IPE Group Limited (0929) AI Stock Analysis

• Market Cap: HK$831.28M
• Dividend Yield: N/A
• Average Volume (3M): 4.63M
• Price to Earnings (P/E): 79.8
• Beta (1Y): 0.34
• Revenue Growth: 1.48%
• EPS Growth: 12.50%
• Country: HK
• Employees: 1,778
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): <0.01
• Shares Outstanding: 1,052,254,200
• 10 Day Avg. Volume: 2,227,625
• 30 Day Avg. Volume: 4,632,305
• PEG Ratio: 0.56
• Price to Book (P/B): 0.29
• Price to Sales (P/S): 0.52
• P/FCF Ratio: -6.45
• 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: 54 Neutral
• Price Target: HK$1.00 ▲(25.00% Upside)

The overall stock score for IPE Group Limited is primarily influenced by moderate financial performance and weak technical indicators. The high P/E ratio suggests overvaluation, further impacting the score negatively. The lack of earnings call data and corporate events means these factors did not contribute to the score.

Positive Factors

Strong Equity Position

A strong equity position indicates financial stability and provides a buffer against economic downturns, supporting long-term resilience.

Revenue Growth

Consistent revenue growth reflects the company's ability to expand its market reach and maintain demand for its precision components.

Low Leverage

Low leverage reduces financial risk and interest burden, allowing greater flexibility for strategic investments and growth initiatives.

Negative Factors

Cash Flow Concerns

Inadequate cash flow generation can limit the company's ability to invest in growth opportunities and manage financial obligations effectively.

Low Net Profit Margin

A low net profit margin indicates challenges in converting revenue into meaningful profits, potentially affecting long-term profitability.

Inefficient Return on Equity

Low return on equity suggests inefficiencies in utilizing shareholder investments to generate profits, impacting investor returns.

IPE Group Limited Business Overview & Revenue Model

Company Description

IPE Group Limited, an investment holding company, manufactures and sells precision metal components and assembled parts for use in automotive parts, hydraulic equipment, and electronic equipment component and other devices. It also provides surface and deburring treatment services, as well as manufactures and trades in intelligent equipment. The company's customers include multinational corporations in the information technology, fluid power, automotive, and electronic sectors. It operates in Thailand, Malaysia, Mainland China, Macau, Hong Kong, North America, Europe, and internationally. The company was founded in 1990 and is headquartered in Kowloon, Hong Kong. IPE Group Limited is a subsidiary of Baoan Technology Company Limited.

How the Company Makes Money

IPE Group Limited generates revenue primarily through its asset management services, which involve managing investment funds and portfolios for institutional and retail clients. The company earns management fees based on the assets under management (AUM) and performance fees tied to the returns generated for its clients. Additionally, IPE Group may derive income from advisory services, including financial planning and investment consultancy, as well as potential commissions from facilitating investment transactions. Strategic partnerships with financial institutions and other investment firms also contribute to its revenue streams, enhancing its market reach and client base.

IPE Group Limited Financial Statement Overview

Summary

IPE Group Limited demonstrates moderate financial health with stable revenue growth and strong equity backing. However, profitability and cash flow generation remain key challenges. While the company maintains low leverage, improving operational efficiencies and cash flow management will be crucial for sustainable growth and profitability.

Income Statement

IPE Group Limited shows a moderate revenue growth trajectory with a 12.34% increase in 2024. Gross profit margin improved to 28.28%, reflecting better cost management. However, net profit margin remains low at 1.05%, indicating challenges in converting revenue growth into substantial profits. EBITDA margin is stable at 11.85%, but EBIT margin is relatively low at 5.41%, suggesting room for operational efficiency improvements.

Balance Sheet

The company's balance sheet is strong, with a low debt-to-equity ratio of 0.16, showcasing conservative leverage. Stockholders' equity remains robust, constituting 72.63% of total assets, indicating financial stability. However, the return on equity is low at 0.59%, suggesting inefficiencies in generating returns from equity investments.

Cash Flow

Cash flow analysis highlights a concern, with operating cash flow at zero in 2024, reflecting potential cash generation issues. Free cash flow was also zero, indicating no surplus cash for expansion or debt reduction. The absence of positive cash flows could limit growth opportunities and pose a risk to financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	995.60M	1.01B	898.73M	962.57M	1.03B	793.73M
Gross Profit	285.45M	285.70M	222.82M	274.19M	266.81M	182.47M
EBITDA	128.23M	160.43M	113.53M	137.21M	216.56M	136.61M
Net Income	10.42M	10.60M	5.67M	8.69M	81.43M	27.41M
Balance Sheet
Total Assets	2.49B	2.47B	2.55B	2.34B	2.46B	2.28B
Cash, Cash Equivalents and Short-Term Investments	489.23M	545.99M	713.40M	773.67M	850.58M	924.25M
Total Debt	207.58M	294.46M	191.08M	198.78M	151.04M	206.12M
Total Liabilities	460.91M	522.40M	582.64M	424.40M	394.67M	398.66M
Stockholders Equity	1.86B	1.79B	1.83B	1.84B	2.01B	1.88B
Cash Flow
Free Cash Flow	2.20M	-80.79M	44.68M	-94.56M	-30.30M	90.04M
Operating Cash Flow	134.43M	83.83M	147.61M	4.41M	82.44M	161.74M
Investing Cash Flow	-118.22M	-315.48M	-134.98M	-87.00M	-158.13M	-51.78M
Financing Cash Flow	-101.58M	87.64M	-51.08M	42.59M	-16.18M	-67.46M

IPE Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.80
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0929, the sentiment is Positive. The current price of 0.8 is below the 20-day moving average (MA) of 0.81, below the 50-day MA of 0.84, and above the 200-day MA of 0.54, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 53.06 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0929.

IPE Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0838	63 Neutral	€1.70B	6.79	8.13%	4.76%	0.51%	3.74%
0255	62 Neutral	HK$1.17B	174.53	0.40%	14.13%	-4.52%	―
0929	54 Neutral	HK$831.28M	79.80	0.57%	―	1.48%	12.50%
0822	50 Neutral	€348.57M	-6.89	-4.46%	―	10.91%	11.01%
1721	42 Neutral	HK$208.00M	-5.09	-22.57%	―	10.03%	-34.10%