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BOE Varitronix Ltd (HK:0710)
:0710
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BOE Varitronix (0710) AI Stock Analysis

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HK:0710

BOE Varitronix

(0710)

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Outperform 70 (OpenAI - 4o)
Rating:70Outperform
Price Target:
HK$6.00
▲(19.52% Upside)
BOE Varitronix's strong financial performance and reasonable valuation are the primary drivers of the stock's score. However, technical indicators suggest a bearish trend, which tempers the overall outlook. The absence of recent earnings call insights or corporate events means these factors do not influence the score.
Positive Factors
Revenue Growth
The company's robust revenue growth indicates a strong market position and increasing demand for its products, supporting long-term business expansion.
Balance Sheet Health
A low debt-to-equity ratio signifies financial stability and low leverage, providing the company with flexibility to invest in growth opportunities.
Cash Flow Management
Efficient cash flow management ensures the company can fund operations and investments, enhancing its ability to sustain growth and weather economic fluctuations.
Negative Factors
Declining Net Profit Margin
A declining net profit margin suggests rising costs or inefficiencies, which could impact profitability and require strategic adjustments to maintain margins.
Earnings Decline
A decrease in ROE indicates reduced earnings efficiency, which may affect investor confidence and necessitate improvements in operational effectiveness.
Profitability Alignment
The moderate relationship between cash flow and profitability highlights a need for better conversion of net income into cash, crucial for sustaining financial health.

BOE Varitronix (0710) vs. iShares MSCI Hong Kong ETF (EWH)

BOE Varitronix Business Overview & Revenue Model

Company DescriptionBOE Varitronix Limited, an investment holding company, designs, manufactures, and sells liquid crystal display and related products in the People's Republic of China, Europe, the United States, South Korea, and internationally. It primarily provides thin film transistor modules. The company offers display products for use in automotive applications in digital instrument cluster display, center information display, HUD, and E-mirror products; and products for use in industrial applications, such as white goods, home automation, and other products. It also engages in the property holding business; and marketing and sales consulting activities. The company was formerly known as Varitronix International Limited and changed its name to BOE Varitronix Limited in July 2017. BOE Varitronix Limited was founded in 1978 and is headquartered in Kwun Tong, Hong Kong.
How the Company Makes MoneyBOE Varitronix generates revenue through the sale of its display products and components to various industries, including consumer electronics, automotive, and industrial applications. The company's primary revenue streams include direct sales of LCDs, OLEDs, and touch panels to manufacturers and original equipment manufacturers (OEMs). Additionally, BOE Varitronix may engage in long-term contracts with clients that provide stable revenue over time. The company also benefits from strategic partnerships with technology firms and industry leaders, which enhance its market reach and product offerings. Factors contributing to its earnings include the growing demand for advanced display technologies, increasing adoption of smart devices, and the expansion of the automotive electronics market.

BOE Varitronix Financial Statement Overview

Summary
BOE Varitronix shows strong financial performance with robust revenue growth and improved gross profit margin. The balance sheet is stable with low leverage, and cash flow management is positive, though there is room for better alignment between profitability and free cash flow.
Income Statement
85
Very Positive
BOE Varitronix has demonstrated strong revenue growth, with a significant increase from 2023 to 2024. The gross profit margin improved to 16.59% in 2024 from previous years, indicating better cost management. However, the net profit margin has slightly declined to 2.91% in 2024 from 4.42% in 2023, suggesting increased expenses or reduced cost efficiency. Nevertheless, the company's EBIT and EBITDA margins remain stable, reflecting consistent operational performance.
Balance Sheet
88
Very Positive
The company's balance sheet is robust, with a low debt-to-equity ratio of 0.09 in 2024, indicating low financial leverage. The equity ratio is strong at 39.57%, demonstrating a healthy capital structure. Return on equity (ROE) is moderate at 8.63% for 2024, which is a slight decrease from 10.91% in 2023, reflecting the decline in net income. Overall, the balance sheet reflects stability and low-risk financial management.
Cash Flow
82
Very Positive
BOE Varitronix's cash flow management is positive, with a substantial increase in free cash flow from 2023 to 2024. The operating cash flow to net income ratio is strong, indicating efficient cash generation from operations. However, the free cash flow to net income ratio shows a moderate relationship between cash flow and profitability, signaling room for improvement in converting net income into free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue13.96B13.45B10.76B10.72B7.74B4.53B
Gross Profit2.39B2.23B1.97B881.45M574.52M231.23M
EBITDA458.99M691.12M685.23M843.21M477.61M218.89M
Net Income399.66M391.28M475.26M582.45M327.80M68.64M
Balance Sheet
Total Assets11.83B11.46B10.03B8.28B5.54B3.83B
Cash, Cash Equivalents and Short-Term Investments4.80B3.93B3.57B2.88B2.27B1.64B
Total Debt463.41M410.69M642.00M678.99M22.55M19.43M
Total Liabilities7.12B6.86B5.62B4.15B2.20B1.06B
Stockholders Equity4.66B4.54B4.35B4.06B3.03B2.71B
Cash Flow
Free Cash Flow1.06B888.97M677.89M-368.82M439.13M221.52M
Operating Cash Flow1.27B1.46B1.19B811.83M690.43M277.77M
Investing Cash Flow-1.02B-1.78B-224.10M-1.49B-140.00K-10.44M
Financing Cash Flow-357.61M-430.15M-263.47M1.38B-69.86M-215.93M

BOE Varitronix Technical Analysis

Technical Analysis Sentiment
Negative
Last Price5.02
Price Trends
50DMA
5.45
Negative
100DMA
6.00
Negative
200DMA
6.10
Negative
Market Momentum
MACD
-0.17
Negative
RSI
42.29
Neutral
STOCH
44.09
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0710, the sentiment is Negative. The current price of 5.02 is below the 20-day moving average (MA) of 5.11, below the 50-day MA of 5.45, and below the 200-day MA of 6.10, indicating a bearish trend. The MACD of -0.17 indicates Negative momentum. The RSI at 42.29 is Neutral, neither overbought nor oversold. The STOCH value of 44.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0710.

BOE Varitronix Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$3.87B9.668.91%3.39%19.25%-10.14%
66
Neutral
HK$3.67B1.3293.13%48.05%10.88%1523.33%
64
Neutral
$3.35B12.882.87%9.35%2.59%0.23%
63
Neutral
HK$649.79M21.692.74%3.47%5.79%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
58
Neutral
HK$37.68B31.646.17%4.33%-10.79%
52
Neutral
HK$14.87B29.139.13%1.33%17.21%166.36%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0710
BOE Varitronix
5.02
-0.66
-11.57%
HK:1478
Q Technology (Group) Co
11.30
6.33
127.36%
HK:0732
Truly International Holdings
1.07
0.18
19.82%
HK:0259
Yeebo (International Holdings) Limited
3.78
2.56
209.84%
HK:0040
Gold Peak Technology Group Limited
0.71
0.24
51.06%
HK:6088
FIT Hon Teng Limited
5.56
2.98
115.50%

BOE Varitronix Corporate Events

BOE Varitronix Boosts Share Award Plan with New Purchase
Oct 17, 2025

BOE Varitronix Limited announced a recent purchase of 300,000 shares as part of its Share Award Plan, which aims to incentivize and retain key personnel while aligning their interests with shareholders. This strategic move is expected to positively impact the company’s market value and demonstrates confidence in its business outlook, supported by the company’s solid financial position.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Enhances Share Award Plan with Strategic Share Purchase
Oct 13, 2025

BOE Varitronix Limited announced the purchase of 77,000 shares as part of its Share Award Plan, aimed at providing long-term incentives to key participants and aligning their interests with shareholders. This strategic move is expected to positively impact the company’s market value and demonstrates confidence in its business prospects, while maintaining a solid financial position.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Announces Key Board Changes
Oct 10, 2025

BOE Varitronix Limited has announced significant changes in its board of directors and board committees, effective from October 10, 2025. Mr. Gao and Mr. Jin have resigned from their positions, while Mr. Su has been appointed as the chairman of the board and will also serve as the chief executive officer, ensuring consistent leadership. The board believes this dual role will enhance the company’s strategic implementation. Additionally, Mr. Lo and Mr. Liu have been appointed as executive and non-executive directors, respectively, with the board maintaining a balanced structure to protect shareholder interests.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Announces Key Executive Changes
Sep 29, 2025

BOE Varitronix Limited has announced a significant change in its executive team, with the resignation of Mr. Chung Kai Cheong from his roles as Chief Financial Officer, Company Secretary, and Authorized Representative due to personal reasons. The company has appointed Mr. Li Yui Sing as the new Chief Financial Officer and Mr. Chan Ka Kit as the new Company Secretary and Authorized Representative, both bringing extensive experience in finance and accounting from reputable firms and institutions.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Enters Product Development Agreement with Chengdu BOE
Sep 23, 2025

BOE Varitronix Limited has entered into a Product Development Services Agreement with Chengdu BOE, effective from September 23, 2025, to December 31, 2026. This agreement allows the company to engage Chengdu BOE for technological support in developing new automotive display products. The agreement is classified as a continuing connected transaction under the Listing Rules, requiring reporting and annual review but exempt from circular and independent shareholders’ approval. The arrangement provides flexibility for both parties to engage with third parties for similar services during the agreement’s term.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Boosts Share Award Plan with Latest Purchase
Sep 10, 2025

BOE Varitronix Limited announced a recent purchase of 300,000 shares as part of its Share Award Plan, aimed at providing long-term incentives to key participants and aligning their interests with shareholders. This move is intended to enhance the company’s market value and competitiveness, reflecting the company’s confidence in its business outlook and financial stability.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Boosts Share Award Plan with Strategic Share Purchase
Sep 9, 2025

BOE Varitronix Limited announced the purchase of 200,000 shares as part of its Share Award Plan, aimed at providing long-term incentives to key participants and aligning their interests with shareholders. This strategic move, reflecting the company’s confidence in its business prospects, is intended to retain talent, attract new personnel, and ultimately enhance the company’s market value and shareholder benefits.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Boosts Stakeholder Alignment with Share Purchase
Sep 4, 2025

BOE Varitronix Limited announced a share purchase under its Share Award Plan, acquiring 200,000 shares to incentivize and retain key personnel, aligning their interests with shareholders. This move reflects the company’s confidence in its business prospects and aims to enhance its market value and competitiveness.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$7.00 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Reports Revenue Growth Amid Challenges
Aug 26, 2025

BOE Varitronix Limited, a Bermuda-incorporated company, specializes in the production of Thin Film Transistor (TFT) products, touch panel display modules, and automotive system products, primarily serving the automotive industry. In its latest interim earnings report for the first half of 2025, BOE Varitronix reported a revenue increase of 8% to HK$6,671 million, with an EBITDA rise of 7% to HK$338 million. The company’s profit attributable to shareholders also grew by 5% to HK$180.5 million. The company attributes its revenue growth to strong demand for its TFT products and automotive display systems, particularly in China, despite facing challenges such as increased competition in the electric vehicle market and geopolitical tensions affecting overseas operations. BOE Varitronix is focusing on expanding its automotive display business and exploring new markets to mitigate risks associated with geopolitical tensions and industry competition. With a strategic emphasis on R&D and market expansion, the company aims to enhance its product offerings and operational efficiency to maintain its competitive edge in the global market.

BOE Varitronix Sees Revenue Growth Amidst Industry Challenges
Aug 25, 2025

BOE Varitronix Limited reported an 8% increase in revenue to HK$6,671 million for the first half of 2025, driven by strong sales in its TFT and touch panel display modules, particularly in the automotive sector. Despite facing challenges such as increased competition in the electric vehicle market and cost pressures from investments in R&D and geopolitical considerations, the company managed to improve its profit attributable to shareholders by 5% to HK$180.5 million. The company maintains a strong cash position and continues to invest in its automotive display system business and overseas production capabilities to mitigate potential risks and enhance its market position.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$8.50 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 Stock Forecast page.

BOE Varitronix Schedules Board Meeting for Interim Results
Aug 13, 2025

BOE Varitronix Limited has announced a board meeting scheduled for August 25, 2025, to approve the interim results for the first half of 2025 and consider the payment of an interim dividend. This meeting could impact the company’s financial strategy and stakeholder interests as it addresses key financial decisions.

The most recent analyst rating on (HK:0710) stock is a Buy with a HK$9.63 price target. To see the full list of analyst forecasts on BOE Varitronix stock, see the HK:0710 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: Oct 23, 2025