ELL Environmental Holdings Limited (1395) AI Stock Analysis

• Market Cap: HK$190.46M
• Dividend Yield: N/A
• Average Volume (3M): 107.50K
• Price to Earnings (P/E): 15.5
• Beta (1Y): 1.02
• Revenue Growth: 38.07%
• EPS Growth: N/A
• Country: HK
• Employees: 302
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.01
• Shares Outstanding: 1,107,299,900
• 10 Day Avg. Volume: 103,000
• 30 Day Avg. Volume: 107,500
• PEG Ratio: -3.84
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 1.47
• P/FCF Ratio: 160.38
• 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: 55 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily influenced by financial performance challenges, including negative net income and cash flow issues. Technical analysis shows positive momentum, but the negative MACD suggests caution. Valuation is moderate, with a reasonable P/E ratio but no dividend yield.

ELL Environmental Holdings Limited Business Overview & Revenue Model

Company Description

ELL Environmental Holdings Limited (1395) is a prominent company in the environmental services sector, specializing in waste management, recycling, and environmental consultancy. The company focuses on sustainable practices and innovative solutions to meet the growing demand for environmental protection and resource conservation. Its core products and services include waste collection, processing, and disposal, as well as recycling services and consultancy for businesses aiming to improve their environmental impact.

How the Company Makes Money

ELL Environmental Holdings Limited generates revenue through several key streams, primarily from its waste management and recycling services. The company charges clients for waste collection and disposal, leveraging contracts with both commercial and residential customers. Additionally, revenues are derived from the sale of recycled materials, which are processed and sold to manufacturers and other businesses. ELL also offers consultancy services that help organizations develop and implement effective waste management strategies, contributing to its earnings. Strategic partnerships with local governments and businesses further enhance its revenue potential, as these collaborations often lead to long-term contracts and increased service demand.

ELL Environmental Holdings Limited Financial Statement Overview

Summary

ELL Environmental Holdings Limited faces significant profitability challenges, evidenced by negative net income and cash flow issues. While the company maintains a reasonable debt profile, its revenue volatility and inability to generate positive cash flow highlight financial instability that needs addressing.

Income Statement

The company has experienced volatile revenue growth, with a recent decline. Despite a gross profit margin of 51% in 2024, net profit margins are negative, indicating profitability issues. EBITDA and EBIT margins have improved but remain modest, reflecting operational challenges.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.78, suggesting manageable leverage, but a declining equity ratio indicates weakening financial stability. Negative net income impacts the return on equity, highlighting profitability concerns.

Cash Flow

Cash flow performance is concerning, with negative free cash flow and operating cash flow over recent periods. The company struggles to convert revenue into cash, posing risks to liquidity and operational sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	156.72M	121.62M	113.28M	203.66M	103.14M	59.02M
Gross Profit	80.17M	62.02M	40.67M	52.06M	53.64M	29.62M
EBITDA	42.51M	23.63M	20.31M	17.27M	32.65M	11.55M
Net Income	12.14M	-8.73M	-8.27M	-16.26M	6.14M	-4.96M
Balance Sheet
Total Assets	547.64M	516.71M	526.10M	531.06M	528.77M	477.38M
Cash, Cash Equivalents and Short-Term Investments	87.33M	35.17M	30.16M	34.61M	77.33M	58.87M
Total Debt	212.62M	202.64M	184.87M	168.41M	74.79M	23.50M
Total Liabilities	272.92M	263.91M	247.20M	228.16M	145.71M	102.22M
Stockholders Equity	280.10M	258.80M	284.38M	295.53M	352.87M	345.14M
Cash Flow
Free Cash Flow	5.41M	1.12M	-30.66M	-84.49M	-11.31M	-497.00K
Operating Cash Flow	10.54M	1.93M	-24.75M	-80.55M	-7.65M	6.23M
Investing Cash Flow	-11.96M	-4.50M	17.02M	-28.85M	-1.41M	-81.00K
Financing Cash Flow	27.84M	5.62M	4.32M	84.36M	21.91M	-17.14M

ELL Environmental Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.15
• 50DMA: Positive
• 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:1395, the sentiment is Positive. The current price of 0.15 is below the 20-day moving average (MA) of 0.15, below the 50-day MA of 0.16, and above the 200-day MA of 0.14, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 61.28 is Neutral, neither overbought nor oversold. The STOCH value of 72.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1395.

ELL Environmental Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6805	79 Outperform	HK$2.47B	17.34	12.28%	11.26%	16.00%	32.03%
1397	75 Outperform	HK$531.20M	6.00	21.36%	3.09%	6.12%	78.64%
1790	67 Neutral	HK$450.00M	6.74	4.69%	―	17.22%	-21.23%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1395	55 Neutral	HK$190.46M	15.55	4.68%	―	38.07%	―
0587	54 Neutral	HK$1.04B	-13.41	-2.39%	5.00%	-3.37%	-149.08%
0436	49 Neutral	HK$224.64M	-13.45	-1.91%	2.13%	-5.95%	33.73%

ELL Environmental Holdings Limited Corporate Events

ELL Environmental Announces Extension of Arbitral Award Date

ELL Environmental Holdings Limited announced an extension of the arbitral award date to 2 March 2026 for its subsidiary, Everbest Water Treatment Development Company Limited, due to the complexity of the case. The company is currently unable to predict the arbitration’s outcome or its financial impact, advising shareholders and potential investors to exercise caution.

ELL Environmental Announces Director Re-designations to Enhance Strategic Operations

ELL Environmental Holdings Limited has announced a re-designation of directors effective from August 25, 2025. Mr. Chan Pak Lam Brian will transition from a non-executive to an executive director, overseeing daily operations, while Mr. Radius Suhendra will move from an executive to a non-executive director role, focusing on strategic advice and board performance monitoring. This re-designation aligns with their experience and past contributions, potentially enhancing the company’s operational efficiency and strategic direction.

ELL Environmental Holdings Announces Board Composition

ELL Environmental Holdings Limited has announced the composition of its board of directors and their roles within the company. This announcement provides clarity on the leadership structure, which could influence the company’s strategic direction and operational focus, impacting stakeholders’ interests and confidence.

ELL Environmental Holdings Reports Strong Financial Turnaround in H1 2025

ELL Environmental Holdings Limited reported a significant financial turnaround for the first half of 2025, with revenue increasing by 76.8% to HK$80.8 million and a net profit of HK$12.5 million, compared to a net loss in the previous year. Despite the improved financial performance, the company decided not to declare any dividend for the period, indicating a strategic focus on reinvestment or debt management, which may impact shareholder expectations.

ELL Environmental Holdings Enhances Governance with New Nomination Committee

ELL Environmental Holdings Limited has established a Nomination Committee to enhance its corporate governance structure. This committee, formed by the board of directors, is tasked with ensuring board diversity and maintaining compliance with the Hong Kong Stock Exchange’s listing rules. The committee’s formation underscores the company’s commitment to diversity and governance, potentially strengthening its industry position and stakeholder trust.

ELL Environmental Holdings Announces Positive Profit Alert Amid Revenue Growth

ELL Environmental Holdings Limited has announced a positive profit alert, expecting a profit after tax of no less than HK$11 million for the first half of 2025, a significant turnaround from a loss in the same period the previous year. This improvement is attributed to increased revenue from its subsidiaries, particularly in wastewater treatment facility expansion and biomass power supply. However, the outcome of an ongoing arbitration could impact these results, as adjustments may be required depending on the arbitral award’s outcome.

ELL Environmental Holdings to Review Financial Results and Consider Interim Dividend

ELL Environmental Holdings Limited, a company incorporated in the Cayman Islands, has announced that its board of directors will meet on August 25, 2025, to review and approve the unaudited consolidated financial results for the first half of 2025 and to consider the declaration of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, potentially impacting its market positioning and stakeholder interests.