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Huisen Household International Group Limited (HK:2127)
:2127
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Huisen Household International Group Limited (2127) AI Stock Analysis

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HK:2127

Huisen Household International Group Limited

(2127)

Rating:41Neutral
Price Target:
HK$0.00
▼(-100.00% Downside)
Huisen Household International Group Limited is facing significant financial difficulties, with declining revenues and negative margins. Financial performance is weak, compounded by poor valuation metrics with a negative P/E ratio. Although technical indicators show slight upward momentum, the stock remains below key moving averages, signaling bearishness. These factors collectively suggest a cautious outlook for potential investors.

Huisen Household International Group Limited (2127) vs. iShares MSCI Hong Kong ETF (EWH)

Huisen Household International Group Limited Business Overview & Revenue Model

Company DescriptionHuisen Household International Group Limited (2127) is a leading manufacturer and supplier in the household products industry. The company specializes in the production and sale of a wide range of household furniture and related products, catering primarily to international markets. With a robust supply chain and production capabilities, Huisen Household International Group Limited focuses on delivering quality and cost-effective products to its customers worldwide.
How the Company Makes MoneyHuisen Household International Group Limited generates revenue through the manufacturing and sale of household furniture and related products. The company primarily earns money by exporting its products to international markets, leveraging its large-scale production facilities to maintain competitive pricing. Key revenue streams include sales to major retailers and wholesalers in various regions, including the United States and Europe. Additionally, strategic partnerships with multinational retail chains and distributors play a significant role in expanding its market reach and driving sales. Factors such as efficient supply chain management and economies of scale contribute to the company's profitability and financial performance.

Huisen Household International Group Limited Financial Statement Overview

Summary
The company faces substantial financial challenges, with declining revenues and profits and negative cash flows. While the balance sheet shows some strength in equity with a low debt-to-equity ratio, the overall financial health is weakened by significant losses and cash flow difficulties.
Income Statement
30
Negative
The income statement shows a significant decline in performance with negative growth trends. Revenue decreased substantially by 72.29% from 2023 to 2024, while the gross profit margin turned negative, indicating costs exceeded revenue. The net profit margin also shifted from positive to deeply negative, highlighting substantial losses. Margins across EBIT and EBITDA have deteriorated, reflecting operational inefficiencies and declining profitability.
Balance Sheet
55
Neutral
The balance sheet reflects a moderate level of stability with some concerns. The debt-to-equity ratio remains low at 0.20, indicating low leverage. However, the return on equity is negative, driven by net losses, which is concerning for investors. The equity ratio is relatively high at 74%, showing a strong equity base. Despite these positives, declining equity and asset values signal potential risks.
Cash Flow
40
Negative
The cash flow statement indicates significant challenges, with negative free cash flow growth and operating cash flows. The free cash flow to net income ratio is unfavorable due to negative net income, while the operating cash flow to net income ratio is also negative. These figures reflect cash flow issues impacting liquidity and operational flexibility.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.01B3.64B3.02B5.14B3.90B
Gross Profit-200.22M483.31M544.77M1.30B944.14M
EBITDA-551.31M411.94M530.39M1.20B786.56M
Net Income-1.71B207.10M334.90M888.07M540.68M
Balance Sheet
Total Assets4.90B6.63B5.70B5.69B4.98B
Cash, Cash Equivalents and Short-Term Investments5.59M476.36M2.31B3.14B2.65B
Total Debt734.72M826.85M407.25M495.31M575.98M
Total Liabilities1.27B1.38B652.52M972.85M1.04B
Stockholders Equity3.62B5.26B5.05B4.71B3.94B
Cash Flow
Free Cash Flow-551.81M-2.01B-715.64M719.43M619.04M
Operating Cash Flow-327.36M-93.66M-154.54M875.61M650.89M
Investing Cash Flow-94.71M-1.35B-1.35B-146.24M-25.97M
Financing Cash Flow-35.70M396.41M-123.24M-240.15M938.29M

Huisen Household International Group Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.02
Price Trends
50DMA
0.02
Positive
100DMA
0.02
Negative
200DMA
0.02
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
42.34
Neutral
STOCH
<0.01
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2127, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 42.34 is Neutral, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2127.

Huisen Household International Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
HK$427.00M4.1510.72%9.43%-1.05%-2.97%
61
Neutral
$17.87B13.25-4.88%3.05%1.25%-14.67%
59
Neutral
HK$290.50M13.78-4.25%9.64%8.85%-18.82%
46
Neutral
HK$421.04M1.33-3.70%-0.07%-148.33%
42
Neutral
HK$610.66M-36.67%3.85%
41
Neutral
HK$76.58M-38.40%-72.73%-764.81%
41
Neutral
HK$132.19M
-37.59%-244.66%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2127
Huisen Household International Group Limited
0.02
-0.05
-71.43%
HK:1198
Royale Home Holdings Limited
0.24
-0.20
-45.45%
HK:1418
Sinomax Group Ltd.
0.24
0.06
33.33%
HK:1575
Morris Home Holdings Limited
0.05
-0.02
-28.57%
HK:2222
NVC International Holdings Ltd.
0.81
-0.02
-2.41%
HK:6822
King's Flair International (Holdings) Limited
0.42
0.04
10.53%

Huisen Household International Group Limited Corporate Events

Huisen Household Faces Continued Trading Suspension Amid Legal Challenges
Jul 30, 2025

Huisen Household International Group Limited has announced a supplemental update regarding its ongoing trading suspension on the Hong Kong Stock Exchange due to unresolved legal claims and lawsuits involving the company and its former executive director, Mr. Zeng Ming. The company has been under scrutiny since October 2024 for alleged non-disclosure of loan breaches and unauthorized guarantee transactions, which have led to a series of announcements addressing these issues. The continued suspension and legal challenges may impact the company’s market position and stakeholder confidence.

Huisen Household Appoints New Independent Non-Executive Director
Jun 17, 2025

Huisen Household International Group Limited has announced the appointment of Mr. Ngok Ho Wai as an Independent Non-executive Director, effective June 17, 2025. Mr. Ngok will also serve as chairman of the corporate governance, audit, and remuneration committees, and as a member of the nomination committee. With a robust background in banking and corporate governance, Mr. Ngok’s appointment is expected to enhance the company’s strategic oversight and governance, potentially strengthening its market position and stakeholder confidence.

Huisen Household Announces Board Composition and Committee Roles
Jun 17, 2025

Huisen Household International Group Limited has announced the composition of its board of directors and their respective roles within the company. The board consists of executive directors Mr. Wu Runlu and Ms. Zeng Minglan, along with independent non-executive directors Mr. Ngok Ho Wai, Mr. Liu Jiong, and Mr. Feng Zhaowei. The announcement outlines the membership of these directors in various committees, including audit, remuneration, nomination, corporate governance, and risk management committees. This update reflects the company’s commitment to maintaining a structured governance framework, which is crucial for its operational integrity and strategic oversight.

Huisen Shares Group Announces Trading Halt Pending Inside Information Release
Jun 9, 2025

Huisen Shares Group Limited, listed on the Hong Kong Stock Exchange, has announced a trading halt effective from June 9, 2025, pending the release of an announcement concerning inside information. This halt indicates a significant undisclosed development within the company, potentially impacting its operations and market perception.

Huisen Household Faces Legal Challenge Over Loan Repayment
May 21, 2025

Huisen Household International Group Limited announced a legal update concerning a civil lawsuit filed by Ganzhou Bank for an unpaid loan of RMB 274 million. The court initially rejected the lawsuit due to insufficient evidence, but Ganzhou Bank later submitted additional materials. The company proposed a repayment extension plan, which the bank rejected, and the court has yet to make a final judgment. The outcome of this case could significantly impact the company’s financial obligations and stakeholder interests.

Huisen Household Converts Debt to Equity with Share Issuance
May 19, 2025

Huisen Household International Group Limited has entered into a Subscription Agreement to issue 146,000,000 shares at a price of HK$0.027 per share to offset an outstanding fee of RMB3,650,000 owed to a corporate consultant. This move will result in the issuance of shares representing approximately 3.81% of the company’s enlarged share capital, effectively settling the outstanding fee and waiving any accrued interest. The transaction is expected to enhance the company’s financial position by converting debt into equity, potentially improving its market standing and stakeholder confidence.

Huisen Household Faces Legal Challenge Over Loan, Operations Unaffected
May 19, 2025

Huisen Household International Group Limited, incorporated in the Cayman Islands, recently faced a legal challenge regarding a loan from Ganzhou Bank. The company borrowed RMB 279 million, with RMB 274 million still outstanding, leading to a lawsuit from the bank. However, the court rejected the lawsuit due to insufficient evidence, and a repayment extension plan has been proposed. The government is supporting the company through a business relief task force, and the lawsuit has not impacted the company’s operations or financial status. Trading of the company’s shares is set to resume on the Stock Exchange.

Huisen Household Announces Trading Halt Pending Inside Information Release
May 19, 2025

Huisen Household International Group Limited has announced a trading halt on the Hong Kong Stock Exchange as of 10:51 a.m. on May 19, 2025. This suspension is pending the release of an announcement related to inside information about the company, which could have significant implications for its operations and stakeholders.

Huisen Household Addresses Compliance Breach and Internal Control Deficiencies
May 15, 2025

Huisen Household International Group Limited has announced updates regarding civil mediations involving Nankang Development Group and Longnan Development Co. These mediations, which were concluded in September and October 2024 respectively, were not properly disclosed as per the Listing Rules, leading to a breach. The company has taken steps to rectify this by engaging an Internal Control Consultant, who identified deficiencies in the company’s internal controls. Remedial actions are being implemented to prevent future occurrences, and the claims are not expected to impact the company’s operations or financial condition.

Huisen Household International Group Enhances Internal Controls Following Civil Mediations
May 15, 2025

Huisen Household International Group Limited has recently addressed civil mediations brought by Nankang Development Group and Longnan Development Co., which were concluded by respective courts in Jiangxi Province. The company has acknowledged an inadvertent delay in disclosure and is taking steps to improve its internal control systems. An independent internal control review highlighted deficiencies, prompting the company to implement stricter reporting processes and enhance legal compliance training. These actions aim to prevent future incidents and strengthen the company’s internal controls.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 20, 2025