Hongkong Chinese Limited (0655) AI Stock Analysis

• Market Cap: €619.47M
• Dividend Yield: 3.23%
• Average Volume (3M): 981.49K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: -3.30%
• EPS Growth: -863.99%
• Country: HK
• Employees: 23
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.39
• Shares Outstanding: 1,998,280,000
• 10 Day Avg. Volume: 1,069,493
• 30 Day Avg. Volume: 981,491
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €0.55
• Price Target Upside: 70.55% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: HK$0.50 ▲(56.25% Upside)

The overall stock score reflects significant financial instability due to negative cash flows and volatile profitability, compounded by a negative P/E ratio. While there is some technical potential for upward momentum, the overall weak financial health and valuation concerns are the most impactful factors.

Hongkong Chinese Limited Business Overview & Revenue Model

Company Description

Hongkong Chinese Limited (0655) is an investment holding company engaged primarily in the sectors of property development and investment, hospitality, and financial services. The company operates through its subsidiaries, focusing on real estate projects, hotel management, and the provision of financial services across Hong Kong and other regions.

How the Company Makes Money

Hongkong Chinese Limited generates revenue through its diverse operations in property development, where it engages in the acquisition, development, and sale of residential and commercial properties. The company also earns income from property investment by leasing out properties to generate rental income. In the hospitality sector, it operates and manages hotels, earning revenue from room bookings, food and beverage sales, and other related services. Additionally, its financial services arm contributes to earnings through activities such as securities trading, asset management, and other financial advisory services. Key revenue streams include property sales, rental income, hotel operations, and financial service fees. The company's earnings are further supported by strategic partnerships and joint ventures that enhance its market presence and operational capabilities.

Hongkong Chinese Limited Financial Statement Overview

Summary

Hongkong Chinese Limited faces significant financial challenges, with fluctuating revenue, volatile net profit margins, and consistent negative cash flows indicating liquidity issues. Despite strong equity, increasing leverage raises concerns about financial stability.

Income Statement

The company has experienced fluctuating revenue with a decline from 2020 to recent years. Despite a strong gross profit margin consistently above 90%, the net profit margin is volatile, with significant losses in certain years. Recent EBIT and EBITDA margins show profitability, but the overall declining revenue and net losses pose risks.

Balance Sheet

The company's balance sheet demonstrates strong equity, with a very high equity ratio indicating financial stability. However, the debt-to-equity ratio has been increasing, suggesting rising leverage which could pose future risks if not managed carefully.

Cash Flow

The cash flow situation appears concerning, with consistent negative free cash flow and operating cash flow over recent years. This indicates potential liquidity issues and challenges in generating cash internally to sustain operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.84M	74.79M	71.77M	81.09M	121.03M
Gross Profit	70.61M	71.91M	70.03M	76.75M	67.45M
EBITDA	45.69M	24.80M	508.85M	672.77M	19.08M
Net Income	-1.20B	157.12M	488.77M	670.30M	-1.35B
Balance Sheet
Total Assets	9.55B	11.16B	11.22B	11.57B	11.09B
Cash, Cash Equivalents and Short-Term Investments	97.39M	145.68M	207.68M	132.90M	209.61M
Total Debt	501.47M	465.94M	456.64M	272.81M	275.94M
Total Liabilities	563.30M	529.09M	522.96M	349.42M	401.05M
Stockholders Equity	8.97B	10.61B	10.68B	11.20B	10.67B
Cash Flow
Free Cash Flow	-29.86M	-44.17M	-34.59M	12.72M	-35.23M
Operating Cash Flow	-27.01M	-42.41M	-33.83M	13.26M	-34.77M
Investing Cash Flow	-2.65M	-1.46M	-1.76M	-41.32M	352.26M
Financing Cash Flow	-16.86M	-17.09M	127.35M	-50.26M	-260.24M

Hongkong Chinese Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0655, the sentiment is Positive. The current price of 0.32 is above the 20-day moving average (MA) of 0.30, above the 50-day MA of 0.30, and above the 200-day MA of 0.26, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 63.39 is Neutral, neither overbought nor oversold. The STOCH value of 63.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0655.

Hongkong Chinese Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0225	62 Neutral	HK$607.09M	―	-10.79%	6.53%	-4.53%	-22.06%
Sector *	53 Neutral	$1.23B	2.93	-5.63%	5.65%	-3.91%	-97.46%
0089	52 Neutral	HK$601.23M	―	-3.95%	7.18%	-1.13%	-79.58%
1036	51 Neutral	HK$642.72M	―	-1.19%	3.64%	111.64%	-282.42%
0367	48 Neutral	HK$627.21M	―	-8.17%	―	-43.81%	29.95%
0727	46 Neutral	HK$378.37M	16.82	6.51%	―	-39.27%	―
0655	46 Neutral	€619.47M	―	-12.13%	3.23%	-3.30%	-863.99%

Hongkong Chinese Limited Corporate Events

Hongkong Chinese Limited Faces S$17.7 Million Damages Ruling

Hongkong Chinese Limited announced that the General Division of the High Court of the Republic of Singapore has awarded damages of approximately S$17.7 million in favor of a bank, related to loans disbursed for purchasing flats in Singapore. The company stated that these damages will not materially affect its asset value, financial position, or results, although the final impact will be determined after an audit.

Hongkong Chinese Limited Secures Shareholder Approval for Key Resolutions at AGM

Hongkong Chinese Limited announced that all proposed resolutions were approved at its Annual General Meeting held on June 23, 2025. The resolutions included the re-election of directors, the authorization of the board to fix directors’ remuneration, the re-appointment of Ernst & Young as auditors, and the granting of mandates to issue and repurchase shares. The approval of these resolutions signifies strong shareholder support and positions the company for continued strategic governance and financial management.

Hongkong Chinese Limited Announces 2025 Annual General Meeting

Hongkong Chinese Limited has announced its upcoming Annual General Meeting scheduled for June 23, 2025, at the Renaissance Harbour View Hotel in Hong Kong. The meeting will cover the adoption of financial statements, re-election of directors, re-appointment of auditors, and a resolution to authorize the board to issue additional shares, subject to certain conditions. This meeting is significant for stakeholders as it addresses key governance and financial decisions that could impact the company’s strategic direction and shareholder value.