China Tianbao Group Development Company Limited (1427) AI Stock Analysis

• Market Cap: HK$208.07M
• Dividend Yield: N/A
• Average Volume (3M): 94.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.21
• Revenue Growth: -21.32%
• EPS Growth: -715.30%
• Country: HK
• Employees: 415
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Diversified
• EPS (TTM): -0.05
• Shares Outstanding: 877,936,000
• 10 Day Avg. Volume: 205,100
• 30 Day Avg. Volume: 94,666
• PEG Ratio: <0.01
• Price to Book (P/B): 0.20
• Price to Sales (P/S): 0.09
• P/FCF Ratio: -69.72
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: HK$0.24 ▲(3.48% Upside)

The overall stock score of 44 reflects significant financial challenges, including declining profitability, high leverage, and negative cash flow. Technical indicators provide some neutral signals, but valuation metrics are weak due to negative earnings and lack of dividends. These factors collectively suggest a cautious outlook for the stock.

Positive Factors

Urbanization Trend

The company's focus on urbanization trends positions it to benefit from increasing demand for real estate in urban areas, supporting long-term growth.

Strategic Partnerships

Strategic partnerships enhance project execution and site acquisition, providing a competitive edge in securing lucrative development opportunities.

Rental Income Stability

Leasing properties offers a consistent revenue stream, which can stabilize cash flow and provide financial resilience amid market fluctuations.

Negative Factors

Declining Revenue

A substantial decline in revenue indicates weakening market position and challenges in maintaining sales momentum, impacting long-term growth prospects.

High Leverage

Increased leverage raises financial risk and limits flexibility, potentially straining resources and affecting the company's ability to invest in growth.

Negative Cash Flow

Lack of cash generation from operations suggests liquidity issues, hindering the company's capacity to sustain operations and invest in future projects.

China Tianbao Group Development Company Limited Business Overview & Revenue Model

Company Description

China Tianbao Group Development Company Limited (1427) is a Hong Kong-based investment holding company primarily engaged in property development and real estate investment. The company focuses on residential and commercial projects, offering a range of services that include project management, investment advisory, and property leasing. With a strategic emphasis on China’s growing urbanization and real estate market, China Tianbao aims to capitalize on opportunities in the property sector by developing high-quality properties that meet the demands of contemporary consumers.

How the Company Makes Money

China Tianbao Group generates revenue primarily through the sale of residential and commercial properties, which constitutes its core revenue stream. The company undertakes property development projects, where it invests in land acquisition, construction, and marketing to create and sell properties at a profit. Additionally, it earns income from leasing properties that it retains within its portfolio, providing a steady stream of rental revenue. Partnerships with local governments and other developers also play a crucial role in facilitating project approvals and securing favorable development sites, thereby enhancing the company's ability to generate revenue. Market demand for real estate in urban areas further supports its sales and rental income, driven by ongoing urbanization trends and increasing population density.

China Tianbao Group Development Company Limited Financial Statement Overview

Summary

China Tianbao Group Development Company Limited exhibits declining revenue and profitability, with increasing leverage and negative cash flow trends. The company faces operational challenges and financial instability risks, reflected in its low margins, high debt, and lack of cash flow. These factors contribute to a cautious financial outlook.

Income Statement

The company experienced significant revenue decline with a 25.05% drop from 2023 to 2024. Gross profit margin decreased to 2.69%, and the company reported a negative net profit margin of -8.13% in 2024. EBIT and EBITDA margins were also negative, indicating operational challenges. The overall income statement shows a trend of decreasing profitability and increasing losses.

Balance Sheet

The debt-to-equity ratio increased to 1.59 in 2024, indicating higher leverage. The return on equity was negative at -19.38%, reflecting unprofitable operations. The equity ratio decreased to 13.68%, suggesting increased financial risk. The balance sheet reflects higher leverage and reduced equity, pointing to potential financial instability.

Cash Flow

The company showed no operating cash flow in 2024, with free cash flow remaining at zero. This indicates a lack of cash generation from core business operations. The absence of positive cash flow metrics suggests potential liquidity issues and challenges in maintaining sustainable cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.04B	2.04B	2.72B	1.92B	2.90B	3.37B
Gross Profit	59.22M	54.73M	161.91M	114.71M	243.63M	628.10M
EBITDA	-77.16M	-60.25M	131.05M	-107.06M	140.91M	541.36M
Net Income	-174.00M	-165.55M	10.99M	-347.35M	41.81M	331.67M
Balance Sheet
Total Assets	6.10B	6.25B	6.07B	6.27B	6.94B	6.46B
Cash, Cash Equivalents and Short-Term Investments	163.72M	213.72M	252.49M	300.77M	319.67M	183.92M
Total Debt	1.45B	1.36B	1.05B	904.95M	799.98M	581.41M
Total Liabilities	5.26B	5.39B	5.06B	5.27B	5.59B	5.14B
Stockholders Equity	843.88M	854.50M	1.01B	1.00B	1.35B	1.32B
Cash Flow
Free Cash Flow	136.99M	-2.50M	-30.64M	-166.04M	-155.83M	218.35M
Operating Cash Flow	175.50M	36.01M	-28.94M	-165.79M	-151.39M	232.94M
Investing Cash Flow	-58.07M	-63.11M	16.34M	47.23M	-104.07M	-34.42M
Financing Cash Flow	-269.95M	48.20M	-26.40M	95.28M	315.00M	-345.82M

China Tianbao Group Development Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.23
• 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:1427, the sentiment is Negative. The current price of 0.23 is below the 20-day moving average (MA) of 0.24, below the 50-day MA of 0.24, and above the 200-day MA of 0.22, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.83 is Neutral, neither overbought nor oversold. The STOCH value of 38.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1427.

China Tianbao Group Development Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
0760	56 Neutral	HK$88.01M	-0.63	-8.38%	―	-48.96%	-185.64%
1240	52 Neutral	HK$310.56M	6.02	2.10%	―	-14.93%	―
0978	50 Neutral	HK$1.35B	-0.72	-20.96%	4.44%	-16.06%	-529.92%
2349	47 Neutral	HK$193.95M	-2.64	-12.31%	―	-0.09%	37.33%
1427	44 Neutral	HK$208.07M	-1.00	-19.00%	―	-21.32%	-715.30%
1965	37 Underperform	HK$53.40M	-0.15	-307.36%	―	-6.40%	-143.33%

China Tianbao Group Development Company Limited Corporate Events

China Tianbao Group Secures Financing for Health City Development

China Tianbao Group Development Company Limited has announced its intention to provide a corporate guarantee of up to RMB800,000,000 to China Construction Bank Corporation for its subsidiary, Huailai Tianbao Health Care Service Co., Ltd. This guarantee supports a long-term loan aimed at enhancing the subsidiary’s cash flow and facilitating the development of Tianbao Jingbei Health City. The agreement terms are considered fair and beneficial for the company and its shareholders, and the bank involved is independent of the company.

China Tianbao Group Faces Compliance Challenge as Director Steps Down

China Tianbao Group Development Company Limited announced the expiration of Mr. Hou Liang’s tenure as an independent non-executive director on October 20, 2025. Mr. Hou has decided not to renew his appointment to focus on other business engagements. His departure leaves the company with a shortfall in the required number of independent non-executive directors and committee members as per the Hong Kong Stock Exchange’s Listing Rules. The company plans to fill the vacancy within three months to comply with these regulations.

China Tianbao Group Announces Board Composition and Committee Roles

China Tianbao Group Development Company Limited has announced the composition of its board of directors and their respective roles within the company. The board includes both executive and independent non-executive directors, with Mr. LI Baotian serving as the Chairman. The board has established five committees, each focusing on different aspects of the company’s governance, such as audit, remuneration, nomination, strategic planning, and investment decisions. This announcement provides clarity on the leadership structure and governance framework, which is crucial for stakeholders to understand the company’s decision-making processes and strategic direction.