HBM Holdings Ltd. (2142) AI Stock Analysis

• Market Cap: HK$11.47B
• Dividend Yield: N/A
• Average Volume (3M): 8.63M
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.31
• Revenue Growth: 59.70%
• EPS Growth: 239.97%
• Country: HK
• Employees: 183
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.70
• Shares Outstanding: 894,073,550
• 10 Day Avg. Volume: 6,681,047
• 30 Day Avg. Volume: 8,634,233
• PEG Ratio: -0.75
• Price to Book (P/B): 1.48
• Price to Sales (P/S): 4.83
• P/FCF Ratio: 6.04
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: HK$13.50 ▲(6.22% Upside)

The overall stock score of 51 reflects the company's mixed financial performance, characterized by strong gross margins but declining profitability and cash flow issues. Technical analysis indicates a bearish trend with weak momentum, while valuation suggests moderate pricing. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Strong Gross Margins

High gross margins indicate effective cost management and pricing power, which can support profitability even with revenue fluctuations.

Improved Leverage Ratios

Better leverage management enhances financial stability and reduces risk, providing more flexibility for strategic investments.

Revenue Growth

Strong revenue growth suggests successful market penetration and product adoption, supporting long-term business expansion.

Negative Factors

Declining Profitability

Reduced profitability can strain resources and limit reinvestment capabilities, impacting future growth and competitive positioning.

Cash Flow Issues

Lack of cash generation from operations limits financial flexibility, potentially affecting the ability to fund new projects or manage debts.

Operational Inefficiencies

Operational inefficiencies can erode profitability and hinder competitive advantage, necessitating strategic improvements to sustain growth.

HBM Holdings Ltd. Business Overview & Revenue Model

Company Description

HBM Holdings Ltd. (2142) is a diversified investment holding company based in Hong Kong, primarily engaged in the sectors of property investment, financial services, and asset management. The company focuses on generating long-term value through strategic investments and developing a portfolio that includes commercial properties, financial assets, and other investment opportunities across various markets.

How the Company Makes Money

HBM Holdings Ltd. generates revenue through multiple streams, primarily from rental income derived from its property investments, which include office spaces and commercial real estate. Additionally, the company earns revenue through its financial services division, which may involve asset management fees, advisory services, and transaction fees. Strategic partnerships with other financial institutions and real estate developers enhance its investment opportunities, while ongoing asset management allows for the optimization of returns on its investment portfolio. Furthermore, potential capital gains from the appreciation of property values and financial assets contribute significantly to the company's overall earnings.

HBM Holdings Ltd. Financial Statement Overview

Summary

HBM Holdings Ltd. shows a mixed financial performance with strong gross margins but declining profitability and cash flow issues. While the balance sheet remains stable with improving leverage ratios, the lack of revenue growth and operational cash generation could hinder long-term growth prospects.

Income Statement

The company has shown inconsistent revenue growth with a significant drop from 2023 to 2024. Gross profit margin remains strong at 88.2% in 2024, indicating good cost control. However, the net profit margin has declined to 7.3% in 2024, reflecting reduced profitability compared to 25.5% in 2023. The negative EBIT and EBITDA margins in 2024 highlight operational inefficiencies.

Balance Sheet

The balance sheet reflects a stable equity position with an equity ratio of 57.9% in 2024. The debt-to-equity ratio improved to 0.49 from 0.55 in 2023, indicating better leverage management. However, the high level of cash compared to total debt suggests liquidity, yet the declining total assets may pose future challenges to asset management.

Cash Flow

The cash flow statement shows challenges with no positive operating cash flow and zero free cash flow in 2024. This indicates potential issues in generating cash from operations, which could affect financial flexibility. The absence of free cash flow growth further underscores cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	65.06M	38.10M	89.50M	40.66M	4.31M	14.11M
Gross Profit	59.33M	33.61M	87.47M	40.53M	4.17M	13.66M
EBITDA	32.64M	-2.08M	31.18M	-130.21M	-130.84M	-290.91M
Net Income	37.21M	2.78M	22.80M	-137.27M	-137.88M	-296.54M
Balance Sheet
Total Assets	380.47M	215.01M	228.48M	232.12M	282.36M	388.74M
Cash, Cash Equivalents and Short-Term Investments	320.69M	167.22M	140.72M	171.71M	216.30M	356.95M
Total Debt	64.67M	61.34M	66.01M	90.93M	19.47M	1.73M
Total Liabilities	96.89M	90.96M	108.85M	139.62M	59.45M	27.73M
Stockholders Equity	282.70M	124.45M	119.99M	92.83M	223.19M	361.19M
Cash Flow
Free Cash Flow	-5.75M	30.44M	-21.60M	-118.40M	-139.81M	-35.99M
Operating Cash Flow	-5.70M	30.68M	-19.12M	-99.96M	-125.61M	-35.39M
Investing Cash Flow	1.75M	6.55M	28.09M	137.59M	-76.90M	-93.53M
Financing Cash Flow	-4.32M	-10.24M	-29.14M	70.58M	1.59M	357.86M

HBM Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 12.71
• 50DMA: Negative
• 100DMA: Negative
• 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:2142, the sentiment is Negative. The current price of 12.71 is below the 20-day moving average (MA) of 13.52, below the 50-day MA of 13.48, and above the 200-day MA of 10.78, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 44.41 is Neutral, neither overbought nor oversold. The STOCH value of 28.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2142.

HBM Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2256	57 Neutral	HK$9.21B	48.37	6.73%	―	23.37%	―
9966	53 Neutral	HK$10.05B	39.34	13.34%	―	206.58%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
2142	51 Neutral	HK$11.47B	17.58	35.80%	―	59.70%	239.97%
2616	42 Neutral	HK$8.12B	-17.93	-95.84%	―	-55.64%	-158.67%
2157	40 Underperform	HK$9.81B	-46.89	-21.42%	―	240.05%	-140.09%

HBM Holdings Ltd. Corporate Events

HBM Holdings Enhances Collaboration with AstraZeneca for Biotherapeutic Development

HBM Holdings Ltd. has announced an advancement in its global collaboration with AstraZeneca, aimed at discovering and developing next-generation biotherapeutics. The amendment to their existing agreement enhances the scope of their partnership, maintaining the original economic terms, and underscores their commitment to leveraging combined expertise in biotechnology.

HBM Holdings Partners with Pfizer for Antibody Discovery

HBM Holdings Ltd. has announced a non-exclusive license agreement with Pfizer, allowing Pfizer global access to Nona Biosciences’ HCAb platform for preclinical antibody discovery. This collaboration aims to accelerate the development of fully human heavy chain-only antibodies for various disease indications, potentially enhancing HBM’s industry positioning and offering milestone payments that could benefit stakeholders.

HBM Holdings Partners with Umoja Biopharma for CAR-T Cell Development

HBM Holdings Ltd. has announced a new evaluation and license agreement with Umoja Biopharma to develop in vivo CAR-T cell products. This collaboration combines HBM’s proprietary platforms with Umoja’s VivoVec™ technology, potentially enhancing the reach and effectiveness of CAR-T therapies. The agreement includes upfront payments and milestone fees for HBM, while Umoja will handle further development and commercialization, potentially strengthening HBM’s position in the biotechnology sector.

HBM Holdings Ltd. Announces Share Options and Awards Grant

HBM Holdings Ltd. announced the grant of share options and share awards to eligible participants under its existing schemes. The grants aim to provide employees with proprietary interests in the company, motivating them to enhance the company’s value. The options have a 10-year exercise period and vest over a period of four years, contingent on performance appraisals. This initiative is expected to align employee interests with those of shareholders, potentially improving the company’s market position.