IGG (0799) AI Stock Analysis

• Market Cap: $4.63B
• Dividend Yield: 3.57%
• Average Volume (3M): 3.25M
• Price to Earnings (P/E): 8.1
• Beta (1Y): 1.00
• Revenue Growth: 4.02%
• EPS Growth: -23.98%
• Country: HK
• Employees: 2,028
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.29
• Shares Outstanding: 1,175,580,600
• 10 Day Avg. Volume: 2,974,423
• 30 Day Avg. Volume: 3,253,828
• PEG Ratio: 0.01
• Price to Book (P/B): 1.49
• Price to Sales (P/S): 0.81
• P/FCF Ratio: 4.71
• Enterprise Value/Market Cap: 0.56
• Enterprise Value/Revenue: 0.45
• Enterprise Value/Gross Profit: 0.55
• Enterprise Value/Ebitda: 3.59
• 1Y Price Target: $5.28
• Price Target Upside: 27.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 74 Outperform
• Price Target: HK$5.00 ▲(21.07% Upside)

IGG's strong financial performance and attractive valuation are the primary drivers of its stock score. The company's robust revenue growth, improved margins, and solid cash flow generation highlight its financial health. Despite short-term technical weakness, the stock's undervaluation and attractive dividend yield make it appealing for long-term investors.

IGG Business Overview & Revenue Model

Company Description

IGG (0799) is a leading mobile game developer and publisher based in Hong Kong, specializing in the creation of engaging online games for global audiences. The company operates primarily in the interactive entertainment sector, focusing on the development of multiplayer online games, mobile games, and social games. IGG is known for its popular titles such as 'Lords Mobile' and 'Castle Clash', which have garnered a substantial user base and revenue through in-game purchases and advertisements.

How the Company Makes Money

IGG generates revenue primarily through in-game purchases and microtransactions within its games. Players can buy virtual currency, items, and upgrades that enhance their gaming experience. Additionally, the company earns income from advertising by displaying ads within its games and partnering with other brands for promotional campaigns. IGG also monetizes through strategic partnerships with other gaming companies and platforms, leveraging collaborations to expand its market reach and user engagement. The combination of a large, active player base and effective marketing strategies contributes significantly to its earnings.

IGG Financial Statement Overview

Summary

IGG demonstrates strong financial performance with robust revenue growth, improved margins, and strong cash flow generation. The low debt levels and high equity ratio contribute to financial stability and reduced risk. However, the net profit margin is an area for improvement.

Income Statement

IGG has demonstrated strong revenue growth from 2023 to 2024, with a revenue increase of 8.94%. The gross profit margin for 2024 is robust at 80.37%, indicating effective cost management. However, the net profit margin stands at 10.12%, reflecting a decline from previous years. The EBIT and EBITDA margins improved significantly in 2024 to 11.68% and 13.67%, respectively, showing enhanced operational efficiency.

Balance Sheet

IGG maintains a solid balance sheet with a low debt-to-equity ratio of 0.03, suggesting minimal reliance on debt. The equity ratio is strong at 70.64%, indicating a healthy proportion of equity financing. The return on equity (ROE) for 2024 is 18.60%, showcasing effective use of shareholder funds to generate profits. Overall, the balance sheet reflects financial stability and low leverage risk.

Cash Flow

The company has achieved a significant improvement in free cash flow, turning from negative in 2023 to positive in 2024. The operating cash flow to net income ratio is 1.93, indicating strong cash generation relative to net income. The free cash flow to net income ratio is 1.70, reflecting efficient conversion of profits into cash. The positive trajectory in cash flows suggests improved liquidity and financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.72B	5.74B	5.27B	4.59B	6.05B	5.46B
Gross Profit	4.71B	4.61B	3.92B	3.15B	4.20B	3.82B
EBITDA	716.55M	784.17M	212.09M	-356.31M	627.73M	2.40B
Net Income	573.15M	580.68M	73.05M	-503.59M	370.44M	2.10B
Balance Sheet
Total Assets	4.61B	4.42B	3.70B	3.64B	4.45B	4.88B
Cash, Cash Equivalents and Short-Term Investments	2.55B	2.27B	1.49B	1.59B	1.96B	2.17B
Total Debt	56.60M	83.91M	63.22M	63.00M	158.91M	88.98M
Total Liabilities	1.18B	1.29B	962.67M	924.27M	1.14B	1.02B
Stockholders Equity	3.42B	3.12B	2.73B	2.71B	3.31B	3.86B
Cash Flow
Free Cash Flow	753.87M	986.98M	-5.35M	-232.65M	389.52M	1.26B
Operating Cash Flow	854.66M	1.12B	128.58M	-98.24M	660.26M	1.29B
Investing Cash Flow	-65.56M	-122.92M	-96.23M	-152.03M	212.40M	-257.86M
Financing Cash Flow	-277.07M	-205.33M	-143.67M	-73.85M	-1.11B	-1.26B

IGG Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.13
• 50DMA: Negative
• 100DMA: Negative
• 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:0799, the sentiment is Neutral. The current price of 4.13 is below the 20-day moving average (MA) of 4.28, below the 50-day MA of 4.46, and above the 200-day MA of 3.99, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 42.43 is Neutral, neither overbought nor oversold. The STOCH value of 42.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0799.

IGG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0799	―	$4.63B	8.07	17.91%	3.57%	4.02%	-23.98%
2660	―	HK$2.41B	7.25	12.02%	14.96%	-27.66%	-51.96%
0434	―	$4.02B	4.31	35.27%	1.76%	8.72%	129.12%
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
6820	―	HK$1.16B	16.11	5.50%	―	30.71%	―
3798	―	HK$1.59B	18.03	-3.33%	6.02%	-23.42%	-191.82%
0302	―	HK$1.23B	-0.43	-57.29%	―	-36.80%	-666.80%

IGG Corporate Events

IGG Inc Announces 2025 Interim Results

IGG Inc announced its unaudited interim results for the six months ending June 30, 2025. The company has made the announcement available in both English and Chinese on its website and the Stock Exchange’s website. This release complies with the listing rules of the Hong Kong Stock Exchange, ensuring transparency and accessibility for stakeholders. The interim report will be dispatched to shareholders, reflecting IGG’s commitment to maintaining open communication with its investors.

The most recent analyst rating on (HK:0799) stock is a Buy with a HK$6.00 price target. To see the full list of analyst forecasts on IGG stock, see the HK:0799 Stock Forecast page.

IGG Inc Announces Interim Dividend for 2025

IGG Inc, a company listed on the Hong Kong Stock Exchange, has announced an interim cash dividend of HKD 0.083 per share for the six months ending June 30, 2025. The ex-dividend date is set for September 11, 2025, with the payment date scheduled for September 26, 2025. This announcement reflects the company’s financial performance and commitment to returning value to its shareholders.

The most recent analyst rating on (HK:0799) stock is a Buy with a HK$6.00 price target. To see the full list of analyst forecasts on IGG stock, see the HK:0799 Stock Forecast page.

IGG Inc. Declares Special Dividend for Mid-2025

IGG Inc. has announced a special dividend of HKD 0.056 per share for the six months ending June 30, 2025. This dividend will be paid on September 26, 2025, with the record date set for September 18, 2025. The announcement reflects IGG’s commitment to returning value to its shareholders and may positively impact investor sentiment.

The most recent analyst rating on (HK:0799) stock is a Buy with a HK$6.00 price target. To see the full list of analyst forecasts on IGG stock, see the HK:0799 Stock Forecast page.