Shimao Services Holdings Limited (0873) AI Stock Analysis

• Market Cap: HK$2.02B
• Dividend Yield: N/A
• Average Volume (3M): 5.29M
• Price to Earnings (P/E): 7.2
• Beta (1Y): 2.08
• Revenue Growth: -5.61%
• EPS Growth: -197.33%
• Country: HK
• Employees: 35,633
• Sector: Real Estate
• Sector Strength: 56
• Industry: Real Estate - Services
• EPS (TTM): -0.21
• Shares Outstanding: 2,468,173,000
• 10 Day Avg. Volume: 1,647,300
• 30 Day Avg. Volume: 5,289,227
• PEG Ratio: 0.03
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -16.53
• 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: HK$0.82
• Price Target Upside: 0.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 52 Neutral
• Price Target: HK$1.00 ▲(21.95%Upside)

The overall score reflects significant financial performance challenges, especially in profitability and cash flow generation, despite a strong balance sheet. Technical analysis indicates moderate positive momentum, but valuation concerns due to a negative P/E ratio weigh heavily. The lack of earnings call and corporate events data limits additional insights into management's outlook and strategic initiatives.

Shimao Services Holdings Limited Business Overview & Revenue Model

Company Description

Shimao Services Holdings Limited, an investment holding company, provides property management and community living services in the People's Republic of China. It operates in two segments, Property Management and Related Services; and City Services. The company offers property management services, including security, cleaning, greening and gardening, repair, and maintenance services to construction, gardening, and other property management companies. It also provides community value added services, such as community asset management, carpark asset operation, campus value-added, and retail services; sells hardware devices and software products; and home decoration services, including supply chain services of decoration materials, and marketing and promotion services to property owners and developers, technology companies, and other property management companies. In addition, the company offers value-added services, which comprise display units and property sales venue management, preliminary planning and design consultancy, and repair and maintenance management services to property developers; and city services that include sanitation, cleaning, and sewage and waste treatment. Further, it is involved in the real estate agency, wholesale and retail trading, construction decoration and other construction, education, enterprises management consulting, household management, engineering construction, and hotel management businesses. The company was founded in 2005 and is headquartered in Shanghai, the People's Republic of China. Shimao Services Holdings Limited is a subsidiary of Best Cosmos Limited.

How the Company Makes Money

Shimao Services Holdings Limited generates revenue through multiple streams primarily centered around its core property management services. The company's primary source of income comes from property management fees charged to residential and commercial property owners. This encompasses management of common areas, maintenance, and security services. Additionally, Shimao Services earns from providing value-added services to non-property owners, such as consulting services and pre-delivery services for developers. Another significant revenue stream is community value-added services, which include home living services, fitness, and cultural activities, tailored to enhance the living experience for residents. Strategic partnerships with real estate developers and leveraging technology for service innovation also play a crucial role in the company's earnings.

Shimao Services Holdings Limited Financial Statement Overview

Summary

Shimao Services Holdings Limited is experiencing financial strain, evidenced by declining revenues and profitability, as well as operational cash flow issues. While its balance sheet remains strong in terms of equity and liquidity, the company must address profitability and cash flow generation to improve its financial health.

Income Statement

Shimao Services Holdings Limited has faced declining revenue over recent years, with a notable revenue drop from 2023 to 2024. The gross profit margin has decreased, and the company has moved from a net income to a net loss position, indicating profitability challenges. The negative EBIT and EBITDA margins in 2024 further highlight operational inefficiencies.

Balance Sheet

The company maintains a strong equity position with an equity ratio consistently above 50%. However, the debt-to-equity ratio has risen slightly, suggesting increased leverage. Despite this, the company retains a solid cash position, with cash and equivalents surpassing total debt, indicating good liquidity.

Cash Flow

Cash flow from operations turned negative in recent years, indicating issues in generating cash from core operations. Free cash flow has also been inconsistent, with significant negative values in some periods, reflecting potential challenges in sustaining operations without external financing.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.90B	8.20B	8.64B	8.34B	5.03B
Gross Profit	1.53B	1.65B	1.94B	2.39B	1.58B
EBITDA	750.43M	826.15M	-393.09M	1.50B	975.90M
Net Income	-272.36M	273.25M	-927.12M	1.11B	692.95M
Balance Sheet
Total Assets	12.99B	14.24B	14.60B	18.16B	10.91B
Cash, Cash Equivalents and Short-Term Investments	3.94B	4.83B	4.67B	9.97B	5.86B
Total Debt	43.77M	368.28M	615.17M	3.24B	50.70M
Total Liabilities	4.95B	5.59B	6.23B	8.93B	4.16B
Stockholders Equity	7.66B	7.92B	7.57B	8.53B	6.45B
Cash Flow
Free Cash Flow	-108.32M	786.86M	-1.75B	1.09B	869.54M
Operating Cash Flow	201.37M	1.03B	-1.51B	1.21B	964.13M
Investing Cash Flow	-1.34B	921.38M	-2.93B	-1.24B	175.93M
Financing Cash Flow	-478.58M	-470.81M	-3.09B	4.15B	4.01B

Shimao Services Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.82
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0873, the sentiment is Positive. The current price of 0.82 is above the 20-day moving average (MA) of 0.78, above the 50-day MA of 0.79, and below the 200-day MA of 0.88, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.42 is Neutral, neither overbought nor oversold. The STOCH value of 52.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0873.

Shimao Services Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6989	80 Outperform	HK$1.84B	5.45	8.56%	8.32%	5.84%	0.84%
3658	79 Outperform	HK$1.61B	6.56	18.89%	8.39%	15.31%	3.39%
6668	77 Outperform	HK$1.35B	7.92	12.36%	12.48%	-0.26%	-11.41%
2215	62 Neutral	HK$734.30M	17.90	5.41%	―	-4.12%	-38.34%
Sector *	54 Neutral	$1.18B	3.56	0.13%	6.38%	-2.13%	-128.06%
0873	52 Neutral	HK$2.02B	7.16	-3.47%	―	-5.61%	-197.33%

Shimao Services Holdings Limited Corporate Events

Shimao Services Forms Partnership for Cold Chain Logistics Project

Shimao Services Holdings Limited announced the formation of a partnership with Wuxi Xinghe to invest in and operate a cold chain logistics project in Huludao, Liaoning Province, China. The partnership, named Jiangsu Tianhe Project Management Partnership, involves a capital contribution of RMB240 million, with Shimao contributing 99% of the funds. This strategic move is expected to enhance Shimao’s operational capabilities in logistics, potentially strengthening its market position and offering new opportunities for growth in the logistics sector.

The most recent analyst rating on (HK:0873) stock is a Sell with a HK$0.83 price target. To see the full list of analyst forecasts on Shimao Services Holdings Limited stock, see the HK:0873 Stock Forecast page.

Shimao Services Holdings Secures Shareholder Approval for Key Resolutions at AGM

Shimao Services Holdings Limited held its Annual General Meeting on June 10, 2025, where all proposed resolutions were approved by shareholders. Key resolutions included the re-election of directors, reappointment of auditors, and granting of mandates to issue and buy back shares. The successful passing of these resolutions indicates strong shareholder support and positions the company for continued operational stability and strategic flexibility.

The most recent analyst rating on (HK:0873) stock is a Sell with a HK$0.83 price target. To see the full list of analyst forecasts on Shimao Services Holdings Limited stock, see the HK:0873 Stock Forecast page.

Shimao Services Holdings Announces 2025 Annual General Meeting

Shimao Services Holdings Limited has announced its upcoming annual general meeting, scheduled for June 10, 2025, in Hong Kong. Key agenda items include the adoption of the 2024 financial statements, re-election of directors, and re-appointment of the auditor. Additionally, the company seeks shareholder approval to authorize the board to issue new shares, which could impact its capital structure and market positioning.