110.80M	116.25M	139.34M	234.63M	263.35M
Total Liabilities	325.68M	325.68M	281.06M	285.97M	574.47M	812.49M
Stockholders Equity	2.85B	2.85B	2.79B	2.76B	2.72B	2.66B
Cash Flow
Free Cash Flow	108.62M	105.01M	94.69M	182.52M	-201.70M	389.32M
Operating Cash Flow	108.68M	105.11M	95.43M	183.05M	-201.62M	389.36M
Investing Cash Flow	-41.90M	-41.90M	-190.07M	-18.00K	-82.00K	-38.00K
Financing Cash Flow	-28.82M	-34.38M	-54.92M	-299.05M	-46.10M	-44.09M

Upbest Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.68
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0335, the sentiment is Negative. The current price of 0.68 is below the 20-day moving average (MA) of 0.69, below the 50-day MA of 0.69, and below the 200-day MA of 0.68, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.44 is Neutral, neither overbought nor oversold. The STOCH value of 27.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0335.

Upbest Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0064	70 Outperform	HK$1.86B	30.21	0.95%	3.28%	9.64%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
0335	63 Neutral	HK$1.82B	27.20	2.39%	2.14%	-20.02%	10.62%
0218	53 Neutral	HK$2.29B	-35.31	-2.44%	―	-45.13%	60.10%
0952	45 Neutral	HK$878.86M	-10.45	-4.03%	―	173.24%	-515.63%
0030	44 Neutral	HK$1.86B	87.86	―	―	―	―
0993	39 Underperform	HK$1.22B	-1.16	―	―	-78.40%	-196.19%

Upbest Group Limited Corporate Events

Upbest Group Limited Reports Resilient Interim Results Amid Revenue Decline

Upbest Group Limited announced its unaudited interim results for the six months ending September 30, 2025, reporting a decline in revenue to HK$42,105,000 from HK$49,448,000 in the previous year. Despite the decrease in revenue, the company maintained a profit of HK$25,513,000, slightly down from HK$27,985,000, indicating resilience in its financial performance amid challenging market conditions.

The most recent analyst rating on (HK:0335) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Upbest Group Limited stock, see the HK:0335 Stock Forecast page.

Upbest Group Limited Announces Board Meeting for Interim Results

Upbest Group Limited has announced a board meeting scheduled for November 21, 2025, to approve the interim results for the six months ending September 30, 2025. This meeting will address the company’s financial performance and any other business matters, potentially impacting its market strategy and stakeholder interests.

The most recent analyst rating on (HK:0335) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Upbest Group Limited stock, see the HK:0335 Stock Forecast page.