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Li Bao Ge Group Ltd. (HK:1869)
:1869
Hong Kong Market

Li Bao Ge Group Ltd. (1869) AI Stock Analysis

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HK:1869

Li Bao Ge Group Ltd.

(1869)

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Neutral 44 (OpenAI - 4o)
Rating:44Neutral
Price Target:
HK$0.11
▲(2.73% Upside)
The overall stock score is primarily impacted by the company's poor financial performance, characterized by declining revenues, high leverage, and negative equity. Technical analysis provides a neutral outlook, while valuation concerns are heightened by a negative P/E ratio and lack of dividend yield. The absence of earnings call data and corporate events means these factors do not influence the score.
Positive Factors
Diversified Revenue Streams
Li Bao Ge Group Ltd.'s diversified revenue streams from property sales, leasing, and investments provide a buffer against market volatility, supporting long-term stability.
Strategic Partnerships
Strategic partnerships enhance market reach and operational efficiency, positioning the company to better capitalize on real estate opportunities and improve competitive standing.
Real Estate Expertise
Li Bao Ge Group Ltd.'s expertise in real estate development and investment is a durable competitive advantage, enabling value creation through strategic acquisitions and developments.
Negative Factors
Declining Revenue
Persistent revenue decline indicates weakening market position or operational challenges, threatening long-term growth and financial health.
High Leverage
High leverage increases financial risk, limiting flexibility and potentially leading to solvency issues, impacting long-term viability.
Negative Cash Flow
Negative cash flow restricts the company's ability to invest in growth or manage debt, posing a risk to long-term financial stability and operational flexibility.

Li Bao Ge Group Ltd. (1869) vs. iShares MSCI Hong Kong ETF (EWH)

Li Bao Ge Group Ltd. Business Overview & Revenue Model

Company DescriptionLi Bao Ge Group Limited, an investment holding company, operates and manages a chain of Chinese restaurants under the Star of Canton, Sun Kau Kee, Star of Canton Tea House, and La Maison D' Elephant brands in the People's Republic of China. As of December 31, 2021, it operated three full-service Chinese restaurants; one Thai cuisine restaurant; and twenty-food counters in the PRC under the Sun Kau Kee brand name. The company was founded in 1998 and is headquartered in Kwai Chung, Hong Kong.
How the Company Makes MoneyLi Bao Ge Group Ltd. generates revenue primarily through the sale and leasing of real estate properties. The company develops residential and commercial properties, which are sold to homebuyers and investors, providing a significant portion of its income. Additionally, the company earns rental income from its investment properties, contributing to a stable revenue stream. Partnerships with local construction firms and real estate agencies enhance its market reach and operational efficiency. Furthermore, the company may engage in strategic investments and asset management, diversifying its revenue sources and capitalizing on favorable market conditions.

Li Bao Ge Group Ltd. Financial Statement Overview

Summary
Li Bao Ge Group Ltd. faces significant financial challenges, including declining revenues, negative profitability margins, high leverage, and negative equity. The company's cash flow management issues further exacerbate financial risks, necessitating strategic improvements in revenue generation, cost management, and capital structure.
Income Statement
46
Neutral
Li Bao Ge Group Ltd. has experienced declining revenue over the years, with a significant drop in net income, resulting in negative profitability margins. The gross profit margin is relatively low, indicating cost management challenges. The EBITDA turned negative in the latest year, showing operational difficulties. Revenue growth has been volatile, contributing to financial instability.
Balance Sheet
30
Negative
The company has a negative stockholders' equity, indicating more liabilities than assets, which is a significant financial risk. High debt levels relative to equity suggest financial leverage and potential solvency issues. The equity ratio is negative, reflecting financial instability and potential risks in the company's capital structure.
Cash Flow
35
Negative
The cash flow statement shows a concerning trend, with zero free cash flow in the latest year and negative operating cash flow. The inability to generate positive free cash flow impacts the company's flexibility to invest in growth or manage debt. Historical free cash flow growth has been inconsistent, highlighting cash management challenges.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue129.39M139.62M178.52M135.55M274.57M236.40M
Gross Profit14.76M20.29M38.95M33.02M89.93M71.13M
EBITDA-25.39M-17.04M39.79M3.40M-29.65M34.29M
Net Income-46.41M-48.68M7.99M-41.35M-92.43M-39.82M
Balance Sheet
Total Assets86.63M87.62M108.01M141.92M206.51M330.70M
Cash, Cash Equivalents and Short-Term Investments5.75M10.57M16.88M24.29M26.82M28.95M
Total Debt45.15M55.10M73.99M121.60M165.89M191.05M
Total Liabilities158.71M152.04M165.74M208.59M245.51M270.65M
Stockholders Equity-67.17M-59.64M-52.79M-61.60M-35.32M55.95M
Cash Flow
Free Cash Flow-8.57M1.07M29.07M6.90M37.87M17.14M
Operating Cash Flow4.52M9.79M34.52M10.27M42.01M28.25M
Investing Cash Flow-20.28M-20.25M-4.34M-1.71M-3.82M-33.39M
Financing Cash Flow-6.57M4.56M-37.09M-9.37M-42.15M-38.72M

Li Bao Ge Group Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.11
Price Trends
50DMA
0.11
Negative
100DMA
0.11
Positive
200DMA
0.11
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
43.38
Neutral
STOCH
8.87
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1869, the sentiment is Negative. The current price of 0.11 is below the 20-day moving average (MA) of 0.12, below the 50-day MA of 0.11, and above the 200-day MA of 0.11, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.38 is Neutral, neither overbought nor oversold. The STOCH value of 8.87 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1869.

Li Bao Ge Group Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
HK$780.83M7.5637.48%7.80%15.24%16.25%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
57
Neutral
HK$225.97M-5.17-18.74%4.76%-9.92%-1260.00%
50
Neutral
HK$91.00M-1.51-48.91%4.35%-13.13%-873.33%
44
Neutral
HK$173.46M-3.74-18.92%-2250.00%
38
Underperform
HK$34.94M-6.12-350.87%-5.22%-7.65%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1869
Li Bao Ge Group Ltd.
0.12
-0.02
-12.14%
HK:1181
Tang Palace (China) Holdings Limited
0.21
0.00
0.00%
HK:1443
Fulum Group Holdings Ltd.
0.07
-0.05
-41.18%
HK:8371
Taste Gourmet Group Ltd.
2.05
0.75
57.69%
HK:8519
Jia Group Holdings Ltd.
0.24
-0.54
-69.26%
HK:8527
JLogo Holdings Limited
0.17
-0.19
-53.15%

Li Bao Ge Group Ltd. Corporate Events

Kafelaku Coffee Announces Relocation of Hong Kong Office
Dec 1, 2025

Kafelaku Coffee Holding Limited, a company incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange, has announced a change in its head office and principal place of business in Hong Kong, effective December 1, 2025. This relocation to Lippo Sun Plaza in Tsim Sha Tsui, Kowloon, along with updated contact numbers, reflects the company’s operational adjustments and may influence its business interactions and stakeholder communications.

Kafelaku Coffee Announces New Chairman Amidst Compliance Challenges
Nov 4, 2025

Kafelaku Coffee Holding Limited has announced the appointment of Mr. Cui Zhiqiang as the new chairman of the board, replacing Ms. Leung Ka Wai, who will continue as an executive director. Mr. Cui, a substantial shareholder of the company, brings extensive leadership experience from his previous roles in various companies. This change in leadership comes with a non-compliance issue with the Hong Kong Stock Exchange’s listing rules regarding gender diversity in the nomination committee, which the company is actively working to address by identifying suitable candidates to join the committee.

Kafelaku Coffee Announces Board Composition and Roles
Nov 4, 2025

Kafelaku Coffee Holding Limited, listed on the stock exchange under the code 1869, has announced the composition of its board of directors and their respective roles. The board includes executive directors, non-executive directors, and independent non-executive directors, with specific members serving on various committees such as the Audit, Remuneration, Nomination, and Legal Compliance Committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and operational oversight.

Kafelaku Coffee Announces Board Composition and Roles
Sep 30, 2025

Kafelaku Coffee Holding Limited, a company incorporated in the Cayman Islands, has announced the composition of its board of directors and their respective roles. The board includes executive, non-executive, and independent non-executive directors, with specific members assigned to various board committees such as the Audit, Remuneration, Nomination, and Legal Compliance Committees. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and operational oversight.

Kafelaku Coffee Faces Board Compliance Challenge
Sep 29, 2025

Kafelaku Coffee Holding Limited, a company listed on the Hong Kong Stock Exchange, has announced the resignation of an independent non-executive director, Ms. Zhang. This resignation has resulted in the company not complying with the listing rule that requires independent non-executive directors to represent at least one-third of the board. The board is actively seeking a suitable candidate to fill the vacancy within three months to meet compliance requirements.

Kafelaku Coffee Faces Board Resignation and Compliance Challenge
Sep 25, 2025

Kafelaku Coffee Holding Limited announced the resignation of Ms. Zhang Guangfang as an independent non-executive director, effective from September 25, 2025, due to her desire to focus on other business commitments. This resignation results in non-compliance with several Hong Kong Stock Exchange listing rules regarding the composition of the board and its committees. The company is actively seeking suitable candidates to fill these vacancies within three months to restore compliance.

Kafelaku Coffee Announces Board Composition and Committee Roles
Sep 25, 2025

Kafelaku Coffee Holding Limited, listed on the stock exchange under the code 1869, has announced its board of directors and their respective roles and functions. The company has a structured board comprising executive, non-executive, and independent non-executive directors. This announcement outlines the composition of the board committees, which include the Audit, Remuneration, Nomination, and Legal Compliance Committees. The release provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the leadership and decision-making processes within the organization.

Kafelaku Coffee Announces Board Composition and Committee Roles
Sep 12, 2025

Kafelaku Coffee Holding Limited, a company incorporated in the Cayman Islands, has announced the composition of its board of directors and their respective roles within the organization. The board consists of executive directors, a non-executive director, and independent non-executive directors. The release also details the membership of four board committees, highlighting the roles of each director within these committees. This announcement provides clarity on the governance structure of the company, which is crucial for stakeholders to understand the leadership and decision-making framework guiding the company’s operations.

Kafelaku Coffee Enhances Internal Controls Amid Compliance Review
Sep 12, 2025

Kafelaku Coffee Holding Limited has announced a supplemental disclosure regarding a loan agreement and past non-compliance with listing rules. The company has engaged Roma Risk Advisory Limited to conduct an internal control review to enhance compliance management and corporate governance. This review aims to address approval procedures, treasury management, and connected transaction management to prevent future non-compliance incidents.

Kafelaku Coffee Announces Leadership Restructuring
Sep 12, 2025

Kafelaku Coffee Holding Limited has announced significant changes in its leadership structure. Mr. Liang Naiming has resigned from his roles as executive director and CEO, with Mr. Cui Zifeng taking over as CEO and Mr. Cui Zhiqiang appointed as the new authorized representative. These changes, effective from September 12, 2025, are part of the company’s strategic realignment, with the board expressing gratitude to Mr. Liang for his contributions and welcoming the new appointees to their roles.

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: Dec 09, 2025