Infinities Technology International (Cayman) Holding Limited (1961) AI Stock Analysis

• Market Cap: HK$212.95M
• Dividend Yield: N/A
• Average Volume (3M): 167.27K
• Price to Earnings (P/E): ―
• Beta (1Y): <0.01
• Revenue Growth: -43.62%
• EPS Growth: 22.41%
• Country: HK
• Employees: 115
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.05
• Shares Outstanding: 734,301,150
• 10 Day Avg. Volume: 140,000
• 30 Day Avg. Volume: 167,266
• PEG Ratio: 0.33
• Price to Book (P/B): 2.09
• Price to Sales (P/S): 1.28
• P/FCF Ratio: -5.98
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.50 ▲(78.57% Upside)

The overall stock score is primarily impacted by the company's financial challenges, including declining revenues and persistent losses. Technical analysis shows a lack of strong momentum, and the negative P/E ratio highlights valuation concerns. These factors combine to result in a low overall score.

Positive Factors

Strategic Partnerships

Strategic partnerships can lead to enhanced product offerings and market expansion, providing a competitive edge and potential for revenue growth.

Recurring Revenue Stream

Recurring revenue from subscriptions offers stability and predictability in cash flows, supporting long-term financial health and investment in growth.

Manageable Leverage

Low debt levels provide financial flexibility, reducing risk and enabling the company to invest in growth opportunities without significant financial strain.

Negative Factors

Declining Revenue

A declining revenue trend indicates challenges in market demand or competitive positioning, which could hinder long-term growth and profitability.

Negative Cash Flows

Negative cash flows from operations suggest inefficiencies and potential liquidity issues, which could impact the company's ability to sustain operations and invest in growth.

Persistent Losses

Persistent losses reflect challenges in achieving profitability, which could limit the company's ability to fund growth initiatives and improve shareholder value.

Infinities Technology International (Cayman) Holding Limited Business Overview & Revenue Model

Company Description

Infinities Technology International (Cayman) Holding Limited, an investment holding company, operates as a digital entertainment content provider in the People's Republic of China. The company develops and operates mobile games, primarily casual mobile games, as well as multi-player and boutique mobile games. It also distributes digital media content, such as e-magazines, comics, and music. The company was formerly known as Jiu Zun Digital Interactive Entertainment Group Holdings Limited and changed its name to Infinities Technology International (Cayman) Holding Limited in July 2022. Infinities Technology International (Cayman) Holding Limited was founded in 2011 and is headquartered in Guangzhou, the People's Republic of China.

How the Company Makes Money

The company generates revenue primarily through its subsidiaries that specialize in software development, telecommunications services, and digital transformation solutions. Key revenue streams include software licensing fees, service contracts for telecommunications infrastructure, and consulting services in technology implementation. Infinities Technology International also engages in strategic partnerships with other tech firms to co-develop products, which enhances its market reach and generates additional income through revenue-sharing agreements. Furthermore, the company benefits from recurring revenues through maintenance and support contracts, ensuring a steady cash flow.

Infinities Technology International (Cayman) Holding Limited Financial Statement Overview

Summary

Infinities Technology International is facing financial challenges with declining revenues, persistent losses, and negative cash flows. While leverage is manageable, the company needs to focus on improving profitability and cash flow generation to enhance its financial health.

Income Statement

The company has experienced a declining revenue trend, with a negative revenue growth rate from 2023 to 2024. Gross profit margin has decreased, and the company is operating at a net loss, evidenced by negative EBIT and EBITDA margins. The persistent losses indicate challenges in achieving profitability.

Balance Sheet

The debt-to-equity ratio is relatively low, suggesting manageable leverage. However, the return on equity is negative due to net losses, indicating inefficiencies in generating returns from equity. The equity ratio is stable, reflecting a decent proportion of equity financing.

Cash Flow

The company is experiencing negative operating and free cash flows, indicating cash outflows from core operations. The free cash flow to net income ratio is negative, highlighting cash flow challenges. The company may need to address operational inefficiencies to improve cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	143.58M	258.48M	263.88M	103.91M	114.91M	170.18M
Gross Profit	14.52M	32.68M	38.20M	16.05M	14.39M	55.64M
EBITDA	-61.32M	-50.83M	-49.76M	-71.76M	-80.31M	6.32M
Net Income	-60.07M	-51.02M	-53.32M	-84.44M	-85.06M	-1.32M
Balance Sheet
Total Assets	320.49M	550.62M	228.16M	115.68M	173.92M	255.17M
Cash, Cash Equivalents and Short-Term Investments	1.47M	3.86M	37.21M	20.71M	25.27M	60.83M
Total Debt	23.64M	10.92M	8.45M	17.24M	1.20M	0.00
Total Liabilities	178.17M	371.37M	111.69M	61.33M	35.41M	28.91M
Stockholders Equity	123.34M	157.94M	111.16M	48.58M	129.21M	215.19M
Cash Flow
Free Cash Flow	-10.06M	-55.20M	-83.01M	-20.36M	-26.21M	-58.59M
Operating Cash Flow	-10.05M	-55.20M	-75.81M	-20.09M	-25.68M	-57.93M
Investing Cash Flow	191.00K	4.08M	-7.19M	11.13M	-7.33M	-40.48M
Financing Cash Flow	0.00	15.24M	96.86M	15.57M	-364.00K	100.00M

Infinities Technology International (Cayman) Holding Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.28
• 50DMA: Positive
• 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:1961, the sentiment is Negative. The current price of 0.28 is below the 20-day moving average (MA) of 0.28, above the 50-day MA of 0.27, and below the 200-day MA of 0.35, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.45 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1961.

Infinities Technology International (Cayman) Holding Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
6860	60 Neutral	HK$366.33M	12.01	3.47%	―	-25.66%	-23.36%
1961	46 Neutral	HK$212.95M	-3.28	-34.36%	―	-43.62%	22.41%
1022	46 Neutral	HK$1.05B	68.18	2.72%	―	183.41%	39.68%
1909	41 Neutral	HK$374.40M	-8.90	-36.46%	―	12.84%	-113.72%
6933	29 Underperform	HK$141.24M	-4.86	-28.25%	―	-3.02%	72.76%

Infinities Technology International (Cayman) Holding Limited Corporate Events

Infinities Technology Faces Revenue Decline Amid Strategic Shift Towards AI

Infinities Technology International reported a significant decline in revenue and gross profit for the first half of 2025, with an 85.8% drop in revenue compared to the same period in 2024. This decline is attributed to reduced revenue from its mobile games and digital media businesses, as well as the early-stage development of its AI application services, which have yet to generate substantial profits. Despite these challenges, the company remains focused on its strategic goal of expanding its digital entertainment platform globally, leveraging AI as a core component. The industry outlook is optimistic, with the Chinese government’s recent AI initiative expected to drive significant development and investment opportunities in the sector.

The most recent analyst rating on (HK:1961) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Infinities Technology International (Cayman) Holding Limited stock, see the HK:1961 Stock Forecast page.

Infinities Technology International Issues Profit Warning Amid Revenue Decline

Infinities Technology International has issued a profit warning, indicating an expected loss between RMB33 million and RMB38 million for the first half of 2025, compared to a loss of approximately RMB19.5 million in the same period of 2024. The decline in financial performance is attributed to the end of the operating lifecycle of existing games without new launches, leading to decreased revenue in the mobile games segment, and increased impairment provisions due to unfavorable macroeconomic conditions.

The most recent analyst rating on (HK:1961) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Infinities Technology International (Cayman) Holding Limited stock, see the HK:1961 Stock Forecast page.

Infinities Technology Board Meeting Scheduled for Interim Results Review

Infinities Technology International (Cayman) Holding Limited has announced that its board of directors will meet on August 29, 2025, to review and approve the company’s unaudited interim results for the first half of 2025. The meeting will also consider the declaration and payment of an interim dividend and address other business matters, signaling potential financial updates and strategic decisions that may impact stakeholders.