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Infinity Development Holdings Co. Ltd. (HK:0640)
:0640

Infinity Development Holdings Co. Ltd. (0640) AI Stock Analysis

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HK:0640

Infinity Development Holdings Co. Ltd.

(0640)

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Outperform 77 (OpenAI - 5.2)
Rating:77Outperform
Price Target:
HK$3.00
▲(25.52% Upside)
The score is driven primarily by strong financial fundamentals (notably low leverage and improved profitability) and compelling valuation (low P/E and high dividend yield). Offsetting these positives are mixed technical signals and cash-flow volatility that suggests less consistent cash conversion.
Positive Factors
Balance Sheet Strength
Significantly reduced debt levels enhance financial stability and flexibility, allowing the company to better weather economic fluctuations and invest in growth opportunities.
Revenue Growth
Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and profitability.
Profitability Improvement
Improved margins reflect better cost management and operational efficiency, enhancing the company's ability to generate profits and reinvest in its business.
Negative Factors
Cash Flow Volatility
Volatile cash flow relative to earnings suggests potential challenges in cash conversion, which could impact the company's ability to fund operations and growth consistently.
Revenue Volatility
Historical revenue volatility indicates susceptibility to market cycles, which could affect long-term planning and financial predictability.
Cash Flow Quality
Inconsistent cash flow quality raises concerns about the company's ability to maintain liquidity and support ongoing operations without relying on external financing.

Infinity Development Holdings Co. Ltd. (0640) vs. iShares MSCI Hong Kong ETF (EWH)

Infinity Development Holdings Co. Ltd. Business Overview & Revenue Model

Company DescriptionInfinity Development Holdings Company Limited, an investment holding company, manufactures and sells adhesives, primers, hardeners, and vulcanized shoes adhesive related products used by the footwear manufacturers in the People's Republic of China, Vietnam, Indonesia, and Bangladesh. The company also trades in raw materials and adhesives; and offers other related chemical products for industrial use. In addition, it engages in the provision of agency and administrative support services; and processing and packaging of adhesive products. The company was formerly known as Infinity Chemical Holdings Company Limited and changed its name to Infinity Development Holdings Company Limited in February 2016. The company was founded in 1987 and is headquartered in Macau. Infinity Development Holdings Company Limited is a subsidiary of All Reach Investments Limited.
How the Company Makes MoneyInfinity Development Holdings generates revenue through several key streams, primarily from rental income and property sales. The company invests in residential and commercial real estate, and profits are realized through leasing properties to tenants, which provides a steady income stream. Additionally, the company earns revenue through the sale of developed properties, capitalizing on market demand and favorable property valuations. Strategic partnerships with local developers and financial institutions further enhance its investment capabilities and project financing, contributing to its overall profitability. The diversification into technology and infrastructure sectors also serves as potential growth avenues, although these contributions may vary based on market conditions.

Infinity Development Holdings Co. Ltd. Financial Statement Overview

Summary
Strong balance sheet with sharply reduced debt and growing equity, alongside improving profitability (higher revenue and expanding margins). The main constraint is uneven cash-flow conversion and historical volatility in operating/free cash flow.
Income Statement
Profitability and operating performance improved meaningfully over the last three years: revenue rose from 671.8M (2023) to 835.2M (2025), while margins expanded (gross margin ~31.1% to ~37.9% and net margin ~10.0% to ~14.6%). Earnings also grew (net income 67.1M to 122.2M), showing better cost control and operating leverage. The main weakness is revenue volatility earlier in the period (notable declines in 2020 and 2023), which points to some cyclicality or uneven demand.
Balance Sheet
The balance sheet is conservatively positioned with very low leverage in the most recent year: total debt fell sharply to 7.6M in 2025 from 43.5M in 2024, and debt relative to equity is minimal (~0.01 in 2025). Equity has steadily increased (422.4M in 2020 to 628.3M in 2025), supporting balance-sheet resilience. Returns on equity are healthy overall (about ~19% in 2025), though they have fluctuated across the cycle.
Cash Flow
Cash generation is positive but uneven. Operating cash flow and free cash flow improved in 2024–2025 (operating cash flow 97.4M to 145.0M; free cash flow 54.9M to 83.3M), but cash flow quality is mixed versus earnings, with free cash flow running at roughly ~57% of net income in both 2024 and 2025. Earlier years show higher volatility, including negative operating and free cash flow in 2022 despite positive earnings, indicating working-capital swings or lumpy cash conversion.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue835.15M835.15M736.34M671.75M862.10M643.45M
Gross Profit316.83M316.83M277.44M209.11M223.18M196.68M
EBITDA144.93M166.75M140.13M99.11M127.33M61.97M
Net Income122.19M122.19M100.41M67.05M101.35M41.46M
Balance Sheet
Total Assets846.15M846.15M819.43M745.00M697.62M595.24M
Cash, Cash Equivalents and Short-Term Investments319.06M319.06M331.91M353.49M135.24M129.66M
Total Debt7.56M7.56M43.47M89.26M36.65M41.15M
Total Liabilities217.88M217.88M235.87M231.57M210.34M166.70M
Stockholders Equity628.27M628.27M583.56M513.42M487.28M428.54M
Cash Flow
Free Cash Flow103.82M83.28M54.90M203.37M-34.37M-1.20M
Operating Cash Flow142.32M144.97M97.37M221.24M-3.55M5.21M
Investing Cash Flow-82.94M-86.41M-35.15M-34.92M59.78M-2.77M
Financing Cash Flow-101.95M-101.12M-95.25M11.62M-38.22M-42.61M

Infinity Development Holdings Co. Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.39
Price Trends
50DMA
2.55
Positive
100DMA
2.50
Positive
200DMA
2.20
Positive
Market Momentum
MACD
0.02
Negative
RSI
61.43
Neutral
STOCH
88.32
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0640, the sentiment is Positive. The current price of 2.39 is below the 20-day moving average (MA) of 2.48, below the 50-day MA of 2.55, and above the 200-day MA of 2.20, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 61.43 is Neutral, neither overbought nor oversold. The STOCH value of 88.32 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0640.

Infinity Development Holdings Co. Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
HK$829.95M6.0420.67%8.71%25.95%44.12%
69
Neutral
HK$1.07B8.263.36%7.85%-5.37%25.20%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
56
Neutral
HK$625.71M-18.00-14.53%0.35%-153.95%
54
Neutral
HK$771.20M-26.58-1.52%5.55%0.37%-331.54%
49
Neutral
HK$375.03M-3.73-8.05%-24.13%-27.54%
48
Neutral
HK$138.00M-2.22-15.93%-25.21%12.04%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0640
Infinity Development Holdings Co. Ltd.
2.62
0.84
47.19%
HK:0408
Yip's Chemical Holdings
1.90
0.59
44.60%
HK:0701
CNT Group Limited
0.20
-0.04
-16.17%
HK:1932
CPM Group Ltd.
0.14
-0.11
-44.80%
HK:1986
Tsaker New Energy Tech Co., Limited
0.80
-0.01
-1.23%
HK:0301
SANVO Fine Chemicals Group Limited
1.33
0.23
20.91%

Infinity Development Holdings Co. Ltd. Corporate Events

Infinity Development Releases Latest Annual Report and Circular for Dual-Listed Investors
Jan 5, 2026

Infinity Development Holdings Company Limited has issued an overseas regulatory announcement to notify investors that its latest annual report and a related circular have been released and made available on the Singapore Exchange website, as well as on the Hong Kong disclosure platform. The documents, prepared by the company and reviewed by its sponsor Xandar Capital Pte. Ltd. for compliance with SGX rules, underscore the firm’s ongoing disclosure obligations as a dual-listed issuer and provide shareholders and potential investors with updated corporate and financial information relevant to their assessment of the company.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Announces Cross-Border Disclosure for 2026 AGM Materials
Jan 5, 2026

Infinity Development Holdings Company Limited has issued an overseas regulatory announcement in Hong Kong to mirror a disclosure made on the Singapore Exchange regarding its upcoming Annual General Meeting for the financial year ended 30 September 2025. The company has made available key AGM materials, including the notice of meeting, proxy forms and a circular, on both the Singapore Exchange and Hong Kong disclosure platforms, underscoring its compliance with dual-listing regulatory requirements and facilitating participation by shareholders across jurisdictions.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Sets January 2026 AGM to Approve Dividend, Board Changes and Share Issuance Mandate
Jan 5, 2026

Infinity Development Holdings Company Limited has convened its 2025 annual general meeting for 29 January 2026 in both Hong Kong and Singapore, reflecting its dual-market listing structure and geographically diversified shareholder base. At the meeting, shareholders will be asked to approve the audited financial statements for the year ended 30 September 2025, a proposed final dividend of HK10.3 cents per share, the re-election of one executive and one independent non-executive director along with directors’ remuneration and fee limits, and the re-appointment and consolidation of RSM Hong Kong and RSM SG Assurance LLP as auditors in both markets. The agenda also includes a mandate authorizing the board to issue new shares and resell treasury shares within prescribed limits, a standard corporate finance tool that, if approved, would give the company flexibility to raise capital and manage its equity base in response to market conditions, with implications for future dilution and capital structure for shareholders.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Files Full-Year Results with Singapore Exchange
Dec 30, 2025

Infinity Development Holdings Company Limited has released its full-year financial results for the period ended 30 September 2025, in an announcement filed with the Singapore Exchange. The company, dual-listed in Hong Kong and Singapore, made the disclosure as a financial statements and related announcement in line with listing rules, with its sponsor Xandar Capital Pte. Ltd. having reviewed the release for compliance. The move underscores the group’s ongoing regulatory and reporting obligations across both markets and provides investors with updated annual financial information, though detailed figures are contained in the referenced attachment rather than this notice.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Posts 22% Profit Growth on Higher Revenue and Lower Finance Costs
Dec 30, 2025

Infinity Development Holdings Company Limited reported a solid set of audited results for the year ended 30 September 2025, with revenue rising 13.4% year-on-year to HK$835.2 million and gross profit increasing 14.2% to HK$316.8 million. Profit from operations climbed 21.8% to HK$150.7 million, helped by lower finance costs and reduced expected credit loss allowances, while net profit attributable to shareholders grew 21.7% to HK$122.2 million despite higher administrative expenses and income tax charges. The performance indicates enhanced operational efficiency and a stronger earnings base compared with the prior year, which may bolster the Group’s financial position and resilience for stakeholders.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Holdings Posts 22% Profit Growth on Higher Revenue and Lower Finance Costs
Dec 29, 2025

Infinity Development Holdings Company Limited reported a solid set of audited annual results for the year ended 30 September 2025, with revenue rising 13.4% year-on-year to HK$835.2 million and gross profit increasing 14.2% to HK$316.8 million. Profit from operations grew 21.8% to HK$150.7 million, supported by reduced expected credit loss allowances and a swing to net other gains, while finance costs were nearly halved. Despite higher administrative expenses and a larger income tax charge, profit attributable to owners climbed 21.7% to HK$122.2 million, underscoring improved profitability and operational efficiency for the Group compared with the prior year.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Proposes HK$0.103 Final Dividend for FY2025
Dec 29, 2025

Infinity Development Holdings Company Limited has proposed a final ordinary cash dividend of HKD 0.103 per share for the financial year ended 30 September 2025, subject to shareholder approval at a meeting scheduled for 29 January 2026. If approved, the shares will trade ex-dividend on 2 February 2026, with the record date set for 5 February 2026 and payment to be made on 23 February 2026 through its Hong Kong share registrar, Tricor Investor Services Limited; the move signals the company’s intention to return cash to shareholders and may be viewed as an indication of confidence in its financial performance over the past year.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Activates Joint Auditors Following Singapore Listing
Dec 24, 2025

Infinity Development Holdings has confirmed that the appointment of RSM SG as its joint auditor became effective on 3 December 2025, coinciding with the effectiveness of the company’s secondary listing in Singapore. Due to timing constraints for RSM SG to complete registration with Hong Kong’s Accounting and Financial Reporting Council for the audit of the year ended 30 September 2025, the FY2025 results will carry separate audit opinions from RSM HK and RSM SG, with RSM HK remaining the registered public interest entity auditor in Hong Kong while both firms jointly serve as auditors under Singapore’s Catalist rules, highlighting the company’s adaptation to dual-market regulatory requirements.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Holdings Announces Upcoming Board Meeting for Annual Results
Dec 15, 2025

Infinity Development Holdings Co. Ltd. has announced a board meeting scheduled for December 29, 2025. The meeting will focus on approving the annual results for the year ending September 30, 2025, and discussing the recommendation of a final dividend. This announcement indicates the company’s commitment to transparency and shareholder engagement, potentially impacting its market perception and stakeholder relations.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Announces New Share Placement on SGX
Nov 21, 2025

Infinity Development Holdings Co. Ltd. has announced a placement of 35.1 million new shares at S$0.39 each, aiming to raise approximately S$13.7 million in gross proceeds. The shares are expected to be listed on the Catalist Board of the Singapore Exchange on December 3, 2025, enhancing the company’s market presence and providing new opportunities for investors.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Announces Share Placement Pricing for Singapore Listing
Nov 21, 2025

Infinity Development Holdings Co. Ltd., incorporated in the Cayman Islands, announced a supplemental update regarding the placement of new shares under a general mandate for its Singapore listing. The company has set the placing price at SGD 0.39 per share, which reflects an approximate 11.22% discount to the closing price on the Hong Kong Exchange. The placement and listing are subject to market conditions and other factors outside the company’s control.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Registers Offer Document for New Share Placement
Nov 21, 2025

Infinity Development Holdings Co. Ltd. announced the registration of its Offer Document with the Singapore Exchange Securities Trading Limited for the placement of 35.1 million new shares at S$0.39 each. This move aims to facilitate equal information dissemination to investors in Hong Kong and Singapore, although it does not serve as an inducement to purchase securities. The listing on the Catalist board may involve higher investment risks, and the company advises potential investors to carefully consider the risks and consult professional advisers.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Advances Dual Listing with New Share Placement
Nov 17, 2025

Infinity Development Holdings Co. Ltd. is advancing its dual primary listing in Hong Kong and Singapore, with the Singapore listing expected by the end of 2025. The company has entered into a Placing Mandate with a Placing Agent to issue up to 35.1 million new shares in Singapore, representing approximately 11.08% of its enlarged share capital. The minimum placing price is set at a discount to the current market price, aiming to raise approximately HK$79.09 million net proceeds.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$3.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Infinity Development Holdings Implements Share Consolidation and Board Lot Size Change
Oct 20, 2025

Infinity Development Holdings Co. Ltd. has announced the successful implementation of a share consolidation, effective from October 20, 2025. This consolidation has led to a change in the board lot size for trading on the Hong Kong Stock Exchange, reducing it from 4,000 existing shares to 2,000 consolidated shares, which will take effect on November 4, 2025.

The most recent analyst rating on (HK:0640) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Infinity Development Holdings Co. Ltd. stock, see the HK:0640 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 31, 2025