Duiba Group Ltd. (1753) AI Stock Analysis

• Market Cap: HK$180.91M
• Dividend Yield: N/A
• Average Volume (3M): 511.62K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.15
• Revenue Growth: -19.46%
• EPS Growth: -225.23%
• Country: HK
• Employees: 493
• Sector: Communication Services
• Sector Strength: 84
• Industry: Advertising Agencies
• EPS (TTM): -0.02
• Shares Outstanding: 1,076,823,200
• 10 Day Avg. Volume: 546,240
• 30 Day Avg. Volume: 511,620
• PEG Ratio: -0.05
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.76
• 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

• Rating: 40 Underperform
• Price Target: ―

Duiba Group Ltd. faces substantial financial challenges, with declining revenues, profitability, and cash flow issues. Technical indicators reflect bearish sentiment, with the stock trading below key moving averages. Valuation metrics are unattractive due to persistent losses and a lack of dividend yield. Strategic adjustments are necessary to improve financial health and investor confidence.

Duiba Group Ltd. Business Overview & Revenue Model

Company Description

Duiba Group Limited, an investment holding company, operates as a user management software as a service (SaaS) provider for online businesses in the People's Republic of China. The company's SaaS platform offers user management tools, including reward point/membership management, gamification user management, e-commerce live streaming for bank credit cards, enterprise marketing tool, and financial industry live streaming to enhance mobile app user activity and participation on apps. It also operates an interactive advertising platform. The company was founded in 2014 and is headquartered in Hangzhou, the People's Republic of China.

How the Company Makes Money

Duiba Group Ltd. primarily generates revenue through its Interactive Advertising Business, where it facilitates digital advertising transactions by providing an online platform that connects advertisers with media publishers. This platform enables advertisers to reach a targeted audience while allowing publishers to monetize their content. Additionally, the company derives income from its User Management SaaS Business by offering software solutions that help companies manage customer loyalty programs and user engagement. Duiba's revenue streams are bolstered by partnerships with various digital media companies and a broad client base that utilizes its software for enhanced customer relationship management.

Duiba Group Ltd. Financial Statement Overview

Summary

Duiba Group Ltd. is experiencing significant financial difficulties. The income statement indicates declining profitability with net losses and reduced revenue. The balance sheet shows a stable capital base, but increased net debt is a concern. Cash flow issues are prominent, with negative operating and free cash flows, indicating reliance on external financing.

Income Statement

The income statement shows significant challenges in profitability, with consistent net losses over recent years. The gross profit margin has declined from 34.4% in 2019 to 14.3% in 2024, and the net profit margin remains negative. Revenue has also decreased significantly since 2019, indicating a shrinking market or competitive pressures.

Balance Sheet

The balance sheet is relatively stable with a high equity ratio of 55.9% in 2024, indicating a strong capital base. The debt-to-equity ratio is manageable at 0.51, but the company's total assets have grown, which is a positive sign. However, the net debt has increased, which may pose future risks.

Cash Flow

The cash flow statement highlights significant challenges, with operating cash flow negative in recent years, and free cash flow also negative, indicating cash generation issues. The absence of free cash flow growth and the reliance on financing activities to cover cash shortfalls are concerning.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
906.51M	1.10B	1.62B	1.31B	1.07B
	Gross Profit
129.46M	244.47M	309.12M	370.49M	224.33M
	EBIT
-90.83M	37.35M	-47.88M	-47.94M	-113.06M
	EBITDA
-63.26M	56.51M	-11.79M	1.94M	-60.85M
	Net Income Common Stockholders
-39.46M	30.45M	-45.90M	-11.77M	-63.57M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
416.57M	849.27M	1.06B	1.23B	1.31B
	Total Assets
2.37B	2.14B	1.81B	1.57B	1.60B
	Total Debt
670.14M	509.10M	135.54M	6.61M	8.07M
	Net Debt
389.39M	220.64M	-519.13M	-219.13M	-127.20M
	Total Liabilities
1.05B	786.47M	502.09M	278.58M	306.87M
	Stockholders Equity
1.33B	1.35B	1.31B	1.29B	1.29B
Cash Flow		Free Cash Flow
0.00	-297.54M	-177.06M	-21.64M	28.89M
	Operating Cash Flow
0.00	-297.10M	-176.37M	-11.99M	35.25M
	Investing Cash Flow
0.00	24.42M	75.06M	111.84M	-104.58M
	Financing Cash Flow
0.00	299.13M	118.97M	-9.05M	-6.66M

Duiba Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.18
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1753, the sentiment is Neutral. 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 below the 200-day MA of 0.24, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 55.27 is Neutral, neither overbought nor oversold. The STOCH value of 37.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1753.

Duiba Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$14.55B	5.92	-3.82%	8.36%	2.79%	-33.24%
1490	45 Neutral	HK$202.05M	64.81	0.50%	―	-4.08%	-93.81%
1753	40 Underperform	HK$180.91M	―	-2.95%	―	-19.46%	-225.23%
5YN		€26.11M	―	-102.17%	―	―	―
1762	61 Neutral	HK$1.38B	500.00	0.17%	―	22.80%	-87.20%
1736	38 Underperform	HK$14.69M	―	-33.77%	―	-3.25%	89.19%
0164	30 Underperform	HK$206.34M	―		―	-5.81%	-29.68%

Duiba Group Ltd. Corporate Events

Duiba Group Ltd. Announces 2025 Annual General Meeting

Duiba Group Ltd. has announced its upcoming annual general meeting scheduled for May 30, 2025, in Hangzhou, PRC. The meeting will address several key resolutions, including the re-election of directors, approval of financial statements, and authorization for the board to manage share allotments and director remuneration. These resolutions are crucial for maintaining the company’s governance structure and ensuring compliance with the Hong Kong Stock Exchange’s listing rules, potentially impacting the company’s strategic direction and shareholder value.

Duiba Group Ltd. Reports Revenue Decline and Net Loss for 2024

Duiba Group Ltd. reported a 17.3% decrease in revenue for the year ending December 31, 2024, compared to the previous year, with total revenue dropping from RMB 1,096,438,000 to RMB 906,513,000. The decline was primarily due to a significant reduction in the internet advertising business. The company also reported a net loss of RMB 39,461,000 for the year, a reversal from the previous year’s profit, indicating challenges in maintaining profitability amidst rising finance costs and reduced gross profit.

Duiba Group Ltd. Issues Profit Warning Amid Industry Challenges

Duiba Group Ltd. has issued a profit warning, indicating a significant decline in its financial performance for the fiscal year 2024. The company expects a decrease in revenue to approximately RMB900 million and anticipates an adjusted loss of up to RMB38.0 million, compared to a profit in the previous year. This downturn is attributed to the downsizing of its internet advertising business amid tightening customer budgets and increased costs from purchasing traffic on high-quality platforms, impacting profitability.

Duiba Group Schedules Board Meeting for Annual Results and Dividend Discussion

Duiba Group Limited has announced that a board meeting will be held on March 31, 2025, to consider and approve the annual results for the year ending December 31, 2024, and to discuss the recommendation of a final dividend. This announcement indicates the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its market position and investor relations.