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New World Department Store China Limited (HK:0825)
:0825
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New World Department Store China Limited (0825) AI Stock Analysis

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HK:0825

New World Department Store China Limited

(0825)

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Neutral 57 (OpenAI - 5.2)
Rating:57Neutral
Price Target:
HK$0.28
▲(7.31% Upside)
Action:Reiterated
Date:02/03/26
The score is held back primarily by weak financial performance (notably declining revenue, low profitability, and weak ROE), partially offset by strong free cash flow trends. Technical indicators are supportive (price above major moving averages with positive MACD), while valuation is a modest negative with a relatively high P/E and no dividend yield provided.
Positive Factors
Strong free cash flow growth
A 50.31% free cash flow growth rate and an FCF-to-net-income near 1.0 indicate durable cash generation despite weak accounting profits. This strengthens liquidity, funds store investment or tenant incentives, reduces reliance on external financing, and provides buffer through cyclical retail troughs.
Negative Factors
Declining revenue trend
An 18% revenue decline is a material structural headwind: it erodes scale, bargaining leverage with brands, and footfall-driven concession revenues. Sustained top-line contraction can force price promotions, higher tenant churn, and underutilized retail space, weakening long-term profitability and growth prospects.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow growth
A 50.31% free cash flow growth rate and an FCF-to-net-income near 1.0 indicate durable cash generation despite weak accounting profits. This strengthens liquidity, funds store investment or tenant incentives, reduces reliance on external financing, and provides buffer through cyclical retail troughs.
Read all positive factors

New World Department Store China Limited (0825) vs. iShares MSCI Hong Kong ETF (EWH)

New World Department Store China Limited Business Overview & Revenue Model

Company Description
New World Department Store China Limited operates as an investment holding company, primarily engaged in the ownership and management of department stores throughout the People's Republic of China. Beyond its core retail ventures, the company's di...
How the Company Makes Money
The company primarily makes money through operating department stores in Mainland China, earning revenue from (i) direct retail sales where the company sells merchandise to consumers and recognizes sales revenue (where applicable), and (ii) conces...

New World Department Store China Limited Financial Statement Overview

Summary
Financials are mixed: revenue declined sharply (-18.09%) and net margin is low (2.14%) with a negative EBIT margin, but free cash flow growth is strong (+50.31%) and EBITDA margin is high (53.01%). Leverage is moderate (debt-to-equity 1.06) and ROE is weak (0.72%).
Income Statement
45
Neutral
Balance Sheet
50
Neutral
Cash Flow
60
Neutral
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue1.11B1.18B1.36B1.48B1.93B2.25B
Gross Profit246.93M300.58M1.06B335.73M516.38M635.88M
EBITDA461.20M626.97M626.57M326.24M340.24M710.96M
Net Income37.50M25.29M13.31M-320.85M-483.38M-229.36M
Balance Sheet
Total Assets9.74B9.91B10.21B10.79B12.51B14.18B
Cash, Cash Equivalents and Short-Term Investments555.19M743.19M875.25M831.51M1.08B1.57B
Total Debt3.60B3.73B4.14B4.54B5.61B6.43B
Total Liabilities6.18B6.40B6.83B7.42B8.51B9.71B
Stockholders Equity3.57B3.51B3.38B3.38B4.00B4.47B
Cash Flow
Free Cash Flow210.30M350.35M240.55M520.25M107.79M837.35M
Operating Cash Flow219.58M363.11M316.40M627.84M200.36M885.85M
Investing Cash Flow363.03M82.26M239.16M75.33M154.06M-544.16M
Financing Cash Flow-559.61M-551.64M-506.28M-751.39M-562.27M-975.59M

New World Department Store China Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.26
Price Trends
50DMA
0.30
Negative
100DMA
0.32
Negative
200DMA
0.32
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
39.57
Neutral
STOCH
14.29
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0825, the sentiment is Negative. The current price of 0.26 is below the 20-day moving average (MA) of 0.28, below the 50-day MA of 0.30, and below the 200-day MA of 0.32, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.57 is Neutral, neither overbought nor oversold. The STOCH value of 14.29 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0825.

New World Department Store China Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
57
Neutral
HK$455.26M12.161.06%-13.36%155.17%
54
Neutral
HK$3.92B-11.75-1.99%6.92%-9.96%63.93%
51
Neutral
HK$878.67M-24.50-0.33%-3.35%-55.70%
44
Neutral
HK$147.18M-1.25-2.44%-4.58%-187.76%
43
Neutral
HK$41.39M-0.08-170.53%-2.97%22.50%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0825
New World Department Store China Limited
0.27
0.00
0.00%
HK:2136
Lifestyle China Group
0.60
0.16
36.05%
HK:0289
Wing On Co. International Ltd.
13.40
1.92
16.68%
HK:0162
Century Ginwa Retail Holdings Limited
0.03
-0.03
-43.33%
HK:0244
Sincere Co. Ltd.
0.28
0.03
12.00%
HK:0312
Shirble Department Store Holdings (China) Ltd.
0.06
-0.05
-48.11%

New World Department Store China Limited Corporate Events

New World Department Store China Wins Shareholder Backing for 2026 Leasing and Services Deals
Jun 23, 2026
Shareholders of New World Department Store China Limited approved all ordinary resolutions at an extraordinary general meeting held on 23 June 2026, with key connected shareholders abstaining in line with Hong Kong Listing Rules to ensure independ...
New World Department Store China Calls EGM to Approve 2026 Master Agreements
Jun 3, 2026
New World Department Store China Limited has called an extraordinary general meeting for 23 June 2026 in Hong Kong, to be held as a hybrid in‑person and online event, seeking shareholder approval for a series of new long‑term agreement...
New World Department Store Sets 2026 Connected Leasing and Services Frameworks
Apr 24, 2026
New World Department Store China Limited has entered into new 2026 master leasing and master services agreements with substantial shareholder New World Development and an affiliated services group, respectively, to replace the existing 2023 framew...
New World Department Store Renews Connected Collaboration Pact With CTFE
Apr 24, 2026
New World Department Store China Limited has entered into a new 2026 Master Collaboration Services Agreement with Chow Tai Fook Enterprises (CTFE), replacing the existing 2023 framework ahead of its June 2026 expiry. The deal governs ongoing colla...
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: Feb 03, 2026