Baguio Green Group Ltd (1397) AI Stock Analysis

• Market Cap: HK$531.20M
• Dividend Yield: 3.09%
• Average Volume (3M): 544.57K
• Price to Earnings (P/E): 6.0
• Beta (1Y): 0.19
• Revenue Growth: 6.12%
• EPS Growth: 78.64%
• Country: HK
• Employees: 10,329
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.14
• Shares Outstanding: 415,000,000
• 10 Day Avg. Volume: 292,400
• 30 Day Avg. Volume: 544,566
• PEG Ratio: 0.27
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.10
• P/FCF Ratio: 1.17
• 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$1.55
• Price Target Upside: 23.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: HK$1.50 ▲(19.05% Upside)

Baguio Green Group Ltd benefits from strong technical indicators and attractive valuation metrics, which are the most significant factors driving the score. Financial performance is solid but constrained by missing cash flow data. The absence of earnings call and corporate events data does not impact the score.

Baguio Green Group Ltd Business Overview & Revenue Model

Company Description

Baguio Green Group Limited, an investment holding company, provides environmental and related services in Hong Kong, Mainland China, and Southeast Asia. It operates through four segments: Cleaning Services Business, Landscaping Services Business, Pest Management Business, and Waste Management and Recycling Business. The company offers cleaning services for commercial and industrial buildings, residential premises, public hygiene, shopping malls, education institutions, and corporations, as well as cultural, leisure, and recreation venues; specialized and antimicrobial coating services; pest management and control services, such as termite, rodent, cockroach, mosquito and fly, red fire ant, flea, leisure places pest, bird nuisance, and other common urban pests control, as well as integrated pest management services; and landscaping services, including tree survey and arboricultural works, horticultural maintenance, landscape and green projects, and lawn maintenance, as well as supplies plants, trees, and landscape materials. It also provides landscape engineering services, such as tree survey and assessment, turfing, and landscape design; and waste management services comprising commercial, industrial, municipal, construction, food, yard, liquid, chemical, and clinical wastes, as well as materials recovery, glass management, animal waste management, waste management projects, confidential wastes destruction services, and waste paper collection and recycling services. In addition, the company offers automobile repair and plant nursing services; and develops and explores for green technology products. It serves household clients, multinational corporations, semi-government organizations, and government departments. The company was founded in 1980 and is headquartered in Lai Chi Kok, Hong Kong. Baguio Green Group Limited is a subsidiary of Baguio Green (Holding) Limited.

How the Company Makes Money

Baguio Green Group generates revenue through multiple streams, primarily by selling fresh produce directly to retailers, wholesalers, and food service businesses. The company benefits from its vertically integrated operations, which include farming, processing, and distribution, allowing it to maintain quality control and reduce costs. Additionally, Baguio Green Group engages in export activities, tapping into international markets for higher-value products. Partnerships with major retailers and food distributors enhance its market reach and stability. Seasonal demand for fresh produce also plays a significant role in driving revenue, particularly during peak harvest times.

Baguio Green Group Ltd Financial Statement Overview

Summary

Baguio Green Group Ltd demonstrates strong revenue growth and improved profitability margins. The company maintains prudent financial management with a conservative debt-to-equity ratio. However, missing cash flow data limits a comprehensive assessment of liquidity and financial flexibility.

Income Statement

Baguio Green Group Ltd shows a strong revenue growth trend with a 11.83% increase from 2023 to 2024. The gross profit margin is stable at approximately 7.23% in 2024. The net profit margin improved slightly to 2.07%, indicating better cost management. However, EBIT and EBITDA margins show only modest improvements, limiting profitability potential.

Balance Sheet

The company maintains a conservative debt-to-equity ratio of 0.29 in 2024, reflecting prudent financial management. Return on equity improved to 13.08%, indicating efficient use of equity. However, the equity ratio of 40.70% suggests moderate leverage, which could pose risks if market conditions worsen.

Cash Flow

Cash flow analysis is constrained by missing data in 2024. In 2023, a free cash flow of 44.49 million was observed. A significant operating cash flow to net income ratio in prior years indicates strong cash generation capability, but recent data gaps limit comprehensive assessment.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.67B	2.60B	2.33B	1.79B	1.27B	1.13B
Gross Profit	224.31M	188.37M	206.12M	150.97M	109.00M	63.55M
EBITDA	175.97M	144.43M	161.64M	140.07M	82.30M	112.83M
Net Income	88.53M	53.86M	47.11M	53.71M	12.85M	51.38M
Balance Sheet
Total Assets	1.10B	1.01B	1.01B	896.17M	660.94M	604.29M
Cash, Cash Equivalents and Short-Term Investments	290.76M	128.05M	45.93M	33.58M	36.72M	31.72M
Total Debt	98.28M	118.90M	219.28M	223.59M	161.33M	153.65M
Total Liabilities	645.03M	597.87M	641.69M	560.06M	374.36M	315.26M
Stockholders Equity	452.54M	411.57M	370.19M	337.62M	286.58M	289.03M
Cash Flow
Free Cash Flow	268.25M	227.46M	44.49M	-51.48M	8.50M	138.79M
Operating Cash Flow	308.83M	262.44M	96.27M	83.75M	84.77M	156.36M
Investing Cash Flow	-37.16M	-32.15M	-49.29M	-122.27M	-67.08M	-7.82M
Financing Cash Flow	-57.15M	-143.61M	-34.36M	35.85M	-13.17M	-143.44M

Baguio Green Group Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.26
• 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:1397, the sentiment is Positive. The current price of 1.26 is above the 20-day moving average (MA) of 1.15, above the 50-day MA of 1.13, and above the 200-day MA of 0.78, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 67.47 is Neutral, neither overbought nor oversold. The STOCH value of 62.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1397.

Baguio Green Group Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
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%	―
0979	54 Neutral	HK$278.04M	―	-34.09%	―	-3.00%	-7.27%
0436	49 Neutral	HK$224.64M	-13.45	-1.91%	2.13%	-5.95%	33.73%
1845	46 Neutral	HK$200.00M	-3.64	-12.96%	―	-9.79%	-1187.50%

Baguio Green Group Ltd Corporate Events

Baguio Green Group Announces Change in Company Secretary

Baguio Green Group Limited, a company listed on the Hong Kong Stock Exchange, has announced a change in its company secretary position. Mr. Chan Pak Hang has resigned, and Mr. Chan Chor Fai, who has over 25 years of experience in auditing, finance, and accounting, will succeed him. This change is effective from September 12, 2025. The board expressed gratitude to Mr. Chan Pak Hang for his contributions and welcomed Mr. Chan Chor Fai, who is deemed qualified to fulfill the role according to the Stock Exchange’s listing rules.

Baguio Green Group Reports Strong Financial Growth Amidst Economic Challenges

Baguio Green Group Ltd reported a significant increase in its financial performance for the first half of 2025, with revenue rising by 4.8% and profit surging by 128.1% compared to the previous year. The growth was driven by new cleaning service contracts with government departments and institutions, highlighting the company’s strong market position and its alignment with Hong Kong’s environmental policies.

Baguio Green Group to Review Interim Results and Dividend

Baguio Green Group Ltd has announced an upcoming board meeting scheduled for August 28, 2025, to discuss and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the payment of an interim dividend, which could impact shareholder returns and reflect the company’s financial health and strategic direction.

Baguio Green Group Ltd Announces Share Award Plan Details

Baguio Green Group Ltd has issued a supplemental announcement to its 2024 Annual Report, detailing the Share Award Plan. The plan involves 41,500,000 shares, representing approximately 10% of the total issued shares, which are available for issue under this plan. This announcement does not alter any other information in the Annual Report, indicating stability in the company’s reporting and operations.

Baguio Green Group Ltd Projects Over 125% Profit Increase for H1 2025

Baguio Green Group Ltd has announced a significant increase in profit after tax for the first half of 2025, expecting to record not less than HK$58 million, marking a rise of over 125% compared to the same period in 2024. This growth is attributed to improved gross profit margins, gains from the disposal of underutilized assets, and reduced finance costs, highlighting the company’s enhanced operational efficiency and effective cost control measures.