SOHO China (0410) AI Stock Analysis

• Market Cap: HK$2.81B
• Dividend Yield: N/A
• Average Volume (3M): 2.13M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: -8.37%
• EPS Growth: 67.89%
• Country: HK
• Employees: 1,650
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.02
• Shares Outstanding: 5,199,524,000
• 10 Day Avg. Volume: 722,100
• 30 Day Avg. Volume: 2,129,532
• PEG Ratio: 0.80
• Price to Book (P/B): 0.09
• Price to Sales (P/S): 2.19
• P/FCF Ratio: 11.29
• 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

• Rating: 49 Neutral
• Price Target: ―

SOHO China's stock score reflects significant financial challenges, with negative income impacting valuation and technical indicators showing bearish trends. The stable balance sheet provides some support, but the lack of profitability and cash flow consistency are key concerns. The stock's overall attractiveness is limited, requiring improvement in financial performance and market perception.

SOHO China Business Overview & Revenue Model

Company Description

SOHO China Limited is a leading property developer in China, primarily focused on the development and management of commercial properties, including office buildings and retail spaces. Established in 1995, the company has made a significant impact in major Chinese cities, particularly Beijing and Shanghai, by creating high-quality, sustainable developments that cater to the needs of modern businesses. SOHO China's portfolio includes iconic buildings and mixed-use developments that combine office space with retail and leisure facilities, enhancing urban living and working environments.

How the Company Makes Money

SOHO China generates revenue primarily through the leasing and sales of its commercial properties. The company earns rental income from its extensive portfolio of office and retail spaces, which are leased to various businesses, including multinational corporations and local enterprises. Additionally, SOHO China realizes revenue from the sale of completed properties, particularly during favorable market conditions. The company also capitalizes on partnerships with other developers and businesses to enhance its projects and expand its market reach. Factors contributing to its earnings include the demand for high-quality office spaces in urban centers, strategic location of its developments, and the overall economic growth in China, which drives demand for commercial real estate.

SOHO China Financial Statement Overview

Summary

SOHO China's financial performance reveals challenges in revenue and profit with negative net income, despite efficient cost management. The balance sheet is stable with moderate leverage, but inconsistent cash flow raises liquidity concerns. Improvement is needed in profitability and cash flow to enhance financial health.

Income Statement

SOHO China's income statement indicates challenges in maintaining revenue growth, with a decline in total revenue from 2023 to 2024. The company experienced negative net income in recent years, showcasing a struggle with profitability. However, the gross profit margin remains high, suggesting efficiency in cost management. The EBIT margin has also slightly decreased, indicating some operational efficiency loss.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio, indicating a balanced use of leverage. The equity ratio is stable, suggesting strong asset financing via equity. Return on equity is negative due to net losses, showing a need for improved profitability. Overall, the financial position is relatively stable with a balanced capital structure.

Cash Flow

Cash flow analysis shows fluctuating free cash flow, with a concerning drop in operating cash flow in 2024. The lack of free cash flow growth highlights potential liquidity management issues. The company may face challenges converting income into cash, influencing its ability to finance operations and investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.43B	1.54B	1.68B	1.78B	1.74B	2.19B
Gross Profit	1.43B	1.28B	1.38B	1.44B	1.40B	1.39B
EBITDA	65.50M	827.79M	861.40M	1.43B	1.18B	2.66B
Net Income	-97.47M	-113.44M	-179.90M	61.21M	-131.10M	529.57M
Balance Sheet
Total Assets	68.09B	68.13B	68.62B	68.85B	70.45B	70.70B
Cash, Cash Equivalents and Short-Term Investments	0.00	730.49M	769.46M	356.69M	2.20B	396.80M
Total Debt	9.59B	15.56B	15.88B	16.18B	18.00B	18.47B
Total Liabilities	31.13B	31.06B	31.42B	31.48B	33.35B	33.43B
Stockholders Equity	36.04B	36.14B	36.27B	36.44B	36.17B	36.36B
Cash Flow
Free Cash Flow	196.78M	298.52M	638.55M	-140.81M	34.67M	191.07M
Operating Cash Flow	196.78M	306.66M	643.96M	-135.19M	56.26M	209.04M
Investing Cash Flow	-228.88M	-154.20M	94.41M	1.66B	757.41M	-1.58B
Financing Cash Flow	-154.94M	-340.97M	-316.95M	-1.93B	-455.08M	573.53M

SOHO China Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.53
• 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:0410, the sentiment is Negative. The current price of 0.53 is below the 20-day moving average (MA) of 0.54, below the 50-day MA of 0.57, and below the 200-day MA of 0.58, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 43.45 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0410.

SOHO China Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2156	73 Outperform	HK$4.20B	10.73	20.32%	4.93%	-7.78%	-29.31%
1995	72 Outperform	HK$3.13B	6.79	8.42%	7.91%	2.83%	-6.65%
6989	66 Neutral	HK$1.31B	4.17	7.55%	13.53%	-0.79%	-3.46%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
0029	61 Neutral	HK$2.94B	―	-0.85%	0.08%	-5.73%	-101.17%
0410	49 Neutral	HK$2.81B	―	-0.27%	―	-8.37%	67.89%

SOHO China Corporate Events

SOHO China Reports Revenue Decline Amid Market Challenges

SOHO China Limited is a prominent real estate company based in China, primarily engaged in property leasing and real estate development. The company is known for its significant portfolio of commercial properties across major cities in China.

SOHO China Faces Challenges Amidst Soft Economic Sentiment in 2025

SOHO China Limited reported its interim results for the first half of 2025, revealing a challenging period due to a soft economic sentiment affecting commercial property leasing markets. The company achieved a revenue of approximately RMB690 million, with a stable gross profit margin of 80% and an average occupancy rate of 80%. However, the company faced a loss attributable to owners of approximately RMB92 million, highlighting the impact of fair value changes and other operational expenses on its financial performance.

SOHO China Announces Key Management Change

SOHO China Limited has announced a change in its company secretary, authorized representative, and process agent, with Ms. Ng Sau Mei resigning and Ms. Leung Shui Bing taking over the roles effective August 28, 2025. Ms. Leung brings over 20 years of experience in corporate secretarial services and compliance, which is expected to enhance the company’s governance and operational efficiency.

SOHO China Schedules Board Meeting to Review Interim Results and Dividends

SOHO China Limited has announced a board meeting scheduled for August 28, 2025, to approve the interim results for the first half of the year and discuss dividend payments. This meeting is significant for stakeholders as it will provide insights into the company’s financial health and potential returns on investment.