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Risecomm Group Holdings Limited (HK:1679)
:1679
Hong Kong Market
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Risecomm Group Holdings Limited (1679) AI Stock Analysis

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HK:1679

Risecomm Group Holdings Limited

(1679)

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Underperform 40 (OpenAI - 4o)
Rating:40Underperform
Price Target:
HK$0.50
▼(-1.96% Downside)
The overall stock score is heavily impacted by the company's poor financial performance, which is characterized by declining revenues, persistent losses, and negative equity. Technical analysis indicates bearish momentum, further weighing down the score. Valuation metrics, including a negative P/E ratio and lack of dividend yield, also contribute to the low score. Immediate strategic changes are necessary to address these financial concerns and improve operational efficiency.

Risecomm Group Holdings Limited (1679) vs. iShares MSCI Hong Kong ETF (EWH)

Risecomm Group Holdings Limited Business Overview & Revenue Model

Company DescriptionRisecomm Group Holdings Limited (1679) is a technology-driven company specializing in providing innovative communication solutions and integrated services primarily in the telecommunications and information technology sectors. The company develops and manufactures a range of products, including smart city solutions, wireless communication devices, and IoT applications aimed at enhancing connectivity and operational efficiency for businesses and municipalities.
How the Company Makes MoneyRisecomm Group Holdings generates revenue through multiple streams, primarily from the sale of its communication devices and smart city solutions. The company engages in direct sales to clients, including government agencies and private enterprises, which form a significant part of its customer base. Additionally, Risecomm benefits from service contracts and maintenance agreements tied to its products, ensuring ongoing revenue from existing installations. Strategic partnerships with other technology firms and collaborations within the telecommunications sector further enhance its market reach and revenue potential, as they allow for co-development of solutions and access to broader customer networks.

Risecomm Group Holdings Limited Financial Statement Overview

Summary
Risecomm Group Holdings Limited is facing significant financial challenges, characterized by declining revenues, persistent losses, and negative equity. High leverage and negative cash flows exacerbate the company's financial instability. The semiconductor industry typically favors innovation and growth, but this company struggles with both profitability and liquidity. Immediate strategic changes are necessary to address these financial concerns and improve operational efficiency.
Income Statement
15
Very Negative
The company has experienced declining revenue over the past few years, with a significant drop from $248 million in 2021 to $122 million in 2024. Gross profit margin has been low and volatile, standing at around 30% in 2024. Net profit margins are deeply negative due to persistent net losses. Despite a reduction in EBIT losses compared to prior years, profitability remains a major concern.
Balance Sheet
10
Very Negative
The balance sheet shows high leverage, with a debt-to-equity ratio that is negative due to negative stockholders' equity in 2024. This indicates financial instability and potential solvency issues. The equity ratio is also negative, reflecting a dire financial position. The steep decline in stockholders' equity over recent years is alarming.
Cash Flow
20
Very Negative
Cash flow from operations is non-existent in 2024, following negative operating cash flow in previous years. Free cash flow has been negative or zero, indicating that the company struggles to generate cash. This poses risks to liquidity and financial flexibility. The inability to generate positive free cash flow suggests potential difficulties in funding operations without external financing.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue139.46M122.30M94.87M149.85M248.15M212.73M
Gross Profit44.33M37.09M15.57M39.08M43.01M33.53M
EBITDA-40.23M-47.50M-89.33M-34.83M-20.66M-70.00M
Net Income-60.99M-73.54M-138.51M-119.09M-55.25M-126.03M
Balance Sheet
Total Assets241.22M236.57M250.49M341.34M471.55M518.35M
Cash, Cash Equivalents and Short-Term Investments13.37M15.18M35.92M86.65M91.70M121.67M
Total Debt249.48M247.14M193.98M132.80M133.52M133.80M
Total Liabilities360.97M347.92M285.02M266.96M277.75M404.01M
Stockholders Equity-114.11M-105.70M-28.89M74.89M193.80M114.34M
Cash Flow
Free Cash Flow-31.37M-34.15M-68.22M4.28M-28.20M-12.44M
Operating Cash Flow-31.86M-33.92M-62.84M5.18M-26.63M-11.46M
Investing Cash Flow661.00K-45.58M-64.78M-4.97M-116.19M1.65M
Financing Cash Flow5.35M56.89M77.27M-5.85M112.72M-12.25M

Risecomm Group Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.51
Price Trends
50DMA
0.79
Negative
100DMA
0.68
Negative
200DMA
0.50
Negative
Market Momentum
MACD
-0.09
Positive
RSI
31.86
Neutral
STOCH
4.92
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1679, the sentiment is Negative. The current price of 0.51 is below the 20-day moving average (MA) of 0.63, below the 50-day MA of 0.79, and above the 200-day MA of 0.50, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 31.86 is Neutral, neither overbought nor oversold. The STOCH value of 4.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1679.

Risecomm Group Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
HK$131.00M15.603.83%-13.07%-34.88%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
55
Neutral
HK$130.50M-15.65-2.32%-6.45%-596.43%
46
Neutral
HK$99.48M-41.46%-26.02%-4977.27%
46
Neutral
HK$98.83M-6.19%18.71%
46
Neutral
HK$172.00M-47.92%-869.15%
40
Underperform
HK$125.17M-0.9537.63%56.51%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1679
Risecomm Group Holdings Limited
0.51
-0.02
-3.77%
HK:1912
Contel Technology Company Limited
0.07
-0.05
-41.67%
HK:1967
Confidence Intelligence Holdings Limited
0.40
-0.02
-4.76%
HK:2203
Brainhole Technology Limited
0.22
-0.04
-15.38%
HK:8257
Genes Tech Group Holdings Company Limited
0.13
0.05
62.50%
HK:8490
Niche-Tech Semiconductor Materials Limited
0.14
-0.05
-26.32%

Risecomm Group Holdings Limited Corporate Events

Risecomm Announces Share Option Adjustments Post Rights Issue
Nov 6, 2025

Risecomm Group Holdings Limited has announced adjustments to its outstanding share options following a rights issue, which offered five rights shares for every consolidated share held. The adjustments, certified by Silverbricks Securities Company Limited, involve changes to the exercise price and the number of shares issued upon exercising the options, ensuring compliance with relevant listing rules and guidance.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Appoints New Executive Director
Oct 28, 2025

Risecomm Group Holdings Limited has announced the appointment of Ms. Ye Bailing as an executive director, effective from 28 October 2025. Ms. Ye brings over 15 years of experience in business management and development, having held significant roles in various companies, including Nanjing Guoyuan Machinery Parts Co., Ltd. and Jiangsu Guoyuan New Energy Technology Group Co., Ltd. Her appointment is expected to strengthen Risecomm’s leadership team and potentially enhance its strategic operations.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Holdings Announces Board Composition and Committee Roles
Oct 28, 2025

Risecomm Group Holdings Limited has announced the composition of its board of directors and their respective roles within the company. The board includes a mix of executive, non-executive, and independent non-executive directors, with Zhao Luyi serving as the Chairman and Executive Director. The announcement details the membership of three key board committees: the Audit Committee, Remuneration Committee, and Nomination Committee. This update on board composition is significant for stakeholders as it outlines the governance structure and leadership roles within the company, potentially impacting its strategic direction and operational oversight.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Executive Director Resignation at Risecomm Group Holdings
Oct 24, 2025

Risecomm Group Holdings Limited announced the resignation of Mr. Jiang Feng as an executive director, effective from October 24, 2025. Mr. Jiang is stepping down to focus on personal commitments, and he leaves without any disagreements with the board. The company expressed gratitude for his contributions during his tenure.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Holdings Limited Completes Rights Issue, Raises HK$80.44 Million
Oct 21, 2025

Risecomm Group Holdings Limited announced the results of its Rights Issue, which was undersubscribed, leading to the placement of unsubscribed shares to independent placees. The company raised approximately HK$80.44 million in net proceeds, which will be used primarily for repaying current liabilities and supporting general corporate purposes, including business development in smart manufacturing and industrial automation.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Holdings Limited Announces Undersubscribed Rights Issue
Sep 19, 2025

Risecomm Group Holdings Limited announced the results of its Rights Issue, revealing that only 32.34% of the offered Rights Shares were subscribed, leaving 67.66% unsubscribed. The company plans to place these unsubscribed shares with independent placees, potentially benefiting shareholders through any premium realized over the subscription price.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Holdings Sees Revenue Surge in H1 2025
Aug 29, 2025

Risecomm Group Holdings Limited reported a significant increase in revenue for the first half of 2025, reaching approximately RMB58.6 million, a 41.4% rise compared to the same period in 2024. This growth was driven by substantial increases in their AMR and other business segments, as well as improvements in their SMIA and WFOM segments. Despite a reduced loss of RMB12.2 million compared to the previous year’s loss of RMB24.7 million, the company did not declare an interim dividend. The results indicate a positive trajectory in operational performance, although challenges remain in achieving profitability.

The most recent analyst rating on (HK:1679) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Risecomm Group Holdings Limited stock, see the HK:1679 Stock Forecast page.

Risecomm Group Holdings Announces Delay in Prospectus Despatch and Revised Timetable
Aug 15, 2025

Risecomm Group Holdings Limited announced a delay in the despatch of its Prospectus related to a proposed Share Consolidation, an increase in authorised share capital, and a Rights Issue. The delay, necessitated by the need for additional preparation time, has led to a revised timetable for these corporate actions, impacting the company’s operations and potentially affecting shareholder entitlements and trading activities.

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

Risecomm Group Holdings Limited has announced that its board of directors will meet on August 29, 2025, to review and approve the interim results for the first half of 2025 and discuss the potential payment 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.

Risecomm Group’s EGM Resolutions Passed Unanimously
Aug 15, 2025

Risecomm Group Holdings Limited announced the successful passing of all proposed resolutions during its postponed Extraordinary General Meeting (EGM) held on August 15, 2025. The resolutions included a share consolidation, an increase in authorized share capital, and a rights issue, all of which were approved unanimously by shareholders. The company clarified that the effective date for the share consolidation will be revised, with further announcements to be made regarding the updated schedule.

Risecomm Group Holdings EGM Postponed Due to Weather
Aug 14, 2025

Risecomm Group Holdings Limited has postponed its Extraordinary General Meeting (EGM) originally scheduled for 14 August 2025 due to a black rainstorm warning in Hong Kong. The meeting is rescheduled for 15 August 2025, with all resolutions and arrangements remaining unchanged. The company will keep shareholders informed of any further changes related to the Share Consolidation and Rights Issue.

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: Nov 08, 2025