Emperor Capital Group Limited (0717) AI Stock Analysis

• Market Cap: HK$721.27M
• Dividend Yield: N/A
• Average Volume (3M): 67.89M
• Price to Earnings (P/E): 8.9
• Beta (1Y): 1.97
• Revenue Growth: -4.56%
• EPS Growth: N/A
• Country: HK
• Employees: 126
• Sector: Financial
• Sector Strength: 80
• Industry: Financial - Capital Markets
• EPS (TTM): <0.01
• Shares Outstanding: 6,740,845,700
• 10 Day Avg. Volume: 78,113,821
• 30 Day Avg. Volume: 67,887,680
• PEG Ratio: 0.04
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.30
• 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: Hold
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: HK$0.00 ▼(-100.00%Downside)

The overall score reflects strong technical analysis and robust financial performance, with valuation supporting the stock's potential. The lack of earnings call data and corporate events leaves the primary focus on these strengths. The positive trajectory in profitability and strong market momentum are key drivers of the score.

Emperor Capital Group Limited Business Overview & Revenue Model

Company Description

Emperor Capital Group Limited, an investment holding company, provides various financial services in Hong Kong, the United States, and internationally. The company operates through Financing, Brokerage Services, Placing and Underwriting, and Corporate Finance segments. It offers commercial and personal lending services comprising short-term unsecured loans, such as tax loans, bridging loans, term loans, and personal loans, as well as long-term secured loans, including property mortgage loans; margin and initial public offering (IPO) financing services; and liquidity solutions to corporate and retail clients. The company also provides brokerage services for securities, futures, and options traded on the exchanges in Hong Kong, Mainland China, and overseas countries; investment services, such as securities, mutual funds, insurance-linked products, and real estate investments; asset management services; and discretionary investment services. In addition, it offers placing and underwriting services, as well as acts as a placing agents and underwriters for various Hong Kong-listed companies; and corporate finance advisory services on takeovers code related transactions and undertakes sponsor work for IPOs, as well as advisory services for corporate transactions, including placing, rights issue, corporate restructuring, and merger and acquisition services. Further, the company provides a web-based and mobile trading platforms, which enable real-time transaction and investment portfolio monitoring. It also offers promotion and marketing and business development services. Emperor Capital Group Limited was founded in 1993 and is headquartered in Wanchai, Hong Kong.

How the Company Makes Money

Emperor Capital Group Limited generates revenue primarily through its brokerage services, earning commissions and fees from trading activities in securities and futures markets. The company also makes money through interest income from margin financing and providing loans to its clients. Additionally, Emperor Capital Group earns fees from its asset management services by managing portfolios for clients, and from corporate finance by providing advisory services for mergers, acquisitions, and other financial transactions. Strategic partnerships with financial institutions and a diverse client base further contribute to the company's revenue streams.

Emperor Capital Group Limited Financial Statement Overview

Summary

Emperor Capital Group Limited has shown a commendable recovery with improved profitability and cash flow management. Despite a revenue decline, the strong balance sheet with low leverage and improved financial ratios provide a solid foundation.

Income Statement

Emperor Capital Group Limited has demonstrated a significant improvement in profitability over the last year. The gross profit margin for the latest period is approximately 71.7%, showing strong cost management. The net profit margin has turned positive to about 19.9%, indicating a successful turnaround from previous losses. However, the revenue has decreased by 16.6% from the prior year, which is a concern. EBIT was neutral, and EBITDA margins were around 21.6%, showing improved operational efficiency despite a challenging revenue environment.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of approximately 0.004, indicating minimal leverage. The equity ratio is robust at 65.5%, reflecting financial stability and a strong asset base. Return on equity has improved to 1.9%, suggesting better profitability for shareholders, although there's room for further enhancement.

Cash Flow

Cash flow analysis shows strong free cash flow growth of 28.2% over the previous year, demonstrating improved cash generation capability. The operating cash flow to net income ratio is exceptionally high at 7.25, indicating efficient cash earnings. Additionally, the free cash flow to net income ratio is also strong at 7.19, underscoring robust cash management.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	333.84M	400.43M	516.09M	684.03M	928.67M
Gross Profit	239.30M	286.47M	465.62M	621.11M	870.07M
EBITDA	77.22M	-119.46M	-249.36M	-447.38M	-550.26M
Net Income	66.36M	-160.64M	-299.23M	-576.09M	-689.75M
Balance Sheet
Total Assets	5.27B	5.19B	5.69B	6.80B	10.02B
Cash, Cash Equivalents and Short-Term Investments	1.26B	1.00B	1.02B	1.02B	852.03M
Total Debt	12.42M	232.08M	437.79M	884.66M	3.79B
Total Liabilities	1.82B	1.80B	2.14B	2.95B	5.59B
Stockholders Equity	3.46B	3.39B	3.55B	3.85B	4.43B
Cash Flow
Free Cash Flow	477.18M	372.26M	444.60M	3.34B	-1.60B
Operating Cash Flow	481.30M	375.69M	452.29M	3.34B	-1.59B
Investing Cash Flow	-4.10M	-3.43M	-4.17M	-274.00K	-1.07M
Financing Cash Flow	-218.69M	-230.80M	-451.39M	-2.91B	699.98M

Emperor Capital Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 50DMA: Positive
• 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:0717, the sentiment is Positive. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.08, and above the 200-day MA of 0.06, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 54.55 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0717.

Emperor Capital Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0717	75 Outperform	HK$721.27M	8.92	2.36%	―	-4.56%	―
Sector *	67 Neutral	$16.77B	11.73	9.77%	3.75%	12.07%	-8.28%
0227	66 Neutral	€985.81M	12.36	3.16%	―	23.06%	―
1461	54 Neutral	HK$851.61M	173.47	0.18%	1.80%	-4.20%	-96.68%
1788	50 Neutral	€60.33B	174.45	2.31%	0.63%	37.06%	72.51%
0952	45 Neutral	HK$1.09B	59.38	-3.62%	―	14.16%	-161.03%
8540	43 Neutral	HK$1.75B	―	-1.87%	0.39%	40.20%	87.43%

Emperor Capital Group Limited Corporate Events

Emperor Capital Group Approves Key Resolution at SGM

Emperor Capital Group Limited announced the successful passing of an ordinary resolution at their Special General Meeting held on July 10, 2025. The resolution, which involved the approval of granting options to Ms. Fan Man Seung, Vanessa, was passed with 97.9220% of votes in favor. This decision reflects the company’s ongoing efforts to incentivize and retain key personnel, potentially impacting its operational dynamics and stakeholder confidence positively.

Emperor Capital Group Updates Nomination Committee Terms

Emperor Capital Group Limited has announced the fifth amendment and re-adoption of the terms of reference for its Nomination Committee, initially established in 2012. The committee, primarily composed of independent non-executive directors, is tasked with reviewing the board’s structure, diversity, and composition, and making recommendations for changes to align with the company’s corporate strategy. The announcement underscores the company’s commitment to maintaining a diverse and skilled board, ensuring effective governance and strategic alignment.

Emperor Capital Group to Hold Special Meeting on Share Options Grant

Emperor Capital Group Limited has announced a special general meeting to be held on July 10, 2025, to consider and approve the grant of 337,042,286 share options to Ms. FAN Man Seung, Vanessa, an executive director of the company. This move is part of the company’s share option scheme adopted in 2017, aimed at incentivizing key executives and aligning their interests with the company’s long-term goals. The approval of this resolution could have significant implications for the company’s governance and executive compensation strategies.

Emperor Capital Group Proposes Significant Share Option Grant

Emperor Capital Group Limited has announced the proposed grant of 337,042,286 share options to Ms. Fan Man Seung, Vanessa, an executive director, under its share option scheme. This move is intended to reward her past contributions and incentivize her continued involvement in the company’s growth. The options, which are vested immediately upon grant, have a ten-year validity and are not subject to performance targets, reflecting the company’s strategy to offer flexible incentives to its key personnel.

Emperor Capital Group Reports Robust Revenue Growth in Interim Results

Emperor Capital Group Limited announced a significant increase in total revenue by 117% to HK$402.6 million for the six months ending March 31, 2025, driven largely by a 463% surge in its wealth solutions segment. The company’s strategic focus on wealth solutions, bolstered by the new Capital Investment Entrant Scheme, has led to a notable rise in net profit by 35% to HK$56.1 million, reflecting its strengthened market position and growth potential in the financial services industry.

Emperor Capital Group Schedules Board Meeting for Interim Results

Emperor Capital Group Limited has announced that its board of directors will convene on May 22, 2025, to approve the interim results for the six months ending March 31, 2025, and to consider any interim dividend payments. This meeting is significant as it will provide insights into the company’s financial health and strategic direction, potentially impacting investor confidence and market positioning.