South Manganese Investment Limited (1091) AI Stock Analysis

• Market Cap: €2.02B
• Dividend Yield: N/A
• Average Volume (3M): 16.31M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.98
• Revenue Growth: -31.35%
• EPS Growth: -71.37%
• Country: HK
• Employees: 6,029
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): 0.05
• Shares Outstanding: 4,936,981,000
• 10 Day Avg. Volume: 22,147,815
• 30 Day Avg. Volume: 16,310,730
• PEG Ratio: <0.01
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.10
• P/FCF Ratio: 1.26
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: HK$0.50 ▲(19.05% Upside)

The overall stock score is primarily influenced by significant financial challenges, including declining revenues and negative cash flows. Technical indicators suggest bearish momentum, while the valuation is impacted by a negative P/E ratio and lack of dividend yield.

Positive Factors

Strategic Location

The strategic location of South Manganese Investment Limited allows it to efficiently serve both domestic and international markets, potentially enhancing its competitive position and market reach over the long term.

Operational Efficiency

Operational efficiency can lead to cost savings and improved margins, providing a competitive edge in the mining industry and supporting long-term profitability.

Market Demand

Manganese is essential for steel production, and growing demand in industrial applications can drive long-term revenue growth for the company.

Negative Factors

Declining Revenues

Declining revenues indicate challenges in maintaining market share and pricing power, which could affect long-term growth prospects and financial stability.

High Leverage

High leverage can limit financial flexibility and increase vulnerability to market fluctuations, potentially impacting long-term sustainability and investment capacity.

Negative Cash Flows

Negative cash flows suggest liquidity challenges and may hinder the company's ability to invest in growth opportunities or weather economic downturns, affecting long-term viability.

South Manganese Investment Limited Business Overview & Revenue Model

Company Description

South Manganese Investment Limited (1091) is a company primarily engaged in the mining and production of manganese and related products. Operating in the mining sector, the company focuses on the extraction, processing, and sale of manganese ore, which is a critical raw material used in steel production and various industrial applications. The company aims to capitalize on the growing demand for manganese in both domestic and international markets, leveraging its operational efficiency and strategic location.

How the Company Makes Money

South Manganese Investment Limited generates revenue primarily through the sale of manganese ore and its derivatives. The company's revenue model is built around the extraction of manganese from its mining operations, which is then processed and sold to steel manufacturers and other industrial clients. Key revenue streams include direct sales contracts with large steel producers, as well as spot market sales. Additionally, the company may benefit from strategic partnerships with industry players, enhancing its distribution capabilities and market reach. Other contributing factors to its earnings may include fluctuations in global manganese prices and operational efficiencies that reduce production costs.

South Manganese Investment Limited Financial Statement Overview

Summary

South Manganese Investment Limited faces significant financial challenges, with declining revenues, profitability, and cash flows. High leverage and negative cash flows exacerbate financial risks, especially in an uncertain market environment.

Income Statement

The company has shown volatile revenue trends with a significant decline in 2024, indicating challenges in maintaining consistent growth. Gross profit margin and other profitability metrics are under pressure, with net income turning negative in the latest year, reflecting operational inefficiencies and potential market downturns. The negative EBIT and declining EBITDA margins further highlight these operational challenges.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating significant leverage which could pose risks in a volatile market. However, the company maintains a reasonable equity ratio, suggesting some level of stability. Declining stockholders' equity and high total debt are matters of concern, potentially impacting long-term financial health.

Cash Flow

Cash flow metrics reflect concerning trends, with negative operating and free cash flows in the latest year, suggesting liquidity challenges. The inability to generate positive free cash flow despite significant capital expenditures raises concerns over financial flexibility and sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.39B	13.21B	17.13B	16.03B	12.83B	4.37B
Gross Profit	677.41M	406.37M	934.15M	1.37B	2.34B	576.50M
EBITDA	546.38M	137.07M	808.66M	1.06B	1.63B	300.64M
Net Income	-389.59M	-725.07M	64.14M	336.09M	454.58M	-437.93M
Balance Sheet
Total Assets	8.45B	8.79B	11.37B	11.45B	10.98B	9.06B
Cash, Cash Equivalents and Short-Term Investments	724.70M	402.33M	1.15B	1.26B	1.12B	1.18B
Total Debt	3.59B	3.95B	5.12B	4.46B	4.11B	4.57B
Total Liabilities	6.12B	6.81B	8.54B	8.62B	7.94B	6.51B
Stockholders Equity	2.71B	2.36B	3.14B	3.17B	3.11B	2.52B
Cash Flow
Free Cash Flow	797.75M	1.01B	-860.95M	-111.77M	888.67M	123.61M
Operating Cash Flow	1.33B	1.60B	-319.82M	935.91M	1.60B	596.78M
Investing Cash Flow	-380.20M	-868.55M	-498.82M	-921.12M	-775.17M	-540.39M
Financing Cash Flow	-1.28B	-1.29B	655.09M	239.90M	-951.00M	-65.41M

South Manganese Investment Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.42
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1091, the sentiment is Positive. The current price of 0.42 is below the 20-day moving average (MA) of 0.44, below the 50-day MA of 0.46, and above the 200-day MA of 0.36, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 44.24 is Neutral, neither overbought nor oversold. The STOCH value of 14.95 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1091.

South Manganese Investment Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
2245	61 Neutral	HK$33.79B	11.99	24.57%	2.17%	60.77%	100.45%
3939	60 Neutral	HK$35.23B	34.81	36.46%	1.39%	31.24%	58.16%
0769	55 Neutral	$1.95B	-15.63	―	―	10.29%	47.66%
1091	44 Neutral	€2.02B	―	-14.35%	―	-31.35%	-71.37%
0433	41 Neutral	HK$855.12M	―	-4702.63%	―	0.41%	83.35%
0159	36 Underperform	HK$890.90M	―	-7.49%	―	―	-164.29%

South Manganese Investment Limited Corporate Events

South Manganese Investment Limited Appoints New CEO and Executive Directors

South Manganese Investment Limited has announced the appointment of Mr. Zhan Haiqing as the new executive director and chief executive officer, effective October 13, 2025. Mr. Zhan, who has been with the company since 2005, brings over 34 years of experience in the manganese industry and has been recognized for his contributions to the field. The appointments are expected to strengthen the company’s leadership and support its strategic goals in the manganese market.

The most recent analyst rating on (HK:1091) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on South Manganese Investment Limited stock, see the HK:1091 Stock Forecast page.

South Manganese Investment Limited Announces Board Restructuring

South Manganese Investment Limited, a company incorporated in Bermuda, has announced changes to its board of directors and committee memberships effective from October 13, 2025. The board will consist of executive, non-executive, and independent non-executive directors, with Mr. Zhang He serving as Chairman and Mr. Zhan Haiqing as Chief Executive Officer. The announcement outlines the roles and functions of each director within the company’s audit, remuneration, and nomination committees, indicating a strategic restructuring aimed at enhancing governance and operational oversight.

The most recent analyst rating on (HK:1091) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on South Manganese Investment Limited stock, see the HK:1091 Stock Forecast page.

South Manganese Investment Limited Announces Board Restructuring

South Manganese Investment Limited has announced changes to its board of directors and the composition of its board committees, effective from October 10, 2025. These changes include the appointment of Mr. Zhang He as Chairman and adjustments in the roles of various directors across the Audit, Remuneration, and Nomination Committees, potentially impacting the company’s governance and strategic direction.

The most recent analyst rating on (HK:1091) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on South Manganese Investment Limited stock, see the HK:1091 Stock Forecast page.

Leadership Changes at South Manganese Investment Limited

South Manganese Investment Limited has announced significant changes in its board leadership, with Mr. Zhang Yi stepping down as Chairman to focus on other commitments, while Mr. Zhang He will take over the role effective October 10, 2025. These changes are expected to influence the company’s strategic direction and governance, as Mr. Zhang He brings extensive experience in securities markets and company management to his new role.

The most recent analyst rating on (HK:1091) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on South Manganese Investment Limited stock, see the HK:1091 Stock Forecast page.

South Manganese Investment Limited Announces Board Restructuring

South Manganese Investment Limited has announced changes to its board of directors and committee memberships, effective October 10, 2025. The restructuring includes the appointment of Mr. Zhang He as Chairman and adjustments in the roles within the Audit, Remuneration, and Nomination Committees, potentially impacting the company’s governance and strategic direction.

The most recent analyst rating on (HK:1091) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on South Manganese Investment Limited stock, see the HK:1091 Stock Forecast page.