Wenye Group Holdings Limited (1802) AI Stock Analysis

• Market Cap: HK$48.23M
• Dividend Yield: N/A
• Average Volume (3M): 1.73M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 82
• Sector: Industrials
• Sector Strength: 93
• Industry: Engineering & Construction
• EPS (TTM): -0.17
• Shares Outstanding: 831,600,000
• 10 Day Avg. Volume: 830,400
• 30 Day Avg. Volume: 1,730,133
• PEG Ratio: 0.02
• Price to Book (P/B): -0.03
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 35.66
• 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: 48 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

The stock is primarily impacted by severe financial difficulties, reflecting in its low score. While technical analysis provides some neutral signals, the overall valuation is poor due to unprofitability and lack of dividends, leading to a low overall stock score.

Wenye Group Holdings Limited Business Overview & Revenue Model

Company Description

Wenye Group Holdings Limited (1802) is a diversified company primarily engaged in the real estate sector. It focuses on property development, investment, and management, offering a broad range of services across residential, commercial, and industrial properties. The company is committed to delivering high-quality real estate solutions, leveraging its expertise to meet the evolving needs of its clients and stakeholders.

How the Company Makes Money

Wenye Group Holdings Limited generates revenue through multiple channels within the real estate sector. The company's primary source of income comes from the sale of developed residential, commercial, and industrial properties. Additionally, it earns rental income from its investment properties, which are leased to tenants. Property management services also contribute to its earnings, as the company provides comprehensive management solutions to property owners, ensuring the maintenance and operational efficiency of their assets. The company may also engage in strategic partnerships and joint ventures to enhance its development capabilities and expand its revenue base.

Wenye Group Holdings Limited Financial Statement Overview

Summary

The company faces severe financial challenges with consistently declining revenues, negative net profit margins, negative equity, high leverage, and severe cash flow issues. This poses significant risks to financial health and stability.

Income Statement

The income statement reveals significant challenges, with declining revenues and consistent net losses over the years. The company has experienced a steep revenue decline from 2019 to 2024, with a notable drop in gross profit margin from its earlier figures. Net profit margins are negative, indicating ongoing unprofitability. The EBIT and EBITDA margins are also negative, reflecting operational struggles.

Balance Sheet

The balance sheet shows a concerning financial structure. The company has negative stockholders' equity, indicating that liabilities exceed assets, a potential red flag for solvency. The debt-to-equity ratio is not calculable due to negative equity, but high total debt relative to assets suggests significant leverage. The equity ratio is also negative, which is unfavorable for long-term sustainability.

Cash Flow

The cash flow statement highlights severe cash flow issues, with no positive free cash flow and erratic operating cash flows, including negative figures in recent years. The operating cash flow to net income and free cash flow to net income ratios are not meaningful due to negative values, underscoring cash generation challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.52M	81.34M	378.12M	1.03B	1.25B
Gross Profit	1.29M	7.11M	23.66M	77.69M	148.59M
EBITDA	-59.45M	-47.65M	-174.97M	-1.14B	47.72M
Net Income	-95.38M	-63.47M	-193.36M	-1.21B	21.07M
Balance Sheet
Total Assets	203.09M	239.75M	300.98M	567.80M	1.95B
Cash, Cash Equivalents and Short-Term Investments	20.63M	177.00K	344.00K	22.69M	56.86M
Total Debt	156.85M	134.81M	144.17M	181.50M	201.86M
Total Liabilities	1.13B	1.07B	1.07B	1.15B	1.33B
Stockholders Equity	-932.10M	-836.72M	-773.25M	-579.89M	625.80M
Cash Flow
Free Cash Flow	-4.18M	-15.09M	21.10M	-20.13M	-103.04M
Operating Cash Flow	-4.18M	-15.09M	21.66M	-19.34M	-100.33M
Investing Cash Flow	48.00K	58.00K	-1.56M	142.00K	-970.00K
Financing Cash Flow	4.45M	14.87M	-42.45M	-15.45M	111.48M

Wenye Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1802, the sentiment is Positive. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and above the 200-day MA of 0.06, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 48.27 is Neutral, neither overbought nor oversold. The STOCH value of 72.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1802.

Wenye Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	71 Outperform	¥255.19B	13.58	8.48%	3.01%	6.34%	13.16%
1546	52 Neutral	HK$60.00M	―	-35.67%	―	10.44%	-155.38%
1637	49 Neutral	HK$58.00M	10.74	2.33%	―	-19.49%	-5.88%
1718	48 Neutral	HK$50.86M	―	-72.83%	―	6.83%	-63.75%
1802	48 Neutral	HK$48.23M	―		―	―	―
3822	47 Neutral	HK$59.64M	5.45	2.30%	―	23.75%	-100.39%

Wenye Group Holdings Limited Corporate Events

Wenye Group Faces Delisting Due to Insufficient Operations

Wenye Group Holdings Limited has been notified by the Hong Kong Stock Exchange of its failure to maintain sufficient operations and assets to justify its continued listing. The company’s building decorative and design business has significantly diminished, with revenue declining by 99% over the past five years and ongoing financial difficulties, including net liabilities and impaired trade receivables, raising concerns about its viability and sustainability.

Wenye Group Holdings Secures Unanimous Approval at AGM

Wenye Group Holdings Limited announced the successful passage of all resolutions during its Annual General Meeting held on June 30, 2025. The resolutions included the adoption of audited financial statements for the year ending December 31, 2024, re-election of directors, and authorization for the board to manage share allotments and repurchases. The unanimous approval of these resolutions indicates strong shareholder support and positions the company for continued operational stability and strategic flexibility.

Wenye Group Holdings Limited Streamlines Operations Through Subsidiary Winding-Up

Wenye Group Holdings Limited has announced the voluntary winding-up of its subsidiary, Sosang (HK) Holdings Limited, as part of a strategic move to address financial uncertainties and reduce liabilities. The sale of Sosang’s interests in its subsidiaries for HK$1,300,000 is expected to deconsolidate significant liabilities from the group’s balance sheet, thus improving its financial position without adversely affecting its overall operations, as another subsidiary retains the necessary licenses to continue decoration work in China.

Wenye Group Holdings Limited Announces 2025 AGM with Key Resolutions

Wenye Group Holdings Limited has announced its upcoming Annual General Meeting (AGM) to be held on June 30, 2025, in Shenzhen, China. The meeting will address several key resolutions, including the adoption of the company’s audited financial statements for the year ending December 31, 2024, the re-election of several directors, and the authorization for the board to fix directors’ remuneration. Additionally, the AGM will consider granting the board the authority to issue additional shares and securities, which could impact the company’s capital structure and shareholder value.

Wenye Group Announces Leadership Changes with New Co-Chairman Appointment

Wenye Group Holdings Limited announced the resignation of Mr. Chen Li as a Non-Executive Director, effective May 30, 2025, as he wishes to focus on other commitments. Concurrently, Mr. Chen Zhouyu has been appointed as Co-Chairman and Executive Director. Mr. Chen Zhouyu brings over a decade of experience in architectural decoration and real estate project management, having previously led significant projects for the company. His appointment is expected to strengthen the company’s leadership and strategic direction in competitive markets.

Wenye Group Holdings Limited Announces Board Composition

Wenye Group Holdings Limited has announced the composition of its board of directors and their respective roles within the company. The board comprises executive, non-executive, and independent non-executive directors, with specific members serving on the audit, remuneration, and nomination committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and decision-making processes.

Wenye Group Completes Major Share Subscription to Enhance Market Position

Wenye Group Holdings Limited has announced the completion of a significant share subscription agreement, resulting in the issuance of 237,600,000 new shares. This move, which increases the company’s issued share capital by approximately 28.6%, is expected to enhance the company’s financial standing and market presence. The subscription was completed at a price of HK$0.055 per share, with new shareholders including HK Monkey Asset Management and Shenzhen Xinhengfeng, contributing to a diversified shareholder base and maintaining a public float of at least 25%.