China ITS Holdings Co., Ltd. (1900) AI Stock Analysis

• Market Cap: HK$428.33M
• Dividend Yield: 9.08%
• Average Volume (3M): 427.39K
• Price to Earnings (P/E): 0.9
• Beta (1Y): 0.44
• Revenue Growth: 27.05%
• EPS Growth: 842.50%
• Country: HK
• Employees: 350
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 0.23
• Shares Outstanding: 1,720,185,900
• 10 Day Avg. Volume: 359,702
• 30 Day Avg. Volume: 427,395
• PEG Ratio: -0.21
• Price to Book (P/B): 0.21
• Price to Sales (P/S): 0.48
• P/FCF Ratio: -12.32
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: HK$0.50 ▲(47.06% Upside)

The overall stock score of 67 reflects a mixed outlook. The company's strong valuation, with a low P/E ratio and high dividend yield, is a significant positive factor. However, financial performance is hindered by liquidity concerns and declining revenue growth. Technical analysis indicates bearish momentum, which could pose short-term risks. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage enhances financial stability, providing the company with the flexibility to invest in growth opportunities and weather economic downturns.

Improved Core Profitability

Improved core profitability indicates effective cost management and operational efficiency, which can support sustainable growth and competitive positioning in the ITS sector.

Revenue Growth

Consistent revenue growth demonstrates the company's ability to capture market share and expand its customer base, which is crucial for long-term success in the ITS industry.

Negative Factors

Cash Flow Challenges

Zero operating cash flow indicates potential liquidity issues, which can hinder the company's ability to fund operations and invest in future growth, posing a risk to financial stability.

Declining Net Profit Margin

A declining net profit margin suggests challenges in maintaining profitability, which could impact the company's ability to generate shareholder value and reinvest in the business.

Revenue Decline

A decline in revenue growth can indicate market challenges or competitive pressures, potentially affecting the company's ability to sustain its market position and financial performance.

China ITS Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

China ITS Holdings Co., Ltd. (1900) is a leading provider of intelligent transportation systems (ITS) and solutions in China. The company specializes in the development and integration of advanced technologies to enhance traffic management, vehicle monitoring, and transportation safety. Its core products and services include traffic signal control systems, real-time traffic information services, and smart city solutions, catering to both governmental and private sectors.

How the Company Makes Money

China ITS Holdings generates revenue through multiple streams, primarily by offering ITS solutions and services to government agencies and private enterprises. The company earns money through the sale of its hardware and software products related to traffic management and smart city initiatives. Additionally, it provides installation, maintenance, and consulting services, which further contribute to its revenue. Strategic partnerships with local and regional governments, as well as collaborations with other technology firms, enhance its market reach and effectiveness, ultimately driving its earnings growth.

China ITS Holdings Co., Ltd. Financial Statement Overview

Summary

China ITS Holdings Co., Ltd. presents a mixed financial picture. The income statement reflects improved core profitability but faces challenges in revenue growth and net margins. The balance sheet is strong, with low leverage and a high equity ratio, indicating financial stability. However, the cash flow situation is concerning, with zero operating cash flow in 2024, highlighting potential liquidity risks. The company should focus on enhancing revenue growth and cash flow management to improve its overall financial health.

Income Statement

The company shows a mixed performance in its income statement. The gross profit margin improved to 37.23% in 2024 from 38.68% in 2023, indicating strong operational efficiency. However, the net profit margin significantly decreased to 2.69% in 2024 from 16.01% in 2023. Revenue growth has been negative, with a decline of 4.39% from 2023 to 2024. Despite these issues, the EBIT margin increased to 27.19% in 2024 from 18.03% in 2023, showing improved core business profitability.

Balance Sheet

The balance sheet shows financial stability with a debt-to-equity ratio of 0.13 in 2024, suggesting low leverage. The return on equity (ROE) decreased to 1.17% in 2024 from 7.12% in 2023, indicating less efficient use of equity to generate profits. The equity ratio remains strong at 66.27% for 2024, highlighting a solid equity base relative to total assets.

Cash Flow

The cash flow statement indicates challenges, with operating cash flow at zero in 2024. The absence of positive free cash flow growth and operating cash flow to net income ratio suggests potential liquidity issues. The company needs to improve its cash flow management to support ongoing operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.01B	819.79M	857.39M	714.42M	740.29M	930.54M
Gross Profit	433.14M	305.27M	331.69M	259.26M	267.32M	191.51M
EBITDA	293.25M	206.21M	269.15M	164.98M	216.72M	63.83M
Net Income	422.07M	22.06M	137.20M	48.49M	74.52M	-177.10M
Balance Sheet
Total Assets	3.75B	2.84B	3.10B	2.84B	3.06B	3.48B
Cash, Cash Equivalents and Short-Term Investments	621.40M	331.52M	484.56M	305.71M	317.88M	240.62M
Total Debt	260.18M	246.11M	275.02M	258.04M	344.16M	675.27M
Total Liabilities	1.02B	837.17M	1.03B	945.66M	1.20B	1.65B
Stockholders Equity	2.25B	1.88B	1.93B	1.78B	1.77B	1.73B
Cash Flow
Free Cash Flow	15.05M	-31.77M	221.29M	23.86M	327.66M	205.07M
Operating Cash Flow	12.98M	-23.94M	228.72M	63.74M	388.45M	479.22M
Investing Cash Flow	-41.66M	-48.83M	-30.11M	-64.08M	-41.19M	-256.31M
Financing Cash Flow	-93.78M	-83.13M	-12.55M	-19.84M	-281.75M	-251.55M

China ITS Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1900, the sentiment is Negative. The current price of 0.34 is above the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.31, and above the 200-day MA of 0.23, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 27.20 is Positive, neither overbought nor oversold. The STOCH value of 27.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1900.

China ITS Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1522	71 Outperform	HK$702.54M	3.78	6.75%	7.16%	7.39%	2.23%
1900	67 Neutral	HK$428.33M	0.94	20.36%	9.08%	27.05%	842.50%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
1985	55 Neutral	HK$360.00M	-174.63	-0.83%	8.33%	-1.86%	-105.19%
0465	50 Neutral	HK$214.76M	-2.68	-29.34%	―	-18.19%	4.52%
8606	48 Neutral	HK$89.64M	-61.82	-1.95%	―	5.01%	82.54%
1949	46 Neutral	HK$159.36M	-1.41	-83.97%	―	-78.41%	-3530.77%

China ITS Holdings Co., Ltd. Corporate Events

China ITS Delays Circular Dispatch for Wealth Management Subscription

China ITS Holdings Co., Ltd. announced a delay in the dispatch of a circular related to the subscription of wealth management products, initially expected by December 3, 2025, now postponed to December 26, 2025. This delay indicates the company’s need for additional time to finalize necessary information, potentially impacting shareholder communications and compliance with listing rules.

China ITS Holdings Terminates $5 Million Fund Subscription

China ITS Holdings Co., Ltd. announced the termination of a previously planned subscription of Class A Shares in a fund, following a decision by the Investment Manager to suspend the fund’s investment in a target company. The termination involves the return of the full subscription amount of US$5 million to the company, with no shares held in the fund. The board stated that this decision will not adversely affect the company’s business, operational, or financial conditions.

China ITS Holdings Updates Company Website

China ITS Holdings Co., Ltd. has announced a change in its company website from ‘www.its.cn’ to ‘www.01900.hk’. This update is effective immediately and will host future announcements and documents related to the company’s operations. The change signifies an effort to streamline communication and accessibility for stakeholders, potentially enhancing the company’s visibility and engagement within the industry.

China ITS Engages in Significant Wealth Management Transactions

China ITS Holdings Co., Ltd. has announced that its subsidiary, FOSS, engaged in multiple transactions involving wealth management products from various financial institutions between January and September 2025. These transactions included 16 discloseable transactions and one major transaction, as defined by the Hong Kong Listing Rules, indicating significant financial activity and potential implications for the company’s financial strategy and stakeholder interests. The company plans to hold an Extraordinary General Meeting to seek shareholder approval for the major transaction.

China ITS Holdings Invests in Brain-Computer Interface Development

China ITS Holdings Co., Ltd. has announced a significant financial move by subscribing to Class A Shares of the Hua Sheng Heng Xin Investment Fund Limited with a capital commitment of US$5 million. This investment aims to achieve capital appreciation by investing in a private company focused on developing brain-computer interface products. The transaction is considered discloseable under Hong Kong’s Listing Rules, indicating its importance to the company’s financial strategy and potential impact on its market positioning.