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BaWang International (Group) Holding Limited (HK:1338)
:1338
Hong Kong Market
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BaWang International (Group) Holding Limited (1338) AI Stock Analysis

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HK:1338

BaWang International (Group) Holding Limited

(1338)

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Neutral 57 (OpenAI - 5.2)
Rating:57Neutral
Price Target:
HK$0.03
▼(-15.00% Downside)
Action:Reiterated
Date:06/16/26
The score is held back mainly by weakened earnings power and a sharp drop in 2025 free cash flow, partially offset by a conservatively financed balance sheet with very low leverage. Technicals are soft (below longer-term averages with negative MACD), while valuation appears only middling given current profitability and the absence of a stated dividend yield.
Positive Factors
Conservative balance sheet
Very low leverage (debt-to-equity ~0.03) provides durable financial flexibility and low refinancing risk. That conservative capital structure cushions the business through downturns, supports liquidity for working capital and selective reinvestment, and preserves optionality.
Negative Factors
Profitability deterioration
Material compression of net margin to ~1.4% and operating profit near breakeven weakens the firm's ability to convert sales into earnings. Persistently low operating profitability reduces reinvestment capacity, heightens vulnerability to cost shocks, and limits return generation.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Very low leverage (debt-to-equity ~0.03) provides durable financial flexibility and low refinancing risk. That conservative capital structure cushions the business through downturns, supports liquidity for working capital and selective reinvestment, and preserves optionality.
Read all positive factors

BaWang International (Group) Holding Limited (1338) vs. iShares MSCI Hong Kong ETF (EWH)

BaWang International (Group) Holding Limited Business Overview & Revenue Model

Company Description
BaWang International (Group) Holding Limited, operating with its subsidiaries, specializes in the development, production, sale, and distribution of products based on traditional Chinese herbs. The company's reach extends across the People's Repub...
How the Company Makes Money
BaWang International makes money mainly by selling branded personal care products—primarily hair-care items such as shampoos and related products—under its own brands. Revenue is recognized from product sales to downstream customers (e.g., distrib...

BaWang International (Group) Holding Limited Financial Statement Overview

Summary
Balance sheet strength and very low leverage support stability (debt-to-equity ~0.03), but profitability has weakened materially (net margin down to ~1.4% in 2025 with operating profit near breakeven) and free cash flow fell sharply in 2025 (~HK$2.2M, down ~85% YoY), lowering overall financial quality.
Income Statement
56
Neutral
Balance Sheet
78
Positive
Cash Flow
49
Neutral
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue273.09M252.95M237.65M246.34M273.60M
Gross Profit138.85M128.78M119.72M92.52M99.03M
EBITDA11.40M14.25M31.50M15.19M25.01M
Net Income3.88M6.55M13.63M-19.32M-9.08M
Balance Sheet
Total Assets226.53M235.43M230.33M244.23M295.58M
Cash, Cash Equivalents and Short-Term Investments115.60M120.32M88.27M74.40M63.27M
Total Debt4.42M15.89M25.10M33.28M53.45M
Total Liabilities76.97M89.97M90.83M118.21M149.72M
Stockholders Equity149.56M145.47M139.50M126.02M145.85M
Cash Flow
Free Cash Flow2.21M12.19M1.78M22.15M-65.00K
Operating Cash Flow19.12M31.15M4.05M24.11M1.60M
Investing Cash Flow-60.71M11.67M19.35M-177.00K-50.52M
Financing Cash Flow-7.06M-10.16M-9.07M-11.28M-11.44M

BaWang International (Group) Holding Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.04
Price Trends
50DMA
0.03
Negative
100DMA
0.03
Negative
200DMA
0.04
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
0.01
Positive
STOCH
22.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1338, the sentiment is Negative. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.03, and above the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 0.01 is Positive, neither overbought nor oversold. The STOCH value of 22.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1338.

BaWang International (Group) Holding Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
HK$10.37B8.1142.42%2.53%35.28%41.20%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
57
Neutral
HK$98.04M22.292.65%8.10%-36.36%
51
Neutral
HK$15.91B-46.13-4.30%5.00%-1.71%53.04%
49
Neutral
HK$128.00M-5.44-15.15%12.61%-7.18%-277.57%
48
Neutral
HK$930.98M87.74-12.38%52.36%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1338
BaWang International (Group) Holding Limited
0.03
-0.02
-38.00%
HK:0157
Natural Beauty Bio-Technology
0.47
-0.09
-15.45%
HK:2145
Shanghai Chicmax Cosmetics Co., Ltd. Class H
26.04
-53.04
-67.07%
HK:6993
Blue Moon Group Holdings Ltd.
2.86
-1.03
-26.46%
HK:2593
Herbs Generation Group Holdings Limited Class H
0.96
-0.93
-49.21%
HK:6883
Eternal Beauty Holdings Limited
2.03
-0.01
-0.49%

BaWang International (Group) Holding Limited Corporate Events

BaWang International Wins Minority Backing for 2026 Lease Deal
May 28, 2026
Independent shareholders of BaWang International (Group) Holding Limited approved the company’s 2026 Lease Agreement at an extraordinary general meeting held on 28 May 2026, with all 238,050,000 votes cast in favour by poll. The resolution a...
BaWang International shareholders back all AGM resolutions, renew capital mandates
May 28, 2026
BaWang International reported that all ordinary resolutions at its 28 May 2026 annual general meeting were passed by shareholders through poll voting, with 2,138,898,000 votes cast in favour and none against each item. The meeting approved the 202...
BaWang International Calls EGM to Approve 2026 Lease Agreement and Sets Voting Rules
May 5, 2026
BaWang International (Group) Holding Limited has called an extraordinary general meeting for 28 May 2026 in Guangzhou, to be held immediately after its annual general meeting, to seek shareholder approval of a 2026 Lease Agreement and to authorise...
BaWang International Delays Dispatch of Circular on Major Connected Transaction
Apr 24, 2026
BaWang International (Group) Holding Limited, a Hong Kong-listed consumer products company best known for its BaWang-branded personal care lines in Greater China, operates primarily through mass-market retail and distribution channels. The group&#...
BaWang International Sets 2026 AGM to Approve Accounts, Board Changes and Share Mandate
Apr 23, 2026
BaWang International (Group) Holding Limited has called its annual general meeting for 28 May 2026 in Guangzhou to present the audited financial statements for the year ended 31 December 2025 and the accompanying directors’ and auditors&#821...
BaWang International Seeks Shareholder Approval for Major Related-Party Lease in Guangzhou
Apr 10, 2026
BaWang International has entered into a new five-year lease for production facilities, offices, warehouses and staff dormitories at its Bawang Industrial Complex in Guangzhou, covering 37,997.7 square metres from July 2026 to June 2031. Under IFRS...
BaWang International Clarifies Share Transfer Deadline for 2026 AGM
Mar 27, 2026
BaWang International (Group) Holding Limited has issued a clarification regarding its recently announced annual results for the year ended 31 December 2025. The clarification focuses on administrative details around shareholder eligibility to atte...
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: Jun 16, 2026