Qeeka Home (Cayman) Inc. (1739) AI Stock Analysis

• Market Cap: HK$338.76M
• Dividend Yield: 10.47%
• Average Volume (3M): 2.49M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.64
• Revenue Growth: -29.48%
• EPS Growth: 28.14%
• Country: HK
• Employees: 822
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): N/A
• Shares Outstanding: 1,145,011,100
• 10 Day Avg. Volume: 2,392,050
• 30 Day Avg. Volume: 2,489,900
• PEG Ratio: -0.06
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.20
• P/FCF Ratio: -3.25
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: HK$0.35 ▲(67.62% Upside)

The overall stock score is primarily influenced by the company's weak financial performance, with declining revenues and persistent losses. Despite this, the technical analysis shows positive momentum, which provides some optimism. The valuation is challenged by a negative P/E ratio, although the high dividend yield offers some appeal. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Low Debt Levels

Low debt levels provide financial flexibility and reduce risk, allowing the company to navigate economic downturns and invest in growth opportunities without significant financial strain.

Strategic Partnerships

These partnerships enhance the company's competitive advantage by ensuring cost-effective sourcing and a broad product offering, crucial for sustaining market position and customer satisfaction.

Improvement in Free Cash Flow

Improvement in free cash flow indicates better cash management and operational efficiency, which can support future investments and debt reduction, enhancing long-term financial health.

Negative Factors

Declining Revenue

Declining revenue signals potential market share loss or reduced demand, which can undermine the company's ability to invest in growth and maintain competitive positioning over time.

Negative Profit Margins

Sustained negative profit margins reflect operational inefficiencies and pricing pressures, which can hinder the company's ability to generate shareholder value and reinvest in business growth.

Cash Flow Challenges

Negative operating cash flow suggests difficulties in covering operational expenses and investing in growth, potentially leading to liquidity issues and limiting strategic flexibility.

Qeeka Home (Cayman) Inc. Business Overview & Revenue Model

Company Description

Qeeka Home (Cayman) Inc. operates online interior design and construction platform in the People's Republic of China. It engages in the provision of interior design and construction services under the Dianshang, Brausen, and Jumei brands. The company also provides marketing service, such as budget planning and execution, online marketplace, sales leads management, customer engagement and feedback, and performance monitoring and analytics tools, as well as brand credit enhancement services, including third-party inspection services to paying merchants; and building and home decoration material supply chain services. In addition, it provides investment management, platform, electronic commerce, financial information, and information technology services; and supplies construction materials, furniture, and furnishings through its platform. The company was formerly known as China Home (Cayman) Inc. Qeeka Home (Cayman) Inc. was founded in 2007 and is headquartered in Shanghai, the People's Republic of China.

How the Company Makes Money

Qeeka Home generates revenue through multiple streams, including direct sales of home furnishings and decor items through both online and brick-and-mortar retail outlets. Additionally, the company offers value-added services such as interior design consultations and home renovation projects, which contribute significantly to its earnings. Strategic partnerships with manufacturers and suppliers allow Qeeka Home to maintain competitive pricing while ensuring a diverse product range. Furthermore, the company may benefit from affiliate marketing programs and collaborations with other businesses in the home improvement sector, enhancing its market reach and revenue potential.

Qeeka Home (Cayman) Inc. Financial Statement Overview

Summary

Qeeka Home (Cayman) Inc. is facing financial difficulties with declining revenues and persistent losses impacting profitability. The balance sheet remains relatively strong with low debt levels, providing some stability. However, cash flow issues persist, highlighting operational inefficiencies. The company needs to address revenue growth and profitability to improve its financial health.

Income Statement

The company has experienced a decline in revenue over the past year, with a significant drop in gross profit margins from 41.7% to 39.1%. Net profit margins have also remained negative, indicating ongoing challenges in achieving profitability. Although there was a smaller EBIT loss compared to the previous year, the overall financial performance is weak, reflecting difficulties in generating sustainable profits.

Balance Sheet

The balance sheet shows a relatively healthy equity position with a debt-to-equity ratio of 0.16, indicating low leverage. However, the return on equity remains negative due to the net losses. The equity ratio has decreased slightly from the previous year, reflecting some erosion in the company's financial stability, but overall, the balance sheet is stable with sufficient assets to cover liabilities.

Cash Flow

The cash flow statement reveals a negative operating cash flow, indicating challenges in cash generation despite improvements in free cash flow. The free cash flow to net income ratio remains unfavorable, suggesting inefficiencies in converting earnings into cash. While there has been an improvement in free cash flow growth, the company still faces significant cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	897.94M	1.06B	1.19B	875.74M	1.11B	916.26M
Gross Profit	373.62M	413.03M	495.46M	473.93M	593.42M	520.50M
EBITDA	-138.83M	-111.92M	-64.52M	-109.47M	-33.61M	75.67M
Net Income	-92.71M	-126.96M	-96.87M	-126.04M	74.05M	40.61M
Balance Sheet
Total Assets	1.58B	1.69B	1.87B	1.81B	2.12B	2.15B
Cash, Cash Equivalents and Short-Term Investments	848.48M	798.66M	972.08M	978.22M	1.18B	1.16B
Total Debt	106.18M	141.75M	245.70M	75.08M	55.95M	31.87M
Total Liabilities	731.15M	823.62M	851.85M	641.83M	839.27M	855.37M
Stockholders Equity	868.78M	886.10M	1.03B	1.18B	1.30B	1.31B
Cash Flow
Free Cash Flow	-158.91M	-66.30M	-257.79M	-231.80M	-211.51M	73.18M
Operating Cash Flow	-155.65M	-66.30M	-247.38M	-225.71M	-190.57M	80.72M
Investing Cash Flow	142.16M	73.59M	-56.53M	97.43M	-82.37M	550.59M
Financing Cash Flow	-10.04M	-148.94M	117.63M	8.20M	-65.40M	-108.68M

Qeeka Home (Cayman) Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.21
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1739, the sentiment is Positive. The current price of 0.21 is below the 20-day moving average (MA) of 0.27, below the 50-day MA of 0.23, and above the 200-day MA of 0.19, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 57.32 is Neutral, neither overbought nor oversold. The STOCH value of 48.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1739.

Qeeka Home (Cayman) Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3601	61 Neutral	HK$271.69M	8.90	4.24%	10.99%	-11.92%	-17.75%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
1739	57 Neutral	HK$338.76M	―	-10.06%	10.47%	-29.48%	28.14%
0543	55 Neutral	$384.37M	14.17	3.89%	15.61%	-9.35%	57.89%
0150	54 Neutral	$417.33M	―	-7.63%	1.87%	-28.29%	-167.19%
1980	52 Neutral	HK$737.25M	-15.53	-2.08%	4.41%	15.66%	47.36%
2008	46 Neutral	HK$833.94M	―	-9.70%	―	-13.10%	13.01%

Qeeka Home (Cayman) Inc. Corporate Events

Qeeka Home Faces Revenue Decline Amidst Real Estate Challenges, Expands Internationally

Qeeka Home (Cayman) Inc. reported a 27.1% decrease in revenue for the first half of 2025 compared to the previous year, amidst a challenging real estate market in China. Despite the decline, the company expanded its international service business, leveraging its domestic supply chain capabilities to meet international demands and enhance its digital home ecosystem for cross-border operations.

Qeeka Home Announces Interim Dividend for 2025

Qeeka Home (Cayman) Inc. announced an interim cash dividend of HKD 0.0288 per share for the six months ended 30 June 2025, with a payment date set for 30 September 2025. This announcement reflects the company’s financial health and commitment to returning value to shareholders, potentially strengthening its position in the home improvement industry.

Qeeka Home Schedules Board Meeting for Interim Results and Dividend Decision

Qeeka Home (Cayman) Inc. has scheduled a board meeting on August 28, 2025, to review and approve the interim financial results for the first half of the year and to consider the payment of an interim dividend. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its market positioning and stakeholder relations.