Yadea Group Holdings Ltd. (1585) AI Stock Analysis

• Market Cap: HK$36.34B
• Dividend Yield: 1.81%
• Average Volume (3M): 10.09M
• Price to Earnings (P/E): 18.2
• Beta (1Y): 0.71
• Revenue Growth: 2.41%
• EPS Growth: -25.60%
• Country: HK
• Employees: 12,002
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): 0.59
• Shares Outstanding: 3,112,647,200
• 10 Day Avg. Volume: 9,746,416
• 30 Day Avg. Volume: 10,086,970
• PEG Ratio: -0.55
• Price to Book (P/B): 4.19
• Price to Sales (P/S): 1.30
• P/FCF Ratio: -30.63
• 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$18.00
• Price Target Upside: 47.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: HK$13.50 ▲(10.93% Upside)

Yadea Group Holdings Ltd. has a solid financial foundation with strong revenue growth and a stable balance sheet. However, technical indicators show bearish momentum, and valuation metrics suggest the stock is fairly priced. The absence of operating cash flow in 2024 is a concern that needs to be addressed.

Positive Factors

Revenue Growth

Yadea's consistent revenue growth reflects strong market demand and effective sales strategies, supporting long-term business expansion.

Financial Stability

A strong balance sheet with low leverage enhances Yadea's financial stability, providing resilience against economic fluctuations.

Product Innovation

Yadea's focus on advanced technology and innovation in electric vehicles positions it well in the growing sustainable mobility market.

Negative Factors

Cash Flow Management

The lack of operating cash flow in 2024 highlights potential challenges in cash management, which could impact liquidity and operational flexibility.

Earnings Efficiency

Lower EBIT and EBITDA margins suggest inefficiencies that could hinder profitability improvements, requiring operational enhancements.

Earnings Growth

A significant decline in EPS growth indicates challenges in profitability, which may affect investor confidence and future earnings potential.

Yadea Group Holdings Ltd. Business Overview & Revenue Model

Company Description

Yadea Group Holdings Ltd. (1585) is a leading manufacturer and distributor of electric scooters and bicycles, primarily targeting the growing market for eco-friendly transportation solutions. Based in China, the company focuses on the research, development, and production of electric two-wheelers, offering a wide range of products that cater to both urban commuters and recreational users. Yadea is dedicated to innovation and sustainability, making it a key player in the electric mobility sector.

How the Company Makes Money

Yadea Group Holdings generates revenue primarily through the sales of its electric scooters and bicycles, which are sold both domestically and internationally. The company has established a robust distribution network, including partnerships with retailers and e-commerce platforms, which broadens its market reach. Key revenue streams include direct sales to consumers, wholesale distribution to retailers, and export sales to overseas markets. Additionally, Yadea benefits from developing strategic partnerships with various stakeholders in the electric mobility ecosystem, including technology providers and battery manufacturers, enhancing its product offerings and market competitiveness. The growing demand for electric vehicles, driven by increasing environmental awareness and government incentives, further contributes to Yadea's revenue growth.

Yadea Group Holdings Ltd. Financial Statement Overview

Summary

Yadea Group Holdings Ltd. shows strong financial health with consistent revenue growth and profitability. The balance sheet is robust with low leverage, enhancing financial stability. However, the absence of operating cash flow in 2024 requires attention.

Income Statement

Yadea Group Holdings Ltd. has demonstrated consistent revenue growth over recent years, reflected in a revenue increase from 2019 to 2023. The gross profit margin has improved, showing effective cost management, and the net profit margin is relatively stable, indicating good profitability. However, there is room for improvement in EBIT and EBITDA margins, which suggest potential efficiency gains could be made.

Balance Sheet

The balance sheet reveals a strong equity base with a consistent increase in stockholders' equity from 2019 to 2023. The company's debt-to-equity ratio remains low, suggesting conservative leverage and financial stability. The equity ratio has also improved, highlighting a strong asset base supported by equity. These factors point to a stable financial position with lower financial risk.

Cash Flow

Cash flow analysis shows fluctuations in free cash flow, with significant growth in some years. The operating cash flow to net income ratio indicates operational efficiency, although the absence of operating cash flow in 2024 raises concerns. Despite these challenges, the company maintains sufficient free cash flow to net income, suggesting adequate cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.01B	28.24B	34.76B	31.06B	26.97B	19.36B
Gross Profit	5.46B	4.29B	5.89B	5.61B	4.10B	3.07B
EBITDA	2.53B	2.08B	3.47B	2.72B	1.43B	1.12B
Net Income	1.89B	1.27B	2.64B	2.16B	1.37B	957.39M
Balance Sheet
Total Assets	30.34B	24.62B	25.66B	24.95B	19.41B	16.02B
Cash, Cash Equivalents and Short-Term Investments	13.40B	10.42B	11.51B	11.01B	10.03B	7.88B
Total Debt	3.28B	1.59B	985.93M	1.91B	525.97M	174.18M
Total Liabilities	21.15B	15.86B	17.26B	18.31B	14.90B	12.41B
Stockholders Equity	9.18B	8.76B	8.40B	6.64B	4.50B	3.59B
Cash Flow
Free Cash Flow	4.49B	-1.20B	2.24B	2.43B	2.74B	1.65B
Operating Cash Flow	5.72B	298.92M	3.58B	3.08B	3.69B	2.22B
Investing Cash Flow	-5.20B	92.55M	-430.31M	-2.06B	-824.32M	-1.04B
Financing Cash Flow	271.76M	-465.48M	-2.04B	-379.39M	-207.44M	-358.71M

Yadea Group Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1585, the sentiment is Negative. The current price of 12.17 is below the 20-day moving average (MA) of 12.26, below the 50-day MA of 12.39, and below the 200-day MA of 12.99, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 46.70 is Neutral, neither overbought nor oversold. The STOCH value of 47.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1585.

Yadea Group Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0175	72 Outperform	HK$171.64B	9.49	17.60%	1.95%	―	―
2451	72 Outperform	HK$5.45B	28.64	10.17%	1.17%	8.84%	13.88%
2238	64 Neutral	HK$77.68B	-11.33	-3.15%	1.39%	-8.79%	-212.16%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
1585	60 Neutral	HK$36.34B	18.22	21.59%	1.81%	2.41%	-25.60%
9868	53 Neutral	HK$146.24B	-47.29	-9.03%	―	86.21%	51.50%
9863	49 Neutral	HK$71.80B	-107.68	-4.91%	―	139.96%	86.04%

Yadea Group Holdings Ltd. Corporate Events

Yadea Group Appoints Deloitte as New Auditor

Yadea Group Holdings Ltd. has appointed Deloitte as its new auditor, following the resignation of PwC. This change, recommended by the Audit Committee, is effective from September 22, 2025, and is expected to bring fresh perspectives to the company’s financial audits until the next annual general meeting.