Giordano International (0709) AI Stock Analysis

• Market Cap: HK$2.41B
• Dividend Yield: 9.06%
• Average Volume (3M): 1.21M
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.66
• Revenue Growth: 3.78%
• EPS Growth: -21.19%
• Country: HK
• Employees: 6,627
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 0.07
• Shares Outstanding: 1,616,368,500
• 10 Day Avg. Volume: 968,740
• 30 Day Avg. Volume: 1,211,556
• PEG Ratio: -0.31
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 0.70
• P/FCF Ratio: 4.24
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: HK$1.50 ▲(1.35% Upside)

Giordano International's overall stock score is driven by its stable financial performance and attractive valuation, despite challenges in profitability and lack of strong market momentum. The high dividend yield adds to its appeal, but operational efficiency needs improvement for future growth.

Giordano International Business Overview & Revenue Model

Company Description

Giordano International (0709) is a leading apparel retailer headquartered in Hong Kong, specializing in casual wear and fashion apparel for men, women, and children. Established in 1981, the company operates a vast network of retail outlets across Asia, the Middle East, and other international markets. Giordano is known for its high-quality, affordable clothing and offers a range of products including t-shirts, shirts, trousers, and outerwear, catering to a diverse customer base.

How the Company Makes Money

Giordano International generates revenue primarily through the sale of its clothing and accessories in its retail stores and through e-commerce platforms. The company operates a franchise model, allowing it to expand its presence in various markets with lower capital investment. Key revenue streams include direct retail sales, franchise fees, and royalties from franchise operations. Additionally, strategic partnerships with local distributors and promotional campaigns contribute to increased sales. Seasonally driven collections and a focus on customer loyalty programs also play a significant role in enhancing customer retention and boosting revenue.

Giordano International Financial Statement Overview

Summary

Giordano International has shown steady revenue growth and a strong balance sheet with low leverage. However, declines in profitability metrics, such as net profit margin and ROE, suggest challenges in operational efficiency. The lack of 2024 operating cash flow data limits comprehensive cash flow analysis.

Income Statement

Giordano International has shown consistent revenue recovery over the years, rebounding from a low in 2020 with a 7.7% growth in 2021 and a 2.1% growth in 2023. The gross profit margin remained stable at around 57% in recent years. However, net profit margin decreased from 8.9% in 2023 to 5.5% in 2024, indicating a decline in profitability. The EBIT margin also fell from 13.0% to 9.6% over the same period, suggesting increased operational costs.

Balance Sheet

The company's balance sheet reflects solid equity with a debt-to-equity ratio decreasing to 0.18 in 2024, down from previous years, indicating reduced leverage. However, the return on equity (ROE) declined from 15.8% in 2023 to 10.8% in 2024, suggesting less efficient use of equity. The equity ratio stands strong at 53.1% in 2024, showing a well-capitalized structure.

Cash Flow

While Giordano has maintained a positive free cash flow over the years, the growth rate stagnated with no significant change in 2024. With operating cash flow data unavailable for 2024, the operating cash flow to net income ratio cannot be assessed for the latest period. Historical data shows a robust free cash flow to net income ratio, which was 2.6 in 2023.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.95B	3.92B	3.87B	3.80B	3.38B	3.12B
Gross Profit	2.19B	2.23B	2.26B	2.15B	1.93B	1.74B
EBITDA	395.00M	879.00M	540.00M	448.00M	272.00M	-96.00M
Net Income	217.00M	216.00M	345.00M	268.00M	190.00M	-112.00M
Balance Sheet
Total Assets	3.72B	3.77B	3.86B	4.01B	4.21B	4.38B
Cash, Cash Equivalents and Short-Term Investments	749.00M	836.00M	935.00M	966.00M	1.04B	1.26B
Total Debt	734.00M	744.00M	696.00M	625.00M	805.00M	919.00M
Total Liabilities	1.51B	1.65B	1.54B	1.49B	1.65B	1.75B
Stockholders Equity	2.08B	2.00B	2.19B	2.32B	2.40B	2.47B
Cash Flow
Free Cash Flow	616.00M	644.00M	906.00M	788.00M	469.00M	651.00M
Operating Cash Flow	688.00M	710.00M	993.00M	854.00M	511.00M	682.00M
Investing Cash Flow	-61.00M	149.00M	-207.00M	-120.00M	-63.00M	173.00M
Financing Cash Flow	-638.00M	-779.00M	-925.00M	-853.00M	-641.00M	-644.00M

Giordano International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.48
• 50DMA: Negative
• 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:0709, the sentiment is Negative. The current price of 1.48 is below the 20-day moving average (MA) of 1.50, below the 50-day MA of 1.52, and above the 200-day MA of 1.40, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.07 is Neutral, neither overbought nor oversold. The STOCH value of 73.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0709.

Giordano International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3709	―	HK$5.53B	10.62	10.59%	4.83%	-7.34%	-28.66%
1368	―	$15.51B	10.05	15.27%	4.94%	-12.29%	21.00%
6110	―	HK$20.28B	15.61	12.82%	10.52%	-5.66%	-31.36%
0483	―	HK$106.54M	9.12	6.87%	―	0.78%	863.64%
0709	―	HK$2.41B	11.09	10.57%	9.06%	3.78%	-21.19%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
1817	―	HK$342.00M	9.47	4.51%	―	-7.95%	98.95%

Giordano International Corporate Events

Giordano International’s Strategic Shift Boosts Online Revenue Amidst Q3 Revenue Decline

Giordano International Limited reported a slight decline in Q3 2025 revenue by 1.4%, but showed a year-to-date growth of 0.6%, highlighting the company’s strategic shift towards high-growth channels and markets. The company’s ‘Digital-First’ strategy resulted in a significant increase in online revenue by 16.5% for the quarter, and the Gulf Cooperation Council markets also performed strongly, contributing to an improved gross profit margin. Despite challenges such as adverse weather in Greater China, Giordano’s core business remained stable, and the company continues to focus on margin improvement, inventory optimization, and channel diversification to drive long-term growth.

The most recent analyst rating on (HK:0709) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Giordano International stock, see the HK:0709 Stock Forecast page.

Giordano International Announces Forfeiture of Unclaimed Dividends

Giordano International Limited has announced that unclaimed dividends declared on August 8, 2019, will be forfeited if not claimed by September 26, 2025. Shareholders are advised to contact the company’s Hong Kong branch share registrar to claim their dividends before the deadline, as these funds will revert to the company if unclaimed.

The most recent analyst rating on (HK:0709) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Giordano International stock, see the HK:0709 Stock Forecast page.

Giordano International Reports Steady Growth Amid Challenges

Giordano International Limited, a leading apparel retailer headquartered in Hong Kong, operates in the fashion industry with a focus on casual wear and a strong presence in Asia and the Middle East. The company is known for its ‘Digital-First’ strategy and its ‘Beyond Boundaries’ 5-year strategic plan, emphasizing growth in Greater China and digital transformation.

Giordano International Updates Nomination Committee Terms

Giordano International Limited has updated the terms of reference for its Nomination Committee as of August 29, 2025. The committee is responsible for reviewing the board’s structure, identifying qualified board members, and ensuring board diversity and independence. This update aims to enhance the company’s governance by maintaining a skilled and diverse board, which is crucial for aligning with corporate strategies and ensuring compliance with listing rules.

The most recent analyst rating on (HK:0709) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Giordano International stock, see the HK:0709 Stock Forecast page.

Giordano International Reports Revenue Growth Amid Strategic Shifts

Giordano International Limited reported a 1.6% increase in revenue for the first half of 2025, driven by strong online business performance and improvements in wholesale and franchise operations. Despite a decline in gross margin and challenges with Non-Giordano Brands in Indonesia and a joint venture in South Korea, the company maintained a stable net profit attributable to shareholders. The company also demonstrated effective inventory management and a robust financial position, enabling future growth and a commitment to shareholder value through dividends.

The most recent analyst rating on (HK:0709) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Giordano International stock, see the HK:0709 Stock Forecast page.

Giordano International Declares Interim Dividend for 2025

Giordano International Limited announced an interim dividend of HKD 0.075 per share for the six months ending June 30, 2025. This decision reflects the company’s ongoing commitment to returning value to its shareholders, potentially enhancing its attractiveness to investors and strengthening its market position.

The most recent analyst rating on (HK:0709) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Giordano International stock, see the HK:0709 Stock Forecast page.

Giordano International Schedules Board Meeting for Interim Results

Giordano International Limited has announced that its board of directors will meet on August 29, 2025, to approve the interim results for the first half of the year and consider an interim dividend. This meeting reflects the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its financial performance and investor relations.