Champion Alliance International Holdings Ltd. (1629) AI Stock Analysis

• Market Cap: HK$83.55M
• Dividend Yield: N/A
• Average Volume (3M): 49.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.73
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 41
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaging & Containers
• EPS (TTM): -0.02
• Shares Outstanding: 546,092,500
• 10 Day Avg. Volume: 58,800
• 30 Day Avg. Volume: 49,066
• PEG Ratio: -0.30
• Price to Book (P/B): 0.29
• Price to Sales (P/S): 0.62
• P/FCF Ratio: 3.78
• 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: 46 Neutral
• Price Target: HK$0.13 ▼(-5.00% Downside)

The overall stock score is primarily influenced by strong revenue growth and improved cash flow generation. However, significant concerns arise from declining profitability margins and a negative P/E ratio, indicating unprofitability. Technical indicators suggest a bearish trend, with the stock being oversold, which could offer a potential rebound opportunity.

Positive Factors

Revenue Growth

Strong revenue growth indicates successful market expansion and product/service adoption, enhancing the company's competitive position.

Cash Flow Generation

Improved cash flow generation enhances financial flexibility, allowing for reinvestment in growth opportunities and debt reduction.

Balance Sheet Stability

A strong balance sheet with low leverage provides financial stability and reduces risk, supporting long-term strategic initiatives.

Negative Factors

Declining Profitability Margins

Decreasing profitability margins suggest cost pressures or inefficiencies, which could impact long-term earnings potential and competitiveness.

Decreased Return on Equity

A decline in return on equity indicates reduced efficiency in generating profits from shareholders' equity, potentially affecting investor confidence.

Low Operating Cash Flow to Net Income Ratio

Low operating cash flow relative to net income suggests potential issues in cash conversion, which may affect liquidity and operational flexibility.

Champion Alliance International Holdings Ltd. Business Overview & Revenue Model

Company Description

Champion Alliance International Holdings Ltd. (1629) is a diversified investment holding company based in Hong Kong, primarily engaged in the sectors of real estate, financial services, and various strategic investments. The company focuses on identifying and investing in high-potential opportunities across different markets, leveraging its expertise to enhance asset value and generate sustainable returns. Its core products and services include property management, investment advisory, and capital management, catering to a wide range of clients including institutional investors and private individuals.

How the Company Makes Money

Champion Alliance International Holdings Ltd. generates revenue through multiple streams, including property leasing and management services, which provide a steady cash flow from real estate assets. The company also earns income from its investment advisory services, where it charges fees for managing investment portfolios and providing strategic financial guidance to clients. Additionally, the firm engages in capital management activities, earning management fees and commissions from managing funds for investors. Significant partnerships with other financial institutions and real estate developers further enhance its earning potential, allowing the company to access unique investment opportunities and expand its portfolio.

Champion Alliance International Holdings Ltd. Financial Statement Overview

Summary

The company shows strong revenue growth and a stable balance sheet with low leverage. However, declining profitability margins and a decrease in return on equity are concerns. Cash flow generation has improved significantly, but the company needs to address profitability challenges to enhance overall financial health.

Income Statement

The company has shown significant revenue growth of 85.68% in the most recent year, which is a positive sign. However, the net profit margin has decreased to 2.63% from 13.09% the previous year, indicating declining profitability. The gross profit margin has also decreased, suggesting increased cost pressures. Overall, while revenue growth is strong, declining margins are a concern.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.095, indicating conservative leverage and financial stability. However, the return on equity has decreased to 1.24%, reflecting lower profitability. The equity ratio remains strong, suggesting a solid capital structure. Overall, the balance sheet is stable, but profitability metrics have weakened.

Cash Flow

The company has achieved a significant free cash flow growth rate of 154.49%, indicating improved cash generation. The free cash flow to net income ratio is nearly 1, showing efficient cash conversion. However, the operating cash flow to net income ratio is low at 0.31, suggesting potential issues in cash flow generation relative to net income. Overall, cash flow performance is strong, with some areas for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	131.96M	127.63M	131.63M	75.81M	394.43M	568.70M
Gross Profit	24.77M	19.58M	24.95M	68.95M	102.86M	85.40M
EBITDA	22.79M	25.39M	35.90M	28.09M	76.40M	18.19M
Net Income	-12.23M	3.35M	17.23M	-10.41M	24.36M	-592.19K
Balance Sheet
Total Assets	454.62M	449.39M	492.03M	450.30M	668.85M	433.02M
Cash, Cash Equivalents and Short-Term Investments	144.46M	126.87M	124.49M	180.63M	215.83M	66.46M
Total Debt	30.25M	25.71M	22.64M	14.76M	41.59M	77.10M
Total Liabilities	99.01M	70.54M	123.92M	128.43M	328.73M	310.31M
Stockholders Equity	269.79M	270.21M	276.59M	262.50M	301.43M	144.65M
Cash Flow
Free Cash Flow	14.17M	20.96M	-45.00M	5.30M	70.83M	72.64M
Operating Cash Flow	14.44M	21.03M	-39.35M	7.65M	71.20M	74.34M
Investing Cash Flow	-350.46K	-139.00K	-4.01M	-15.72M	915.00K	-959.00K
Financing Cash Flow	-11.42M	-13.02M	-7.14M	18.96M	11.30M	-42.16M

Champion Alliance International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.14
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1629, the sentiment is Negative. The current price of 0.14 is below the 20-day moving average (MA) of 0.15, below the 50-day MA of 0.16, and below the 200-day MA of 0.14, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 25.34 is Positive, neither overbought nor oversold. The STOCH value of 21.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1629.

Champion Alliance International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
0403	51 Neutral	HK$93.62M	-3.48	-10.45%	14.53%	-7.65%	-456.37%
1239	49 Neutral	HK$116.40M	-1.30	―	―	-44.23%	41.20%
1626	49 Neutral	HK$1.65B	-149.46	-7.35%	―	-82.87%	-110.99%
1629	46 Neutral	HK$83.55M	-7.54	-4.08%	―	―	―
8291	45 Neutral	HK$13.60M	3.08	―	―	-44.08%	―
2320	41 Neutral	HK$67.86M	―	-12.11%	―	-23.51%	-5.26%

Champion Alliance International Holdings Ltd. Corporate Events

Champion Alliance Updates Share Option Scheme Details in Annual Report

Champion Alliance International Holdings Ltd. has released a supplemental announcement regarding its annual report for the year ended 31 December 2024. The announcement provides additional details about the company’s share option scheme, which includes 50,000,000 share options available for grant, representing approximately 9.16% of the total issued share capital. This update is intended to inform shareholders and potential investors about the current status and availability of share options, potentially impacting investment decisions and stakeholder interests.