New Universe Environmental Group Limited (0436) AI Stock Analysis

• Market Cap: HK$157.86M
• Dividend Yield: 3.08%
• Average Volume (3M): 91.57K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.62
• Revenue Growth: -5.95%
• EPS Growth: 33.73%
• Country: HK
• Employees: 401
• Sector: Industrials
• Sector Strength: 76
• Industry: Waste Management
• EPS (TTM): >-0.01
• Shares Outstanding: 3,035,696,800
• 10 Day Avg. Volume: 122,200
• 30 Day Avg. Volume: 91,566
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 1

• Rating: 54 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily influenced by the company's declining financial performance, with negative net income and deteriorating margins. Technical analysis shows mixed signals, with some positive momentum but also bearish indicators. The valuation is negatively impacted by the negative P/E ratio, despite a relatively attractive dividend yield.

New Universe Environmental Group Limited Business Overview & Revenue Model

Company Description

New Universe Environmental Group Limited, an investment holding company, primarily provides environmental waste treatment and disposal services in the People's Republic of China. It provides environmental treatment and management services for handling general and hazardous industrial waste for various chemical related industries; and regulated medical waste for hospitals and clinics, as well as chemical tank truck cleansing services. The company is also involved in the operation of solid waste landfill, which handles general industrial waste and environmentally friendly post-incineration substances; provision of environmental industrial sewage and sludge treatment; and provision of environmental technical consultancy and engineering, and management services. In addition, it provides environmental plating sewage treatment services in an eco-plating specialized zone; invests in plastic materials dyeing business; and holds land and buildings. The company was formerly known as New Universe International Group Limited and changed its name to New Universe Environmental Group Limited in May 2016. The company was founded in 1996 and is headquartered in Kowloon Bay, Hong Kong.

How the Company Makes Money

The company generates revenue through multiple streams. A significant portion of its income comes from its hazardous waste treatment and disposal services, where it charges fees for safely managing and disposing of chemical, industrial, and medical waste. Additionally, the company earns from its environmental engineering services, which include consultancy and project management services for clients seeking to address environmental issues. Key partnerships with industrial clients, government bodies, and healthcare facilities further bolster its revenue, as these entities require reliable waste management solutions to comply with environmental regulations. The company's ability to leverage its technical expertise and infrastructure in waste management positions it strategically in the environmental services market.

New Universe Environmental Group Limited Financial Statement Overview

Summary

The company is experiencing declining revenues and profitability, leading to negative net income and deteriorating operational efficiency. However, the balance sheet remains stable with strong equity, and free cash flow growth offers some potential for reinvestment.

Income Statement

The company experienced a decline in total revenue from 2020 to 2024, with a noticeable drop each year. Gross profit margins have decreased significantly over the years, reflecting reduced profitability. The net income has also transitioned from positive to negative, indicating financial struggles. EBIT and EBITDA margins have similarly deteriorated, highlighting operational inefficiencies.

Balance Sheet

The balance sheet shows a stable equity ratio, indicating a strong capital base. However, the debt-to-equity ratio has decreased due to reduced total debt, suggesting improved leverage. Return on equity has dropped significantly, reflecting declining profitability. Overall, the balance sheet remains stable but shows weakened profitability.

Cash Flow

Operating cash flow has fluctuated over the years, with a significant decline in 2024 compared to previous years. Despite these fluctuations, free cash flow has shown positive growth in recent years, indicating potential for reinvestment. The operating cash flow to net income ratio is positive, but the negative net income raises concerns about sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	349.42M	405.61M	588.95M	727.17M	789.34M
Gross Profit	54.83M	65.42M	119.36M	191.66M	219.78M
EBITDA	52.68M	61.31M	142.20M	162.18M	201.49M
Net Income	-26.34M	-33.12M	4.56M	40.42M	102.05M
Balance Sheet
Total Assets	1.25B	1.30B	1.51B	1.78B	1.75B
Cash, Cash Equivalents and Short-Term Investments	220.82M	186.37M	270.28M	302.07M	257.52M
Total Debt	44.75M	44.33M	98.63M	200.44M	214.18M
Total Liabilities	283.17M	288.06M	438.54M	601.20M	582.27M
Stockholders Equity	869.05M	908.25M	961.68M	1.05B	1.03B
Cash Flow
Free Cash Flow	44.26M	-73.00K	41.98M	86.04M	143.54M
Operating Cash Flow	60.98M	17.80M	74.38M	133.62M	199.04M
Investing Cash Flow	-12.90M	-25.45M	23.34M	-35.50M	-92.68M
Financing Cash Flow	-9.61M	-74.57M	-113.07M	-58.61M	-121.83M

New Universe Environmental Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.06
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0436, the sentiment is Positive. The current price of 0.06 is above the 20-day moving average (MA) of 0.06, above the 50-day MA of 0.06, and above the 200-day MA of 0.05, indicating a bullish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 52.12 is Neutral, neither overbought nor oversold. The STOCH value of 42.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0436.

New Universe Environmental Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.95B	16.37	8.81%	1.96%	2.68%	-15.33%
0436	54 Neutral	HK$157.86M	―	-1.91%	3.08%	-5.95%	33.73%
6EL	―	€18.18M	9.23	4.68%	―	―	―
1397	68 Neutral	HK$394.25M	7.32	13.78%	4.09%	11.84%	14.36%
1790	64 Neutral	HK$450.00M	6.80	4.83%	―	27.83%	-9.69%
1845	52 Neutral	HK$240.00M	―	-12.25%	―	-5.82%	-2921.43%
0923	48 Neutral	HK$67.52M	―	-105.24%	―	5.60%	-658.21%

New Universe Environmental Group Limited Corporate Events

New Universe Environmental Group Schedules Board Meeting for Financial Review

New Universe Environmental Group Limited has announced a board meeting scheduled for August 15, 2025, to discuss and approve the unaudited consolidated financial results for the first half of 2025 and consider the declaration of an interim dividend. This meeting is significant as it will provide insights into the company’s financial health and potential shareholder returns, impacting its market positioning and stakeholder interests.

New Universe Environmental Group Limited Announces AGM Results with Full Shareholder Support

New Universe Environmental Group Limited announced the results of its Annual General Meeting held on May 23, 2025, where all proposed resolutions were approved by shareholders. Key resolutions included the adoption of the company’s financial statements, approval of a final dividend, re-election of directors, and granting of mandates for share issuance and repurchase. The approval of these resolutions indicates strong shareholder support and positions the company for continued strategic growth and operational stability.