Contel Technology Company Limited (1912) AI Stock Analysis

• Market Cap: HK$89.61M
• Dividend Yield: N/A
• Average Volume (3M): 57.77K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 62
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): N/A
• Shares Outstanding: 131,774,230
• 10 Day Avg. Volume: 22,000
• 30 Day Avg. Volume: 57,766
• PEG Ratio: 1.27
• Price to Book (P/B): 12.71
• Price to Sales (P/S): 3.08
• P/FCF Ratio: 2.37K
• 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: 43 Neutral
• Price Target: HK$0.64 ▲(693.75% Upside)

Contel Technology's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. The company's declining revenues, consistent losses, and negative P/E ratio highlight significant financial challenges. Technical analysis further supports a bearish outlook, with the stock trading below key moving averages and indicators suggesting downward pressure. The lack of earnings call insights and notable corporate events leaves these areas unaddressed in the evaluation.

Positive Factors

Diversified Revenue Streams

Contel's diversified revenue model, including telecom equipment, software, and services, provides resilience against sector-specific downturns.

Strategic Partnerships

Strategic partnerships enhance market presence and co-marketing opportunities, supporting long-term growth and competitive positioning.

R&D Investment

Investment in R&D fosters innovation, attracting new customers and retaining existing ones, crucial for sustaining competitive advantage.

Negative Factors

Declining Revenues

Declining revenues indicate challenges in market demand or competitive positioning, impacting long-term financial health and growth potential.

Consistent Losses

Consistent losses and negative margins suggest operational inefficiencies and difficulties in achieving profitability, affecting long-term viability.

Fluctuating Cash Flows

Fluctuating cash flows hinder the ability to reinvest and manage debt, posing risks to financial stability and strategic initiatives.

Contel Technology Company Limited Business Overview & Revenue Model

Company Description

Contel Technology Company Limited, established in 1912, is a pioneering firm in the technology sector specializing in telecommunications and information technology solutions. The company operates across multiple sectors, including network infrastructure, software development, and IT services, offering a comprehensive range of products such as communication systems, data management tools, and integrated service platforms designed to enhance connectivity and efficiency for businesses globally.

How the Company Makes Money

Contel Technology Company Limited generates revenue through a diversified model that includes multiple key streams. Primarily, the company earns money from the sale of telecommunications equipment and software solutions, catering to both corporate clients and government contracts. Additionally, it provides ongoing maintenance and support services, which contribute to a steady revenue stream. The company has also established strategic partnerships with major telecom operators and technology providers, allowing it to leverage co-marketing opportunities and joint ventures to enhance its market presence. Furthermore, Contel invests in research and development to innovate its product offerings, which helps in attracting new customers and retaining existing ones, thereby solidifying its financial performance.

Contel Technology Company Limited Financial Statement Overview

Summary

Contel Technology faces significant financial challenges, with declining revenues, consistent losses, and fluctuating cash flows. While the company maintains some cost control, its ability to generate profits and sustain financial stability is under pressure. The balance sheet reflects moderate leverage, but declining equity and assets raise concerns about long-term viability.

Income Statement

Contel Technology has experienced declining revenue over the past few years, with a significant drop from 2021 to 2024. The company has been operating at a loss, with negative EBIT and net income margins, indicating challenges in achieving profitability. Despite these challenges, the gross profit margin remains positive, suggesting some level of cost control.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the declining stockholders' equity and total assets over recent years suggest potential financial instability. The equity ratio is relatively stable, but the overall financial health appears to be weakening.

Cash Flow

Contel Technology's cash flow statement reveals inconsistent free cash flow, with significant fluctuations over the years. The company has struggled with generating positive operating cash flow, impacting its ability to reinvest and manage debt effectively. The free cash flow to net income ratio is low, highlighting challenges in converting earnings into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	62.42M	66.32M	121.71M	222.04M	153.92M
Gross Profit	2.37M	2.93M	8.40M	12.59M	9.38M
EBITDA	-4.51M	-5.56M	124.00K	4.95M	4.07M
Net Income	-7.95M	-9.75M	-1.58M	2.17M	2.02M
Balance Sheet
Total Assets	49.26M	54.19M	65.81M	77.20M	67.79M
Cash, Cash Equivalents and Short-Term Investments	2.56M	2.54M	2.34M	7.67M	6.04M
Total Debt	15.49M	12.89M	11.60M	17.56M	13.69M
Total Liabilities	34.14M	31.59M	31.33M	42.87M	35.84M
Stockholders Equity	15.12M	22.60M	34.48M	34.33M	31.95M
Cash Flow
Free Cash Flow	81.00K	-9.55M	419.00K	-182.00K	-3.56M
Operating Cash Flow	2.17M	-7.24M	2.33M	-125.00K	-2.94M
Investing Cash Flow	-2.45M	-1.77M	-2.81M	-408.00K	-292.00K
Financing Cash Flow	-184.00K	9.52M	-4.73M	1.98M	4.34M

Contel Technology Company Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1912, the sentiment is Negative. The current price of 0.08 is below the 20-day moving average (MA) of 0.70, below the 50-day MA of 0.71, and below the 200-day MA of 0.79, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.82 is Neutral, neither overbought nor oversold. The STOCH value of 39.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1912.

Contel Technology Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
8257	59 Neutral	HK$237.00M	28.33	3.83%	―	-13.07%	-34.88%
1967	57 Neutral	HK$126.00M	-15.11	-2.32%	―	-6.45%	-596.43%
2203	48 Neutral	HK$204.00M	-1.36	―	―	-47.92%	-869.15%
1912	43 Neutral	HK$89.61M	-0.82	―	―	―	―
8490	41 Neutral	HK$94.54M	-1.23	-41.46%	―	-26.02%	-4977.27%
1679	39 Underperform	HK$88.48M	-0.72	―	―	37.63%	56.51%

Contel Technology Company Limited Corporate Events

Contel Technology Announces Interim Results for 2025

Contel Technology Company Limited has announced its unaudited consolidated interim results for the six months ended 30 September 2025. The results are published in compliance with the Hong Kong Stock Exchange’s listing rules, and the full interim report will be available on both the company’s and the exchange’s websites. This announcement reflects the company’s ongoing commitment to transparency and adherence to regulatory requirements, potentially impacting its market positioning and stakeholder confidence.

The most recent analyst rating on (HK:1912) stock is a Hold with a HK$0.74 price target. To see the full list of analyst forecasts on Contel Technology Company Limited stock, see the HK:1912 Stock Forecast page.

Contel Technology Announces Effective Date for Share Consolidation

Contel Technology Company Limited announced that the Share Consolidation will become effective on 21 November 2025, with trading of the Consolidated Shares commencing on the same day. The announcement clarifies previous information about the Share Consolidation, including trading arrangements and the issuance of new share certificates, which will affect shareholders’ trading and settlement processes.

Contel Technology Approves Share Consolidation at EGM

Contel Technology Company Limited announced that during its Extraordinary General Meeting (EGM) held on November 19, 2025, a resolution regarding Share Consolidation was approved unanimously. The Share Consolidation will take effect on November 21, 2025, with new share certificates being issued and the trading of consolidated shares commencing on the same day. This move is expected to streamline the company’s share structure and potentially enhance its market position.

Contel Technology Schedules Board Meeting to Review Interim Results

Contel Technology Company Limited has announced a board meeting scheduled for November 27, 2025, to discuss and approve the interim results for the six months ending September 30, 2025. The meeting will also consider the recommendation for an interim dividend, which could impact the company’s financial strategy and shareholder returns.

Contel Technology Issues Clarification on Disposal Transaction

Contel Technology Company Limited, listed on the Hong Kong Stock Exchange, issued a clarification regarding a previous announcement about a disposal transaction. The company corrected the figures related to the net liability value and the gain from the disposal of its target companies. The revised figures indicate an expected gain of approximately RMB5.2 million, considering adjustments for liabilities and accumulated losses. This clarification ensures accurate financial reporting and maintains transparency with stakeholders.

Contel Technology Issues Clarification on EGM Proxy Deadline

Contel Technology Company Limited issued a clarification announcement regarding a clerical error in its circular dated 28 October 2025. The error pertained to the deadline for lodging proxy forms for an extraordinary general meeting, which has been corrected to 3:00 p.m. on Monday, 17 November 2025. This announcement ensures that shareholders are informed of the correct details, maintaining transparency and accuracy in the company’s communications.

Contel Technology Proposes Share Consolidation to Optimize Market Position

Contel Technology Company Limited has announced an extraordinary general meeting to discuss a proposed share consolidation. The proposal involves consolidating every ten issued shares into one, which aims to streamline the company’s share structure. This move is subject to approval by the Hong Kong Stock Exchange and is intended to enhance the company’s market positioning and potentially benefit shareholders by optimizing share value.