361 Degrees International (1361) AI Stock Analysis

• Market Cap: HK$11.99B
• Dividend Yield: 5.22%
• Average Volume (3M): 3.17M
• Price to Earnings (P/E): 9.1
• Beta (1Y): 0.81
• Revenue Growth: 14.63%
• EPS Growth: 15.55%
• Country: HK
• Employees: 7,934
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): 0.45
• Shares Outstanding: 2,067,682,000
• 10 Day Avg. Volume: 2,921,715
• 30 Day Avg. Volume: 3,166,472
• PEG Ratio: 0.33
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.82
• P/FCF Ratio: -41.41
• 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$7.31
• Price Target Upside: 24.96% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.68
• Revenue Forecast (FY): HK$12.38B

• Rating: 81 Outperform
• Price Target: HK$7.00 ▲(19.66% Upside)

361 Degrees International scores well due to its strong financial performance and attractive valuation. The company's robust balance sheet and revenue growth are significant strengths. Technical analysis supports a positive outlook with bullish indicators. However, cash flow management needs improvement to sustain long-term growth.

361 Degrees International Business Overview & Revenue Model

Company Description

361 Degrees International (1361) is a leading sportswear brand based in China, specializing in the design, development, and marketing of athletic footwear, apparel, and accessories. The company operates primarily in the sports and lifestyle sectors, catering to a diverse range of consumers from professional athletes to casual fitness enthusiasts. Its core products include running shoes, training gear, and lifestyle apparel, aiming to combine performance with style for an active lifestyle.

How the Company Makes Money

361 Degrees International generates revenue through multiple streams including direct sales of their products via retail outlets, e-commerce platforms, and wholesale distribution to other retailers. The company has established a significant presence in the Chinese market and leverages partnerships with various sporting events and athletes to enhance brand visibility and credibility. Additionally, they invest in marketing initiatives and sponsorships that drive consumer engagement and sales growth. The increase in online shopping trends has also contributed to their earnings, with a growing focus on digital sales channels.

361 Degrees International Financial Statement Overview

Summary

361 Degrees International demonstrates strong financial performance with significant revenue growth and improved profit margins. The balance sheet is robust with low leverage and high equity, indicating financial stability. However, cash flow management needs improvement due to fluctuating free cash flow and challenges in capital expenditure management.

Income Statement

361 Degrees International has shown strong revenue growth over the past few years, increasing from 5.12 billion in 2020 to 10.07 billion in 2024. Gross profit margin improved significantly, reflecting efficient cost management. Net profit margin has also improved, indicating better profitability. However, there is room for improvement in EBIT and EBITDA margins to enhance operational efficiency.

Balance Sheet

The company maintains a solid balance sheet with a strong equity base and low leverage. The debt-to-equity ratio is exceptionally low, reflecting minimal reliance on debt financing. High equity ratio indicates financial stability and capacity for future investment. Return on Equity (ROE) is robust, showcasing efficient use of shareholder capital.

Cash Flow

Cash flow analysis reveals fluctuating free cash flow, with a recent decline despite strong operating cash flow. The operating cash flow to net income ratio is positive, but free cash flow to net income has seen a downturn. This suggests some challenges in capital expenditure management and cash conversion efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.64B	10.07B	8.42B	6.96B	5.93B	5.13B
Gross Profit	4.42B	4.18B	3.46B	2.82B	2.47B	1.94B
EBITDA	1.73B	1.65B	1.46B	1.14B	1.13B	792.45M
Net Income	1.22B	1.15B	961.43M	747.12M	601.70M	415.06M
Balance Sheet
Total Assets	14.13B	13.41B	13.07B	12.44B	11.24B	11.62B
Cash, Cash Equivalents and Short-Term Investments	4.60B	4.26B	5.20B	5.86B	5.34B	6.45B
Total Debt	317.26M	264.51M	295.31M	292.85M	208.87M	1.94B
Total Liabilities	3.61B	3.58B	3.34B	3.02B	2.68B	4.06B
Stockholders Equity	10.05B	9.38B	9.08B	7.94B	7.12B	6.61B
Cash Flow
Free Cash Flow	246.01M	-198.86M	343.83M	349.38M	362.35M	13.25M
Operating Cash Flow	433.48M	69.81M	407.81M	380.34M	371.95M	20.66M
Investing Cash Flow	1.43B	1.37B	416.77M	85.09M	1.08B	255.20M
Financing Cash Flow	-684.65M	-776.91M	-1.08B	59.43M	-1.56B	-242.63M

361 Degrees International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.85
• 50DMA: Negative
• 100DMA: Negative
• 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:1361, the sentiment is Negative. The current price of 5.85 is below the 20-day moving average (MA) of 5.94, below the 50-day MA of 5.98, and above the 200-day MA of 5.21, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 41.78 is Neutral, neither overbought nor oversold. The STOCH value of 25.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1361.

361 Degrees International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1836	82 Outperform	HK$13.21B	10.59	14.55%	10.16%	-0.14%	-14.24%
1361	81 Outperform	HK$11.99B	9.15	12.52%	5.22%	14.63%	15.55%
1910	79 Outperform	HK$27.00B	11.24	20.28%	4.23%	-3.50%	-15.16%
0551	74 Outperform	HK$27.08B	9.19	8.72%	7.69%	5.75%	0.93%
0210	70 Outperform	$811.23M	6.53	15.44%	4.60%	―	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
1028	55 Neutral	HK$1.82B	-9.66	-13.15%	―	-11.17%	-621.38%

361 Degrees International Corporate Events

361 Degrees International Reports Strong Q3 2025 Growth and Strategic Innovations

In the third quarter of 2025, 361 Degrees International reported a 10% growth in retail sales for its core and kids brands, and a 20% increase in e-commerce sales compared to the previous year. The company enhanced its market competitiveness through technological innovations and strategic collaborations, such as with Standard Robots, and launched new products across various segments, including running, basketball, and outdoor sports. High-profile events and partnerships, like Nikola JOKIĆ’s China tour, further boosted brand visibility and consumer engagement.

361 Degrees Explores Stablecoin Solutions for Global Operations

361 Degrees International Limited is exploring the integration of stablecoin payment and settlement solutions for its operations outside mainland China. This move aims to enhance payment efficiency, reduce costs, and mitigate exchange rate risks for cross-border e-commerce and overseas offline store transactions, aligning with the growing trend of cryptocurrency adoption in the global business sector.