EDA Group Holdings Limited (2505) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: 20.5%
• Average Volume (3M): 224.50K
• Price to Earnings (P/E): 20.8
• Beta (1Y): 0.46
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 367
• Sector: General
• Sector Strength: N/A
• Industry: Integrated Freight & Logistics
• EPS (TTM): 0.13
• Shares Outstanding: 442,930,500
• 10 Day Avg. Volume: 274,215
• 30 Day Avg. Volume: 224,505
• PEG Ratio: -0.96
• Price to Book (P/B): 1.89
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 26.51
• 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$3.57
• Price Target Upside: 34.72% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: HK$2.50 ▼(-5.66%Downside)

EDA Group Holdings Limited has a solid financial performance with significant revenue growth and a stable balance sheet, but the increasing debt levels and limited cash flow data present potential risks. The technical analysis suggests a bearish trend, while the valuation shows a high dividend yield, indicating potential investor appeal but also the risk of financial strain. Overall, these factors result in a mixed outlook, leading to an overall stock score of 60.

EDA Group Holdings Limited Business Overview & Revenue Model

Company Description

EDA Group Holdings Limited provides e-commerce supply chain solutions in the People's Republic of China, the United States, Canada, the United Kingdom, Germany, and Australia. It offers logistics, warehousing, international freight, and fulfillment delivery services. The company was founded in 2014 and is based in Shenzhen, the People's Republic of China.

How the Company Makes Money

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EDA Group Holdings Limited Financial Statement Overview

Summary

EDA Group Holdings Limited shows solid revenue growth and a stable balance sheet, with moderate equity returns. However, increasing debt levels and limited cash flow data suggest potential risks. Maintaining profitability and managing leverage will be crucial for future stability.

Income Statement

EDA Group Holdings Limited shows a strong revenue growth rate of approximately 39.8% from 2023 to 2024. The gross profit margin for 2024 is 14.85%, and the net profit margin is 2.78%, indicating moderate profitability levels. However, the decline in EBIT and EBITDA margins suggests pressure on operating efficiency.

Balance Sheet

The company maintains a stable financial structure with an equity ratio of 34.95% in 2024, and a reasonable debt-to-equity ratio of 1.48. The return on equity is 7.89%, reflecting moderate returns to shareholders. However, the increase in total debt may pose future financial risks.

Cash Flow

Cash flow metrics are limited due to missing data for 2024. In 2023, the operating cash flow to net income ratio was 1.52, showing strong cash generation relative to net income. However, the absence of free cash flow data for 2024 prevents a comprehensive analysis.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.69B	1.21B	708.66M	0.00
Gross Profit	251.00M	197.10M	106.49M	0.00
EBITDA	81.83M	135.77M	95.60M	3.05M
Net Income	47.07M	69.40M	36.29M	3.05M
Balance Sheet
Total Assets	1.71B	679.00M	564.41M	534.91M
Cash, Cash Equivalents and Short-Term Investments	348.59M	243.18M	115.81M	84.81M
Total Debt	879.99M	176.82M	195.81M	189.36M
Total Liabilities	1.11B	354.95M	332.02M	408.09M
Stockholders Equity	596.21M	324.04M	232.39M	126.82M
Cash Flow
Free Cash Flow	115.55M	104.33M	78.42M	-37.00K
Operating Cash Flow	128.40M	105.79M	80.12M	-37.00K
Investing Cash Flow	-206.03M	39.64M	-8.44M	-21.32M
Financing Cash Flow	150.68M	-37.46M	-9.01M	35.08M

EDA Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2505, the sentiment is Negative. The current price of 2.65 is below the 20-day moving average (MA) of 2.68, below the 50-day MA of 2.70, and above the 200-day MA of 2.59, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 47.32 is Neutral, neither overbought nor oversold. The STOCH value of 69.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2505.

EDA Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2313	74 Outperform	$81.47B	12.04	18.17%	9.22%	12.76%	34.50%
1199	70 Outperform	$20.22B	7.47	5.64%	5.44%	5.93%	-3.64%
1982	68 Neutral	HK$1.73B	5.06	14.40%	25.79%	4.95%	94.03%
2505	60 Neutral		20.82		20.50%	―	―
Sector *	56 Neutral	$5.74B	25.92	-31.28%	5.58%	10.88%	-29.73%
1028	52 Neutral	HK$477.71M	9.13	3.77%	―	-11.44%	111.76%
2393	45 Neutral	HK$272.57M	0.24	1417.08%	―	-20.01%	―

EDA Group Holdings Limited Corporate Events

EDA Group Holdings Limited AGM Resolutions Passed

EDA Group Holdings Limited announced that all resolutions proposed at their Annual General Meeting on May 28, 2025, were approved by shareholders via poll. This includes the acceptance of audited financial statements, declaration of a final dividend, re-election of independent non-executive directors, authorization of director remuneration, and re-appointment of Ernst & Young as independent auditors. The successful passing of these resolutions reflects strong shareholder support and positions the company for continued stability and governance.

The most recent analyst rating on (HK:2505) stock is a Buy with a HK$3.57 price target. To see the full list of analyst forecasts on EDA Group Holdings Limited stock, see the HK:2505 Stock Forecast page.

EDA Group Holdings Secures New Lease in Mississauga

EDA Group Holdings Limited has announced a new lease agreement for a warehouse and office space in Mississauga, Ontario, Canada. The lease, executed by its subsidiary EDA Cloud Canada Inc., spans ten years and involves a base rent starting at C$1.38 per square foot per month, with an average annual increase of 2.5%. The total base rent over the lease term is approximately C$24.7 million. This transaction is classified as a discloseable transaction under Hong Kong’s Listing Rules, requiring notification and announcement but not shareholder approval.

The most recent analyst rating on (HK:2505) stock is a Buy with a HK$3.57 price target. To see the full list of analyst forecasts on EDA Group Holdings Limited stock, see the HK:2505 Stock Forecast page.

EDA Group Holdings Signs 10-Year Lease in UK

EDA Group Holdings Limited, through its wholly owned subsidiary EDA Cloud UK Limited, has entered into a lease agreement for a premises in Telford, Shropshire, UK. The premises will be used for warehouse storage, distribution, and office purposes. The lease term is set for 10 years with an initial rent of £0.35 per square foot per month, increasing to £0.42 per square foot per month from the third year, totaling approximately £8.2 million over the lease term. This transaction is classified as a discloseable transaction under the Listing Rules, requiring notification and announcement but not shareholder approval.

The most recent analyst rating on (HK:2505) stock is a Buy with a HK$3.57 price target. To see the full list of analyst forecasts on EDA Group Holdings Limited stock, see the HK:2505 Stock Forecast page.

EDA Group Holdings Expands U.S. Operations with New Lease Agreement

EDA Group Holdings Limited, through its wholly owned subsidiary EDA International, Inc., has entered into a lease agreement for a substantial warehouse and office space in Atlanta, Georgia. This transaction, classified as discloseable under Hong Kong’s Listing Rules, involves a 63-month lease with a total base rent of approximately US$15.6 million. The lease agreement is expected to enhance the company’s operational capabilities in storage and distribution, potentially strengthening its market position in the U.S.

EDA Group Holdings Limited Announces Annual General Meeting Agenda

EDA Group Holdings Limited has announced its upcoming annual general meeting, scheduled for May 28, 2025, in Hong Kong. Key agenda items include reviewing the audited financial statements for 2024, declaring a final dividend of HK3.5 cents per share, re-electing retiring directors, and re-appointing Ernst & Young as the independent auditor. Additionally, the meeting will address authorizing the board to manage director remuneration and approve share allotment powers, potentially impacting the company’s operational flexibility and shareholder value.

EDA Group Holdings Limited Announces New Lease Agreement in Illinois

EDA Group Holdings Limited, through its wholly owned subsidiary EDA International, Inc., has entered into a lease agreement for a warehouse and office space in Romeoville, Illinois. This transaction is classified as a discloseable transaction under Hong Kong’s Listing Rules, as the value of the right-of-use assets exceeds 5% but is less than 25%. The lease spans 123 months with an initial base rent of $0.58 per square foot per month, increasing by an average of 3.5% annually, totaling approximately US$12.1 million over the lease term.

EDA Group Announces Deemed Disposal of Subsidiary Equity

EDA Group Holdings Limited has announced a significant transaction involving its subsidiaries. Beijing Li Qian, a joint venture company, will acquire a 51.16% equity interest in one of EDA’s indirect wholly-owned subsidiaries, referred to as the Target Company, through a capital injection of RMB83,800,000. This transaction will reduce EDA’s equity interest in the Target Company from 100% to 48.84%, resulting in a deemed disposal under the Listing Rules. The move is considered a discloseable transaction, requiring an announcement but not shareholder approval, and it reflects strategic financial adjustments within the company.