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Capinfo Co., Ltd. Class H (HK:1075)
:1075

Capinfo Co., Ltd. Class H (1075) AI Stock Analysis

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HK:1075

Capinfo Co., Ltd. Class H

(1075)

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Neutral 51 (OpenAI - 5.2)
Rating:51Neutral
Price Target:
HK$3.00
▲(0.67% Upside)
The score is primarily driven by solid balance-sheet quality and improving 2024 margins/cash generation, but is held back by the severe 2024 revenue contraction and still-negative profitability. Technically, the stock is in a weak trend (below key averages with negative MACD) despite oversold signals, and valuation is pressured by a high P/E relative to recent fundamentals.
Positive Factors
Balance Sheet Strength
A strong balance sheet with low leverage and solid capitalization provides financial stability and flexibility for long-term growth.
Improved Margins
Improved margins indicate better cost control and operational efficiency, enhancing profitability prospects over time.
Governance Enhancements
Strengthened governance through new committees improves oversight and strategic alignment, supporting long-term business sustainability.
Negative Factors
Revenue Decline
A significant revenue decline indicates challenges in market demand or competitive positioning, impacting growth prospects.
Inconsistent Profitability
Inconsistent profitability reflects operational challenges and market pressures, potentially affecting investor confidence and long-term viability.
Volatile Cash Flow
Volatile cash flow can hinder strategic investments and operational stability, posing risks to sustained financial health.

Capinfo Co., Ltd. Class H (1075) vs. iShares MSCI Hong Kong ETF (EWH)

Capinfo Co., Ltd. Class H Business Overview & Revenue Model

Company DescriptionCapinfo Company Limited provides information technology (IT) services in the People's Republic of China. It offers software development and service, system integration, data processing service and information professional service. In addition, company provides Shouxintong, a safe and open mobile platform, combined for use of core technologies such as sandbox, cloud computing, big data, and microservices; VR visualization, data profiles, smart data search, customization of application, and multidimensional data analysis; IoT sensing systems; and application for basic blockchain service products. The company also provides services to e-governance system, medical insurance and social security card system, housing provident fund system, air quality monitoring system, community service information system, and credit settlement information systems. Capinfo Company Limited was founded in 1998 and is headquartered in Beijing, the People's Republic of China.
How the Company Makes MoneyCapinfo Co., Ltd. generates revenue through multiple streams. Its primary revenue model revolves around providing IT solutions and services, including software development, system integration, and IT consulting. The company secures contracts with government bodies and enterprises to deliver e-government solutions and public service systems, which are significant contributors to its earnings. Additionally, Capinfo partners with technology providers and leverages its expertise in enterprise IT solutions to offer customized services, further enhancing its revenue potential. The company's ability to maintain long-term contracts and relationships with key clients significantly boosts its financial performance.

Capinfo Co., Ltd. Class H Financial Statement Overview

Summary
Capinfo Co., Ltd. Class H exhibits moderate revenue growth but struggles with profitability and cash flow generation. The balance sheet shows stability with conservative leverage, yet declining net income and negative margins present financial risks. Improvement in operational efficiency and cash flow management is crucial.
Income Statement
The company demonstrated a moderate revenue growth rate from 2019 to 2024. Gross profit margins have declined over the years, indicating increased cost of goods sold relative to revenue. The net profit margin turned negative in 2024, reflecting profitability challenges. EBIT and EBITDA margins have also decreased significantly, impacting operational efficiency.
Balance Sheet
The balance sheet shows a stable equity ratio, suggesting a solid capital structure. However, the debt-to-equity ratio is relatively low, indicating conservative leverage levels, which can be positive for financial stability. The return on equity has been volatile, with recent declines due to net losses, which could affect investor confidence.
Cash Flow
Operating cash flow has been inconsistent, reflecting challenges in generating cash from operations. The absence of free cash flow data for recent periods makes it difficult to assess cash flow health. The limited data on cash flow metrics suggests potential liquidity management issues.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.62B1.47B1.43B1.42B1.43B1.41B
Gross Profit375.85M377.97M201.12M223.65M509.61M493.79M
EBITDA35.64M66.92M-44.50M197.77M81.45M164.48M
Net Income19.68M-13.78M-72.91M128.59M18.35M127.49M
Balance Sheet
Total Assets2.27B2.36B2.50B2.54B2.38B2.50B
Cash, Cash Equivalents and Short-Term Investments505.29M723.37M702.28M901.39M1.06B1.05B
Total Debt41.73M43.61M323.85M275.45M292.10M291.91M
Total Liabilities1.06B1.17B1.29B1.22B1.19B1.26B
Stockholders Equity1.14B1.13B1.14B1.26B1.14B1.18B
Cash Flow
Free Cash Flow-50.26M28.58M-30.37M-39.99M114.44M241.83M
Operating Cash Flow-3.68M121.63M225.11M128.49M191.03M286.23M
Investing Cash Flow-183.28M-147.81M-280.28M117.88M-231.92M
Financing Cash Flow-38.66M-32.75M-65.04M-97.25M-74.42M

Capinfo Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.98
Price Trends
50DMA
3.12
Positive
100DMA
3.04
Positive
200DMA
2.61
Positive
Market Momentum
MACD
0.01
Negative
RSI
61.74
Neutral
STOCH
92.88
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1075, the sentiment is Positive. The current price of 2.98 is below the 20-day moving average (MA) of 3.09, below the 50-day MA of 3.12, and above the 200-day MA of 2.61, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 61.74 is Neutral, neither overbought nor oversold. The STOCH value of 92.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1075.

Capinfo Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
HK$713.03M3.906.75%7.27%7.39%2.23%
70
Outperform
HK$381.01M12.935.83%7.24%-1.26%-10.80%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
HK$719.45M4.696.77%3.66%5.84%94.89%
55
Neutral
HK$387.00M-192.54-0.83%8.55%-1.86%-105.19%
51
Neutral
HK$927.39M43.661.79%2.52%8.90%
39
Underperform
HK$1.08B348.574.78%-25.92%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1075
Capinfo Co., Ltd. Class H
3.18
1.23
63.16%
HK:1522
BII Railway Transportation Technology Holdings Co., Ltd.
0.34
0.10
41.67%
HK:1985
Microware Group Ltd.
1.29
0.17
15.18%
HK:3680
Suoxinda Holdings Limited
1.22
0.13
11.93%
HK:0046
Computer & Technologies Holdings Ltd.
1.57
0.26
19.85%
HK:0771
Automated Systems Holdings Limited
0.89
0.26
41.27%

Capinfo Co., Ltd. Class H Corporate Events

Capinfo Nets RMB154 Million from Partial Stake Sale in Beijing Certificate Authority
Dec 30, 2025

Capinfo Company Limited has completed the previously announced disposal of 5.40 million listed shares in Beijing Certificate Authority Co., Ltd. (BJCA), representing 2% of BJCA’s total share capital, through a mix of centralized bidding and block trades. The transaction, concluded on 30 December 2025 for total consideration of approximately RMB154 million at prices ranging from RMB25.62 to RMB31.63 per share, reduces but does not eliminate Capinfo’s strategic exposure to BJCA, in which it still holds 24.24%. The board maintains that the disposal is in the overall interests of the company and its shareholders and will not have a material adverse impact on Capinfo’s business or financial position, suggesting a move to crystallize investment gains and optimize capital allocation without significantly weakening its presence in the digital certification sector.

Capinfo Wins Unanimous Independent Shareholder Backing for Renewed Services Pact with BSAM Group
Dec 30, 2025

Capinfo Company Limited has secured shareholder approval at its extraordinary general meeting on 30 December 2025 for the renewed Technique Services Framework Agreement with its controlling shareholder BSAM Group. Independent shareholders voted unanimously by poll in favour of the ordinary resolution, which ratifies the new annual caps for mutual service fees between Capinfo and BSAM Group and authorises management to execute all necessary documents to implement the agreement. With BSAM and its subsidiaries abstaining from the vote due to their connected-party status, all 29,013,433 votes cast by eligible shareholders supported the proposal, reinforcing the governance framework for ongoing related-party transactions and providing clarity over the financial terms governing technical services between the company and its majority owner.

Capinfo Co., Ltd. Announces Extraordinary General Meeting for Framework Agreement Approval
Dec 5, 2025

Capinfo Co., Ltd. has announced an extraordinary general meeting to be held on December 30, 2025, to approve a renewed Technique Services Framework Agreement. This agreement includes annual caps for service fees exchanged between Capinfo and the BSAM Group, and authorizes the company’s management to execute necessary actions to implement the agreement. The meeting will also address shareholder entitlements and voting procedures, impacting the company’s operational agreements and stakeholder relations.

Capinfo Co., Ltd. Strengthens Governance with New Nomination Committee
Dec 1, 2025

Capinfo Co., Ltd. has established a Nomination Committee to enhance its corporate governance by standardizing the selection of directors. This committee, composed mainly of independent non-executive directors, is tasked with recommending candidates for directorship, assessing board composition, and ensuring diversity and independence among directors. The committee’s establishment aims to improve the company’s operational efficiency and strategic alignment, potentially impacting its industry positioning by ensuring a well-governed and diverse board.

Capinfo Co., Ltd. Strengthens Governance with New Audit Committee
Dec 1, 2025

Capinfo Co., Ltd. has established an Audit Committee under its Board of Directors to enhance internal control governance and promote effective supervision. This committee is tasked with reviewing financial reporting procedures, overseeing internal control and risk management, and supervising audit procedures. The committee must consist of at least three non-executive directors, with a majority being independent, and is chaired by an independent non-executive director. This move is aimed at strengthening the company’s governance framework and ensuring transparency and accountability in its financial operations.

Capinfo Co., Ltd. Announces Key Governance Changes at 2025 EGM
Nov 28, 2025

Capinfo Co., Ltd. announced the results of its 2025 third extraordinary general meeting, where all proposed resolutions were passed. Key changes include the appointment of Mr. Hu as a non-executive director and the removal of Mr. Jiang from the same position. The company also approved amendments to its Articles of Association, including the dissolution of the Board of Supervisors and changes to the business scope, reflecting a strategic shift in governance structure.

Capinfo Company Limited Announces Board Composition and Committee Roles
Nov 28, 2025

Capinfo Company Limited, a joint stock limited company incorporated in China, has announced the composition of its board of directors and their roles within various committees. This announcement outlines the leadership structure, with Mr. Yu Donghui serving as Chairman and Mr. Zhang Yiqian as General Manager, among other executive, non-executive, and independent directors. The board has established five committees, each chaired or represented by different board members, indicating a structured approach to governance and decision-making.

Capinfo Co., Ltd. Delays Circular Dispatch for Connected Transactions
Nov 24, 2025

Capinfo Co., Ltd. has announced a delay in the dispatch of a circular related to the renewal of continuing connected transactions under the Technique Services Framework Agreement. The circular, which includes details of the transactions and recommendations from the independent board committee, was initially expected to be sent out by 31 October 2025 but will now be postponed to on or before 8 December 2025, as additional time is needed to finalize the information.

Capinfo Co., Ltd. Appoints New Staff Representative Director
Nov 14, 2025

Capinfo Co., Ltd. has announced the appointment of Ms. Zhu Chenlan as the staff representative director, pending shareholder approval of proposed amendments to the Articles of Association. Ms. Zhu, who has a background in economics and extensive experience in management, will serve without remuneration and her appointment reflects the company’s commitment to democratic representation in its governance structure.

Capinfo Co., Ltd. Announces Strategic Governance Changes at 2025 EGM
Nov 7, 2025

Capinfo Co., Ltd. has announced the convening of its 2025 third extraordinary general meeting (EGM) on November 28, 2025, in Beijing. The agenda includes several special resolutions such as amendments to the Articles of Association regarding the dissolution of the Board of Supervisors and changes to the business scope. Additionally, ordinary resolutions will address changes in the board of directors, including the election of Mr. Hu Yong and the removal of Mr. Jiang Wei. These changes reflect the company’s strategic adjustments in governance and operational focus, potentially impacting its market positioning and stakeholder interests.

Capinfo Co., Ltd. Announces 2025 First Domestic Share Class Meeting
Nov 7, 2025

Capinfo Co., Ltd. has announced the 2025 First Domestic Share Class Meeting, scheduled for November 28, 2025, in Beijing. The meeting will address a special resolution to amend the Articles of Association and abolish the class meeting system, potentially impacting the company’s governance structure and shareholder engagement processes.

Capinfo Co., Ltd. Announces 2025 First H Share Class Meeting
Nov 7, 2025

Capinfo Co., Ltd. has announced the 2025 First H Share Class Meeting to be held on November 28, 2025, in Beijing. The meeting will focus on a special resolution to amend the Articles of Association and the Rules and Procedures for General Meetings, specifically targeting the abolition of the class meeting system. This move could streamline the company’s governance structure, potentially impacting shareholder engagement and decision-making processes.

Capinfo Co., Ltd. Proposes Key Amendments to Articles of Association
Oct 31, 2025

Capinfo Co., Ltd., a joint stock limited company incorporated in China, has announced proposed amendments to its Articles of Association, reflecting recent regulatory changes in China. These amendments include the dissolution of the board of supervisors, aligning with the new Company Law, and changes to shareholder rights by abolishing the class meeting system. Additionally, the company plans to expand its business scope to include various telecommunications and professional services. These changes are intended to align with the latest laws and regulations and to support the company’s business development.

Capinfo Co., Ltd. Announces Disposal of BJCA Shares
Oct 31, 2025

Capinfo Co., Ltd. has announced its decision to dispose of up to 5.40 million shares of BJCA, representing no more than 2% of BJCA’s total share capital, through centralized bidding or block trades. This transaction is expected to generate a pre-tax profit of approximately RMB167.0 million for Capinfo, subject to final audit. The disposal aligns with regulatory requirements and is considered a discloseable transaction under Hong Kong’s Listing Rules, reflecting Capinfo’s strategic financial management and potential impact on its market positioning.

Capinfo Co., Ltd. Renews Key Agreement with BSAM Group
Oct 31, 2025

Capinfo Co., Ltd. has renewed its Technique Services Framework Agreement with BSAM Group, extending their collaboration until December 2028. This renewal involves the provision of IT products and services between both parties, with the transactions classified as continuing connected transactions under the Listing Rules, necessitating reporting, announcement, and independent shareholder approval due to the significant percentage ratios involved.

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: Dec 30, 2025