SiS International Holdings (0529) AI Stock Analysis

• Market Cap: HK$567.05M
• Dividend Yield: 0.98%
• Average Volume (3M): 111.60K
• Price to Earnings (P/E): 2.9
• Beta (1Y): 0.08
• Revenue Growth: 9.73%
• EPS Growth: 90.98%
• Country: HK
• Employees: 1,233
• Sector: Technology
• Sector Strength: 88
• Industry: Technology Distributors
• EPS (TTM): N/A
• Shares Outstanding: 277,966,640
• 10 Day Avg. Volume: 134,400
• 30 Day Avg. Volume: 111,600
• PEG Ratio: 0.06
• Price to Book (P/B): 0.11
• Price to Sales (P/S): 0.04
• P/FCF Ratio: 1.17
• 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: 73 Outperform
• Price Target: HK$2.50 ▲(22.55% Upside)

SiS International Holdings receives a strong score driven by its undervaluation and positive technical indicators. While financial performance shows areas for improvement, particularly in profitability and cash flow, the stock's current valuation and technical momentum present a compelling investment case.

Positive Factors

Revenue Growth

Consistent revenue growth indicates effective market penetration and product demand, supporting long-term business sustainability.

Improved Gross Margins

Improved gross margins suggest enhanced operational efficiency, which can lead to better profitability over time.

Reduced Leverage

Lower leverage enhances financial stability and reduces risk, providing more flexibility for future investments and growth.

Negative Factors

Low Net Profit Margins

Low net profit margins indicate challenges in converting revenue into profit, which can hinder long-term financial performance.

Decreased Free Cash Flow

Reduced free cash flow can strain liquidity, limiting the company's ability to invest in growth opportunities and manage debt.

Cash Generation Challenges

Challenges in cash generation may impact the company's ability to sustain operations and fund future growth without external financing.

SiS International Holdings Business Overview & Revenue Model

Company Description

SiS International Holdings (0529) is a diversified investment holding company based in Hong Kong, primarily engaged in the trading and distribution of electronic products, medical devices, and other consumer goods. The company operates in various sectors, including information technology, healthcare, and lifestyle products, focusing on innovative solutions and strategic partnerships to enhance its product offerings and market reach.

How the Company Makes Money

SiS International Holdings generates revenue through several key streams, including the wholesale and retail distribution of electronic and healthcare products. The company benefits from its extensive network of suppliers and manufacturers, allowing it to offer a wide range of products to both local and international markets. Significant revenue is derived from partnerships with leading global brands, providing exclusive distribution rights for certain products in the region. Additionally, the company's involvement in e-commerce platforms and online retail contributes to its earnings, as it captures the growing demand for digital shopping experiences. The combination of these factors, along with efficient supply chain management, enables SiS International Holdings to maintain a robust revenue model.

SiS International Holdings Financial Statement Overview

Summary

SiS International Holdings shows positive revenue growth and improved gross margins, but faces challenges with low net profit margins and liquidity issues. The balance sheet is stable with reduced leverage, but cash flow generation needs improvement.

Income Statement

SiS International Holdings has shown a positive revenue growth rate of 4.7% in the most recent year, indicating a recovery from previous declines. The gross profit margin improved to 8.29%, reflecting better cost management. However, the net profit margin remains relatively low at 1.51%, suggesting limited profitability. The EBIT and EBITDA margins are stable, indicating consistent operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.84, showing a reduction in leverage and a stronger equity position. Return on equity is modest at 3.89%, indicating moderate profitability from shareholders' investments. The equity ratio stands at 41.01%, reflecting a balanced capital structure with a reasonable level of equity financing.

Cash Flow

Free cash flow has decreased by 31.88%, which is a concern for liquidity. The operating cash flow to net income ratio is 0.12, suggesting that cash generation from operations is not fully covering net income. The free cash flow to net income ratio is 0.0, indicating challenges in converting profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.44B	9.01B	9.07B	9.23B	11.00B	7.58B
Gross Profit	798.62M	746.91M	668.59M	618.42M	682.80M	630.31M
EBITDA	397.71M	390.22M	354.77M	273.45M	363.34M	-200.84M
Net Income	194.24M	136.21M	88.72M	44.46M	115.11M	-310.04M
Balance Sheet
Total Assets	9.11B	8.53B	8.60B	8.84B	9.64B	9.12B
Cash, Cash Equivalents and Short-Term Investments	1.59B	1.47B	1.37B	1.26B	999.88M	1.26B
Total Debt	3.14B	2.96B	3.22B	3.68B	4.22B	4.10B
Total Liabilities	4.80B	4.35B	4.55B	4.92B	5.74B	5.41B
Stockholders Equity	3.68B	3.50B	3.42B	3.36B	3.36B	3.31B
Cash Flow
Free Cash Flow	344.28M	340.90M	395.33M	289.95M	-534.52M	406.00M
Operating Cash Flow	369.81M	402.79M	410.44M	304.55M	-516.58M	427.16M
Investing Cash Flow	-58.19M	58.96M	130.67M	-87.03M	156.56M	-84.63M
Financing Cash Flow	-136.27M	-236.61M	-413.88M	-289.43M	594.91M	-231.31M

SiS International Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0529, the sentiment is Positive. The current price of 2.04 is above the 20-day moving average (MA) of 2.03, above the 50-day MA of 1.97, and above the 200-day MA of 1.81, indicating a bullish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 58.45 is Neutral, neither overbought nor oversold. The STOCH value of 88.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0529.

SiS International Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1184	76 Outperform	HK$2.83B	6.51	14.95%	8.85%	-0.06%	-6.11%
2166	74 Outperform	HK$943.15M	8.00	11.96%	6.74%	-5.58%	22.50%
0529	73 Outperform	HK$567.05M	2.92	5.52%	0.98%	9.73%	90.98%
3991	65 Neutral	HK$2.88B	7.27	13.40%	4.46%	6.01%	9.76%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
0595	58 Neutral	HK$358.92M	5.99	3.38%	5.06%	17.39%	-55.26%
6036	53 Neutral	HK$451.55M	30.22	5.11%	―	14.50%	247.50%

SiS International Holdings Corporate Events

SiS International Holdings Enhances Governance with New Nomination Committee

SiS International Holdings Limited has established a Nomination Committee to enhance its corporate governance framework. The committee, comprising at least three members with a majority of independent non-executive directors, is tasked with reviewing the board’s structure and composition, assessing director independence, and developing diversity policies. This initiative aims to align the board’s capabilities with the company’s strategic goals, ensuring effective leadership and governance.

SiS International Holdings Reports Strong Financial Performance for Thai Subsidiary

SiS International Holdings Limited announced the unaudited financial results of its subsidiary, SiS Distribution (Thailand) Public Company Limited, for the three and nine-month periods ending September 30, 2025. The subsidiary reported increased total revenues and profits compared to the previous year, indicating strong financial performance. The announcement highlights a growth in total assets and shareholders’ equity, suggesting a positive impact on the company’s financial health and market positioning.

SiS International Expands into Sri Lanka with Gestetner Acquisition

SiS International Holdings Limited announced the acquisition of a 50.01% stake in Gestetner of Ceylon Plc, a Sri Lankan company engaged in the importation and supply of office automation products. This acquisition, executed through the Colombo Stock Exchange, marks the company’s strategic expansion into the Sri Lankan market. Following the acquisition, SiS International is required to make a mandatory offer to acquire the remaining shares of Gestetner, further solidifying its presence in the region. This move is part of SiS International’s broader strategy to expand its distribution business in emerging markets.

SiS International Holdings Releases 2025 Interim Report

SiS International Holdings Limited has released its interim report for 2025, detailing its financial performance and strategic initiatives. The report highlights the company’s financial position, including profit or loss, comprehensive income, and cash flows, and announces an interim dividend. This release provides insights into the company’s operational efficiency and financial health, potentially impacting its market positioning and stakeholder confidence.

SiS International Holdings Updates on Share Option Scheme and Investment Strategy

SiS International Holdings Limited has provided supplemental information regarding its share option scheme and financial instruments at fair value through profit or loss in its 2024 Annual Report. The share option scheme, valid until May 2027, allows for a significant number of shares to be issued, reflecting the company’s commitment to rewarding employees and consultants. Additionally, the company’s diversified investment portfolio, accounting for 5.5% of total assets, aligns with its strategic goals and risk management principles, ensuring balanced growth and shareholder returns.