Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H (2411) AI Stock Analysis

• Market Cap: HK$3.31B
• Dividend Yield: 0.39%
• Average Volume (3M): 9.59M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: -15.49%
• EPS Growth: -544.89%
• Country: HK
• Employees: 2,581
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.26
• Shares Outstanding: 2,000,721,200
• 10 Day Avg. Volume: 6,473,400
• 30 Day Avg. Volume: 9,585,550
• PEG Ratio: 0.02
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.20
• P/FCF Ratio: -37.16
• 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$1.50 ▼(-15.25% Downside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenue and profitability, and increased leverage. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to negative earnings.

Positive Factors

Diversified industrial model

A diversified operating footprint across manufacturing, logistics and technology reduces reliance on any single end market. This multi-vertical exposure and in-house logistics capability improve resilience to sector-specific shocks and support steady cash generation over the medium term.

Broad distribution partnerships

Established relationships with major retailers and e-commerce channels provide durable distribution scale and market reach. These partnerships support revenue stability, lower customer acquisition costs, and faster product rollouts, strengthening competitive positioning over coming quarters.

Equity cushion on balance sheet

Having equity equal to ~34.6% of assets gives a material capital buffer to absorb operating losses and supports solvency. This equity base enhances the company’s ability to access financing and sustain operations while it executes any turnaround initiatives.

Negative Factors

Sustained revenue decline

A mid-double-digit revenue contraction indicates declining demand or market share loss. Continued top-line decline erodes operating leverage, limits reinvestment capacity, and makes recovery dependent on structural fixes in product competitiveness or channel strategy over months.

Margin deterioration and losses

Worsening gross margins and negative net margins reflect persistent cost or pricing pressure and operational inefficiency. Sustained margin compression undermines cash generation, weakens ROE, and constrains capital for R&D or capacity investments needed for a durable recovery.

Weak cash flow and higher leverage

Negative operating cash flow combined with increased leverage (debt-to-equity ~1.08) tightens liquidity and financial flexibility. This structural cash shortfall raises refinancing and covenant risks, limiting the company’s ability to fund working capital or strategic investments over the medium term.

Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H Business Overview & Revenue Model

Company Description

Shenzhen Pagoda Industrial (Group) Corporation Limited operates as a fruit retailer in the People's Republic of China. The company sells fruits; and fruit-based products, such as dried fruits and juice. It also engages in the provision of supply chain management, brand management, property management, agricultural technology, and enterprise management services; development of information technology; and the planting and sale of fruits. As of December 12, 2022, it operated 5,643 offline stores, including 5,624 franchised stores and 19 self-operated stores, as well as e-commerce platforms. The company was founded in 2001 and is headquartered in Shenzhen, the People's Republic of China.

How the Company Makes Money

The company generates revenue primarily through its manufacturing operations, which produce a wide array of consumer goods and industrial products. Key revenue streams include direct sales of these products to retailers and distributors, as well as contract manufacturing services for other brands. Additionally, Pagoda benefits from partnerships with major retailers and e-commerce platforms, facilitating broader market access and distribution. The company also engages in logistics services, which further contribute to its earnings by optimizing supply chain efficiencies for itself and its partners. Factors such as economies of scale, technological advancements in production, and strategic collaborations with other industry players enhance its profitability.

Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H Financial Statement Overview

Summary

Shenzhen Pagoda Industrial faces significant financial challenges, with declining revenue and profitability metrics leading to negative margins and cash flow issues. Increased leverage poses potential financial risks.

Income Statement

The company experienced a revenue decline from the previous year. Gross profit margin deteriorated from 11.54% to 7.42%, and the net profit margin turned negative, indicating challenges in maintaining profitability. EBIT and EBITDA margins also turned negative, reflecting operational difficulties.

Balance Sheet

The debt-to-equity ratio increased to 1.08, indicating higher leverage, although equity remains stable at 34.61% of total assets. Return on Equity turned negative due to net losses, signaling potential financial risks if trends continue.

Cash Flow

Cash flow from operations has significantly declined, showing a negative operating cash flow in the latest year. Free cash flow growth is also negative, highlighting liquidity concerns. The ratios of cash flows to net income are not calculable due to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.06B	10.27B	11.39B	11.31B	10.29B	8.85B
Gross Profit	357.54M	761.96M	1.31B	1.31B	1.16B	807.43M
EBITDA	-726.46M	-276.31M	584.16M	558.46M	453.54M	215.63M
Net Income	-816.59M	-386.03M	361.72M	323.30M	230.34M	49.06M
Balance Sheet
Total Assets	7.28B	7.82B	7.59B	6.81B	6.42B	5.24B
Cash, Cash Equivalents and Short-Term Investments	3.70B	2.50B	2.30B	2.09B	1.85B	1.07B
Total Debt	2.93B	2.92B	2.41B	1.80B	2.02B	1.22B
Total Liabilities	4.82B	5.01B	4.25B	3.79B	3.71B	2.72B
Stockholders Equity	2.37B	2.71B	3.22B	2.95B	2.64B	2.45B
Cash Flow
Free Cash Flow	-241.38M	-53.91M	-166.24M	414.71M	239.92M	135.33M
Operating Cash Flow	-113.08M	164.58M	-48.53M	589.18M	283.88M	292.90M
Investing Cash Flow	242.55M	-760.20M	282.56M	619.85M	-577.90M	-372.66M
Financing Cash Flow	-666.68M	239.09M	414.89M	-307.78M	404.05M	217.15M

Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.77
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2411, the sentiment is Negative. The current price of 1.77 is above the 20-day moving average (MA) of 1.68, above the 50-day MA of 1.77, and above the 200-day MA of 1.73, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 41.64 is Neutral, neither overbought nor oversold. The STOCH value of 42.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2411.

Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2420	77 Outperform	HK$1.55B	8.48	27.30%	4.07%	23.59%	―
9896	68 Neutral	HK$45.54B	19.49	20.87%	3.18%	13.14%	-19.58%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0178	56 Neutral	HK$1.83B	19.34	8.44%	4.75%	-3.18%	-36.46%
2411	46 Neutral	HK$3.31B	-2.79	-29.04%	0.39%	-15.49%	-544.89%
1759	44 Neutral	HK$207.36M	-16.33	-3.11%	―	50.72%	-434.09%
0493	43 Neutral	HK$745.74M	-0.08	―	―	49.53%	22.07%

Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H Corporate Events

Shenzhen Pagoda’s Controlling Shareholder Plans to Increase H Shareholdings

Shenzhen Pagoda Industrial (Group) Corp. Ltd. has announced a plan for its controlling shareholder, Mr. YU Huiyong, to increase his shareholdings in the company’s H shares by up to 10 million shares over the next twelve months. This move reflects Mr. YU’s confidence in the company’s long-term growth prospects. The planned share acquisition is structured to avoid triggering a mandatory offer obligation under Hong Kong’s takeover regulations, ensuring compliance with public float requirements. The company will not provide financial assistance for this plan and will continue to monitor and disclose relevant information as required.

The most recent analyst rating on (HK:2411) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H stock, see the HK:2411 Stock Forecast page.

Shenzhen Pagoda Grants 150.5 Million RSUs to Employees

Shenzhen Pagoda Industrial (Group) Corporation Limited announced the grant of 150,500,000 Restricted Share Units (RSUs) to 14 employees, representing approximately 8.27% of the total shares in issue. These RSUs are subject to performance-based vesting conditions, aligning with the company’s strategic growth and individual performance assessments, and are set to vest fully by April 30, 2029.

The most recent analyst rating on (HK:2411) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H stock, see the HK:2411 Stock Forecast page.

Shenzhen Pagoda Completes H Share Full Circulation

Shenzhen Pagoda Industrial (Group) Corporation Limited has announced the completion of its H Share Full Circulation, converting 85,448,554 Unlisted Shares into H Shares. This conversion marks a significant milestone for the company, as it now has 100% of its shares listed as H Shares on the Hong Kong Stock Exchange, enhancing its market presence and potentially increasing its attractiveness to investors.

The most recent analyst rating on (HK:2411) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H stock, see the HK:2411 Stock Forecast page.

Shenzhen Pagoda Industrial Approves Key Resolutions at Extraordinary General Meeting

Shenzhen Pagoda Industrial (Group) Corp. Ltd., a company incorporated in China, announced the successful passing of all proposed resolutions at its 2025 second extraordinary general meeting. The key resolutions included the adoption of a Restricted Share Unit Scheme for H Shares and the authorization for the Board to manage related matters. This development may enhance the company’s governance and align shareholder interests, potentially impacting its market positioning positively.

The most recent analyst rating on (HK:2411) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H stock, see the HK:2411 Stock Forecast page.

Shenzhen Pagoda Receives Approval for Full Circulation of H Shares

Shenzhen Pagoda Industrial (Group) Corp. Ltd. has received approval from the Stock Exchange of Hong Kong for the listing and full circulation of 85,448,554 H Shares, which were converted from Unlisted Shares. This move, involving three participating shareholders, will result in a complete transition of the company’s share capital to H Shares, potentially increasing market liquidity and investor engagement.

The most recent analyst rating on (HK:2411) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Shenzhen Pagoda Industrial (Group) Corp. Ltd. Class H stock, see the HK:2411 Stock Forecast page.