Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H (1543) AI Stock Analysis

• Market Cap: HK$491.65M
• Dividend Yield: 6.97%
• Average Volume (3M): 74.07K
• Price to Earnings (P/E): 10.8
• Beta (1Y): 0.32
• Revenue Growth: -6.00%
• EPS Growth: N/A
• Country: HK
• Employees: 291
• Sector: Financial
• Sector Strength: 79
• Industry: Financial - Credit Services
• EPS (TTM): 0.03
• Shares Outstanding: 554,363,340
• 10 Day Avg. Volume: 113,000
• 30 Day Avg. Volume: 74,066
• PEG Ratio: -1.34
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -49.49
• 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: 58 Neutral
• Price Target: ―

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. shows strong profitability and a stable balance sheet, but cash flow management remains a significant challenge. Technical analysis indicates bearish momentum with the stock trading below key moving averages and oversold RSI. On the positive side, the stock's high dividend yield and low P/E ratio suggest potential value investment opportunities. Overall, the stock presents a mixed picture with financial strengths offset by technical weaknesses.

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H (1543) is a financial services company based in China that specializes in providing guarantee and financial leasing services. The company operates within the financial sector, primarily focusing on offering credit enhancement and risk management solutions to small and medium-sized enterprises (SMEs). By facilitating access to credit for these businesses, Guangdong Join-Share plays a pivotal role in supporting economic development and business growth in the region.

How the Company Makes Money

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. generates revenue primarily through fees charged for its guarantee services. These fees are paid by clients—mostly SMEs—seeking to obtain loans or credit facilities from financial institutions. The company acts as a guarantor, reducing the risk for lenders and enabling clients to secure credit. Additionally, Guangdong Join-Share may earn interest and service fees from its financial leasing operations, where it leases equipment or machinery to clients. The company's earnings are influenced by the volume of guarantees and leases provided, the fee structure, and the financial health of the enterprises it serves. Partnerships with banks and other financial institutions are crucial, as they expand the company's reach and service offerings.

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H Financial Statement Overview

Summary

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. showcases strong profitability with a solid gross profit margin and improved net profit margin. However, the company faces challenges in cash flow management, with operating cash flow at zero and consistently negative free cash flow. The balance sheet is stable with reasonable leverage and a solid equity base, but there is room for improvement in equity returns.

Income Statement

The company shows a solid gross profit margin of 86.2% in 2024, up from 86.5% in 2023, indicating strong profitability in core operations. The net profit margin has slightly increased to 10.9% from 11.4%, reflecting improved efficiency. However, revenue growth from 2023 to 2024 is modest at 15.2%, and EBIT margin decreased, suggesting some challenges in operational efficiency.

Balance Sheet

The debt-to-equity ratio stands at 0.51 in 2024, indicating a balanced leverage position. The return on equity has improved slightly to 2.1% from 1.9% in 2023, signaling better utilization of equity. The equity ratio remains robust at 52.2%, ensuring financial stability. Overall, the balance sheet is solid but shows room for improvement in equity returns.

Cash Flow

The cash flow statement reveals challenges, with operating cash flow at zero in 2024, indicating potential cash flow management issues. Free cash flow has consistently been negative, and the free cash flow to net income ratio is not calculable due to zero values, suggesting cash generation issues. The company needs to enhance cash flow generation to improve financial health.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
387.16M	336.04M	359.66M	318.70M	306.69M
	Gross Profit
333.76M	290.60M	359.66M	318.70M	306.69M
	EBIT
104.52M	192.67M	83.93M	122.88M	142.79M
	EBITDA
111.56M	0.00	0.00	0.00	0.00
	Net Income Common Stockholders
42.18M	38.40M	42.58M	81.99M	106.58M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
852.92M	1.04B	883.17M	891.39M	896.54M
	Total Assets
3.88B	3.79B	3.67B	3.45B	3.19B
	Total Debt
1.04B	794.80M	692.67M	359.17M	145.94M
	Net Debt
476.53M	-1.04B	-190.49M	-532.22M	-750.60M
	Total Liabilities
1.52B	1.43B	1.32B	1.08B	774.45M
	Stockholders Equity
2.03B	2.02B	2.07B	2.10B	2.09B
Cash Flow		Free Cash Flow
0.00	-41.41M	-45.95M	-160.87M	-25.16M
	Operating Cash Flow
0.00	-34.17M	-37.57M	-156.17M	-22.63M
	Investing Cash Flow
0.00	-218.55M	-154.63M	220.89M	87.06M
	Financing Cash Flow
0.00	241.20M	244.73M	72.68M	-154.99M

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1543, the sentiment is Positive. The current price of 0.32 is above the 20-day moving average (MA) of 0.26, above the 50-day MA of 0.26, and below the 200-day MA of 0.37, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 75.81 is Negative, neither overbought nor oversold. The STOCH value of 84.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1543.

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1530	76 Outperform	$57.57B	25.66	14.19%	1.06%	14.36%	33.22%
6098	68 Neutral	$22.03B	11.22	4.96%	0.36%	1.31%	379.84%
Sector *	64 Neutral	$12.85B	9.81	7.79%	78.20%	12.23%	-7.93%
1543	58 Neutral	HK$491.65M	10.75	2.09%	6.97%	-6.00%	―
1869	46 Neutral	HK$93.08M	―		―	-21.79%	-613.89%

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. Class H Corporate Events

Guangdong Join-Share Reports 2024 Annual Results with Increased Shareholder Profit

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. reported a total revenue of approximately RMB359.03 million for the year ended December 31, 2024, marking a 7.60% decrease from the previous year. Despite the decline in revenue, the company saw an increase in profit attributable to equity shareholders by 9.84%, amounting to RMB42.18 million. The board recommended a final dividend payment of RMB0.019 per share. The results reflect a challenging year with decreased profits before taxation by 11.23%, but an improved net profit margin of 12.42%, indicating resilience in maintaining profitability.

Guangdong Join-Share Announces Final Dividend for 2024

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. has announced a final dividend of RMB 0.019 per share for the financial year ending December 31, 2024. The dividend will be paid on July 30, 2025, following shareholder approval on June 6, 2025. The company will withhold a 10% tax on dividends for non-resident individual and enterprise shareholders, with variations depending on international tax treaties. This announcement reflects the company’s ongoing commitment to returning value to its shareholders and may influence its market positioning by demonstrating financial stability and shareholder focus.

Guangdong Join-Share to Review Annual Results and Dividend Proposal

Guangdong Join-Share Financing Guarantee Investment Co., Ltd. has announced a board meeting scheduled for March 27, 2025, to discuss and approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the recommendation for the payment of a final dividend, which could impact the company’s financial strategy and shareholder returns.