Nan Nan Resources Enterprise Limited (1229) AI Stock Analysis

• Market Cap: HK$185.22M
• Dividend Yield: N/A
• Average Volume (3M): 883.13K
• Price to Earnings (P/E): 2.6
• Beta (1Y): 0.56
• Revenue Growth: 181.77%
• EPS Growth: 85.52%
• Country: HK
• Employees: 149
• Sector: Energy
• Sector Strength: 45
• Industry: Coal
• EPS (TTM): 0.03
• Shares Outstanding: 765,373,600
• 10 Day Avg. Volume: 493,400
• 30 Day Avg. Volume: 883,133
• PEG Ratio: 0.02
• Price to Book (P/B): 0.44
• Price to Sales (P/S): 0.33
• P/FCF Ratio: 1.79
• 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: HK$0.50
• Price Target Upside: 108.33% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: HK$0.50 ▲(108.33% Upside)

The overall stock score is primarily driven by strong financial performance and attractive valuation, indicating potential for growth. However, technical indicators suggest short-term bearish momentum, which could pose risks. The absence of a dividend yield and cash flow challenges are secondary concerns.

Nan Nan Resources Enterprise Limited Business Overview & Revenue Model

Company Description

Nan Nan Resources Enterprise Limited (1229) is a Hong Kong-based company primarily engaged in the exploration and production of mineral resources. The company operates within the mining sector, focusing on the extraction and processing of various metals and minerals. Its core products include iron ore, copper, and other valuable commodities, which are essential for various industrial applications. Nan Nan Resources is committed to sustainable practices in mining and resource management, positioning itself as a responsible player in the natural resources sector.

How the Company Makes Money

Nan Nan Resources Enterprise Limited generates revenue primarily through the sale of minerals extracted from its mining operations. The company's revenue model is based on the production and distribution of metals such as iron ore and copper, which are sold to industrial customers and manufacturers both locally and internationally. Key revenue streams include direct sales of raw minerals, as well as potential long-term contracts with major industrial players. Additionally, the company may engage in partnerships with other mining firms or enter joint ventures to expand its operational capabilities and market reach, contributing to its overall earnings. Fluctuations in global commodity prices, demand from industrial sectors, and operational efficiency also significantly impact its revenue generation.

Nan Nan Resources Enterprise Limited Financial Statement Overview

Summary

Nan Nan Resources Enterprise Limited demonstrates strong revenue growth and profitability, with improved leverage management. However, cash flow challenges and potential volatility in operating efficiency highlight areas for improvement. The company is on a positive trajectory but must address cash flow issues to sustain long-term growth.

Income Statement

Nan Nan Resources Enterprise Limited shows strong revenue growth with a 36.17% increase in the latest year, indicating a positive trajectory. The gross profit margin of 46.94% and net profit margin of 22.19% reflect solid profitability. However, the EBIT and EBITDA margins have seen fluctuations, suggesting potential volatility in operating efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.86, indicating better leverage management compared to previous years. Return on equity is robust at 30%, showcasing effective utilization of shareholder funds. However, the equity ratio suggests moderate reliance on debt financing, which could pose risks if not managed carefully.

Cash Flow

Operating cash flow has improved significantly, but free cash flow growth is negative at -50.25%, indicating challenges in generating cash after capital expenditures. The operating cash flow to net income ratio of 0.48 suggests moderate cash conversion efficiency, while the free cash flow to net income ratio of 0.38 indicates room for improvement in cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	240.17M	327.05M	116.07M	239.89M	300.24M	130.52M
Gross Profit	131.56M	153.53M	43.14M	133.83M	162.60M	54.61M
EBITDA	128.59M	155.29M	65.46M	4.82M	122.86M	9.89M
Net Income	68.25M	72.59M	39.09M	-58.33M	66.59M	-2.94M
Balance Sheet
Total Assets	624.53M	643.32M	524.99M	583.61M	616.27M	560.19M
Cash, Cash Equivalents and Short-Term Investments	250.15M	248.22M	189.31M	234.11M	260.75M	204.08M
Total Debt	232.94M	207.51M	209.44M	379.78M	306.55M	322.93M
Total Liabilities	429.51M	402.68M	353.22M	456.30M	392.08M	410.61M
Stockholders Equity	194.75M	241.95M	171.40M	125.45M	221.54M	146.31M
Cash Flow
Free Cash Flow	120.44M	59.92M	-33.45M	23.77M	78.26M	-35.05M
Operating Cash Flow	135.06M	156.29M	-1.56M	66.14M	125.31M	37.03M
Investing Cash Flow	-71.81M	-94.88M	-29.15M	-42.38M	-47.05M	-72.08M
Financing Cash Flow	-1.69M	-938.00K	-5.49M	-32.93M	-27.52M	-11.75M

Nan Nan Resources Enterprise Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.24
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1229, the sentiment is Neutral. The current price of 0.24 is below the 20-day moving average (MA) of 0.25, below the 50-day MA of 0.26, and above the 200-day MA of 0.19, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.53 is Neutral, neither overbought nor oversold. The STOCH value of 52.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1229.

Nan Nan Resources Enterprise Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1229	66 Neutral	HK$185.22M	2.55	35.12%	―	181.77%	85.52%
Sector *	57 Neutral	HK$79.99B	2.16	1.58%	5.44%	0.06%	-49.68%
0065	47 Neutral	HK$112.54M	―	-35.91%	―	-3.74%	-65.92%
0276	47 Neutral	HK$120.40M	0.07		―	-9.83%	-182.04%
1738	46 Neutral	$244.36M	―		―	-69.69%	-9.41%
1393	44 Neutral	HK$299.34M	―	-44.69%	―	-13.27%	14.98%

Nan Nan Resources Enterprise Limited Corporate Events

Nan Nan Resources Announces Annual General Meeting and Key Resolutions

Nan Nan Resources Enterprise Limited has announced its upcoming annual general meeting, scheduled for August 22, 2025, in Hong Kong. The meeting will address several key resolutions, including the adoption of the company’s audited financial statements, the re-election of executive directors, and the re-appointment of Forvis Mazars CPA Limited as the auditor. Additionally, shareholders will consider granting the board the authority to repurchase up to 10% of the company’s shares, which could impact the company’s stock market activities and shareholder value.

Nan Nan Resources Reports Strong Financial Growth for 2025

Nan Nan Resources Enterprise Limited reported its annual financial results for the year ending March 31, 2025, showcasing a substantial increase in revenue to HK$327,049,000 from HK$116,069,000 in the previous year. The company’s profit for the year also rose significantly to HK$71,788,000, reflecting improved operational efficiency and favorable market conditions, which may enhance its industry positioning and stakeholder confidence.

Nan Nan Resources Appoints New Nomination Committee Member

Nan Nan Resources Enterprise Limited has announced the appointment of Ms. Tong Yuk Ying Angel as a member of its Nomination Committee, effective June 20, 2025. This strategic appointment is expected to enhance the company’s governance structure, potentially impacting its decision-making processes and stakeholder engagement positively.

Nan Nan Resources Announces Board Composition and Roles

Nan Nan Resources Enterprise Limited has announced the composition of its board of directors and their roles within the company. The announcement details the executive and independent non-executive directors and their assignments in various committees, which include the Audit, Remuneration, and Nomination Committees. This update may impact the company’s governance structure and strategic decision-making processes.

Nan Nan Resources Establishes Nomination Committee to Enhance Governance

Nan Nan Resources Enterprise Limited has established a nomination committee as part of its corporate governance structure. This committee, composed of directors with a majority being independent non-executive directors, is tasked with reviewing the board’s composition and recommending qualified individuals for directorships, thereby aligning with the company’s corporate strategy.

Nan Nan Resources Projects Significant Profit Increase for FY2025

Nan Nan Resources Enterprise Limited has announced a positive profit alert, expecting a significant increase in profit from HK$37.70 million in FY2024 to at least HK$80.00 million in FY2025. This growth is attributed to a substantial rise in gross profit from its coal mining business, an exchange gain, and a gain on fair value change of a convertible bond, despite an increase in income tax expenses. The final annual results for FY2025 are yet to be finalized and may differ from the preliminary figures.

Nan Nan Resources Schedules Board Meeting for Annual Results Review

Nan Nan Resources Enterprise Limited has announced that its board of directors will hold a meeting on June 20, 2025, to discuss and approve the company’s annual results for the fiscal year ending March 31, 2025. The meeting will also consider the declaration or payment of dividends. This announcement is significant as it indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting investor confidence and market perception.