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CNT Group Limited (HK:0701)
:0701
Hong Kong Market
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CNT Group Limited (0701) AI Stock Analysis

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HK:0701

CNT Group Limited

(0701)

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Neutral 46 (OpenAI - 5.2)
Rating:46Neutral
Price Target:
HK$0.11
▼(-46.50% Downside)
Action:Reiterated
Date:07/04/26
The score is held back primarily by multi-year revenue contraction and continued net losses, alongside a clearly bearish technical trend (price below key moving averages and negative MACD). Support comes from a relatively conservative balance sheet and improved 2025 cash generation (positive operating and free cash flow), but profitability and top-line momentum remain key risks.
Positive Factors
Conservative balance sheet
Low leverage and a sizable equity base provide durable financial flexibility. With debt-to-equity near 0.12, interest burden and refinancing risk are limited, enabling the company to fund operations or opportunistic investments without immediate reliance on external markets despite operational weakness.
Negative Factors
Multi-year revenue contraction
Severe and persistent revenue decline materially reduces scale economics and competitive position. A smaller top line places pressure on fixed-cost absorption, weakens bargaining power with suppliers/customers, and raises the bar for sustainable margin recovery absent a credible and sustained revenue turnaround.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Low leverage and a sizable equity base provide durable financial flexibility. With debt-to-equity near 0.12, interest burden and refinancing risk are limited, enabling the company to fund operations or opportunistic investments without immediate reliance on external markets despite operational weakness.
Read all positive factors

CNT Group Limited (0701) vs. iShares MSCI Hong Kong ETF (EWH)

CNT Group Limited Business Overview & Revenue Model

Company Description
CNT Group Limited operates as an investment holding company, primarily engaged in the production and distribution of paint and coating solutions across Hong Kong and Mainland China. The firm's diverse activities are structured into four main divis...
How the Company Makes Money
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CNT Group Limited Financial Statement Overview

Summary
Financials show early stabilization but not a confirmed turnaround: revenue has contracted sharply over multiple years and remains down in 2025, while net losses persist (negative net margin and negative EBIT). Offsetting positives include improved gross margin, modestly positive EBITDA, and a return to positive operating and free cash flow in 2025. The balance sheet is relatively low leverage (debt-to-equity ~0.12), but ongoing losses continue to pressure returns and the asset base.
Income Statement
34
Negative
Balance Sheet
63
Positive
Cash Flow
55
Neutral
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue267.72M345.90M495.65M665.59M885.47M
Gross Profit118.01M144.56M174.58M156.16M200.59M
EBITDA5.29M-14.35M-46.88M-76.36M4.04M
Net Income-55.14M-77.38M-68.58M-94.08M-20.63M
Balance Sheet
Total Assets1.65B1.72B1.96B2.30B2.44B
Cash, Cash Equivalents and Short-Term Investments330.17M286.74M359.39M429.48M503.89M
Total Debt145.87M144.02M178.90M297.90M272.73M
Total Liabilities353.02M393.79M511.37M714.33M759.28M
Stockholders Equity1.20B1.22B1.32B1.45B1.55B
Cash Flow
Free Cash Flow21.62M-10.74M92.58M-40.26M30.95M
Operating Cash Flow23.25M-8.57M96.58M-17.10M49.27M
Investing Cash Flow3.81M53.54M-85.78M-15.68M-46.36M
Financing Cash Flow-4.13M-36.38M-160.25M-21.31M-45.08M

CNT Group Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.20
Price Trends
50DMA
0.11
Negative
100DMA
0.15
Negative
200DMA
0.17
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
40.99
Neutral
STOCH
43.86
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0701, the sentiment is Negative. The current price of 0.2 is above the 20-day moving average (MA) of 0.11, above the 50-day MA of 0.11, and above the 200-day MA of 0.17, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 40.99 is Neutral, neither overbought nor oversold. The STOCH value of 43.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0701.

CNT Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
HK$1.23B8.803.36%7.85%-5.34%43.44%
63
Neutral
HK$336.00M18.306.55%2.00%12.06%12.03%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
49
Neutral
HK$1.09B-15.50-3.55%-16.30%-113.19%
48
Neutral
HK$42.55B20.914.33%29.93%
46
Neutral
HK$199.89M-6.55-8.30%-22.60%28.57%
46
Neutral
HK$2.43B-68.56-15.58%-0.05%-54.13%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0701
CNT Group Limited
0.11
-0.10
-49.76%
HK:0408
Yip's Chemical Holdings
2.20
0.65
41.94%
HK:2116
Jiangsu Innovative Ecological New Materials Ltd.
0.69
0.20
40.82%
HK:0301
SANVO Fine Chemicals Group Limited
5.17
3.79
274.64%
HK:2502
Henan Jinyuan Hydrogenated Chemicals Co., Ltd. Class H
0.64
0.12
23.08%
HK:2579
CNGR Advanced Material Co., Ltd. Class H
23.46
-10.01
-29.91%

CNT Group Limited Corporate Events

Offerors Secure Majority Control in CNT Group as Takeover Closes
Jul 2, 2026
CNT Group Limited, incorporated in Bermuda and listed in Hong Kong under stock code 701, has been the subject of a formal takeover offer by Prime Surplus Limited and SHK Hong Kong Industries Limited. The Offerors and their concert parties entered ...
CNT Takeover Offer Turns Unconditional as Bidders Secure Majority Stake
Jun 17, 2026
Offerors Prime Surplus Limited and SHK Hong Kong Industries have secured sufficient acceptances in their takeover bid for CNT Group, pushing their combined holding to about 50.17% of CNT’s issued shares. This crosses the key 50% voting-right...
CNT Group Wins Shareholder Backing for All AGM Resolutions and Capital Mandates
Jun 4, 2026
CNT Group Limited reported that all resolutions at its 4 June 2026 annual general meeting were duly passed by shareholders, confirming its audited financial statements for the year ended 31 December 2025 and maintaining ZHONGHUI ANDA CPA Limited a...
CNT Group Sends Takeover Offer Document, Sets Timetable for Shareholder Response
May 29, 2026
Offerors Prime Surplus Limited and SHK Hong Kong Industries Limited and target company CNT Group Limited have jointly confirmed the despatch of the composite document for the takeover offer to independent CNT shareholders on 29 May 2026. The docum...
CNT Group delays dispatch of takeover offer documents for CNT and CPM
May 12, 2026
CNT Group Limited and related parties have postponed the dispatch of a composite document to independent CNT shareholders in connection with a takeover offer, after seeking regulatory consent to extend the deadline from 12 May 2026 to no later tha...
CNT Group Sets June 2026 AGM to Approve Accounts, Board Changes and Share Issue Mandate
Apr 24, 2026
CNT Group Limited has called its annual general meeting for 4 June 2026 in Hong Kong, where shareholders will review the audited consolidated financial statements for the year ended 31 December 2025 and consider the re-election of two executive di...
Prime Surplus Triggers Mandatory Offer for CNT After Stake Increase
Apr 21, 2026
Control of CNT Group Limited tightened after Prime Surplus Limited acquired 88,723,592 CNT shares, or about 4.66% of the company, at HK$0.10 per share, lifting the concert group’s stake to roughly 34.38%. This triggered a mandatory condition...
CNT Group Halts Trading Pending Takeover-Related Announcement
Apr 13, 2026
CNT Group Limited, a Hong Kong-listed company with a conventional board structure of executive, non-executive and independent non-executive directors, has requested a halt in trading of its shares on the Main Board of the Stock Exchange of Hong Ko...
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: Jul 04, 2026