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Chengdu Putian Telecommunications Cable Co., Ltd. Class H (HK:1202)
:1202

Chengdu Putian Telecommunications Cable Co., Ltd. Class H (1202) AI Stock Analysis

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HK:1202

Chengdu Putian Telecommunications Cable Co., Ltd. Class H

(1202)

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Neutral 52 (OpenAI - 4o)
Rating:52Neutral
Price Target:
HK$1.00
▲(12.36% Upside)
The overall stock score is primarily influenced by the company's stable financial position with low leverage, but offset by challenges in profitability and revenue growth. Technical analysis indicates a bearish trend with neutral momentum, while valuation metrics are unattractive due to negative earnings and lack of dividends.
Positive Factors
Stable Financial Position
A low debt-to-equity ratio indicates minimal leverage, reducing financial risk and providing stability, which is crucial for long-term sustainability.
Improved Cash Flow
Positive free cash flow indicates better cash management and the ability to fund operations and growth without relying on external financing.
High Equity Ratio
A high equity ratio suggests a strong capital base, providing financial resilience and the ability to withstand economic fluctuations.
Negative Factors
Revenue Decline
A significant revenue decline indicates potential demand challenges or competitive pressures, which could impact long-term growth prospects.
Low Profit Margins
Low profit margins suggest inefficiencies in cost management, which can hinder profitability and limit reinvestment in the business.
Weak Operational Profitability
Weak operational profitability indicates challenges in generating sufficient earnings from operations, affecting the company's ability to invest in growth.

Chengdu Putian Telecommunications Cable Co., Ltd. Class H (1202) vs. iShares MSCI Hong Kong ETF (EWH)

Chengdu Putian Telecommunications Cable Co., Ltd. Class H Business Overview & Revenue Model

Company DescriptionChengdu SIWI Science and Technology Company Limited, together with its subsidiaries, manufactures and sells telecommunications cables in the People's Republic of China. It operates through Copper Cable and Related Products; Optical Communication Products; and Wire Casings and Related Products segments. The company offers electric wires and cables, optical fibers and cables, wire and cable specific materials, and cable accessories; equipment and various kinds of information industrial products devices; equipment technology research and development; and product manufacturing, and sales and service. It also provides irradiation processing services. The company was formerly known as Chengdu PUTIAN Telecommunications Cable Company Limited and changed its name to Chengdu SIWI Science and Technology Company Limited in August 2022. The company was founded in 1958 and is headquartered in Chengdu, the People's Republic of China. Chengdu SIWI Science and Technology Company Limited is a subsidiary of China Potevio Company Limited.
How the Company Makes MoneyThe company generates revenue primarily through the sale of its telecommunications cables and related products. Key revenue streams include bulk sales to telecommunications service providers, contracts with government and private sector projects, and exports to international markets. Additionally, the company may engage in partnerships with technology firms and telecommunications operators, enhancing its market reach and driving sales. Factors contributing to its earnings include the growing demand for high-speed internet, the expansion of telecommunications infrastructure, and advancements in related technologies, allowing for sustained business growth.

Chengdu Putian Telecommunications Cable Co., Ltd. Class H Financial Statement Overview

Summary
Chengdu Putian Telecommunications Cable Co. shows a stable financial position with low leverage, but faces challenges in profitability and revenue growth. The income statement reveals a low net profit margin and significant revenue decrease, while the balance sheet indicates minimal financial risk but low asset utilization. Cash flows have improved, suggesting better cash management.
Income Statement
55
Neutral
The income statement shows a mixed performance. Gross profit margin for 2024 was approximately 20.6%, which is a decent level indicating some control over cost of goods sold. However, the net profit margin is low at 0.38%, highlighting challenges in managing operating expenses and taxes. The company experienced a significant revenue decrease of 25.19% from 2023 to 2024, suggesting demand challenges or competitive pressures. EBIT and EBITDA margins are low, at 0.22% and 4.61% respectively, pointing to weak operational profitability.
Balance Sheet
70
Positive
The balance sheet is relatively strong with a low debt-to-equity ratio of 0.005, indicating minimal leverage and financial risk. The return on equity (ROE) is low at 0.15%, suggesting that shareholder funds are not being utilized efficiently to generate profits. The equity ratio is high at 77.5%, signifying a robust capital structure with significant equity financing. These factors suggest stability but also highlight the need for better asset utilization.
Cash Flow
60
Neutral
The cash flow statement shows improvement with a positive free cash flow of 65.9 million in 2024 compared to negative figures in prior years. Operating cash flow to net income ratio is robust at 74.9, indicating strong cash generation relative to accounting profits. However, the free cash flow to net income ratio is 57.3, reflecting some inefficiencies in converting profits into cash.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue300.85M302.07M403.64M304.01M300.42M239.38M
Gross Profit62.14M62.13M80.32M63.42M27.80M4.84M
EBITDA12.81M13.94M9.04M7.66M-46.50M-46.83M
Net Income-693.73K1.15M2.77M-2.22M-52.27M-42.82M
Balance Sheet
Total Assets1.03B1.00B995.77M1.02B1.00B1.05B
Cash, Cash Equivalents and Short-Term Investments431.80M440.79M373.61M485.37M478.37M424.80M
Total Debt0.004.22M4.63M4.82M5.12M6.18M
Total Liabilities160.02M137.86M130.69M174.41M165.75M156.58M
Stockholders Equity779.32M778.34M776.65M755.85M754.88M805.27M
Cash Flow
Free Cash Flow-36.52M65.90M-133.25M-24.20M47.54M-8.97M
Operating Cash Flow-12.70M86.13M-120.21M-22.66M48.48M-5.77M
Investing Cash Flow-23.96M-18.36M15.03M29.85M15.99M20.51M
Financing Cash Flow-4.32M-512.44K-531.40K-502.97K-546.84K-4.57M

Chengdu Putian Telecommunications Cable Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.89
Price Trends
50DMA
0.90
Negative
100DMA
0.94
Negative
200DMA
0.86
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
48.75
Neutral
STOCH
62.88
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1202, the sentiment is Negative. The current price of 0.89 is below the 20-day moving average (MA) of 0.89, below the 50-day MA of 0.90, and above the 200-day MA of 0.86, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.75 is Neutral, neither overbought nor oversold. The STOCH value of 62.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1202.

Chengdu Putian Telecommunications Cable 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
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
HK$169.13M2.547.40%-9.34%605.26%
58
Neutral
HK$619.25M-9.93-3.08%5.24%-201.60%
52
Neutral
HK$360.00M-468.42-0.09%-23.93%-109.41%
50
Neutral
HK$51.06M-1.78-14.69%-43.22%-34.69%
49
Neutral
HK$228.80M-2.66-24.22%-20.95%-13.14%
41
Neutral
HK$106.05M-0.83-29.56%-12.03%-40.38%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1202
Chengdu Putian Telecommunications Cable Co., Ltd. Class H
0.89
0.18
25.35%
HK:0248
HKC International Holdings Limited
0.05
0.02
66.67%
HK:0947
Mobi Development Co., Ltd.
0.14
<0.01
0.74%
HK:9963
Transtech Optelecom Science Holdings Limited
0.96
0.61
174.29%
HK:1085
Hengxin Technology Ltd.
1.26
0.08
6.78%
HK:1617
Nanfang Communication Holdings Ltd.
0.10
0.00
0.00%

Chengdu Putian Telecommunications Cable Co., Ltd. Class H Corporate Events

Chengdu SIWI Announces Board Composition and Committee Structure
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited has announced the composition of its board of directors, which includes executive, non-executive, and independent non-executive directors. The company has also established four committees to oversee various aspects of its governance, including remuneration, nomination, audit, and strategic development, with specific directors assigned to each committee. This announcement highlights the company’s commitment to structured governance and strategic oversight, which may enhance its operational efficiency and strengthen its position in the industry.

Chengdu SIWI to Offset Losses with Reserves, Aiming for Growth
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited plans to use its reserves to offset accumulated losses of RMB272 million, reducing them to zero. This financial maneuver aims to enhance investor returns and support the company’s high-quality development, pending shareholder approval at the upcoming general meeting.

Chengdu SIWI Announces 2025 Extraordinary General Meeting
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited has announced its 2025 second extraordinary general meeting, which will address key resolutions including using reserves to offset company losses and the election of a new non-executive director, Mr. Li Qiangbin. This meeting is significant for the company’s governance and financial strategy, potentially impacting shareholder interests and the company’s market positioning.

Chengdu Siwi Renews Sumitomo Framework Agreement for 2026
Nov 27, 2025

Chengdu Siwi Science and Technology Company Limited, through its subsidiary SEI Optical, has renewed its agreement with Sumitomo Electric Group for the supply of optical fibre preforms and related equipment, spare parts, and technical services. This renewal, effective from January 1, 2026, to December 31, 2026, ensures the continuation of business operations with Sumitomo Electric, a substantial shareholder and connected person under the Listing Rules. The agreement’s terms have been deemed fair and reasonable by the company’s directors and independent non-executive directors, aligning with normal commercial practices and market prices, thus exempting it from certain regulatory requirements.

Chengdu SIWI Renews Supply Agreement with 29th Research Institute
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited, a sino-foreign joint stock company in China, has renewed its agreement with the 29th Research Institute for the supply of accessories, cables, and cable joints for high and low frequency components. The renewal of the 29th Research Institute Supply Framework Agreement, effective from January 1, 2026, to December 31, 2026, continues the company’s ongoing transactions with its indirect controlling shareholder. These transactions are considered continuing connected transactions under Hong Kong’s Listing Rules, subject to reporting and annual review but exempt from independent shareholders’ approval.

Chengdu Putian Revises Annual Cap and Renews Supply Agreement
Nov 27, 2025

Chengdu Putian Telecommunications Cable Co., Ltd. has announced a revision of the annual cap for its continuing connected transactions under the 2025 Seekon Microwave Supply Framework Agreement. The company anticipates increased demand due to business development and expansion, prompting a revision of the existing annual cap to RMB5 million for the financial year ending December 31, 2025. Additionally, the company has entered into the 2026 Seekon Microwave Supply Framework Agreement to continue supplying accessories, optic products, and related services to Seekon Microwave from January 1, 2026, to December 31, 2026. These transactions are subject to reporting, annual review, and announcement requirements under the Listing Rules, but are exempt from independent shareholders’ approval.

Chengdu Putian Renews Optical Fibre Supply Agreement with 8th Research Institute
Nov 27, 2025

Chengdu Putian Telecommunications Cable Co., Ltd. has announced the renewal of its supply framework agreement with the 8th Research Institute, a subsidiary of China Electronics Technology, for the year 2026. This agreement involves SEI Optical, a subsidiary of the company, supplying optical fibre products to the 8th Research Institute. The transactions are classified as continuing connected transactions under Hong Kong’s Listing Rules, requiring reporting and annual review but exempt from independent shareholders’ approval. The agreement is set for a fixed term from January 1, 2026, to December 31, 2026, with pricing based on prevailing market conditions.

Chengdu Siwi Revises Annual Cap and Renews Supply Agreement
Nov 27, 2025

Chengdu Siwi Science and Technology Company Limited has announced a revision to its annual cap for continuing connected transactions under the 2025 23rd Research Institute Supply Framework Agreement. The company anticipates that its demand for accessories, cables, and cable joints will exceed previous projections, prompting an increase in the annual cap to RMB14 million for the year ending December 31, 2025. Additionally, the company has entered into a new agreement with the 23rd Research Institute for the supply of these components for the year 2026, ensuring continuity of supply and operations.

Chengdu Putian Telecommunications Signs Supply Agreement with 51st Research Institute
Nov 27, 2025

Chengdu Putian Telecommunications Cable Co., Ltd. has entered into a Supply Framework Agreement with the 51st Research Institute, a subsidiary of China Electronics Technology, to supply optical cable assemblies and optical device sub-modules from November 2025 to December 2026. This agreement constitutes continuing connected transactions under Hong Kong’s Listing Rules, requiring reporting and annual review but exempting independent shareholders’ approval. The pricing will be based on prevailing market rates, ensuring competitiveness and alignment with market conditions.

Chengdu Siwi Enters Sales Agreement with 23rd Research Institute
Nov 27, 2025

Chengdu Siwi Science and Technology Company Limited, a sino-foreign joint stock company in China, has entered into a Sales Framework Agreement with the 23rd Research Institute, a subsidiary of China Electronics Technology. This agreement involves the supply of components, optic products, and related services for one year starting January 2026. The transactions are considered continuing connected transactions under Hong Kong’s Listing Rules, requiring reporting and annual review but exempt from independent shareholder approval. The pricing will be based on market rates, ensuring terms are comparable to those offered to independent third parties.

Chengdu Siwi Enters Framework Purchase Agreement with Siwi High Tech
Nov 27, 2025

Chengdu Siwi Science and Technology Company Limited has entered into a Siwi High Tech Framework Purchase Agreement with Siwi High Tech, a direct controlling shareholder, to purchase accessories, cables, and cable joints for high and low frequency components. This agreement, effective from January 1, 2026, to December 31, 2026, is categorized as a continuing connected transaction under Hong Kong’s Listing Rules. The transaction is subject to reporting and annual review but is exempt from independent shareholder approval due to the applicable percentage ratios. The pricing and payment terms will be negotiated on an arm’s length basis, ensuring they are no less favorable than market levels.

Chengdu SIWI Announces Change of Hong Kong Business Address
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited, a sino-foreign joint stock company, announced a change in its principal place of business in Hong Kong. The new address will be effective from November 27, 2025, indicating a strategic move that may impact its operational logistics and stakeholder engagements.

Chengdu Siwi Updates Director and Supervisor Emoluments in Annual Reports
Nov 27, 2025

Chengdu Siwi Science and Technology Company Limited has issued a supplemental announcement regarding the emoluments paid to its Directors, Independent Non-Executive Directors, and Supervisors for the years 2008 to 2013. The announcement provides additional information on the remuneration structure, including salaries, allowances, and performance-related incentives, while noting that the overall information in the annual reports remains unchanged. This update may impact stakeholders’ understanding of the company’s financial disclosures and governance practices.

Chengdu SIWI Announces Board Reshuffle with New Director Appointment
Nov 27, 2025

Chengdu SIWI Science and Technology Company Limited announced changes in its board of directors, with Mr. Chan Wei resigning as a non-executive director and member of the Remuneration and Appraisal Committee, and Mr. Li Qiangbin being appointed to the same positions. This transition, effective from November 27, 2025, is part of the company’s ongoing governance adjustments, potentially impacting its strategic direction and stakeholder relations.

Chengdu SIWI Extends Tender Period for Subsidiary Sale
Sep 26, 2025

Chengdu SIWI Science and Technology Company Limited announced an extension of the public tender period for the potential disposal of its 100% equity interests in its subsidiary, Putian New Material. The initial tender period ended without any bids, prompting the company to extend the period under the same conditions for up to twelve months. The disposal has not yet materialized, and stakeholders are advised to exercise caution as the process continues.

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: Nov 01, 2025