Hopson Development Holdings Limited (0754) AI Stock Analysis

• Market Cap: HK$12.63B
• Dividend Yield: N/A
• Average Volume (3M): 2.06M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.52
• Revenue Growth: -11.68%
• EPS Growth: -3002.05%
• Country: HK
• Employees: 8,506
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): -0.46
• Shares Outstanding: 3,792,540,500
• 10 Day Avg. Volume: 1,516,523
• 30 Day Avg. Volume: 2,062,950
• PEG Ratio: -1.03
• Price to Book (P/B): 0.13
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 1.39
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: HK$3.00 ▲(0.67% Upside)

The overall stock score of 49 reflects significant challenges in financial performance, technical analysis, and valuation. The company's declining profitability and cash flow issues, coupled with bearish technical indicators and a negative P/E ratio, weigh heavily on the stock's attractiveness. Improvement in operational efficiency and cash flow generation is crucial for enhancing its financial position.

Positive Factors

Diverse Revenue Streams

Hopson's diverse revenue streams, including property sales, leasing, and management services, provide financial stability and reduce reliance on a single income source.

Strategic Partnerships

Strategic partnerships enhance Hopson's project pipeline and access to prime locations, supporting long-term growth and competitive positioning.

Stable Balance Sheet

A stable balance sheet with moderate leverage provides a foundation for financial resilience and the ability to invest in future growth opportunities.

Negative Factors

Declining Profitability

Declining profitability impacts Hopson's ability to reinvest in its business and may hinder long-term competitive strength and shareholder returns.

Cash Flow Challenges

Lack of cash flow in 2024 raises concerns about liquidity and the company's ability to sustain operations and fund future projects.

High Leverage

High leverage can limit financial flexibility and increase risk, particularly in challenging market conditions, affecting long-term stability.

Hopson Development Holdings Limited Business Overview & Revenue Model

Company Description

Hopson Development Holdings Limited, an investment holding company, primarily develops residential and commercial properties in the People's Republic of China and Hong Kong. The company operates through five segments: Property Development, Commercial Properties Investment, Property Management, Infrastructure, and Investments. It invests in and rents properties; manages restaurants, hotels, and properties; and operates hotels. The company also provides construction, water supply, clubhouse and residential, consultancy, and architectural design services. In addition, it engages in design and renovation services; sale of properties; and home decoration services, as well as investment in private and listed equity. The company was founded in 1992 and is headquartered in Central, Hong Kong. Hopson Development Holdings Limited is a subsidiary of Sounda Properties Limited.

How the Company Makes Money

Hopson Development Holdings generates revenue primarily through the sale and leasing of residential and commercial properties. The company develops residential projects that are sold to end-users, which provides a significant portion of its income. In addition to property sales, Hopson earns recurring revenue from leasing its commercial assets, such as shopping malls and office buildings. The company also engages in property management services, further contributing to its revenue streams. Key partnerships with local governments and other real estate entities facilitate access to prime development sites and enhance its project pipeline, playing a crucial role in its financial performance.

Hopson Development Holdings Limited Financial Statement Overview

Summary

Hopson Development Holdings Limited shows mixed financial health with moderate revenue growth but declining profitability and cash flow challenges. The balance sheet remains stable, but high leverage and low equity ratios are areas of concern. Overall, the company needs to improve operational efficiency and cash flow generation to enhance its financial position.

Income Statement

The company has shown moderate revenue growth with a recent increase of 10.34% in 2024. However, net income has dropped significantly from previous years, affecting the net profit margin, which is now at a low 0.32%. Gross profit margin stands at 23.12%, indicating challenges in cost management. EBIT and EBITDA margins are also under pressure, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a stable equity base with a debt-to-equity ratio of 0.83, indicating a moderate level of leverage. However, the equity ratio of 36.31% suggests that the company is heavily reliant on liabilities to finance its assets. Return on equity has declined due to reduced net income, posing potential risks to shareholder returns.

Cash Flow

Cash flows are under significant stress with no reported operating or free cash flow in 2024. Previously, there was a positive free cash flow in 2023, but the lack of data for 2024 indicates potential liquidity issues. The absence of cash flow metrics this year raises concerns about the company's ability to generate cash from its operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.50B	37.83B	34.29B	27.25B	30.73B	34.38B
Gross Profit	7.54B	8.75B	9.50B	10.88B	16.56B	21.84B
EBITDA	5.20B	6.09B	7.71B	6.83B	6.16B	18.23B
Net Income	-2.69B	119.58M	2.92B	8.76B	9.76B	13.63B
Balance Sheet
Total Assets	256.68B	256.88B	288.69B	298.71B	346.23B	300.87B
Cash, Cash Equivalents and Short-Term Investments	8.92B	11.91B	16.60B	19.85B	36.18B	49.93B
Total Debt	72.64B	76.25B	88.47B	98.20B	119.35B	117.42B
Total Liabilities	157.70B	157.97B	187.71B	200.34B	233.20B	203.00B
Stockholders Equity	93.27B	93.28B	95.36B	93.15B	96.33B	88.01B
Cash Flow
Free Cash Flow	5.60B	8.50B	15.67B	7.54B	12.83B	-36.88B
Operating Cash Flow	5.91B	8.71B	15.83B	7.70B	13.20B	-36.43B
Investing Cash Flow	-122.58M	4.62B	-1.50B	1.98B	-8.02B	-7.16B
Financing Cash Flow	-18.95B	-16.02B	-16.90B	-34.08B	-12.15B	51.75B

Hopson Development Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.98
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0754, the sentiment is Positive. The current price of 2.98 is below the 20-day moving average (MA) of 3.05, below the 50-day MA of 3.07, and below the 200-day MA of 3.27, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 69.25 is Neutral, neither overbought nor oversold. The STOCH value of 97.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0754.

Hopson Development Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
0754	49 Neutral	HK$12.63B	-4.70	-2.93%	―	-11.68%	-3002.05%
1030	46 Neutral	HK$15.42B	65.57	0.46%	―	-30.32%	―
0817	46 Neutral	HK$17.84B	34.55	1.20%	2.46%	-8.18%	―
2007	42 Neutral	HK$10.60B	-0.24	―	―	-19.37%	72.77%
9993	41 Neutral	HK$7.24B	-0.91	-40.14%	―	-54.25%	-134.22%

Hopson Development Holdings Limited Corporate Events

Hopson Development Reports RMB14.27 Billion in Contracted Sales for 2025

Hopson Development Holdings Limited announced its unaudited operating statistics for the eleven months ending November 2025, reporting gross contracted sales of approximately RMB14,270 million. This includes property contracted sales of RMB12,785 million and decoration contracted sales of RMB1,485 million. The company recorded a total property contracted sales area of 541,358 square meters with an average selling price of RMB23,620 per square meter. The announcement highlights the company’s ongoing sales performance but notes that figures are approximate and subject to change in final reports. Stakeholders are advised to exercise caution due to potential uncertainties in the sales process.

The most recent analyst rating on (HK:0754) stock is a Hold with a HK$3.00 price target. To see the full list of analyst forecasts on Hopson Development Holdings Limited stock, see the HK:0754 Stock Forecast page.

Hopson Development Reports Strong Sales Figures for 2025

Hopson Development Holdings Limited reported gross contracted sales of approximately RMB13,165 million for the ten months ending October 2025, with property sales contributing RMB11,719 million and decoration sales RMB1,446 million. The announcement highlights the company’s substantial sales figures and its market presence in property development, although it notes that these figures are unaudited and subject to change, advising stakeholders to exercise caution.

The most recent analyst rating on (HK:0754) stock is a Hold with a HK$3.00 price target. To see the full list of analyst forecasts on Hopson Development Holdings Limited stock, see the HK:0754 Stock Forecast page.

Hopson Development Reports Strong Sales Performance for 2025

Hopson Development Holdings Limited reported gross contracted sales of approximately RMB11,264 million for the nine months ending September 2025, with property and decoration sales contributing significantly. The company recorded a total property contracted sales area of 428,315 square meters, with an average selling price of RMB23,510 per square meter. These figures indicate a robust performance in the property sector, although they are unaudited and subject to change in future reports.

The most recent analyst rating on (HK:0754) stock is a Hold with a HK$3.50 price target. To see the full list of analyst forecasts on Hopson Development Holdings Limited stock, see the HK:0754 Stock Forecast page.