Guolian Securities Co., Ltd. Class H (1456) AI Stock Analysis

• Market Cap: HK$67.79B
• Dividend Yield: 1.07%
• Average Volume (3M): 34.90M
• Price to Earnings (P/E): 17.9
• Beta (1Y): 2.15
• Revenue Growth: 230.87%
• EPS Growth: 227.96%
• Country: HK
• Employees: 3,265
• Sector: Financial
• Sector Strength: 75
• Industry: Financial - Capital Markets
• EPS (TTM): 0.05
• Shares Outstanding: 442,640,000
• 10 Day Avg. Volume: 78,957,922
• 30 Day Avg. Volume: 34,904,407
• PEG Ratio: -0.54
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.65
• 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

• Rating: 67 Neutral
• Price Target: ―

Guolian Securities has a solid financial foundation with strong revenue growth and cash flow generation. However, the stock faces challenges with its technical indicators pointing to a bearish trend and a relatively high P/E ratio indicating potential overvaluation. Despite these challenges, the stable dividend yield adds support, making the stock moderately attractive.

Guolian Securities Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Guolian Securities Co., Ltd., together with its subsidiaries, provides various financial products and services in the People's Republic of China. The company operates through Brokerage and Wealth Management; Credit Transaction; Investment Banking; Proprietary Trading; and Assets Management and Investment segments. It offers securities trading and brokering services; financial leverage services for brokerage clients, securities-backed lending, and securities repurchase; and corporate finance and financial advisory services to institutional clients and market maker business. The company also sells wealth management products; and engages in the direct investment and funds related businesses, as well as provision of management and maintenance, investment consultancy and advisory, transaction execution, and asset allocation services. In addition, it is involved in the securities and bonds underwriting and sponsorship, investment management, proprietary investment in venture capital, industrial investment, equity investment, asset management, introducing broker for futures companies, margin financing and securities lending, and agency sale of financial broker products. As of December 31, 2021, it owned 101 branches, which included 13 branch offices and 88 securities branches. The company was formerly known as Wuxi Securities Co., Ltd. and changed its name to Guolian Securities Co., Ltd. in May 2008. Guolian Securities Co., Ltd. was founded in 1992 and is headquartered in Wuxi, the People's Republic of China.

How the Company Makes Money

Guolian Securities Co., Ltd. generates revenue through multiple streams within the financial services industry. The primary sources of income include brokerage commissions from trading securities on behalf of clients, underwriting fees from assisting companies in raising capital through public offerings, and advisory fees from financial consulting services. The company also earns income from asset management services, where it manages funds for clients and charges management and performance fees. Additionally, proprietary trading activities, where the company invests its own capital in various financial instruments, contribute to its earnings. Strategic partnerships with other financial institutions and a strong domestic market presence further bolster its revenue generation capabilities.

Guolian Securities Co., Ltd. Class H Financial Statement Overview

Summary

Guolian Securities demonstrates strong revenue growth and solid cash flow generation, supporting a healthy financial position. However, challenges in maintaining net income margins may affect overall profitability. The balance sheet reflects a stable financial structure with managed leverage, providing a balanced view of financial health.

Income Statement

Guolian Securities Co., Ltd. Class H has shown strong revenue growth, with a notable increase in total revenue from 2023 to 2024. The gross profit margin is solid, indicating efficient cost management. However, the net profit margin has decreased due to the drop in net income, suggesting potential challenges in maintaining profitability. The EBITDA margin remains robust, reflecting good operating performance.

Balance Sheet

The company maintains a stable equity position with a reasonable debt-to-equity ratio, highlighting a balanced financial structure. The equity ratio has slightly decreased, which may indicate increased reliance on liabilities. Return on equity remains moderate, suggesting average profitability on shareholder investments.

Cash Flow

Cash flow analysis shows strong free cash flow generation with substantial growth from the previous year, indicating effective cash management. The operating cash flow to net income ratio is unavailable, but the robust free cash flow to net income ratio suggests efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.37B	4.51B	4.00B	4.00B	2.83B	2.00B
Gross Profit	3.54B	3.23B	2.62B	2.87B	1.42B	1.14B
EBITDA	7.87B	2.00B	2.32B	2.23B	2.29B	1.53B
Net Income	377.47M	397.42M	674.55M	767.28M	888.64M	587.87M
Balance Sheet
Total Assets	93.33B	97.21B	87.13B	74.38B	65.94B	46.22B
Cash, Cash Equivalents and Short-Term Investments	60.18B	59.34B	49.67B	40.22B	34.95B	26.53B
Total Debt	27.40B	25.04B	25.55B	20.35B	18.44B	13.96B
Total Liabilities	74.71B	78.26B	69.01B	57.62B	49.56B	35.63B
Stockholders Equity	18.26B	18.58B	17.77B	16.76B	16.38B	10.59B
Cash Flow
Free Cash Flow	15.71B	8.02B	581.25M	1.84B	-6.96B	-5.46B
Operating Cash Flow	14.80B	8.18B	―	1.95B	-6.85B	-5.37B
Investing Cash Flow	3.02B	1.37B	―	-2.16B	-6.32B	-1.33B
Financing Cash Flow	13.24B	-2.26B	3.72B	1.53B	9.18B	9.14B

Guolian Securities Co., Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1456, the sentiment is Positive. The current price of 5.74 is above the 20-day moving average (MA) of 4.60, above the 50-day MA of 4.03, and above the 200-day MA of 4.07, indicating a bullish trend. The MACD of 0.48 indicates Negative momentum. The RSI at 78.86 is Negative, neither overbought nor oversold. The STOCH value of 47.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1456.

Guolian Securities Co., Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$16.73B	11.75	9.79%	3.76%	11.87%	-7.97%
1456	67 Neutral	HK$67.79B	17.89	2.91%	1.07%	230.87%	227.96%
OS9	―	€9.89B	14.80	4.09%	3.38%	―	―
GUE	―	€6.64B	146.51	2.31%	0.63%	―	―
0EC	―	€9.19B	13.58	4.53%	2.45%	―	―
0BX	―	€2.57B	35.17	42.24%	2.39%	―	―
1375	60 Neutral	HK$19.53B	51.79	1.54%	0.71%	-36.60%	-21.50%

Guolian Securities Co., Ltd. Class H Corporate Events

Guolian Minsheng Securities Proposes Capital Increase and Amendments to Articles

Guolian Minsheng Securities Company Limited has announced a proposed change in its registered capital following the issuance of 208,550,573 A Shares to 15 specific subscribers. This issuance has increased the company’s registered capital from RMB5,472,042,233.00 to RMB5,680,592,806.00. Consequently, the company plans to amend its Articles of Association to reflect this change. These resolutions are subject to approval at the company’s general meeting, indicating a strategic move to enhance its financial structure and market positioning.

Guolian Minsheng Securities Reports Strong Q1 2025 Financial Results

Guolian Minsheng Securities Co., Ltd. has released its First Quarterly Report for 2025, showcasing significant financial growth. The company reported an 800.98% increase in operating income compared to the same period last year, with net profits turning positive at RMB 376 million. This marks a substantial turnaround from a net loss in the previous year, indicating improved financial performance and operational efficiency. The total assets of the company have also increased by 79.53%, reflecting a strong financial position and potentially enhancing its market competitiveness.

Guolian Minsheng Securities to Review Q1 Financial Results

Guolian Minsheng Securities Company Limited has announced that its board of directors will convene on April 29, 2025, to review and approve the company’s first quarterly results for the period ending March 31, 2025. This meeting is crucial for stakeholders as it will provide insights into the company’s financial performance and strategic direction for the upcoming quarters.

Guolian Minsheng Securities Announces Final Dividend for 2024

Guolian Minsheng Securities Company Limited has announced a final cash dividend of RMB 0.56 per 10 shares for the financial year ending December 31, 2024. The announcement, made on March 26, 2025, outlines the dividend’s ordinary nature and provides details on withholding tax rates applicable to foreign resident individual shareholders, which vary based on tax agreements between their countries and China.

Guolian Minsheng Securities Announces 2024 Annual Results

Guolian Minsheng Securities Company Limited has announced its audited annual results for the year ended 31 December 2024. The results comply with the listing requirements of The Stock Exchange of Hong Kong Limited and will be available on their website. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction for the upcoming year.

Guolian Minsheng Securities Announces Company Name Change

Guolian Minsheng Securities Company Limited has announced a change in its company name and stock short name, effective March 21, 2025. The change involves updating the company’s name from ‘Guolian Securities Co., Ltd.’ to ‘Guolian Minsheng Securities Company Limited’ and the stock short name from ‘GUOLIAN SEC’ to ‘GLMS SEC’. This rebranding will not affect shareholder rights or the validity of existing share certificates, and the stock code will remain the same.

Guolian Minsheng Securities to Review Annual Results and Dividend Proposal

Guolian Minsheng Securities Company Limited has announced that its board of directors will meet on March 26, 2025, to review and approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the recommendation of a final dividend, which could impact the company’s financial outlook and shareholder returns.

Guolian Securities Completes Strategic A Shares Issuance

Guolian Securities Co., Ltd., a joint stock limited company in China, announced the completion of its issuance of Renminbi ordinary shares (A Shares) to specific subscribers for raising supporting funds. The shares, listed on the Shanghai Stock Exchange, were issued at a price of RMB9.59 per share, which is above the minimum required price and reflects a strategic move to strengthen the company’s capital base. This issuance is part of a broader strategy involving substantial acquisitions and connected transactions aimed at enhancing the company’s market position and operational capabilities.

Guolian Securities Announces Board Composition and Committee Assignments

Guolian Securities Co., Ltd. has announced the composition of its board of directors and their respective roles within the company. The board consists of executive, non-executive, and independent non-executive directors, with Mr. Ge Xiaobo serving as the Chairman and Chief Executive Officer. The announcement also details the members of four key board committees: Strategy and ESG, Remuneration and Nomination, Audit, and Risk Control. This update reflects the company’s commitment to structured governance and strategic oversight, aiming to enhance its operational and market position.

Guolian Securities Approves Key Resolutions at 2025 EGM

Guolian Securities Co., Ltd. held its first extraordinary general meeting (EGM) for 2025, where significant resolutions were passed, including changes to the company’s name, registered capital, and amendments to the Articles of Association. Additionally, the election of non-executive directors for the fifth session of the board was approved. These decisions were made following a poll where all resolutions received the necessary majority, showcasing strong shareholder support for the company’s strategic directions.