Skyworth Digital Holdings (0751) AI Stock Analysis

• Market Cap: HK$9.78B
• Dividend Yield: N/A
• Average Volume (3M): 35.80M
• Price to Earnings (P/E): 34.5
• Beta (1Y): 0.77
• Revenue Growth: 6.10%
• EPS Growth: -70.77%
• Country: HK
• Employees: 30,800
• Sector: Technology
• Sector Strength: 88
• Industry: Consumer Electronics
• EPS (TTM): 0.06
• Shares Outstanding: 1,892,004,800
• 10 Day Avg. Volume: 10,666,656
• 30 Day Avg. Volume: 35,803,365
• PEG Ratio: -0.29
• Price to Book (P/B): 0.38
• Price to Sales (P/S): 0.11
• P/FCF Ratio: -3.96
• 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: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: HK$4.00 ▼(-22.78% Downside)

Skyworth Digital Holdings faces significant challenges, primarily due to its declining financial performance and cash flow issues. The technical indicators suggest a bearish trend, and the valuation metrics indicate potential overvaluation. These factors outweigh the moderate leverage and solid equity support seen in the balance sheet.

Positive Factors

Business Model Strength

Skyworth's focus on innovation and technology advancement positions it well in the competitive consumer electronics market, ensuring long-term relevance and customer appeal.

Market Position

As a leading manufacturer in China, Skyworth benefits from strong brand recognition and market presence, which supports its competitive advantage and potential for sustained growth.

Revenue Growth Trends

Despite challenges, Skyworth's positive revenue growth trend indicates resilience and the ability to expand its market reach, supporting long-term business sustainability.

Negative Factors

Declining Profitability

The decline in net profit margin reflects cost pressures and challenges in maintaining profitability, which could impact long-term financial health if not addressed.

Cash Flow Challenges

Negative cash flow indicates difficulties in generating sufficient cash from operations, potentially limiting investment capacity and financial flexibility.

Revenue Decline

The decline in revenue suggests potential market share loss or demand issues, which could hinder growth prospects if not reversed.

Skyworth Digital Holdings Business Overview & Revenue Model

Company Description

Skyworth Group Limited, an investment holding company, researches and develops, manufactures, sells, and exports consumer electronic products. It operates through Multimedia Business, Smart Systems Technology Business, Smart Appliances Business, and New Energy Business segments. The company offers smart TV systems; home access systems, such as digital set-top boxes; smart white appliances, including air conditioners, refrigerators, washing machines, kitchen appliances, other products; LCD modules; automotive electronic systems; lighting products; security systems; and other electronic products, as well as internet value-added services. It is also involved in the property development and holding; trading of consumer electronic products; and sale and installation of photovoltaic power station for residential use, as well as financing and treasury management activities. In addition, the company engages in the maintenance and repair of home appliances; construction development business; finance leasing; and logistics services, as well as operates industrial parks. It has operations in the People's Republic of China, rest of Asia, Europe, the Middle East, the United States, Oceania, and Africa. The company was formerly known as Skyworth Digital Holdings Limited and changed its name to Skyworth Group Limited in June 2019. Skyworth Group Limited was founded in 1988 and is headquartered in Quarry Bay, Hong Kong.

How the Company Makes Money

Skyworth Digital Holdings generates revenue through multiple channels primarily focused on the sale of consumer electronics, including televisions, digital set-top boxes, and smart home products. The company benefits from economies of scale in manufacturing and has established a significant presence in both online and offline retail platforms. Additionally, Skyworth engages in partnerships with telecommunications companies and content providers to enhance its product offerings, which often include bundled services. Moreover, the company invests in research and development to create innovative products that meet consumer demand, thereby driving sales and expanding its market share. The diversification of its product lines and strategic collaborations further bolster Skyworth's revenue streams.

Skyworth Digital Holdings Financial Statement Overview

Summary

Skyworth Digital Holdings shows mixed financial performance. The income statement reveals declining revenue and profitability, while the balance sheet reflects moderate leverage and solid equity support. However, cash flow challenges present a concern, with negative operating and free cash flows. The company should focus on improving its cash flow management and profitability to enhance financial stability.

Income Statement

Skyworth Digital Holdings has experienced a decline in revenue from 2023 to 2024, with total revenue falling from HKD 69.03 billion to HKD 64.90 billion, indicating a negative revenue growth rate of -6.36%. Gross profit margin for 2024 is 13.40%, down from the previous year, highlighting potential cost pressures. The net profit margin also decreased to 0.88% from 1.55%, indicating a decline in profitability. However, the company's EBIT and EBITDA margins show resilience with relatively stable figures at 1.62% and 2.50%, respectively.

Balance Sheet

The debt-to-equity ratio is 0.90, reflecting a moderate level of leverage. Return on equity (ROE) decreased to 3.11% in 2024 from 5.89% in 2023, indicating less efficient use of equity. The equity ratio stands at 26.05%, suggesting a solid asset base supported by equity. The balance sheet shows stability, but with a decrease in equity and ROE, potential risks related to financial leverage should be monitored.

Cash Flow

Skyworth Digital Holdings faced challenges in cash flow with a negative operating cash flow of HKD -506 million and free cash flow of HKD -1.736 billion in 2024, compared to positive figures in 2023. This represents a significant deterioration in cash flow health. The free cash flow to net income ratio is also negative, indicating that the company is currently not generating enough free cash flow relative to its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	76.77B	65.01B	69.03B	62.20B	61.38B	45.05B
Gross Profit	9.70B	8.81B	9.64B	9.54B	10.30B	8.05B
EBITDA	2.77B	1.62B	3.45B	3.01B	3.63B	3.26B
Net Income	333.87M	568.00M	1.07B	827.00M	1.63B	1.44B
Balance Sheet
Total Assets	82.22B	70.01B	67.16B	72.32B	74.47B	63.65B
Cash, Cash Equivalents and Short-Term Investments	13.30B	9.46B	9.83B	10.10B	12.15B	12.39B
Total Debt	21.15B	16.40B	15.46B	17.24B	19.87B	13.37B
Total Liabilities	57.32B	46.87B	44.40B	47.73B	48.68B	41.13B
Stockholders Equity	19.04B	18.24B	18.14B	20.06B	22.07B	19.34B
Cash Flow
Free Cash Flow	1.98B	-1.74B	660.00M	3.02B	-1.12B	1.58B
Operating Cash Flow	3.44B	-506.00M	2.48B	5.89B	1.40B	3.45B
Investing Cash Flow	81.02M	17.00M	-352.00M	-5.05B	-1.22B	-264.07M
Financing Cash Flow	-874.30M	-263.00M	-2.21B	-1.66B	2.37B	563.00M

Skyworth Digital Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0751, the sentiment is Positive. The current price of 5.18 is above the 20-day moving average (MA) of 4.30, above the 50-day MA of 4.11, and above the 200-day MA of 3.56, indicating a bullish trend. The MACD of 0.31 indicates Negative momentum. The RSI at 83.55 is Negative, neither overbought nor oversold. The STOCH value of 93.69 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0751.

Skyworth Digital Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1810	71 Outperform	HK$1.01T	20.39	19.56%	―	35.67%	122.22%
1070	66 Neutral	HK$26.02B	11.58	13.06%	2.96%	21.26%	94.52%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
0927	54 Neutral	HK$276.80M	-4.96	-11.41%	8.70%	-16.95%	-461.16%
1401	54 Neutral	HK$1.05B	47.92	4.74%	―	-0.54%	-46.27%
1747	54 Neutral	HK$2.23B	62.37	15.73%	0.50%	11.29%	40.42%
0751	53 Neutral	HK$9.78B	34.49	1.76%	―	6.10%	-70.77%

Skyworth Digital Holdings Corporate Events

Skyworth Digital Releases Q3 2025 Financial Results

Skyworth Digital Co., Ltd., a subsidiary of Skyworth Group Limited, announced its unaudited third quarterly results for the nine months ending September 30, 2025. The financial information, which is available on the Shenzhen Stock Exchange’s website, indicates the company’s ongoing financial activities and market performance, although it has not been audited. This announcement is significant for shareholders and potential investors as it provides insights into the company’s financial health and operational progress.

The most recent analyst rating on (HK:0751) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Skyworth Digital Holdings stock, see the HK:0751 Stock Forecast page.

Skyworth Group’s Subsidiary Engages in Financial Leasing Agreement with Nanjing Golden Dragon Bus

Skyworth Group Limited’s subsidiary, Shenzhen Chuangwei Financial Leasing, has entered into a Financial Leasing Business Agreement with Nanjing Golden Dragon Bus Co., Ltd. This agreement involves providing financial leasing services through a sale and leaseback arrangement at an initial sale price of RMB85 million. The transaction, which is a continuing connected transaction due to the involvement of Mr. Wong, a controlling shareholder, is subject to reporting and announcement requirements but is exempt from independent shareholders’ approval under the Listing Rules. The agreement reflects Skyworth’s strategic move to leverage its financial leasing capabilities, potentially strengthening its position in the financial services sector.

The most recent analyst rating on (HK:0751) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Skyworth Digital Holdings stock, see the HK:0751 Stock Forecast page.