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Kaisa Group Holdings Ltd. (HK:1638)
:1638
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Kaisa Group Holdings Ltd. (1638) AI Stock Analysis

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HK:1638

Kaisa Group Holdings Ltd.

(Frankfurt:1638)

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Underperform 40 (OpenAI - 4o)
Rating:40Underperform
Price Target:
HK$0.00
▼(-100.00% Downside)
Kaisa Group Holdings Ltd. is under significant financial distress, with negative equity, high leverage, and severe liquidity issues. The technical indicators are weak, showing bearish momentum. The valuation is unattractive due to ongoing losses and lack of profitability. These factors collectively result in a low overall stock score.

Kaisa Group Holdings Ltd. (1638) vs. iShares MSCI Hong Kong ETF (EWH)

Kaisa Group Holdings Ltd. Business Overview & Revenue Model

Company DescriptionKaisa Group Holdings Ltd., an investment holding company, engages in the property investment, development, and management businesses in the People's Republic of China. It develops villas, townhouses, residential and commercial buildings, and office buildings. The company is also involved in the hotel and catering, cinema, and department stores and cultural center operations, as well as waterway passenger and cargo transportation, healthcare business, property leasing, and manufacturing and trading of pharmaceutical products. In addition, it offers commerce management and construction engineering services. Kaisa Group Holdings Ltd. was founded in 1999 and is headquartered in Shenzhen, China.
How the Company Makes MoneyKaisa Group Holdings Ltd. primarily generates revenue through the sale and lease of residential and commercial properties, which form the core of its business operations. The company develops a diverse range of properties, including high-end residences, office buildings, shopping malls, and urban complexes, targeting different market segments to maximize its sales. Additionally, Kaisa Group earns income from property management services, which include maintenance and operational services for its residential communities and commercial properties. The company also generates revenue from its hotel operations, cultural, and tourism projects. Strategic partnerships with local governments and other real estate developers facilitate urban renewal projects and large-scale developments, which are significant contributors to Kaisa's earnings. These diversified revenue streams enable Kaisa Group to maintain a robust financial performance in the competitive real estate market.

Kaisa Group Holdings Ltd. Financial Statement Overview

Summary
Kaisa Group Holdings Ltd. is facing significant financial challenges across all major financial statements. The income statement shows declining revenues and deep losses, the balance sheet reflects negative equity and high leverage, and the cash flow statement indicates severe liquidity issues. These factors collectively suggest a company under substantial financial distress, with potential risks to its ongoing operations.
Income Statement
10
Very Negative
Kaisa Group Holdings Ltd. has displayed significant financial distress in its income statement, with steep declines in revenue and profitability over recent years. The most recent annual report shows a negative gross profit margin, indicating the company is selling goods below cost. Additionally, the net profit margin is deeply negative, driven by substantial net losses. The revenue growth rate is negative, reflecting a decline in revenue year-over-year. These factors indicate severe profitability issues and a challenging operating environment.
Balance Sheet
20
Very Negative
The balance sheet of Kaisa Group Holdings Ltd. reveals a precarious financial position, with liabilities significantly exceeding assets, resulting in negative stockholders' equity. The debt-to-equity ratio is not calculable due to negative equity, highlighting high leverage and potential insolvency risks. The equity ratio is also negative, indicating a lack of financial stability. These metrics suggest a high-risk balance sheet with significant financial challenges.
Cash Flow
5
Very Negative
The cash flow statement is concerning, with zero operating cash flow in the latest period, indicating potential liquidity issues. Free cash flow is also zero, which poses challenges for reinvestment and debt servicing. Past periods show negative free cash flow and operating cash flow, reflecting ongoing struggles to generate cash from operations. These factors suggest severe cash flow difficulties, raising sustainability concerns.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue11.56B26.16B25.39B35.54B55.77B
Gross Profit-11.06B1.70B1.70B-1.65B13.33B
EBITDA-18.76B-16.52B-10.70B-11.19B6.83B
Net Income-28.53B-19.93B-13.21B-12.87B5.45B
Balance Sheet
Total Assets210.68B232.82B264.34B290.13B309.90B
Cash, Cash Equivalents and Short-Term Investments1.61B1.96B2.97B7.69B44.81B
Total Debt135.64B134.20B134.76B132.33B122.03B
Total Liabilities242.42B225.10B229.10B231.05B231.18B
Stockholders Equity-40.58B-12.05B7.86B21.03B32.33B
Cash Flow
Free Cash Flow-315.23M-435.72M-6.33B-22.49B3.32B
Operating Cash Flow-124.81M-359.18M-6.26B-21.85B4.53B
Investing Cash Flow982.51M-604.37M2.02B-13.19B-25.89B
Financing Cash Flow-1.13B-199.14M3.17B2.05B30.42B

Kaisa Group Holdings Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.18
Price Trends
50DMA
0.17
Positive
100DMA
0.16
Positive
200DMA
0.18
Positive
Market Momentum
MACD
<0.01
Negative
RSI
54.78
Neutral
STOCH
38.69
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1638, the sentiment is Positive. The current price of 0.18 is above the 20-day moving average (MA) of 0.17, above the 50-day MA of 0.17, and above the 200-day MA of 0.18, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.78 is Neutral, neither overbought nor oversold. The STOCH value of 38.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1638.

Kaisa Group Holdings Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
58
Neutral
HK$920.27M-0.934.43%-11.00%-676.27%
50
Neutral
HK$1.58B-2.67-2.54%8.79%23.54%-204.92%
44
Neutral
HK$1.17B-0.38-218.83%-26.58%-40.96%
41
Neutral
HK$871.19M-0.42-202.02%-29.26%88.87%
40
Underperform
€1.65B-45.63%-33.35%
39
Underperform
HK$1.24B-0.20-17.45%-11.33%-7.70%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1638
Kaisa Group Holdings Ltd.
0.18
-0.24
-56.90%
HK:1813
KWG Group Holdings
0.26
-0.23
-47.42%
HK:0230
Minmetals Land Limited
0.35
-0.02
-5.41%
HK:0131
Cheuk Nang (Holdings) Limited
1.41
-0.26
-15.32%
HK:1238
Powerlong Real Estate Holdings Ltd.
0.30
-0.37
-55.22%
HK:0563
Shanghai Industrial Urban Development Group Ltd
0.33
-0.07
-17.50%

Kaisa Group Holdings Ltd. Corporate Events

Kaisa Group Advances Offshore Debt Restructuring
Sep 1, 2025

Kaisa Group Holdings Ltd. has announced significant progress in its offshore debt restructuring efforts. The company has fulfilled several conditions necessary for the restructuring’s effectiveness, including achieving major milestones such as the Kaisa Schemes Effective Date and the Rui Jing Schemes Effective Date. On September 1, 2025, Kaisa issued 2.1 billion AHG Work Fee Shares as part of the restructuring process. The company anticipates completing the restructuring by the end of September 2025, pending the satisfaction or waiver of remaining conditions. Stakeholders are advised to exercise caution when dealing with the company’s securities during this period.

Kaisa Group Reports Decline in H1 2025 Financial Performance
Aug 28, 2025

Kaisa Group Holdings Ltd. reported a significant decline in its financial performance for the first half of 2025, with total revenue dropping by 31.8% and gross profit decreasing by 37.8% compared to the same period in 2024. The company also experienced a 12.3% increase in losses, amounting to approximately RMB10,096.7 million, and a 43.7% decrease in contracted sales. No interim dividend was declared, reflecting the challenging market conditions and financial pressures faced by the company.

Kaisa Group Partners with CITIC for Shenzhen Project
Aug 24, 2025

Kaisa Group Holdings Ltd. has entered into a strategic cooperation agreement with CITIC Urban Development Investment Group Co., Ltd. to advance the Jiayuan project in Futian, Shenzhen. This partnership aims to implement the national policy on ‘Good Houses’ construction, enhance project quality, and boost market confidence, aligning with Kaisa’s long-term strategic goals and contributing to sustainable development in the real estate market.

Kaisa Group Anticipates Increased Losses for First Half of 2025
Aug 21, 2025

Kaisa Group Holdings Ltd. has issued a profit warning, indicating an expected net loss of up to RMB11.0 billion for the first half of 2025, compared to RMB9.0 billion in the same period of 2024. This increase in losses is attributed to a decrease in property deliveries and an increase in impairment provisions for property projects. The financial results are based on preliminary unaudited management accounts, and investors are advised to exercise caution.

Kaisa Group Schedules Board Meeting to Review Interim Results
Aug 15, 2025

Kaisa Group Holdings Ltd. has announced that its board of directors will meet on August 28, 2025, to discuss and approve the interim results for the first half of 2025 and consider the recommendation of an interim dividend. This meeting is significant as it will provide insights into the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.

Kaisa Group Strengthens Nomination Committee with New Appointments
Jun 30, 2025

Kaisa Group Holdings Ltd. has announced the appointment of Ms. Luo Tingting and Mr. Li Dapeng to its Nomination Committee. This move aligns with upcoming changes to the Corporate Governance Code, effective July 2025, and is expected to enhance the committee’s effectiveness with their diverse experiences and insights.

Kaisa Group Announces Board Composition and Committee Roles
Jun 30, 2025

Kaisa Group Holdings Ltd. has announced the composition of its board of directors and their roles within the company. The board includes both executive and independent non-executive directors, with specific members assigned to the audit, nomination, and remuneration committees. This announcement reflects the company’s commitment to maintaining a structured governance framework, which is crucial for its operational stability and strategic decision-making.

Kaisa Group Updates Nomination Committee Terms
Jun 30, 2025

Kaisa Group Holdings Ltd. has revised the terms of reference for its Nomination Committee as of June 30, 2025. The committee, consisting of at least three members with a majority being independent non-executive directors, is responsible for nominating board members and ensuring diversity. The changes aim to enhance governance and transparency, potentially impacting the company’s operational efficiency and stakeholder confidence.

Kaisa Group Extends Debt Restructuring Deadline and Adjourns Winding-Up Hearing
Jun 29, 2025

Kaisa Group Holdings Ltd. has announced an extension of the Scheme Longstop Dates for its offshore debt restructuring, with creditor consent, moving the deadline from June 30, 2025, to September 30, 2025. Additionally, the High Court has adjourned the winding-up petition hearing to October 6, 2025, reflecting ongoing efforts to stabilize the company’s financial position and reassure stakeholders.

Kaisa Group Approves Key Resolutions at AGM
Jun 25, 2025

Kaisa Group Holdings Ltd. announced the successful passage of all proposed resolutions during its Annual General Meeting held on June 25, 2025. Key resolutions included the adoption of financial statements, re-election of several directors, authorization of director remuneration, re-appointment of auditors, and granting mandates for share buybacks and issuance. These resolutions indicate a stable governance structure and strategic financial planning, potentially enhancing shareholder confidence and supporting the company’s market position.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 09, 2025