HKBN (1310) AI Stock Analysis

• Market Cap: HK$9.33B
• Dividend Yield: 5.45%
• Average Volume (3M): 57.76M
• Price to Earnings (P/E): 42.1
• Beta (1Y): 0.16
• Revenue Growth: 4.48%
• EPS Growth: 1820.51%
• Country: HK
• Employees: 3,741
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.07
• Shares Outstanding: 1,478,921,500
• 10 Day Avg. Volume: 35,324,997
• 30 Day Avg. Volume: 57,759,700
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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$6.50
• Price Target Upside: 3.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: HK$6.50 ▲(3.50% Upside)

The score is held back mainly by elevated balance-sheet risk (high leverage and shrinking equity) and weak technical momentum (below key moving averages with negative MACD). Offsetting factors include improved profitability versus prior-year losses, generally positive cash generation despite recent free-cash-flow volatility, and a supportive dividend yield, though valuation remains demanding due to the high P/E.

Positive Factors

Revenue Growth

Stable to modest revenue growth indicates resilience in the business model, supporting long-term sustainability and market presence.

Profitability Improvement

The shift from losses to profitability suggests effective cost management and operational efficiency, enhancing long-term financial health.

Positive Cash Generation

Consistent positive cash flow supports operational stability and provides flexibility for strategic investments and debt management.

Negative Factors

High Leverage

Elevated debt levels and declining equity reduce financial flexibility, posing risks to long-term stability and investment capacity.

Margin Compression

Margin compression can limit profitability and hinder the company's ability to invest in growth or weather economic downturns.

Volatile Free Cash Flow

Volatile free cash flow can strain financial resources, affecting the company's ability to reduce debt and invest in growth opportunities.

HKBN Business Overview & Revenue Model

Company Description

HKBN Ltd., an investment holding company, provides fixed telecommunications network, international telecommunications, and mobile services to residential and enterprise customers primarily in Hong Kong. It offers data connectivity, cloud and data center, managed Wi-Fi, business continuity, system integration, cybersecurity, mobile, and voice and collaboration services; and roaming and digital solutions. The company provides IT and security, data processing/center, telecommunication, administrative support, consulting, enterprise systems, technical and product sale, distribution and logistics, outsourcing, software and programming, broadband, Wi-Fi consultancy and connectivity, and business referrals and consultancy services. It also offers internet, telecommunications, and security devices installation services; holds and invests in properties; sells and markets mirapoint, and email related products; holds licenses; and markets and distributes computer hardware and software, and telecommunication and office automation products, as well as provides related services. The company was founded in 1992 and is headquartered in Kwai Chung, Hong Kong.

How the Company Makes Money

HKBN generates revenue through multiple streams, primarily from its broadband and telecommunications services. The company charges subscription fees to residential customers for high-speed internet access, which is a significant portion of its income. Additionally, HKBN provides data connectivity and technology solutions to businesses, contributing to its enterprise revenue stream. The company also benefits from partnerships with technology firms to offer bundled services, enhancing its offerings to customers. By continuously expanding its service portfolio and leveraging strategic alliances, HKBN sustains its financial growth and market position.

HKBN Financial Statement Overview

Summary

HKBN faces challenges with revenue contraction and high leverage, but maintains strong operational cash flows. While profitability metrics are weak, the company's ability to generate cash could support stability amidst financial pressures. Strategic focus on improving net income and managing debt levels could enhance future performance.

Income Statement

Revenue has shown volatility with a recent decline of 8.9%. The gross profit margin is stable at around 23.6%, but the net profit margin is low at 0.1% due to significant net income fluctuations. EBITDA margin remains strong at 22.6%, indicating operational efficiency despite revenue challenges.

Balance Sheet

The debt-to-equity ratio is high at 4.49, indicating significant leverage, which could pose risks. Return on equity is low at 0.4%, reflecting limited profitability. The equity ratio is modest at 14.5%, showing a reliance on debt financing.

Cash Flow

Free cash flow has grown by 92.3%, and the operating cash flow to net income ratio is robust at 200.3, demonstrating strong cash generation. However, the free cash flow to net income ratio of 1650.8 indicates operational cash flows are covering net income well, despite low profitability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	11.13B	11.13B	10.65B	11.69B	11.63B	11.46B
Gross Profit	2.58B	2.58B	2.51B	2.61B	2.84B	2.80B
EBITDA	2.38B	2.40B	2.14B	1.21B	2.83B	2.59B
Net Income	206.86M	206.86M	10.28M	-1.27B	553.32M	206.87M
Balance Sheet
Total Assets	17.25B	17.25B	17.67B	18.15B	20.43B	21.77B
Cash, Cash Equivalents and Short-Term Investments	1.19B	1.19B	1.22B	1.03B	1.21B	1.42B
Total Debt	11.28B	11.28B	11.47B	11.49B	11.73B	11.78B
Total Liabilities	14.97B	14.97B	15.11B	15.10B	15.50B	16.23B
Stockholders Equity	2.29B	2.29B	2.55B	3.05B	4.92B	5.54B
Cash Flow
Free Cash Flow	1.18B	796.35M	1.70B	881.57M	918.28M	1.36B
Operating Cash Flow	1.67B	1.29B	2.06B	1.37B	1.43B	1.93B
Investing Cash Flow	-500.00M	-500.00M	-352.62M	-464.32M	-308.68M	-586.60M
Financing Cash Flow	-814.49M	-814.49M	-1.50B	-1.63B	-1.94B	-928.43M

HKBN Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.28
• 50DMA: Negative
• 100DMA: Positive
• 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:1310, the sentiment is Neutral. The current price of 6.28 is below the 20-day moving average (MA) of 6.34, below the 50-day MA of 6.47, and above the 200-day MA of 5.52, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 47.58 is Neutral, neither overbought nor oversold. The STOCH value of 64.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1310.

HKBN Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0315	81 Outperform	HK$5.26B	11.00	9.18%	6.79%	0.52%	2.07%
0552	76 Outperform	HK$31.65B	8.13	8.00%	5.24%	1.54%	-2.09%
1883	73 Outperform	HK$9.29B	10.14	8.67%	7.46%	-0.62%	-5.10%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
0215	58 Neutral	HK$5.59B	232.00	0.26%	6.40%	6.79%	―
1310	50 Neutral	HK$9.33B	42.12	8.55%	5.45%	4.48%	1820.51%
0008	49 Neutral	HK$42.66B	-150.55	―	1.68%	4.26%	36.68%

HKBN Corporate Events

HKBN Ltd. Announces Successful AGM Results and Key Resolutions

HKBN Ltd. announced the results of its Annual General Meeting held on December 16, 2025, where all proposed resolutions were passed. Key decisions included the adoption of financial statements, declaration of a final dividend, re-election of directors, and reappointment of KPMG as the independent auditor. The successful passing of these resolutions reflects shareholder confidence in the company’s governance and strategic direction.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Announces AGM with Key Resolutions on Financials and Governance

HKBN Ltd. has announced its upcoming annual general meeting scheduled for December 16, 2025, where shareholders will address several key resolutions. These include the adoption of the company’s audited financial statements, the declaration of a final dividend, the re-election of several directors, and the re-appointment of KPMG as the independent auditor. Additionally, shareholders will consider granting the board the authority to issue additional shares, which could potentially impact the company’s capital structure and shareholder value.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Secures HK$10.75 Billion Loan Facility with Contingency Clause

HKBN Ltd. announced the signing of a facility agreement with a syndicate of banks for a term loan facility amounting to HK$10.75 billion, maturing 364 days after the initial drawdown, with options for extensions. The agreement includes a clause allowing lenders to demand repayment if China Mobile Hong Kong Company Limited, the controlling shareholder, reduces its stake below 50%, potentially impacting HKBN’s financial stability and shareholder dynamics.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Establishes Risk Committee to Strengthen Governance

HKBN Ltd. has established a Risk Committee to assist its Board in assessing and recommending the Group’s risk appetite, profile, and tolerance, as well as overseeing the enterprise risk management framework, policies, and systems. This move is expected to enhance the company’s governance structure and ensure a more robust risk management process, potentially strengthening its market position and providing reassurance to stakeholders.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Declares Final Dividend for FY2025

HKBN Ltd. has announced a final ordinary cash dividend of HKD 0.189 per share for the financial year ending 31 August 2025. The dividend reflects the company’s financial performance and commitment to returning value to shareholders, with the payment scheduled for 6 January 2026. This announcement may impact investor sentiment and reflects HKBN’s stable financial position in the telecommunications industry.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Strengthens Financial Oversight with Audit Committee Guidelines

HKBN Ltd. has outlined the terms of reference for its Audit Committee, emphasizing its establishment, membership criteria, and operational procedures. The announcement highlights the company’s commitment to maintaining robust financial oversight and governance through the Audit Committee, which consists of independent non-executive directors and meets regularly to ensure compliance and financial integrity.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Reports Strong Financial Growth and Unveils New Strategic Direction

HKBN Ltd. reported a strong financial performance for the year ending August 2025, with a 4% increase in total revenue to $11,129 million and a significant rise in net profit from $10 million to $207 million. The company is embarking on a new strategic direction aimed at enhancing service capabilities and market expansion, focusing on digital transformation and maintaining competitive advantage in the global digital landscape.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Enters Master Agreements with China Mobile Subsidiaries

HKBN Ltd. has entered into Master Agreements with CMHK and CMI, subsidiaries of China Mobile, to facilitate continuing connected transactions until August 2028. These agreements, which involve service provisions between the parties, are subject to specific regulatory requirements under Hong Kong’s Listing Rules, impacting the company’s operational collaborations with China Mobile Group.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Ltd. Schedules Board Meeting to Approve Annual Results

HKBN Ltd. has announced that its board of directors will meet on October 31, 2025, to approve the company’s annual results for the fiscal year ending August 31, 2025, and to consider the payment of a final dividend. This meeting is significant as it will determine the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.

HKBN Granted Temporary Waiver on Public Float Requirement

HKBN Ltd. has received a temporary waiver from the Stock Exchange of Hong Kong to comply with the minimum public float requirement of 25%. This waiver, granted for four months, follows China Mobile Hong Kong’s acquisition of a significant shareholding in HKBN, which reduced the public float to approximately 22.92%. The company and China Mobile Hong Kong are working to restore the required public float level, with further announcements expected as they progress.

The most recent analyst rating on (HK:1310) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on HKBN stock, see the HK:1310 Stock Forecast page.