JiaChen Holding Group Limited (1937) AI Stock Analysis

• Market Cap: HK$202.00M
• Dividend Yield: N/A
• Average Volume (3M): 614.82K
• Price to Earnings (P/E): 100.0
• Beta (1Y): 0.31
• Revenue Growth: -10.27%
• EPS Growth: -84.38%
• Country: HK
• Employees: 212
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 1,000,000,000
• 10 Day Avg. Volume: 1,080,460
• 30 Day Avg. Volume: 614,820
• PEG Ratio: 0.15
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 22.53
• 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: 52 Neutral
• Price Target: HK$0.20 ▲(20.00% Upside)

JiaChen Holding Group Limited's overall stock score is primarily influenced by its strong financial performance, characterized by revenue growth and a solid balance sheet. However, the technical analysis indicates a bearish trend with oversold conditions, and the high P/E ratio suggests overvaluation. These factors collectively result in a moderate overall score, with financial stability being a key strength but offset by valuation concerns and weak market momentum.

Positive Factors

Conservative Capital Structure

Low leverage and a high equity ratio provide durable financial resilience for a property developer. This conservatism reduces refinancing and interest-rate risks, enables funding for multi-stage projects, and supports opportunistic land acquisitions over the next several quarters.

Improved Cash Generation

Positive free cash flow and strong operating cash conversion signal sustainable internal funding for working capital and project capex. This reduces dependence on external financing, improving execution flexibility and lowering liquidity risk for development cycles over the medium term.

Revenue Growth and Margin Expansion

Concurrent revenue growth and higher gross margins indicate better project mix or cost control, improving core profitability. For a diversified property developer, sustained top-line expansion plus margin gains supports reinvestment capacity and enhances long-term earnings stability.

Negative Factors

Low Net Profit Margin

A sub-5% net margin limits the portion of revenue that converts to shareholder returns and retained earnings. In construction/property development, low net margins reduce buffers against cost inflation and increase sensitivity to project delays, pressuring long-term profitability.

Weak Return on Equity

ROE under 4% implies limited effectiveness in converting equity into profits, reflecting capital intensity or low asset turns. Persistently weak ROE can constrain shareholder value creation and make it harder to justify new equity funding for growth initiatives.

Earnings Volatility

A steep EPS decline signals significant earnings volatility or one-off impacts, undermining predictability of cash flows. For a developer reliant on milestone sales, such volatility increases execution risk and complicates multi-period planning and investor confidence.

JiaChen Holding Group Limited Business Overview & Revenue Model

Company Description

JiaChen Holding Group Limited, an investment holding company, manufactures and sells access flooring products and provides related installation services in the People's Republic of China, Hong Kong, and internationally. It operates through Steel Access Flooring Plates and Calcium-Sulfate Access Flooring Plates segments. The company offers steel and calcium sulfate access flooring plates for use in office buildings, industrial office buildings, data centers, classrooms, libraries, etc. It also exports its products to Thailand, Malaysia, Taiwan, and Singapore. JiaChen Holding Group Limited was founded in 1991 and is headquartered in Changzhou, the People's Republic of China.

How the Company Makes Money

JiaChen Holding Group Limited generates revenue primarily through the development and sale of real estate properties, leasing of commercial and residential spaces, and property management services. The company's revenue model is heavily reliant on successful property development projects, which typically involve acquiring land, constructing buildings, and selling or leasing the finished properties. Key revenue streams include sales from residential developments, rental income from commercial properties, and management fees from properties under its management. Additionally, strategic partnerships with construction firms and real estate agencies enhance its operational capabilities and market reach, contributing to its overall earnings.

JiaChen Holding Group Limited Financial Statement Overview

Summary

JiaChen Holding Group Limited demonstrates solid revenue growth and improved gross profit margins, reflecting operational efficiency. The balance sheet is strong with low leverage and a high equity ratio, ensuring financial stability. Cash flow has improved, but there is still room for enhancing cash flow relative to net income. Overall, the company is on a positive trajectory with opportunities to enhance profitability and cash flow management.

Income Statement

JiaChen Holding Group Limited shows a strong revenue growth rate of 9.57% from 2023 to 2024, indicating positive business expansion. The gross profit margin improved to 24.43% in 2024, reflecting efficient cost management. However, the net profit margin remains moderate at 4.61%, suggesting room for improvement in profitability.

Balance Sheet

The company's debt-to-equity ratio is 0.28, indicating a conservative leverage position, which is favorable for financial stability. The return on equity is 3.67%, which is relatively low, suggesting limited profitability from shareholders' equity. The equity ratio of 65.69% highlights a strong equity base, enhancing financial resilience.

Cash Flow

The free cash flow has turned positive in 2024, showing a significant improvement from the previous year's negative free cash flow. The operating cash flow to net income ratio is 2.02, indicating efficient cash generation from operations. However, the free cash flow to net income ratio is 0.69, suggesting potential constraints in cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	230.44M	257.79M	235.25M	227.27M	274.92M	182.18M
Gross Profit	52.92M	62.99M	44.74M	43.06M	62.46M	37.76M
EBITDA	8.08M	20.69M	15.22M	17.86M	36.72M	10.75M
Net Income	1.84M	11.88M	5.89M	10.68M	24.54M	744.00K
Balance Sheet
Total Assets	459.23M	492.33M	483.13M	447.82M	428.06M	395.80M
Cash, Cash Equivalents and Short-Term Investments	80.57M	56.31M	41.88M	47.24M	55.27M	52.60M
Total Debt	78.99M	90.99M	91.08M	80.13M	81.28M	72.75M
Total Liabilities	135.31M	167.34M	170.09M	140.71M	131.58M	124.12M
Stockholders Equity	322.43M	323.51M	311.63M	305.74M	295.06M	270.51M
Cash Flow
Free Cash Flow	17.61M	8.17M	-13.39M	9.58M	-22.38M	18.76M
Operating Cash Flow	38.16M	24.05M	3.02M	28.22M	-15.03M	39.81M
Investing Cash Flow	-16.36M	-16.20M	-16.06M	-31.67M	11.82M	-61.83M
Financing Cash Flow	-12.55M	-2.92M	7.68M	-4.57M	5.89M	58.20M

JiaChen Holding Group Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.17
• 50DMA: Positive
• 100DMA: Negative
• 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:1937, the sentiment is Neutral. The current price of 0.17 is below the 20-day moving average (MA) of 0.20, below the 50-day MA of 0.19, and below the 200-day MA of 0.25, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 57.43 is Neutral, neither overbought nor oversold. The STOCH value of 90.91 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1937.

JiaChen Holding Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8646	62 Neutral	HK$139.67M	2.13	11.61%	―	5.34%	43.91%
1897	53 Neutral	HK$198.91M	61.25	0.62%	2.34%	-48.30%	-75.98%
1937	52 Neutral	HK$202.00M	100.00	0.58%	―	-10.27%	-84.38%
3313	45 Neutral	HK$206.21M	-0.48	-46.79%	―	0.26%	69.65%
1796	44 Neutral	HK$1.58B	-58.11	-29.77%	―	-38.13%	-74.92%
1592	38 Underperform	HK$49.22M	-0.43	―	―	1.43%	-83.97%