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Cloud Factory Technology Holdings Limited (HK:2512)
:2512
Hong Kong Market
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Cloud Factory Technology Holdings Limited (2512) AI Stock Analysis

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HK:2512

Cloud Factory Technology Holdings Limited

(2512)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
HK$3.00
▼(-16.67% Downside)
Action:Reiterated
Date:05/02/26
The score is held back primarily by inconsistent cash generation (large 2024 outflows and sharply weaker 2025 free cash flow) and thin, deteriorating margins despite strong 2025 revenue growth. Technicals are also weak with the price below major moving averages. Valuation adds pressure due to a very high P/E and no provided dividend yield.
Positive Factors
Sustained Revenue Momentum
Revenue accelerated 23.4% in 2025 after a near‑flat 2024, evidencing durable demand and commercial traction. Strong top‑line momentum provides a foundation for scale, better fixed‑cost absorption and potential market share gains over the medium term if execution persists.
Negative Factors
Thinning Profitability
Gross margin declined to ~10.2% from ~12.7% and net margin to ~1.2% from ~1.7%, signaling persistent margin pressure. Continued compression limits the company’s ability to fund reinvestment from earnings and undermines sustainable earnings power despite top‑line growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Sustained Revenue Momentum
Revenue accelerated 23.4% in 2025 after a near‑flat 2024, evidencing durable demand and commercial traction. Strong top‑line momentum provides a foundation for scale, better fixed‑cost absorption and potential market share gains over the medium term if execution persists.
Read all positive factors

Cloud Factory Technology Holdings Limited (2512) vs. iShares MSCI Hong Kong ETF (EWH)

Cloud Factory Technology Holdings Limited Business Overview & Revenue Model

Company Description
Cloud Factory Technology Holdings Limited, established in Wuxi, People's Republic of China in 2013, operates primarily within the Chinese market, delivering a comprehensive suite of internet data center (IDC) and information and communications tec...

Cloud Factory Technology Holdings Limited Financial Statement Overview

Summary
Revenue growth rebounded strongly in 2025 (+23.4%), but profitability is thin and weakening (gross margin ~10.2% vs ~12.7%; net margin ~1.2% vs ~1.7%) with modest declines in EBIT/net income. Balance sheet leverage is moderate but rising (debt-to-equity ~0.81 vs ~0.65) and ROE remains low (~2.3%). Cash flow is the biggest concern: 2024 had sharply negative operating/free cash flow, and 2025 free cash flow is very small and down ~92.8% year-over-year, pointing to inconsistent cash conversion.
Income Statement
66
Positive
Balance Sheet
57
Neutral
Cash Flow
38
Negative
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue943.50M707.63M695.95M548.75M464.28M
Gross Profit96.01M89.62M87.64M68.94M56.44M
EBITDA26.60M16.10M22.29M11.64M18.40M
Net Income11.55M12.09M13.92M8.03M12.69M
Balance Sheet
Total Assets1.38B911.41M501.74M313.28M252.94M
Cash, Cash Equivalents and Short-Term Investments604.05M371.88M162.34M77.99M47.01M
Total Debt398.27M263.31M167.99M67.20M42.08M
Total Liabilities863.07M505.49M446.84M267.60M215.29M
Stockholders Equity490.51M402.44M54.14M45.68M37.64M
Cash Flow
Free Cash Flow6.46M-255.27M21.03M8.05M62.57M
Operating Cash Flow42.78M-237.99M33.91M16.55M68.28M
Investing Cash Flow-10.96M15.54M-121.32M-7.39M-5.35M
Financing Cash Flow202.60M424.78M171.76M21.82M-16.82M

Cloud Factory Technology Holdings Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price3.60
Price Trends
50DMA
3.02
Negative
100DMA
3.15
Negative
200DMA
3.46
Negative
Market Momentum
MACD
-0.03
Negative
RSI
50.44
Neutral
STOCH
61.56
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2512, the sentiment is Neutral. The current price of 3.6 is above the 20-day moving average (MA) of 2.92, above the 50-day MA of 3.02, and above the 200-day MA of 3.46, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 50.44 is Neutral, neither overbought nor oversold. The STOCH value of 61.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:2512.

Cloud Factory Technology Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
64
Neutral
HK$495.57M3.421.74%2.52%13.62%
58
Neutral
HK$1.76B11.639.88%10.65%120.39%
56
Neutral
HK$49.15B14.9910.18%9.83%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
49
Neutral
HK$3.04B77.12-4.20%2.65%26.48%
48
Neutral
HK$1.49B100.132.55%33.54%-4.91%
45
Neutral
HK$8.00B19.362.73%1.06%0.47%-36.22%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2512
Cloud Factory Technology Holdings Limited
2.95
-1.65
-35.87%
HK:0354
Chinasoft International
2.96
-2.51
-45.90%
HK:0861
Digital China Holdings
1.82
-1.22
-40.13%
HK:9698
GDS Holdings Ltd.
30.66
-4.84
-13.63%
HK:1075
Capinfo Co., Ltd. Class H
1.71
-0.35
-17.07%
HK:2416
Edianyun Limited
3.31
1.11
50.45%

Cloud Factory Technology Holdings Limited Corporate Events

Cloud Factory Technology Wins Unanimous Shareholder Backing at AGM
Jun 23, 2026
Shareholders of Cloud Factory Technology Holdings Limited unanimously approved all resolutions at the annual general meeting held on 23 June 2026, including adoption of the 2025 audited financial statements and re-election of all retiring executiv...
Cloud Factory Technology Names Red Solar as Compliance Adviser After HKEX Disciplinary Action
May 6, 2026
Cloud Factory Technology Holdings has appointed Red Solar Capital Limited as its ongoing compliance adviser, following a disciplinary action taken by the Hong Kong Stock Exchange over breaches of listing rules by the company and certain former and...
Cloud Factory Technology Sets 2026 AGM to Approve Financials, Board Slate and Share Issuance Mandate
Apr 27, 2026
Cloud Factory Technology Holdings has called its annual general meeting for 23 June 2026 in Wuxi, where shareholders will review and adopt the audited financial statements for the year ended 31 December 2025 and related board and auditor reports. ...
Cloud Factory Technology Moves to Update Articles to Meet New HKEX Rules
Apr 21, 2026
Cloud Factory Technology Holdings Limited plans to amend its articles of association and adopt a new set of articles to align with recent changes to Hong Kong’s Listing Rules. The revisions will address hybrid shareholder meetings and electr...
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 02, 2026