CNQC International Holdings Limited (1240) AI Stock Analysis

• Market Cap: HK$310.56M
• Dividend Yield: N/A
• Average Volume (3M): 31.67K
• Price to Earnings (P/E): 6.0
• Beta (1Y): 0.18
• Revenue Growth: -14.93%
• EPS Growth: N/A
• Country: HK
• Employees: 2,916
• Sector: Industrials
• Sector Strength: 72
• Industry: Real Estate - Diversified
• EPS (TTM): 0.02
• Shares Outstanding: 1,518,320,000
• 10 Day Avg. Volume: 62,750
• 30 Day Avg. Volume: 31,666
• PEG Ratio: -0.07
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.03
• P/FCF Ratio: 0.21
• 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: 52 Neutral
• Price Target: HK$0.19 ▲(0.53% Upside)

The overall stock score reflects significant financial challenges, including volatile revenue and rising leverage, which weigh heavily on the company's outlook. While technical analysis shows some short-term strength, the lack of dividend yield and mixed valuation metrics suggest caution. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Strategic Partnerships

Partnerships with government and private sectors enhance project access and client base, providing a competitive edge and potential for stable revenue streams.

Diversified Revenue Streams

Diversified revenue sources from construction and real estate reduce dependency on a single income stream, supporting financial resilience.

Integrated Services

Offering integrated services from construction to property management enhances value proposition and client retention, supporting long-term growth.

Negative Factors

Volatile Revenue Growth

Significant revenue fluctuations indicate challenges in market stability and forecasting, potentially impacting long-term financial planning.

Rising Leverage

Increasing leverage can strain financial flexibility and increase risk, potentially affecting the company's ability to invest in growth opportunities.

Liquidity Constraints

Liquidity constraints limit the company's ability to meet short-term obligations and invest in long-term projects, posing a risk to operational stability.

CNQC International Holdings Limited Business Overview & Revenue Model

Company Description

CNQC International Holdings Limited, an investment holding company, operates as a property developer and contractor. It operates through four segments: Foundation and construction-Hong Kong and Macau; Property development-Hong Kong; Construction-Singapore and Southeast Asia; and Property development-Singapore and Southeast Asia. The company primarily engages in the development and sale of condominiums; general contracting, building, and civil engineering; and modular integrated construction, as well as invest in property development. It also undertakes foundation works; and provides ancillary services with specialization in piling works, as well as superstructure construction services in Hong Kong and Macau. In addition, the company undertakes construction projects in Singapore and other Southeast Asia, Hong Kong, and Macau. Further, it is involved in the rental of machinery and construction equipment. The company is headquartered in Kowloon Bay, Hong Kong.

How the Company Makes Money

CNQC International Holdings Limited generates revenue primarily through its construction projects, which include contracts for building residential and commercial properties as well as infrastructure developments. The company earns money by bidding for and securing construction contracts, where it charges clients for project management, labor, materials, and overhead costs. A significant portion of its revenue also comes from property sales and leasing, particularly from its developed residential and commercial properties. Additionally, CNQC benefits from strategic partnerships with government entities and private developers, allowing it to access a broader range of projects and clients. The company may also generate income through joint ventures and collaborations in large-scale developments, further enhancing its revenue streams.

CNQC International Holdings Limited Financial Statement Overview

Summary

The company faces financial challenges with volatile revenue growth, inconsistent profitability, and rising leverage. Liquidity constraints and declining equity further strain financial stability.

Income Statement

The company's revenue has fluctuated significantly over the past few years, with a noticeable decline in 2023 compared to 2022. Gross profit margins have been inconsistent, reflecting challenges in cost management. Despite a positive net income in 2024, previous years have shown substantial losses, suggesting volatility in profitability. Overall, the income statement indicates issues with maintaining stable revenue growth and profitability.

Balance Sheet

The balance sheet shows a moderate level of debt relative to equity, with a debt-to-equity ratio increasing over the years, indicating rising leverage. The equity ratio suggests a reasonable level of equity financing, but the declining stockholders' equity over recent years could indicate potential financial instability. Liquidity appears constrained, as reflected by the decreasing cash reserves and high total liabilities.

Cash Flow

The cash flow statement shows inconsistent operating cash flows, with negative free cash flows in several years, indicating difficulties in generating cash from operations. The absence of free cash flow growth and negative operating cash flows in recent years suggest liquidity challenges. The cash flow to net income ratios highlight potential issues in converting profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.42B	9.90B	10.42B	8.27B	6.10B	5.13B
Gross Profit	550.33M	529.95M	266.14M	-40.35M	177.59M	234.94M
EBITDA	341.64M	319.37M	81.48M	-114.05M	182.53M	320.47M
Net Income	51.67M	45.58M	-490.33M	-587.98M	259.05M	218.06M
Balance Sheet
Total Assets	9.05B	9.09B	11.12B	12.18B	11.97B	12.83B
Cash, Cash Equivalents and Short-Term Investments	814.40M	1.17B	1.62B	1.47B	989.68M	1.22B
Total Debt	3.23B	3.29B	5.12B	6.19B	5.77B	6.46B
Total Liabilities	6.09B	6.30B	8.29B	9.01B	8.25B	9.24B
Stockholders Equity	2.54B	2.34B	2.38B	2.85B	3.53B	3.40B
Cash Flow
Free Cash Flow	1.54B	1.59B	-159.49M	-261.00M	261.06M	1.21B
Operating Cash Flow	1.57B	1.65B	-121.08M	-234.25M	361.69M	1.26B
Investing Cash Flow	-369.37M	-572.71M	1.10B	322.80M	-297.72M	-442.52M
Financing Cash Flow	-1.00B	-1.54B	-881.94M	496.30M	-187.05M	-862.92M

CNQC International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1240, the sentiment is Negative. The current price of 0.19 is below the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.19, and above the 200-day MA of 0.18, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.39 is Neutral, neither overbought nor oversold. The STOCH value of 59.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1240.

CNQC International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1240	52 Neutral	HK$310.56M	6.02	2.10%	―	-14.93%	―
0672	52 Neutral	HK$659.39M	28.29	0.21%	―	-43.28%	-93.81%
0978	50 Neutral	HK$1.32B	-0.71	-20.96%	4.44%	-16.06%	-529.92%
2349	47 Neutral	HK$197.08M	-2.64	-12.31%	―	-0.09%	37.33%
0120	45 Neutral	HK$150.64M	-0.41	-39.83%	―	-75.15%	23.12%
1427	44 Neutral	HK$213.34M	-1.03	-19.00%	―	-21.32%	-715.30%

CNQC International Holdings Limited Corporate Events

CNQC International Announces Key Board and Executive Changes

CNQC International Holdings Limited has appointed Ms. Zhou Lu as an independent non-executive director effective from November 21, 2025. Ms. Zhou brings over 15 years of experience in the investment and asset management industry, having previously served as deputy CEO of Cinda International Holdings Limited. Her appointment is expected to enhance the company’s governance and strategic oversight. Additionally, Ms. Au Wing Sze has resigned as the company secretary and authorized representative, effective the same date, with no disagreements with the board reported.