Brainhole Technology Limited (2203) AI Stock Analysis

• Market Cap: HK$172.00M
• Dividend Yield: N/A
• Average Volume (3M): 4.32M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: -47.92%
• EPS Growth: -869.15%
• Country: HK
• Employees: 267
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.02
• Shares Outstanding: 800,000,000
• 10 Day Avg. Volume: 1,842,000
• 30 Day Avg. Volume: 4,316,000
• PEG Ratio: >-0.01
• Price to Book (P/B): -3.06
• Price to Sales (P/S): 1.51
• P/FCF Ratio: -4.58
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily driven by the company's poor financial performance, characterized by declining revenues, negative margins, and high leverage. Technical analysis provides some support with longer-term moving averages, but weak momentum and negative valuation metrics further weigh down the score.

Brainhole Technology Limited Business Overview & Revenue Model

Company Description

Brainhole Technology Limited (2203) is a company engaged in the technology and electronics sector, specializing in the development and manufacturing of advanced electronic products and solutions. The company focuses on leveraging cutting-edge technology to deliver innovative and efficient solutions catering to a wide range of industries and consumer needs.

How the Company Makes Money

Brainhole Technology Limited generates revenue through the sale of its advanced electronic products and solutions. The company has established a diversified revenue model that includes direct sales to consumers, partnerships with other companies for product distribution, and potential service agreements for maintenance and support of their technology solutions. Significant factors contributing to its earnings include its ability to innovate and adapt to market demands, strategic partnerships, and its reputation in delivering high-quality products. The company might also engage in licensing agreements or collaborations that provide additional revenue streams.

Brainhole Technology Limited Financial Statement Overview

Summary

Brainhole Technology Limited is facing significant financial challenges with declining revenues, negative profitability margins, and high leverage. The company's financial health is concerning, with negative cash flows and a high debt-to-equity ratio, indicating potential liquidity and solvency risks.

Income Statement

The company has been experiencing declining revenues with a negative revenue growth rate of -14.79% TTM. Gross profit margin is negative at -9.31%, indicating costs exceed revenues. Net profit margin is significantly negative at -163.65%, reflecting substantial losses. EBIT and EBITDA margins are also deeply negative, showing operational inefficiencies.

Balance Sheet

The debt-to-equity ratio is high at 2.28 TTM, indicating significant leverage and potential financial risk. Return on equity is positive at 9.36% TTM, which is unusual given the negative net income, suggesting potential accounting anomalies. The equity ratio is low, indicating a reliance on debt financing.

Cash Flow

Operating cash flow is negative, indicating cash outflows from operations. Free cash flow is also negative, with a growth rate of -19.71% TTM, suggesting deteriorating cash generation. The operating cash flow to net income ratio is negative, highlighting cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	89.08M	119.99M	220.81M	263.57M	321.57M	261.81M
Gross Profit	-8.30M	-6.45M	27.63M	48.54M	54.11M	33.52M
EBITDA	-74.86M	-88.09M	-18.99M	-34.46M	-19.62M	-37.50M
Net Income	-145.78M	-127.88M	-34.12M	-57.61M	-51.55M	-58.76M
Balance Sheet
Total Assets	135.27M	152.74M	279.20M	333.42M	353.63M	370.34M
Cash, Cash Equivalents and Short-Term Investments	76.59M	74.80M	111.75M	107.92M	42.64M	74.15M
Total Debt	63.70M	163.71M	138.78M	147.44M	84.93M	113.13M
Total Liabilities	107.35M	211.81M	212.43M	231.84M	211.31M	183.70M
Stockholders Equity	27.92M	-59.07M	66.76M	101.58M	142.32M	186.64M
Cash Flow
Free Cash Flow	-27.44M	-39.49M	27.21M	-113.92M	-4.96M	-18.72M
Operating Cash Flow	-27.13M	-38.96M	32.19M	-106.08M	-535.00K	-4.92M
Investing Cash Flow	18.27M	4.23M	6.00M	11.45M	1.48M	-55.08M
Financing Cash Flow	-15.14M	19.45M	-20.10M	76.53M	-31.00M	80.58M

Brainhole Technology Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.21
• 50DMA: Negative
• 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:2203, the sentiment is Negative. The current price of 0.21 is below the 20-day moving average (MA) of 0.22, below the 50-day MA of 0.22, and above the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.04 is Neutral, neither overbought nor oversold. The STOCH value of 42.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2203.

Brainhole Technology Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8257	70 Outperform	HK$131.00M	15.60	3.83%	―	-13.07%	-34.88%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
1967	52 Neutral	HK$130.50M	-15.65	-2.32%	―	-6.45%	-596.43%
8490	46 Neutral	HK$101.59M	―	-41.46%	―	-26.02%	-4977.27%
1912	46 Neutral	HK$98.83M	―	―	―	-6.19%	18.71%
2203	46 Neutral	HK$172.00M	―	―	―	-47.92%	-869.15%
1679	40 Underperform	HK$125.17M	-0.95	―	―	37.63%	56.51%

Brainhole Technology Limited Corporate Events

Brainhole Technology Granted Waiver for Circular Dispatch Delay

Brainhole Technology Limited, a company incorporated in the Cayman Islands, announced a delay in the dispatch of a circular related to the further disposal of Robinhood shares, which is a major transaction under Chapter 14 of the Listing Rules. The company has been granted a waiver from strict compliance with Rule 14.41(a) by the Stock Exchange, allowing them to dispatch the circular by November 21, 2025, due to the need for additional time to finalize financial information.

The most recent analyst rating on (HK:2203) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Brainhole Technology Limited stock, see the HK:2203 Stock Forecast page.

Brainhole Technology Expands Investment in TeraWulf

Brainhole Technology Limited has announced a further acquisition of 100,800 TeraWulf shares for approximately US$1.5 million. This acquisition, combined with previous purchases, totals approximately US$2.8 million, making it a discloseable transaction under Hong Kong’s Listing Rules. The acquisition was financed by proceeds from the disposal of Robinhood shares, and the transaction is expected to impact the company’s investment portfolio by increasing its stake in TeraWulf, a digital asset technology company.

The most recent analyst rating on (HK:2203) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Brainhole Technology Limited stock, see the HK:2203 Stock Forecast page.

Brainhole Technology Limited Announces Major Disposal of Robinhood Shares

Brainhole Technology Limited has announced a major transaction involving the further disposal of 12,700 Robinhood Shares, generating approximately US$1.9 million. This transaction, when aggregated with previous disposals, constitutes a major transaction under the Hong Kong Listing Rules, requiring shareholder approval, which has been obtained from Yoho Bravo Limited, holding a significant majority of the company’s shares. No extraordinary general meeting will be convened as a result.

The most recent analyst rating on (HK:2203) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Brainhole Technology Limited stock, see the HK:2203 Stock Forecast page.

Brainhole Technology Limited Announces Key Securities Transactions

Brainhole Technology Limited has announced two significant transactions involving the acquisition and disposal of listed securities. On September 11, 2025, the company acquired 119,500 TeraWulf shares for approximately US$1.3 million and disposed of 14,400 Tempus shares for approximately US$1.2 million. Both transactions are classified as discloseable under the Hong Kong Listing Rules, as they exceed the 5% threshold but remain below 25%, necessitating public announcement and reporting.

Brainhole Technology Limited Announces Change of Auditors

Brainhole Technology Limited has announced a change in its auditors due to a disagreement over the proposed auditor’s remuneration with SHINEWING (HK) CPA Limited. The company has appointed Prism Hong Kong Limited as the new auditors, citing their competitive proposals and industry expertise. The Board believes this change will enhance cost-effectiveness and maintain audit quality, benefiting the company and its shareholders.

Brainhole Technology Reports Interim Financial Results for 2025

Brainhole Technology Limited, a company incorporated in the Cayman Islands, announced its interim financial results for the six months ending June 30, 2025. The company reported a decrease in revenue from HK$83,084,000 in 2024 to HK$52,173,000 in 2025, resulting in a gross profit of HK$9,093,000. Despite an increase in other income, the company faced a loss before tax of HK$16,151,000 due to higher administrative expenses and impairment losses. The total comprehensive expense for the period was HK$15,174,000, indicating a challenging financial period for the company.

Brainhole Technology Schedules Board Meeting for Interim Results Review

Brainhole Technology Limited announced that its board of directors will meet on August 27, 2025, to review and approve the unaudited consolidated interim results for the first half of 2025. The meeting will also consider the declaration and payment of an interim dividend, which could impact the company’s financial strategy and shareholder returns.

Brainhole Technology Limited Engages in Strategic Securities Transactions

Brainhole Technology Limited has announced several transactions involving the acquisition and disposal of listed securities. The company acquired shares in Nebius, Tempus, and Robinhood, while disposing of shares in Coinbase and Innodata. These transactions are considered discloseable under the Hong Kong Stock Exchange Listing Rules, requiring public announcement and reporting.