EuroEyes International Eye Clinic Limited (1846) AI Stock Analysis

• Market Cap: HK$962.52M
• Dividend Yield: 2.76%
• Average Volume (3M): 130.73K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.23
• Revenue Growth: 0.20%
• EPS Growth: -36.95%
• Country: HK
• Employees: 322
• Sector: Healthcare
• Sector Strength: 37
• Industry: Medical - Care Facilities
• EPS (TTM): 0.12
• Shares Outstanding: 320,706,000
• 10 Day Avg. Volume: 159,070
• 30 Day Avg. Volume: 130,726
• PEG Ratio: -0.55
• Price to Book (P/B): 0.90
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.81
• 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: 69 Neutral
• Price Target: HK$3.50 ▲(13.64%Upside)

The company's strong financial performance, characterized by revenue growth and low leverage, is the most significant factor driving the score. However, concerns regarding declining profit margins and the absence of cash flow data temper the overall outlook. The technical indicators show a mix of bullish momentum and potential overbought signals, while the valuation remains attractive with a reasonable P/E ratio and a decent dividend yield.

EuroEyes International Eye Clinic Limited Business Overview & Revenue Model

Company Description

EuroEyes International Eye Clinic Limited (1846) is a leading provider of refractive surgery solutions, specializing in the correction of common vision impairments such as myopia, hyperopia, astigmatism, and presbyopia. The company operates a network of eye clinics across Europe and Asia, offering advanced surgical procedures like LASIK, ReLEx SMILE, and lens surgeries. EuroEyes is renowned for its use of cutting-edge technology and its team of highly skilled ophthalmologists, providing personalized treatment plans to enhance the visual acuity and quality of life for its patients.

How the Company Makes Money

EuroEyes International Eye Clinic Limited generates revenue primarily through the provision of specialized eye surgery procedures. The company's key revenue streams include fees from refractive surgeries such as LASIK and ReLEx SMILE, as well as lens replacement surgeries to treat presbyopia and cataracts. EuroEyes benefits from a strong reputation and partnerships with leading medical equipment manufacturers, leveraging advanced technologies to attract patients seeking high-quality vision correction solutions. Additionally, the company may engage in strategic partnerships and collaborations with healthcare providers and insurance companies to expand its market reach and service offerings.

EuroEyes International Eye Clinic Limited Financial Statement Overview

Summary

EuroEyes International Eye Clinic Limited showcases strong revenue growth and low leverage, evidenced by increasing revenue and a low Debt-to-Equity Ratio of 0.29. However, declining profit margins and missing cash flow data for 2024 raise concerns about cost management and cash generation capabilities.

Income Statement

The company shows a consistent revenue growth trajectory, with revenue increasing from HK$427.2M in 2019 to HK$715.7M in 2024, indicating strong demand for its services. The Gross Profit Margin has slightly decreased from 47.8% in 2023 to 40.1% in 2024, suggesting some pressure on cost management. The Net Profit Margin also decreased from 18.4% to 11.5%. Despite these declines, EBIT and EBITDA margins remained reasonably robust, reflecting effective operational management.

Balance Sheet

The company maintains a strong equity position with an Equity Ratio of roughly 68.3% in 2024, indicating financial stability. The Debt-to-Equity Ratio is relatively low at 0.29, suggesting low leverage and reduced financial risk. However, a slight decline in Stockholders' Equity from 2023 to 2024 could be a potential concern if it continues.

Cash Flow

The lack of reported Operating Cash Flow and Free Cash Flow in 2024 raises concerns about the company's cash generation capabilities. In prior years, there was positive Free Cash Flow, indicating previously healthy operations. The absence of cash flow data for 2024 could signal potential operational or financial challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	715.68M	714.29M	610.29M	632.93M	473.82M
Gross Profit	286.59M	335.52M	270.84M	312.55M	214.10M
EBITDA	141.89M	292.10M	220.44M	278.80M	173.62M
Net Income	82.28M	131.24M	89.47M	133.56M	65.58M
Balance Sheet
Total Assets	1.60B	1.75B	1.54B	1.37B	1.31B
Cash, Cash Equivalents and Short-Term Investments	680.67M	720.38M	779.57M	861.58M	761.89M
Total Debt	319.29M	384.26M	290.41M	221.48M	239.55M
Total Liabilities	473.72M	588.09M	497.95M	328.55M	324.57M
Stockholders Equity	1.09B	1.13B	1.01B	1.01B	953.29M
Cash Flow
Free Cash Flow	117.41M	102.30M	152.46M	228.71M	40.12M
Operating Cash Flow	197.75M	191.85M	208.76M	273.26M	78.46M
Investing Cash Flow	-83.83M	-180.28M	-131.81M	-59.90M	-38.13M
Financing Cash Flow	-136.82M	-102.76M	-102.22M	-69.18M	-116.37M

EuroEyes International Eye Clinic Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1846, the sentiment is Positive. The current price of 3.08 is above the 20-day moving average (MA) of 2.96, above the 50-day MA of 2.95, and below the 200-day MA of 3.46, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 60.19 is Neutral, neither overbought nor oversold. The STOCH value of 85.19 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1846.

EuroEyes International Eye Clinic Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2219	75 Outperform	HK$2.16B	9.78	8.35%	2.99%	0.61%	-15.89%
1846	69 Neutral	HK$962.52M	12.07	7.39%	2.76%	0.20%	-36.95%
6639	63 Neutral	HK$1.51B	52.93	1.27%	―	7.58%	―
Sector *	60 Neutral	HK$17.07B	5.63	-7.44%	2.87%	11.55%	-28.15%
3689	57 Neutral	HK$635.35M	38.23	1.07%	5.08%	-1.20%	-87.51%
3309	52 Neutral	HK$2.26B	33.92	-7.51%	1.12%	-0.56%	-323.09%
3869	48 Neutral	HK$718.61M	―	-10.78%	―	-0.95%	-128.35%

EuroEyes International Eye Clinic Limited Corporate Events

EuroEyes Secures Shareholder Approval for Key Resolutions at AGM

EuroEyes International Eye Clinic Limited announced that all resolutions proposed at their Annual General Meeting on June 6, 2025, were approved by shareholders. Key resolutions included the adoption of financial statements, approval of a final dividend, re-election of directors, and authorization for the board to issue and repurchase shares. These approvals indicate strong shareholder support and provide the company with flexibility in its financial and operational strategies.

EuroEyes Reports Q1 2025 Eye Surgery Statistics

EuroEyes International Eye Clinic Limited reported a total of 6,997 eye surgeries in the first quarter of 2025, marking a 3% decrease compared to the same period in 2024 but a 6.7% increase from the previous quarter. The rise in surgeries from the previous quarter was driven by a significant increase in lens exchange surgeries and a robust recovery in Denmark, as well as strong performance in their London flagship clinic and new German clinics.