New Huo Technology Holdings Limited (1611) AI Stock Analysis

• Market Cap: HK$2.68B
• Dividend Yield: N/A
• Average Volume (3M): 10.33M
• Price to Earnings (P/E): 14.2
• Beta (1Y): 0.42
• Revenue Growth: 344.37%
• EPS Growth: -288.45%
• Country: HK
• Employees: 81
• Sector: Technology
• Sector Strength: 94
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.03
• Shares Outstanding: 585,712,460
• 10 Day Avg. Volume: 17,409,573
• 30 Day Avg. Volume: 10,326,779
• PEG Ratio: 0.53
• Price to Book (P/B): 8.56
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -282.05
• 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$2.00
• Price Target Upside: -56.33% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: HK$5.50 ▲(20.09%Upside)

The overall stock score of 58 reflects significant financial performance challenges, including revenue volatility and cash flow inefficiencies. Despite these issues, strong technical momentum suggests positive short-term sentiment. However, the negative P/E ratio and lack of dividends highlight valuation concerns and risks for long-term investors.

New Huo Technology Holdings Limited Business Overview & Revenue Model

Company Description

Huobi Technology Holdings Limited, an investment holding company, manufactures and sells power-related and electrical/electronic products. It offers electronic power supplies; battery chargers; coils; solenoids; and optical products, including LED lamps, as well as engineering, logistics, and sales support services. The company also provides data center-related services, such as data storage and backup; data center operation and maintenance; and cloud-related services comprising cloud migration, environment construction, and introduction support services for Amazon Web Service and other cloud services. In addition, it offers network infrastructure and software development, hardware operations platform development, post-sale maintenance, customer support, programming, and other related customized services; and after-sales support, management, management consultancy, and asset management services. Further, the company provides trust and custodian, brokerage for institutions and high-net-worth clients, crypto-backed lending solutions, network technical support, technical consultancy, and information technical services. It operates in the People's Republic of China, the United Kingdom, the United States, Japan, Europe, and internationally. The company was formerly known as Pantronics Holdings Limited and changed its name to Huobi Technology Holdings Limited in October 2019. Huobi Technology Holdings Limited was founded in 1983 and is headquartered in Central, Hong Kong.

How the Company Makes Money

New Huo Technology Holdings Limited generates revenue through multiple channels. Its key revenue streams include digital asset management services, where it offers investment products and advisory services related to cryptocurrencies and other digital assets. Additionally, the company earns by providing blockchain technology solutions which involve developing and implementing blockchain-based applications for various industries. Furthermore, New Huo Technology benefits from strategic partnerships with financial institutions and technology firms, enhancing its service offerings and expanding its market reach.

New Huo Technology Holdings Limited Financial Statement Overview

Summary

New Huo Technology Holdings Limited faces significant challenges with revenue volatility and profitability inconsistencies. Although the balance sheet has shown improvements in terms of leverage, cash flow remains a critical concern. Stabilizing revenue and improving operational efficiency are essential for future financial health.

Income Statement

The company has experienced significant volatility in its revenue and profitability over recent years. Revenue has seen a dramatic decline from 2022 to 2024, severely impacting the gross and net profit margins. The EBIT and EBITDA margins have also been inconsistent, with EBIT being zero in the latest year. Although there was a net income in 2024, this comes after substantial losses in previous years, indicating instability in profitability.

Balance Sheet

The balance sheet shows a strengthening position with decreasing debt levels and increasing stockholders' equity from 2023 to 2024. The debt-to-equity ratio has improved significantly, indicating reduced leverage. However, the equity ratio shows room for improvement, and the return on equity has been inconsistent, reflecting fluctuations in earnings.

Cash Flow

Cash flow from operations has been negative for most of the reviewed period, indicating operational challenges. Although there is a reduction in free cash flow outflow from 2023 to 2024, the company struggles to generate positive cash flow overall. The ratios of operating and free cash flow to net income indicate inefficiencies and highlight cash management issues.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	1.57B	2.83B	9.45B	610.71M	276.56M
Gross Profit	44.22M	10.39M	184.69M	302.63M	77.86M
EBITDA	62.19M	-251.21M	-129.99M	197.12M	12.29M
Net Income	54.32M	-287.37M	-206.50M	141.48M	-32.58M
Balance Sheet
Total Assets	461.07M	748.64M	1.07B	878.13M	605.63M
Cash, Cash Equivalents and Short-Term Investments	196.85M	336.71M	620.05M	555.49M	403.68M
Total Debt	4.87M	467.20M	590.20M	349.47M	358.70M
Total Liabilities	179.16M	534.87M	921.31M	599.52M	476.10M
Stockholders Equity	281.91M	206.35M	134.93M	278.61M	129.53M
Cash Flow
Free Cash Flow	-10.76M	-263.08M	-335.04M	166.87M	27.11M
Operating Cash Flow	-10.73M	-245.19M	-314.84M	181.61M	29.80M
Investing Cash Flow	-21.92M	11.48M	-133.92M	9.51M	311.00K
Financing Cash Flow	-223.77M	302.06M	232.85M	-45.15M	-101.05M

New Huo Technology Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.58
• 50DMA: Positive
• 100DMA: Positive
• 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:1611, the sentiment is Positive. The current price of 4.58 is above the 20-day moving average (MA) of 3.94, above the 50-day MA of 2.69, and above the 200-day MA of 2.09, indicating a bullish trend. The MACD of 0.70 indicates Positive momentum. The RSI at 65.37 is Neutral, neither overbought nor oversold. The STOCH value of 44.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1611.

New Huo Technology Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0259	68 Neutral	HK$1.74B	0.63	93.13%	2.88%	-14.15%	-63.50%
Sector *	63 Neutral	$34.27B	4.89	-11.70%	1.94%	5.41%	-20.02%
0580	60 Neutral	HK$2.57B	23.09	5.45%	0.63%	50.17%	234.78%
1611	58 Neutral	HK$2.68B	14.24	-19.51%	―	344.37%	-288.45%
0040	53 Neutral	HK$595.64M	22.53	2.42%	3.79%	3.64%	-1468.75%
0031	49 Neutral	HK$1.54B	―	-0.73%	―	11.32%	-1430.77%
8375	40 Underperform	HK$1.15B	―	-7.49%	―	-3.22%	55.08%

New Huo Technology Holdings Limited Corporate Events

Sinohope Technology Delays Circular Dispatch for Share Subscription

Sinohope Technology Holdings Limited, incorporated in the British Virgin Islands, has announced a delay in the dispatch of a circular related to the subscription of new shares under a specific mandate, a connected transaction, a proposed increase in authorized shares, and amendments to its memorandum and articles. The circular, initially expected by July 21, 2025, will now be dispatched by August 1, 2025, due to the need for additional time to finalize certain information.

Sinohope Technology Forms Independent Board Committee and Appoints Financial Adviser

Sinohope Technology Holdings Limited has established an Independent Board Committee to evaluate the fairness and reasonableness of proposed subscription agreements and transactions. Additionally, Gram Capital Limited has been appointed as the Independent Financial Adviser to provide guidance to the committee and shareholders, with a circular expected by 21 July 2025. The completion of these subscriptions is contingent upon certain conditions, and stakeholders are advised to exercise caution.

New Huo Technology Announces Major Share Subscription and Capital Increase

New Huo Technology Holdings Limited has announced its plan to issue 166,000,000 new shares at a price of HK$1.66 per share, raising a total of HK$275,560,000. This move, which represents a significant portion of the company’s existing shares, is part of a broader strategy to increase its authorized share capital and provide flexibility for future investments. The transaction involves connected parties and requires approval from independent shareholders, with an independent board committee and financial adviser appointed to ensure fairness and transparency.

Sinohope Technology Completes Major Acquisitions

Sinohope Technology Holdings Limited, incorporated in the British Virgin Islands, has completed substantial acquisitions, resulting in the BVI Company becoming a wholly owned subsidiary and BitTrade becoming an indirect subsidiary. These acquisitions will be consolidated into the company’s financial statements, potentially impacting its financial performance and market positioning.

Sinohope Technology Reports Revenue Surge Amidst Profitability Challenges

Sinohope Technology Holdings Limited reported a significant increase in revenue for the six months ended March 31, 2025, reaching HK$3,455,679,000, primarily driven by its cryptocurrency trading business. Despite the revenue growth, the company experienced a substantial decline in gross profit and a net loss of HK$12,300,000, indicating challenges in maintaining profitability amidst fluctuating market conditions.

Sinohope Technology Issues Profit Warning Amid Cryptocurrency Service Suspension

Sinohope Technology Holdings Limited has issued a profit warning for the six months ending March 31, 2025, indicating an expected net loss of at least HK$10 million. This downturn is primarily due to a significant decrease in revenue from the suspension of cryptocurrency mining services and reduced fair value gains on cryptocurrencies, alongside the absence of a one-off reversal of impairment provision from the previous year.

Sinohope Technology Schedules Board Meeting to Review Interim Results

Sinohope Technology Holdings Limited has announced a board meeting scheduled for May 26, 2025, to review and approve the interim results for the six months ending March 31, 2025. The meeting will also consider the declaration of an interim dividend, which could impact the company’s financial outlook and shareholder returns.