Acme International Holdings Limited (1870) AI Stock Analysis

• Market Cap: HK$219.30M
• Dividend Yield: N/A
• Average Volume (3M): 4.12M
• Price to Earnings (P/E): 33.0
• Beta (1Y): -0.33
• Revenue Growth: 4.28%
• EPS Growth: -77.88%
• Country: HK
• Employees: 132
• Sector: Industrials
• Sector Strength: 86
• Industry: Engineering & Construction
• EPS (TTM): 0.00
• Shares Outstanding: 937,170,000
• 10 Day Avg. Volume: 6,531,750
• 30 Day Avg. Volume: 4,124,833
• PEG Ratio: -0.44
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -135.47
• 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: 61 Neutral
• Price Target: HK$0.50 ▲(108.33%Upside)

The overall stock score of 61 reflects significant financial challenges despite short-term positive technical momentum. The high leverage and need for improved cash generation are key concerns. While the stock shows some positive price trends, its high P/E ratio and lack of dividend yield are potential risks for long-term investors.

Acme International Holdings Limited Business Overview & Revenue Model

Company Description

Acme International Holdings Limited (1870) is a diversified multinational corporation headquartered in Hong Kong, operating across various sectors including manufacturing, logistics, and technology. The company specializes in producing high-quality consumer electronics, industrial components, and providing comprehensive supply chain solutions. With a strong emphasis on innovation, Acme International Holdings has established itself as a leader in delivering cutting-edge products and services to a global clientele.

How the Company Makes Money

Acme International Holdings Limited generates revenue through multiple streams. Primarily, the company earns income from the sale of its consumer electronics and industrial components, leveraging economies of scale and a robust distribution network. Additionally, it provides logistics and supply chain management services, which contribute significantly to its revenue through service fees and long-term contracts with major clients. Strategic partnerships with key technology firms enhance its product offerings and market reach, while also creating opportunities for joint ventures that further diversify revenue streams. Moreover, the company's focus on research and development allows it to introduce innovative products, which can lead to increased sales and profitability.

Acme International Holdings Limited Financial Statement Overview

Summary

The company demonstrates revenue growth but faces challenges in profitability and cash flow. Increased leverage and declining ROE pose risks. Stable equity ratio is a positive aspect, but the need for improved cash flow generation is critical.

Income Statement

The company has shown a positive trend in revenue growth, increasing from 192.4M to 200.6M over the last year. However, gross profit margin decreased from 27.4% to 24.0%, and the net profit margin fell from 10.4% to 2.2%, indicating declining profitability. EBIT and EBITDA margins also shrank, reflecting operational challenges.

Balance Sheet

The debt-to-equity ratio increased from 0.59 to 0.79, suggesting higher leverage. However, the equity ratio remains strong at 43.0%, indicating a solid capital base. Return on equity decreased significantly from 19.1% to 4.1%, showing reduced profitability for shareholders.

Cash Flow

Cash flow performance is weak, with zero operating and free cash flows reported in the latest year. The free cash flow to net income ratio is also unavailable, highlighting potential concerns in cash generation capability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	200.63M	192.40M	152.22M	163.08M	435.80M
Gross Profit	48.09M	52.79M	37.39M	40.02M	-29.18M
EBITDA	12.07M	29.47M	20.02M	24.69M	-44.31M
Net Income	4.44M	20.05M	-74.59M	-187.46M	-47.84M
Balance Sheet
Total Assets	251.17M	205.92M	160.75M	361.19M	483.97M
Cash, Cash Equivalents and Short-Term Investments	69.00M	46.45M	48.88M	96.13M	107.29M
Total Debt	84.94M	62.05M	47.98M	53.81M	6.47M
Total Liabilities	139.90M	100.15M	75.58M	206.96M	166.12M
Stockholders Equity	108.09M	104.74M	84.68M	154.24M	317.85M
Cash Flow
Free Cash Flow	-3.65M	1.66M	-26.68M	-72.14M	-112.39M
Operating Cash Flow	22.51M	2.62M	-26.24M	-72.00M	-110.16M
Investing Cash Flow	-29.74M	901.00K	-2.14M	-142.00K	20.95M
Financing Cash Flow	23.88M	11.35M	18.32M	61.22M	-8.01M

Acme International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.24
• 50DMA: Positive
• 100DMA: Positive
• 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:1870, the sentiment is Positive. The current price of 0.24 is above the 20-day moving average (MA) of 0.22, above the 50-day MA of 0.23, and below the 200-day MA of 0.97, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 55.21 is Neutral, neither overbought nor oversold. The STOCH value of 59.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1870.

Acme International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1420	80 Outperform	HK$208.47M	4.37	8.41%	―	19.15%	106.56%
1447	72 Outperform	HK$220.00M	7.93	7.49%	12.28%	19.67%	9.64%
1870	61 Neutral	HK$219.30M	32.96	4.17%	―	4.28%	-77.88%
Sector *	58 Neutral	HK$14.20B	4.67	-2.78%	5.88%	3.78%	-54.63%
1459	54 Neutral	HK$210.68M	38.73	0.31%	5.06%	-20.04%	-58.20%
1757	53 Neutral	HK$136.80M	126.67	1.19%	―	-34.92%	―
1707	51 Neutral	HK$164.64M	―	-9.34%	―	-40.18%	3.09%

Acme International Holdings Limited Corporate Events

Acme International Completes New Share Subscription

Acme International Holdings Limited has completed a subscription agreement for new shares, resulting in the issuance of 188,370,000 new shares. This move has altered the company’s shareholding structure, with Treasure Ship Holding Limited significantly increasing its stake to 23.39%, while the overall share capital has expanded to 937,170,000 shares.

Acme International Strengthens Nomination Committee with New Appointment

Acme International Holdings Limited has announced the appointment of Prof. Mo Lai Lan as a member of its Nomination Committee, effective from June 26, 2025. This appointment strengthens the committee with three independent non-executive directors and one executive director, potentially enhancing the company’s governance and decision-making processes.

Acme International Holdings Announces Board Composition

Acme International Holdings Limited has announced the composition of its board of directors and their respective roles within the company. The board comprises executive directors and independent non-executive directors, with specific members serving on the Audit, Remuneration, and Nomination Committees. This announcement provides clarity on the governance structure and may impact the company’s strategic direction and stakeholder confidence.

Acme International Holdings Establishes Nomination Committee

Acme International Holdings Limited, incorporated in the Cayman Islands, has announced the establishment of a nomination committee within its board of directors. This committee, formed by a board resolution in 2019, will consist of at least three members, including a minimum of one member of a different gender, with the majority being independent non-executive directors. The creation of this committee is expected to enhance the governance structure of the company by ensuring diverse and independent oversight in the nomination process of board members.

Acme International Secures Shareholder Approval for Subscription Agreement

Acme International Holdings Limited announced the successful approval of a subscription agreement at its Extraordinary General Meeting held on June 25, 2025. The agreement involves the issuance of 188,370,000 Subscription Shares to Treasure Ship at a price of HK$0.172 per share. This move is expected to enhance the company’s capital structure and potentially improve its market positioning, with the resolution receiving unanimous support from eligible shareholders.

Acme International Holdings Announces Unanimous Approval of AGM Resolutions

Acme International Holdings Limited, incorporated in the Cayman Islands, announced the results of its Annual General Meeting held on June 17, 2025. All proposed resolutions, including the adoption of financial statements, re-election of directors, and authorization of share-related mandates, were unanimously approved by shareholders. This outcome reflects strong shareholder support and positions the company to continue its strategic initiatives without disruption.

Acme International Holdings Announces Extraordinary General Meeting for Share Subscription Approval

Acme International Holdings Limited has announced an extraordinary general meeting to be held on June 25, 2025, in Hong Kong. The meeting will address the approval of a subscription agreement with Treasure Ship Holding Limited, where Treasure Ship will subscribe to 188,370,000 shares at HK$0.172 per share. The board of directors is seeking a specific mandate to issue these shares, which could impact the company’s capital structure and shareholder value.

Acme International Holdings Limited Announces 2025 AGM with Key Resolutions

Acme International Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 17, 2025, in Hong Kong. The AGM will address ordinary business matters such as adopting financial statements, re-electing directors, and re-appointing auditors. Additionally, special business will include resolutions to authorize the board to issue additional shares, subject to certain conditions. This meeting is significant for stakeholders as it will shape the company’s governance and financial strategies moving forward.

Acme International Revises Share Subscription Agreement with Treasure Ship

Acme International Holdings Limited has announced a revision to its subscription agreement with Treasure Ship, reducing the number of shares from 220,000,000 to 188,370,000 and increasing the subscription price from HK$0.138 to HK$0.172 per share. This adjustment, part of a loan capitalization strategy, aims to settle a significant portion of the company’s outstanding loan with Treasure Ship, thus impacting its financial obligations and share capital structure.