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Sitoy Group Holdings Limited (HK:1023)
:1023
Hong Kong Market
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Sitoy Group Holdings Limited (1023) AI Stock Analysis

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HK:1023

Sitoy Group Holdings Limited

(1023)

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Neutral 55 (OpenAI - 5.2)
Rating:55Neutral
Price Target:
HK$0.49
▼(-8.11% Downside)
Action:Reiterated
Date:06/15/26
The score is driven primarily by mixed financial performance: a strong, low-leverage balance sheet and still-positive cash generation are offset by a recent swing to losses and weaker revenue/FCF trends. Technical indicators add a modest headwind due to weak momentum, while valuation is supported by the high dividend yield but tempered by negative earnings.
Positive Factors
Low leverage balance sheet
With debt-to-equity around 1.1% in 2025, Sitoy's very low leverage provides a durable financial buffer for a cyclical apparel supplier. Low debt reduces refinancing risk, supports working-capital funding and targeted capex, and preserves strategic flexibility while margins recover.
Negative Factors
Swing to net loss and negative EBITDA
The company swung to a net loss in 2025 with an -11.2% net margin and negative EBITDA margin, signaling material profit erosion below the gross line. Continued unprofitable operations would deplete reserves, limit reinvestment and capital returns, and complicate recovery without structural cost improvements.
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Positive Factors
Negative Factors
Low leverage balance sheet
With debt-to-equity around 1.1% in 2025, Sitoy's very low leverage provides a durable financial buffer for a cyclical apparel supplier. Low debt reduces refinancing risk, supports working-capital funding and targeted capex, and preserves strategic flexibility while margins recover.
Read all positive factors

Sitoy Group Holdings Limited (1023) vs. iShares MSCI Hong Kong ETF (EWH)

Sitoy Group Holdings Limited Business Overview & Revenue Model

Company Description
Sitoy Group Holdings Limited operates as a diversified investment holding company, managing the entire product lifecycle from conceptualization and development to manufacturing and multi-channel distribution, covering both wholesale and retail. It...
How the Company Makes Money
Sitoy primarily makes money by providing manufacturing and supply-chain services to third-party brand owners and retailers, earning revenue from sales of finished goods produced to customers’ specifications. Key revenue streams typically include (...

Sitoy Group Holdings Limited Financial Statement Overview

Summary
Overall fundamentals are mixed. The latest year saw a sharp deterioration in profitability (swing to net loss and negative EBITDA margin) and slightly declining revenue, while gross margin remained relatively resilient. Offsetting this, the balance sheet is a key strength with very low leverage, and cash flow stayed positive despite weaker free cash flow versus the prior year.
Income Statement
40
Negative
Balance Sheet
78
Positive
Cash Flow
60
Neutral
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue1.58B1.58B1.61B1.83B1.85B1.31B
Gross Profit503.62M516.06M572.27M605.72M533.98M327.75M
EBITDA-40.47M-122.60M185.59M323.90M253.95M-15.44M
Net Income-97.04M-178.07M101.89M202.80M150.51M-79.97M
Balance Sheet
Total Assets1.81B1.88B2.11B2.14B2.22B2.32B
Cash, Cash Equivalents and Short-Term Investments367.12M464.03M460.55M428.65M361.64M503.04M
Total Debt16.84M17.15M35.77M47.51M108.60M210.78M
Total Liabilities252.68M312.17M308.74M358.99M450.53M569.54M
Stockholders Equity1.56B1.57B1.81B1.78B1.77B1.74B
Cash Flow
Free Cash Flow-36.01M51.48M173.74M266.12M-50.25M93.58M
Operating Cash Flow-14.08M84.74M237.92M280.79M-37.26M107.69M
Investing Cash Flow-21.50M-33.08M-63.62M-6.23M31.61M-14.05M
Financing Cash Flow-69.34M-75.66M-120.42M-165.59M-149.50M-169.81M

Sitoy Group Holdings Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.53
Price Trends
50DMA
0.48
Negative
100DMA
0.49
Negative
200DMA
0.48
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
55.66
Neutral
STOCH
52.78
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1023, the sentiment is Neutral. The current price of 0.53 is above the 20-day moving average (MA) of 0.47, above the 50-day MA of 0.48, and above the 200-day MA of 0.48, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 55.66 is Neutral, neither overbought nor oversold. The STOCH value of 52.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1023.

Sitoy Group Holdings 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
74
Outperform
HK$10.58B13.569.06%10.16%1.53%-21.76%
69
Neutral
HK$19.22B8.8017.74%4.23%0.26%-4.55%
66
Neutral
HK$20.39B6.367.40%7.69%-1.93%-1.36%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
55
Neutral
HK$447.66M-4.41-6.20%11.54%-1.47%-420.10%
49
Neutral
HK$278.20M-10.24-2.53%4.15%-2.99%-111.49%
48
Neutral
HK$180.64M-2.75-13.55%-38.65%41.22%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1023
Sitoy Group Holdings Limited
0.48
0.04
8.70%
HK:1910
Samsonite International SA
13.89
-0.77
-5.25%
HK:1170
Kingmaker Footwear Holdings
0.43
-0.14
-24.78%
HK:0738
Le Saunda Holdings
0.30
0.07
31.58%
HK:1836
Stella International Holdings Limited
12.94
-0.60
-4.40%
HK:0551
Yue Yuen Industrial (Holdings)
12.70
1.36
11.98%
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: Jun 15, 2026