Strawbear Entertainment Group (2125) AI Stock Analysis

• Market Cap: HK$430.69M
• Dividend Yield: N/A
• Average Volume (3M): 395.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: -41.22%
• EPS Growth: 54.66%
• Country: HK
• Employees: 77
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): >-0.01
• Shares Outstanding: 706,041,400
• 10 Day Avg. Volume: 431,400
• 30 Day Avg. Volume: 395,600
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: HK$0.50
• Price Target Upside: -19.35% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 57 Neutral
• Price Target: HK$0.50 ▼(-19.35% Downside)

The overall stock score is primarily influenced by strong technical indicators, suggesting positive market momentum. However, financial performance is hindered by profitability and cash flow challenges, and valuation metrics are unattractive due to negative earnings. The absence of earnings call and corporate events data limits additional insights.

Strawbear Entertainment Group Business Overview & Revenue Model

Company Description

Strawbear Entertainment Group engages in the investment, development, production, and distribution of TV series, web series, and films in the People's Republic of China and internationally. The company licenses the broadcasting rights and other copyrights of self-produced drama series to TV channels, online video platforms, and third-party distributors. It also offers production services for made-to-order drama series per online video platforms' orders. In addition, the company engages in literature copyright agency and development; and screenplay development and assessment business. Strawbear Entertainment Group was founded in 2014 and is headquartered in Nanjing, the People's Republic of China.

How the Company Makes Money

Strawbear Entertainment Group generates revenue through several key streams. Primarily, the company earns money by producing and distributing television dramas and films, selling broadcasting rights to television networks and online streaming platforms. Additionally, they license their content to various media outlets, both domestically and internationally, expanding their reach and audience. Strategic partnerships with major streaming services and television networks further enhance their revenue, as these collaborations often include co-production deals and exclusive content distribution rights. The company's ability to consistently deliver popular and engaging content helps to maintain its profitability and market position.

Strawbear Entertainment Group Financial Statement Overview

Summary

Strawbear Entertainment Group shows strong revenue growth of 33.8%, but remains unprofitable with a net loss. The balance sheet is stable with low leverage and a strong equity position, but the cash flow statement reveals liquidity challenges with zero operating and free cash flow.

Income Statement

Strawbear Entertainment Group shows mixed performance in income statement metrics. The revenue has grown by 33.8% from the previous year, indicating strong top-line growth. However, the company is currently unprofitable with a net loss, affecting its net profit margin negatively. The gross profit margin is relatively low at 13.5%, and the EBIT margin is 3.6%, reflecting limited profitability. The EBITDA margin stands at 3.8%, suggesting some operational efficiency. Overall, while revenue growth is promising, profitability remains a concern.

Balance Sheet

The balance sheet reveals a moderate level of financial stability. The debt-to-equity ratio is 0.17, indicating low leverage, which is a positive sign. The return on equity is negative due to net losses, which is a concern for profitability. The equity ratio is high at 65.8%, reflecting a strong equity position relative to total assets. Overall, the company has low leverage and a solid equity base, but profitability issues weigh on the balance sheet strength.

Cash Flow

The cash flow statement shows significant challenges, with operating cash flow at zero for the current period, indicating potential liquidity issues. Free cash flow is also zero, suggesting the company is not generating cash from its operations after capital expenditures. The lack of positive cash flow metrics highlights concerns about cash generation capabilities, which are crucial for maintaining operations and supporting growth.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.12B	840.66M	980.92M	1.70B	952.36M
Gross Profit	151.47M	63.26M	219.75M	516.18M	259.82M
EBITDA	42.63M	-97.64M	114.40M	275.65M	91.96M
Net Income	-2.12M	-109.31M	50.93M	169.25M	18.43M
Balance Sheet
Total Assets	2.66B	2.58B	2.49B	2.84B	1.86B
Cash, Cash Equivalents and Short-Term Investments	84.33M	165.54M	219.45M	302.80M	95.60M
Total Debt	289.82M	313.60M	281.27M	285.53M	166.52M
Total Liabilities	910.82M	844.31M	666.96M	1.07B	1.64B
Stockholders Equity	1.75B	1.74B	1.83B	1.77B	223.71M
Cash Flow
Free Cash Flow	21.07M	-56.25M	72.37M	-601.12M	10.18M
Operating Cash Flow	22.96M	-53.84M	75.36M	-599.30M	12.75M
Investing Cash Flow	-57.69M	-13.40M	-61.24M	-95.43M	23.37M
Financing Cash Flow	-40.25M	13.96M	-109.89M	901.60M	7.13M

Strawbear Entertainment Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2125, the sentiment is Neutral. The current price of 0.62 is below the 20-day moving average (MA) of 0.64, above the 50-day MA of 0.61, and above the 200-day MA of 0.57, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.21 is Neutral, neither overbought nor oversold. The STOCH value of 42.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:2125.

Strawbear Entertainment Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8368	59 Neutral	404.46M	20.31	7.92%	―	-27.68%	-77.19%
2125	57 Neutral	HK$430.69M	―	-2.12%	―	-41.22%	54.66%
1046	51 Neutral	281.06M	-2.58	0.00%	―	-30.68%	-63.06%
1159	48 Neutral	424.15M	2.33	7.43%	―	-57.01%	0.00%
0391	45 Neutral	533.14M	-9.17	-22.73%	―	-6.36%	-166.67%
1003	43 Neutral	1.33B	―	0.00%	―	0.00%	0.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Strawbear Entertainment Group Corporate Events

Strawbear Entertainment Group Updates Nomination Committee

Strawbear Entertainment Group has announced changes in the composition of its Nomination Committee, appointing Ms. Zhai Fang and Mr. Zhang Senquan as new members. These changes align with the recent amendments to the Listing Rules and Corporate Governance Code, effective July 1, 2025, aiming to enhance the board’s effectiveness and diversity, thereby strengthening the company’s corporate governance practices.

The most recent analyst rating on (HK:2125) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Strawbear Entertainment Group stock, see the HK:2125 Stock Forecast page.

Strawbear Entertainment Group Announces Board Composition

Strawbear Entertainment Group has announced the composition of its board of directors, detailing the roles and functions of each member. This announcement underscores the company’s commitment to strong governance and strategic oversight, potentially impacting its operational efficiency and stakeholder confidence.

The most recent analyst rating on (HK:2125) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Strawbear Entertainment Group stock, see the HK:2125 Stock Forecast page.

Strawbear Entertainment Reports Significant Decline in H1 2025 Financial Performance

Strawbear Entertainment Group reported a significant decline in financial performance for the first half of 2025, with revenue dropping by 47.4% and gross profit decreasing by 56.0% compared to the same period in 2024. The company experienced a net loss of approximately RMB5.8 million, a stark contrast to the profit of RMB30.0 million recorded in the previous year. Despite stable net assets, the board decided not to declare an interim dividend, indicating a cautious approach amidst challenging market conditions.

The most recent analyst rating on (HK:2125) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Strawbear Entertainment Group stock, see the HK:2125 Stock Forecast page.

Strawbear Entertainment Group Schedules Board Meeting for Interim Results

Strawbear Entertainment Group has announced that its board of directors will meet on August 25, 2025, to review and approve the interim financial results for the first half of the year ending June 30, 2025. The meeting will also consider the possibility of an interim dividend payment, which could have implications for the company’s financial strategy and shareholder returns.

Strawbear Entertainment Group Issues Profit Warning Amid Revenue Decline

Strawbear Entertainment Group has issued a profit warning, expecting a consolidated net loss for the first half of 2025, compared to a net profit in the same period of 2024. The anticipated loss is attributed to a decrease in revenue due to fewer episodes being broadcast, despite stable operating costs. The company is finalizing its interim results, and actual figures may differ from preliminary estimates.

Strawbear Entertainment Group Invests in Wealth Management Products

Strawbear Entertainment Group has announced a discloseable transaction involving the subscription of wealth management products, utilizing surplus cash reserves. The company has invested a total of US$5 million in structured notes from BNP, Barclays, and UBS, all facilitated by Nomura Singapore. This strategic financial move is subject to reporting and announcement requirements under Hong Kong’s Listing Rules, though it does not require shareholder approval. The investments are expected to enhance the company’s financial portfolio, potentially impacting its market positioning and stakeholder interests.

Strawbear Entertainment Group Secures Unanimous Approval at AGM

Strawbear Entertainment Group announced that all resolutions proposed at their Annual General Meeting held on June 16, 2025, were approved unanimously. Key resolutions included the re-election of directors, reappointment of auditors, and granting of mandates for issuing and repurchasing shares, reflecting strong shareholder support and potentially enhancing the company’s operational flexibility.