Minth Group (0425) AI Stock Analysis

• Market Cap: $31.59B
• Dividend Yield: 0.08%
• Average Volume (3M): 4.91M
• Price to Earnings (P/E): 12.5
• Beta (1Y): 1.07
• Revenue Growth: 10.73%
• EPS Growth: 20.28%
• Country: HK
• Employees: 25,663
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Auto - Parts
• EPS (TTM): 1.20
• Shares Outstanding: 1,162,403,000
• 10 Day Avg. Volume: 6,953,836
• 30 Day Avg. Volume: 4,914,240
• PEG Ratio: 0.98
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 41.15
• 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: $24.96
• Price Target Upside: -8.57% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: HK$30.00 ▲(9.89%Upside)

Minth Group's stock is supported by strong financial performance and bullish technical indicators, suggesting a solid investment choice. The reasonable valuation with a moderate P/E ratio adds to its attractiveness. However, potential risks include overbought technical signals and uncertainties in cash flow data, which could impact the stock's momentum.

Positive Factors

Dividend Payouts

Management is targeting higher dividend payouts, with dividend yields projected to increase significantly in the coming years.

Earnings Outlook

The stock has a robust earnings outlook, driven by a strong order backlog and improvements in margins, with earnings expected to grow at a 20% CAGR.

Electrification and Robotics

Minth is benefiting from the electrification trend and intelligent vehicle solutions, with additional growth from the emerging robotics sector.

Negative Factors

Geopolitical Risks

Minth is better positioned in the global auto parts industry than most peers, despite the rising geopolitical risks.

Market and Expansion Challenges

Global vehicle market slowdown, slower overseas expansion, and higher raw material costs may impact Minth Group.

Minth Group Business Overview & Revenue Model

Company Description

Minth Group Limited is an automotive parts manufacturer headquartered in China. The company specializes in the design, manufacturing, and sale of a wide range of automotive body structural parts, trims, and decorative parts. Minth Group primarily serves major global automotive OEMs (Original Equipment Manufacturers), providing high-quality and innovative solutions that enhance vehicle aesthetics and performance.

How the Company Makes Money

Minth Group generates its revenue primarily through the sale of automotive parts and components to leading car manufacturers around the world. The company's key revenue streams include the production of body structural parts, trims, and decorative parts. These components are essential for vehicle assembly and are sold directly to automotive OEMs. Additionally, Minth Group may engage in strategic partnerships and collaborations with other automotive industry players to expand its market reach and technological capabilities, further contributing to its earnings. The company's focus on innovation and quality ensures a stable demand for its products, supporting its financial performance.

Minth Group Financial Statement Overview

Summary

Minth Group shows strong revenue and profit growth, with effective cost management and operational efficiency. The balance sheet is solid with conservative leverage and a stable capital structure. However, the absence of 2024 cash flow data and low free cash flow conversion rates are areas of concern.

Income Statement

Minth Group's income statement reveals strong revenue growth of 12.77% year-over-year from 2023 to 2024, indicating robust business expansion. The gross profit margin stands at 28.93% for 2024, reflecting effective cost management. Net profit margin improved to 10.02% from the previous year's 9.27%, showcasing enhanced profitability. The EBIT and EBITDA margins also show healthy levels at 11.00% and 16.62% respectively, indicating operational efficiency.

Balance Sheet

The company's balance sheet is solid with a debt-to-equity ratio of 0.42 in 2024, suggesting conservative leverage. The return on equity (ROE) is strong at 11.35%, indicating efficient use of equity capital. The equity ratio is 52.75%, reflecting a stable capital structure with more than half of the assets financed by equity. However, the increase in total debt from 2023 to 2024 needs to be monitored.

Cash Flow

Cash flow analysis reveals a lack of available data for 2024, impeding a comprehensive assessment. However, the free cash flow growth improved significantly in 2023 with positive free cash flow after negative results in 2022. This indicates a turnaround in cash management. The free cash flow to net income ratio in 2023 was low at 0.05, suggesting room for improvement in converting income into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.15B	20.52B	17.31B	13.92B	12.47B
Gross Profit	6.70B	5.62B	4.77B	4.08B	3.86B
EBITDA	3.85B	3.26B	2.45B	2.01B	2.35B
Net Income	2.32B	1.90B	1.50B	1.50B	1.40B
Balance Sheet
Total Assets	38.76B	37.55B	33.27B	29.64B	27.21B
Cash, Cash Equivalents and Short-Term Investments	2.95B	4.75B	4.38B	5.60B	6.61B
Total Debt	8.50B	9.77B	8.30B	7.26B	6.54B
Total Liabilities	17.50B	18.41B	15.58B	13.09B	11.89B
Stockholders Equity	20.45B	18.32B	16.92B	16.02B	14.94B
Cash Flow
Free Cash Flow	1.34B	86.68M	-1.48B	-1.82B	-133.13M
Operating Cash Flow	3.27B	3.37B	1.86B	1.32B	2.08B
Investing Cash Flow	-3.19B	-3.50B	-3.04B	-1.95B	-3.41B
Financing Cash Flow	-1.80B	51.86M	-124.70M	149.24M	1.67B

Minth Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 27.30
• 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:0425, the sentiment is Positive. The current price of 27.3 is above the 20-day moving average (MA) of 24.66, above the 50-day MA of 22.12, and above the 200-day MA of 17.85, indicating a bullish trend. The MACD of 1.73 indicates Negative momentum. The RSI at 77.24 is Negative, neither overbought nor oversold. The STOCH value of 60.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0425.

Minth Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0564	83 Outperform	HK$33.28B	6.75	18.67%	0.49%	-0.25%	16.01%
1809	81 Outperform	HK$4.95B	3.52	21.97%	1.09%	8.48%	25.41%
1316	78 Outperform	HK$15.94B	33.09	3.13%	0.21%	1.31%	67.13%
0425	76 Outperform	$31.59B	12.52	11.97%	0.08%	10.73%	20.28%
0179	76 Outperform	HK$23.04B	11.23	10.07%	0.10%	-4.75%	14.34%
1057	65 Neutral	€10.06B	25.37	9.28%	0.20%	46.99%	88.57%
Sector *	57 Neutral	HK$26.40B	4.11	-2.03%	5.49%	-0.23%	-68.02%

Minth Group Corporate Events

Minth Group Partners with EHang to Advance Low-Altitude Aircraft Ventures

Minth Group has announced two significant agreements with EHang to develop and operate low-altitude aircraft-related businesses. The Development Commission Service Agreement involves Minyi, a Minth subsidiary, designing and manufacturing aircraft parts for EHang. The Strategic Cooperation Agreement outlines a five-year partnership between Minth Automotive Tech and EHang to jointly develop airframe components, rotor systems, and transportation scenarios for low-altitude aircraft. This move positions Minth Group strategically within the rapidly growing low-altitude economy, which is expected to transform industrial landscapes and create new business models.

The most recent analyst rating on (HK:0425) stock is a Buy with a HK$39.50 price target. To see the full list of analyst forecasts on Minth Group stock, see the HK:0425 Stock Forecast page.

Minth Group Announces New Independent Directors

Minth Group Limited has announced the appointment of Mr. Chan Pak Hung and Mr. Hu Ting Wu as independent non-executive directors. Both appointees have confirmed their independence according to the relevant listing rules, with no financial or other interests in the company, ensuring their roles are free from conflicts of interest.

The most recent analyst rating on (HK:0425) stock is a Buy with a HK$25.00 price target. To see the full list of analyst forecasts on Minth Group stock, see the HK:0425 Stock Forecast page.

Minth Group’s AGM Resolutions Passed, New Directors Appointed

Minth Group Limited announced that all resolutions proposed at its Annual General Meeting on May 30, 2025, were approved by shareholders. Key outcomes include the retirement of Dr. Wang Ching as an independent non-executive director and the appointment of new directors, which may influence the company’s strategic direction and governance.

The most recent analyst rating on (HK:0425) stock is a Buy with a HK$39.50 price target. To see the full list of analyst forecasts on Minth Group stock, see the HK:0425 Stock Forecast page.

Minth Group Announces Board Restructuring

Minth Group Limited, a company incorporated in the Cayman Islands, announced significant changes to its board of directors following its annual general meeting. The shareholders approved the appointment of Mr. William Chin as an executive director, and Mr. Chan Pak Hung and Mr. Hu Ting Wu as independent non-executive directors. Concurrently, Dr. Wang Ching retired from his role as an independent non-executive director. These changes reflect the company’s strategic direction and governance adjustments, potentially impacting its stakeholder relationships and operational strategies.

The most recent analyst rating on (HK:0425) stock is a Buy with a HK$39.50 price target. To see the full list of analyst forecasts on Minth Group stock, see the HK:0425 Stock Forecast page.

Minth Group Limited Announces Annual General Meeting and Key Appointments

Minth Group Limited has announced its upcoming annual general meeting scheduled for May 30, 2025, in Hong Kong. The meeting will address several key business items, including the approval of audited financial statements, declaration of a final dividend, and the election and appointment of directors. These decisions are crucial for the company’s governance and strategic direction, impacting its operational leadership and stakeholder interests.