SIM Technology Group (2000) AI Stock Analysis

• Market Cap: $610.94M
• Dividend Yield: N/A
• Average Volume (3M): 123.27K
• Price to Earnings (P/E): 2.6
• Beta (1Y): 0.31
• Revenue Growth: -21.06%
• EPS Growth: -127.50%
• Country: HK
• Employees: 400
• Sector: Technology
• Sector Strength: 86
• Industry: Communication Equipment
• EPS (TTM): >-0.01
• Shares Outstanding: 2,143,351,300
• 10 Day Avg. Volume: 143,300
• 30 Day Avg. Volume: 123,266
• PEG Ratio: 0.05
• Price to Book (P/B): 0.45
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -12.15
• 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: $0.47
• Price Target Upside: 62.39% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: HK$0.50 ▲(72.41%Upside)

The overall score is driven by weak financial performance and valuation concerns. The company's cash flow issues and declining revenue are significant risks. Technical indicators also suggest a bearish trend, further impacting the stock's attractiveness.

SIM Technology Group Business Overview & Revenue Model

Company Description

SIM Technology Group (2000) is a leading provider of mobile communication and Internet of Things (IoT) solutions. The company operates in various sectors, including mobile communication devices, wireless communication modules, and IoT applications. Its core products and services include mobile handsets, wireless communication modules, and solutions for smart homes and industrial IoT applications.

How the Company Makes Money

SIM Technology Group generates revenue through the design, development, and sale of mobile communication devices and IoT solutions. Key revenue streams include the sale of mobile handsets and wireless communication modules, which are supplied to telecommunications companies and other enterprises. Additionally, the company earns from its IoT solutions, which are tailored for smart home systems and industrial applications. Significant partnerships with telecom operators and technology firms also contribute to its earnings by expanding its market reach and integrating its technology with other services.

SIM Technology Group Financial Statement Overview

Summary

The company faces significant financial challenges, with declining revenue and profitability. The balance sheet is relatively strong due to a low debt-to-equity ratio, but negative operating and free cash flows highlight operational inefficiencies.

Income Statement

The company's income statement reveals declining revenue and profitability. A significant drop in total revenue from 2020 to 2024 is evident, with a negative net income in recent years. Gross profit margins are volatile, and the company struggles with negative EBIT and EBITDA margins, indicating operational inefficiencies.

Balance Sheet

The balance sheet shows a strong equity base, but the decline in stockholders' equity over the years is a concern. The debt-to-equity ratio remains low, suggesting manageable leverage. The equity ratio indicates a healthy proportion of equity financing relative to assets.

Cash Flow

Cash flow analysis highlights negative operating cash flow and free cash flow in recent years, indicating cash generation issues. The lack of free cash flow growth and negative operating cash flow to net income ratio suggest financial challenges in operational cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	429.37M	543.94M	638.02M	724.71M	938.33M
Gross Profit	92.94M	120.33M	-12.09M	21.50M	117.96M
EBITDA	-80.24M	451.38M	-422.39M	-158.43M	80.02M
Net Income	-94.78M	344.29M	-507.82M	-235.69M	-42.99M
Balance Sheet
Total Assets	1.92B	2.15B	2.05B	2.58B	2.80B
Cash, Cash Equivalents and Short-Term Investments	941.42M	768.37M	361.54M	679.64M	963.34M
Total Debt	31.59M	37.70M	253.36M	56.42M	69.84M
Total Liabilities	491.26M	530.35M	745.52M	689.00M	653.77M
Stockholders Equity	1.44B	1.62B	1.29B	1.88B	2.13B
Cash Flow
Free Cash Flow	-32.77M	-18.36M	-315.61M	-184.77M	93.62M
Operating Cash Flow	-28.48M	-10.63M	-207.72M	-81.38M	185.25M
Investing Cash Flow	394.08M	135.60M	-65.10M	-197.00M	-43.08M
Financing Cash Flow	-92.40M	-234.12M	165.33M	-58.15M	-76.42M

SIM Technology Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.29
• 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:2000, the sentiment is Negative. The current price of 0.29 is below the 20-day moving average (MA) of 0.30, below the 50-day MA of 0.31, and below the 200-day MA of 0.34, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.11 is Neutral, neither overbought nor oversold. The STOCH value of 29.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2000.

SIM Technology Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1085	72 Outperform	HK$609.94M	12.27	2.42%	―	9.68%	-46.76%
1617	59 Neutral	HK$206.53M	4.77	5.02%	―	1.01%	660.00%
Sector *	57 Neutral	HK$14.57B	5.76	-5.77%	4.75%	9.65%	-43.80%
1202	55 Neutral	HK$408.00M	329.03	0.15%	―	-26.82%	-56.94%
1473	48 Neutral	HK$230.60M	7.62	13.21%	―	61.65%	98.79%
2000	46 Neutral	$610.94M	2.57	-6.17%	―	-21.06%	-127.50%

SIM Technology Group Corporate Events

SIM Technology Group Reports Mixed Revenue Trends in 2025

SIM Technology Group Limited reported a significant decrease in its core business revenue for June 2025 compared to May 2025, primarily due to adjustments in delivery times by customers. Despite this monthly decline, the company’s total unaudited revenue for the first half of 2025 showed a notable increase of 12.1% compared to the same period in the previous year, indicating a positive trend in overall financial performance.

SIM Technology Group Enhances Board Governance with New Nomination Committee Terms

SIM Technology Group Limited has outlined the terms of reference for its Nomination Committee, which is responsible for the appointment of board members. The committee will consist of at least three members, with a majority being independent non-executive directors and at least one member of a different gender. This move is expected to enhance the governance structure of the company and ensure diversity and independence in its board appointments.

SIM Technology Group Secures Unanimous Approval at AGM

SIM Technology Group Limited announced that all resolutions proposed at their Annual General Meeting on June 12, 2025, were successfully passed by shareholders via poll. The resolutions included the adoption of financial statements, re-election of directors, authorization of directors’ remuneration, re-appointment of auditors, and granting of mandates related to shares. The unanimous approval of these resolutions reflects strong shareholder support and positions the company for continued governance and operational stability.

SIM Technology Group Sees Significant Revenue Growth in May 2025

SIM Technology Group Limited reported a significant increase in its unaudited monthly revenue for May 2025, driven by a 44.4% rise in revenue from its core business compared to April 2025. This growth is attributed to adjustments in delivery schedules by the company’s customers. The total unaudited revenue for the first five months of 2025 also saw a substantial increase of 24.6% compared to the same period in the previous year, highlighting the company’s strong performance in its core business areas.

SIM Technology Group Reports Revenue Fluctuations Amid Delivery Adjustments

SIM Technology Group Limited reported a significant decrease in its core business revenue for April 2025, attributed to adjustments in delivery schedules by customers, leading to a 42.1% drop compared to March 2025 and a 35.6% decrease from April 2024. Despite this monthly decline, the company’s total unaudited revenue for the first four months of 2025 showed a 31.9% increase over the same period in the previous year, indicating a positive trend in overall performance.

SIM Technology Group Announces Forfeiture of Unclaimed Dividends

SIM Technology Group Limited, a company incorporated in Bermuda and listed on the Hong Kong Stock Exchange, has announced the forfeiture of unclaimed dividends declared on or before March 21, 2019, if not claimed by May 30, 2025. This move affects shareholders who have yet to receive their dividend payments, urging them to contact the company’s branch share registrar in Hong Kong before the deadline to avoid forfeiture.