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Qidian International Co., Ltd. (HK:1280)
:1280
Hong Kong Market

Qidian International Co., Ltd. (1280) AI Stock Analysis

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HK:1280

Qidian International Co., Ltd.

(1280)

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Underperform 38 (OpenAI - 5.2)
Rating:38Underperform
Price Target:
HK$2.50
▼(-25.37% Downside)
The overall stock score of 38 reflects significant financial and technical challenges. The company's financial performance is weak, with substantial losses and cash flow issues. Technical analysis indicates bearish momentum, and valuation metrics are unfavorable with a negative P/E ratio. These factors collectively suggest a high-risk investment with limited short-term upside potential.
Positive Factors
Diversified Monetization
Multiple monetization channels (subscriptions, advertising, IP adaptations, in‑app purchases and merchandise) reduce reliance on any single revenue source. This diversity supports steady cash inflows from different customer behaviors and long‑term monetization of successful titles and franchises.
Extensive Content Library & Reach
A large proprietary library and global audience create durable competitive advantages: content scale drives user retention, fuels IP adaptation pipelines, and raises switching costs. These structural assets support recurring consumption and long‑term franchise economics across formats and markets.
Sustained Revenue Growth
Strong reported top‑line expansion indicates persistent market demand and product‑market fit. If sustained, revenue growth can compound network effects—attracting authors, readers and partners—enabling scale, better monetization of IP, and potential margin recovery over time.
Negative Factors
Severe Profitability Shortfall
An extreme negative net margin signals structural unprofitability and recurring operating losses. Persistent heavy losses erode capital, limit reinvestment capacity, and force urgent cost or business model adjustments, threatening long‑term viability unless margins improve materially.
High Leverage & Negative Equity
Negative equity and elevated leverage create solvency and refinancing risks. Dependence on debt constrains strategic choices, raises financing costs, and weakens the firm's ability to fund content creation and partnerships, reducing resilience to industry or demand shocks.
Negative Operating Cash Flow
Core operations consume cash rather than generate it, indicating cash burn. Continued negative operating and free cash flow force reliance on external financing or asset sales, which can dilute shareholders or increase leverage and limit long‑term operational flexibility.

Qidian International Co., Ltd. (1280) vs. iShares MSCI Hong Kong ETF (EWH)

Qidian International Co., Ltd. Business Overview & Revenue Model

Company DescriptionQidian International Co., Ltd., an investment holding company, engages in the retail and bulk distribution sale of household appliances, mobile phones, and computers in the People's Republic of China. The company operates in three segments: Traditional Business, New Retail Business, and All Other. It is involved in the bulk distribution of air-conditioners, and imported and general merchandises; and provision of after-sales, installation, and maintenance services for household appliances. The company sells its household appliances merchandise by bulk distribution to retailers and distributors, as well as operates a chain of retail stores for selling household appliances, and import and general merchandises. In addition, Qidian International Co., Ltd. sells its products through an online platform. Further, it provides community, logistics, and warehouse services. The company was formerly known as Huiyin Smart Community Co., Ltd. and changed its name to Qidian International Co., Ltd. in February 2020. Qidian International Co., Ltd. was founded in 1993 and is headquartered in Yangzhou, the People's Republic of China.
How the Company Makes MoneyQidian International generates revenue through multiple streams, primarily from subscription fees paid by users accessing its vast library of online literature. The company also earns income through advertising on its platforms and through partnerships with other media companies for adaptations of its literary works into films, television series, and animated content. Additionally, in-app purchases and merchandise sales related to popular titles contribute to its earnings. Strategic collaborations with authors and content creators further enhance its revenue potential, as the company shares profits derived from successful titles and adaptations.

Qidian International Co., Ltd. Financial Statement Overview

Summary
Qidian International Co., Ltd. faces significant financial challenges. The income statement shows substantial losses despite revenue growth, with a negative net profit margin of -502.74%. The balance sheet reveals high leverage and negative equity, indicating financial instability. Cash flow issues are evident with negative operating and free cash flows, reflecting cash flow challenges. The company must improve operational efficiency, reduce debt, and enhance cash flow generation to stabilize its financial position.
Income Statement
25
Negative
The income statement reveals a challenging financial position with a significant decline in profitability. The gross profit margin is approximately 26.65%, but the company faces a negative net profit margin of -502.74% for the latest period, indicating substantial losses. Revenue growth is positive at 38.22%, but the negative EBIT and EBITDA margins highlight operational inefficiencies. The company needs to address its cost structure and operational challenges to improve profitability.
Balance Sheet
30
Negative
The balance sheet shows a high debt-to-equity ratio due to negative equity, indicating financial instability and potential solvency issues. The equity ratio is also negative, reflecting a reliance on debt financing. However, the company has managed to increase its total assets over the years, suggesting some asset growth. Improving equity and reducing debt are critical for financial health.
Cash Flow
20
Very Negative
Cash flow analysis shows negative operating cash flow, indicating cash outflows from core operations, and a negative free cash flow growth rate. The operating cash flow to net income ratio is negative, reflecting cash flow challenges. The company must enhance its cash generation capabilities to sustain operations and reduce reliance on external financing.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue450.57M441.99M319.81M262.35M301.17M351.73M
Gross Profit124.34M117.82M61.75M38.70M37.06M23.96M
EBITDA-23.72M-2.21B80.85M-89.81M-6.66M-64.81M
Net Income-2.21B-2.22B55.85M-136.77M-60.04M-83.21M
Balance Sheet
Total Assets585.16M596.13M313.66M238.44M360.47M414.66M
Cash, Cash Equivalents and Short-Term Investments24.99M27.68M162.30M9.21M15.27M36.46M
Total Debt147.28M129.25M492.94M461.24M450.57M477.42M
Total Liabilities393.52M385.88M729.76M709.15M693.37M720.13M
Stockholders Equity182.95M198.88M-432.65M-488.50M-351.74M-326.45M
Cash Flow
Free Cash Flow-9.81M-48.07M43.56M-31.94M5.40M-6.31M
Operating Cash Flow-8.70M-46.96M43.68M-31.89M6.21M-5.50M
Investing Cash Flow2.08M1.87M66.09M231.00K-655.00K4.16M
Financing Cash Flow4.98M-89.53M44.17M25.40M-27.39M14.13M

Qidian International Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price3.35
Price Trends
50DMA
3.40
Negative
100DMA
3.96
Negative
200DMA
3.94
Negative
Market Momentum
MACD
-0.19
Negative
RSI
30.46
Neutral
STOCH
44.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1280, the sentiment is Negative. The current price of 3.35 is above the 20-day moving average (MA) of 2.95, below the 50-day MA of 3.40, and below the 200-day MA of 3.94, indicating a bearish trend. The MACD of -0.19 indicates Negative momentum. The RSI at 30.46 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1280.

Qidian International Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
HK$1.55B8.4827.30%4.07%23.59%
68
Neutral
HK$45.54B19.4920.87%3.18%13.14%-19.58%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
55
Neutral
HK$2.46B-36.11-363.59%-37.11%-223.08%
46
Neutral
HK$3.31B-2.75-29.04%0.39%-15.49%-544.89%
38
Underperform
HK$5.23B-1.0327.68%-973.10%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1280
Qidian International Co., Ltd.
2.72
-0.14
-4.90%
HK:9896
MINISO Group Holding Ltd.
35.42
-7.68
-17.82%
HK:1020
Cybernaut International Holdings Company Limited
0.46
0.37
448.19%
HK:2411
Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H
1.63
0.41
33.61%
HK:2420
Zibuyu Group Limited
3.10
-1.45
-31.87%

Qidian International Co., Ltd. Corporate Events

Qidian International to Offload Subsidiary in Major Connected Deal at Nil Consideration
Feb 2, 2026

Qidian International Co., Ltd. has agreed to dispose of its entire equity interest in a wholly owned target company to a substantial shareholder controlled by executive director Yuan Li for nil consideration. Following completion, the target company will be deconsolidated from Qidian International’s financial statements, and the transaction, classified as both a major and connected transaction under Hong Kong Listing Rules, will require reporting, announcement and approval by independent shareholders at an extraordinary general meeting, with investors urged to exercise caution when dealing in the company’s securities.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$2.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

China Qidian Guofeng Enters Domestic AI Hardware Market via GPU Distribution Deal with MetaX
Jan 26, 2026

China Qidian Guofeng Holdings’ subsidiary Shanghai Huiliu Network Technology has signed a one-year, non-exclusive leading channel distributor agreement with MetaX Integrated Circuits to distribute and promote MetaX’s full series of GPU products across Mainland China, targeting major internet firms, intelligent computing centres, research institutions and enterprises with high AI computing power needs. The deal, which sets an annual procurement performance target of 2,000 GPU units corresponding to a potential business scale of about RMB200 million, marks the group’s formal entry into China’s domestic AI computing hardware market and a strategic shift toward offering “software-and-hardware integrated” AI server solutions under the Huiliu brand, aiming to build first-mover channel advantages in high-end hardware, create new sustainable revenue streams and enhance overall profitability.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.00 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

China Qidian Guofeng Clarifies Former Shareholder Status and Pricing in Debt Capitalisation Share Issue
Jan 14, 2026

China Qidian Guofeng Holdings Limited issued a supplemental announcement clarifying details related to its previously announced issuance of new shares under a general mandate for debt capitalisation. The company confirmed that China Ruike Investment & Development Co. Ltd., which had provided an unsecured, interest-free advance in 2017 and was previously a shareholder connected to a former director, had ceased to be a shareholder as of 30 December 2025 and no longer holds any interest in the company. The company also specified that the settlement share issue price of HK$2.84 represents a discount of approximately 15.63% to the average closing price of HK$3.366 per share over the five trading days immediately preceding the execution of the deed of settlement, while stating that all other information in the earlier announcement remains unchanged, offering greater clarity to investors on the terms of the debt capitalisation and the identity of the creditor involved.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.00 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

China Qidian Guofeng Swaps RMB5 Million Shareholder Debt for New Equity
Jan 6, 2026

China Qidian Guofeng Holdings Limited has agreed to convert an outstanding, interest-free shareholder loan of RMB5,057,000, originally advanced in 2017 by China Ruike Investment & Development Co., Ltd., into equity through the issuance of 1,975,000 new shares under its existing general mandate. The shares, representing about 0.10% of the company’s enlarged share capital, will be issued at HK$2.84 per share, a discount to recent market prices, in full and final settlement of all sums owed to the creditor, thereby reducing debt and slightly diluting existing shareholders while strengthening the company’s capital structure and aligning the creditor more closely as an equity holder.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

China Qidian Guofeng Overhauls Independent Board Seat with New Capital Markets Specialist
Dec 18, 2025

China Qidian Guofeng Holdings Limited has announced changes to its board, with independent non-executive director (INED) Chen Rui resigning as of 18 December 2025 to focus on personal affairs, with the company emphasizing there is no disagreement with the board and acknowledging his contributions. The company has appointed Hong Kong-based capital markets specialist Kong Xiangming as a new INED from the same date, bringing nearly 20 years of international capital markets and investment management experience, multiple advanced degrees from UK universities, and a broad range of professional qualifications, with a three-year term and an annual director’s fee of HK$100,000; the move strengthens the firm’s corporate governance and financial expertise at the board level, which may bolster investor confidence and oversight as the company continues to operate as a Hong Kong–listed entity.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

China Qidian Guofeng Announces Board and Committee Composition
Dec 18, 2025

China Qidian Guofeng Holdings Limited has announced the current composition of its board of directors, led by Chairman Yuan Li, with Sun Yue and Yuan Lijun serving as vice-chairmen in executive roles, alongside other executive, non-executive and independent non-executive directors. The company has also confirmed the structure and membership of its key governance bodies—the audit, nomination and remuneration committees—with independent non-executive directors holding chairmanships in these committees, underscoring a focus on corporate governance and regulatory compliance that is important for shareholders and other stakeholders monitoring oversight and decision-making within the listed group.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

Qidian International Completes Strategic AI Acquisition
Dec 16, 2025

Qidian International Co., Ltd. has completed the acquisition of an AI technology company, making it a wholly-owned subsidiary. This strategic move involves the issuance of 94,069,530 consideration shares, representing a 4.87% increase in the company’s share capital, and is expected to enhance the company’s market position by integrating the financial results of the acquired company into its operations.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

Qidian International Expands AI Capabilities with Strategic Acquisition
Dec 11, 2025

Qidian International Co., Ltd. has announced the acquisition of an AI technology company, which specializes in data analytics and livestream e-commerce enablement services. This strategic move aligns with the company’s ‘AI+OMO new consumption platform’ strategy, aiming to enhance digital transformation and efficiency across multiple business lines. The acquisition is expected to strengthen the company’s position as a leading AI enablement service provider in China’s rapidly evolving e-commerce and digital marketing landscape. The Target Group’s business model includes operational management services, user behavior analysis, and automated content generation, with revenue generated through fixed service fees and performance-based commissions.

The most recent analyst rating on (HK:1280) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on Qidian International Co., Ltd. stock, see the HK:1280 Stock Forecast page.

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 28, 2025