GL-Carlink Technology Holding Limited (2531) AI Stock Analysis

• Market Cap: HK$2.49B
• Dividend Yield: N/A
• Average Volume (3M): 363.24K
• Price to Earnings (P/E): 49.8
• Beta (1Y): 1.28
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 247
• Sector: Technology
• Sector Strength: 88
• Industry: Auto - Parts
• EPS (TTM): N/A
• Shares Outstanding: 366,600,000
• 10 Day Avg. Volume: 92,176
• 30 Day Avg. Volume: 363,242
• PEG Ratio: -8.85
• Price to Book (P/B): 14.04
• Price to Sales (P/S): 13.22
• P/FCF Ratio: 227.10
• 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: 59 Neutral
• Price Target: HK$7.50 ▼(-20.38% Downside)

The score is supported primarily by strong revenue growth and a robust, low-leverage balance sheet, but is held back by the lack of reported cash flow generation in 2024. Bearish technicals and a high P/E further pressure the overall rating.

Positive Factors

Revenue Growth

The company's significant revenue growth indicates robust market demand and successful product adoption, supporting long-term expansion.

Gross Margin Improvement

Higher gross margins reflect improved cost management and pricing power, enhancing profitability and competitive positioning.

Low Leverage

Low leverage indicates financial stability and flexibility, allowing the company to invest in growth opportunities without excessive risk.

Negative Factors

Cash Flow Concerns

Lack of cash flow generation raises concerns about operational efficiency and capital allocation, potentially impacting future investments.

Net Margin Decline

Decreasing net margins suggest rising costs or pricing pressures, which could hinder profitability and long-term financial health.

Profitability Challenges

Moderate EBIT and EBITDA margins highlight operational efficiency issues, suggesting room for improvement in cost control and profitability.

GL-Carlink Technology Holding Limited Business Overview & Revenue Model

Company Description

GL-Carlink Technology Holding Limited engages in the wholesale and retail sale of in-vehicle hardware products to the automotive aftermarket industry in the People's Republic of China. It offers in-vehicle infotainment systems, such as smart car GPS navigations and smart car central control screens; in-vehicle safety systems, including smart car dash cameras and smart car rear-view mirrors, and related car modules; and core boards. The company also provides software-as-a-service (SaaS) marketing and management services comprising SaaS subscription and SaaS value-added services. It serves sales, service, spare parts, and surveys (4S) stores; channel partners; automotive financing and leasing companies; and in-vehicle device original brand manufacturers. The company was founded in 2012 and is headquartered in Shenzhen, the People's Republic of China.

How the Company Makes Money

GL-Carlink Technology Holding Limited generates revenue primarily through the sale and licensing of its automotive connectivity solutions and services. The company offers telematics systems that enable real-time data exchange between vehicles and external networks, providing valuable insights for both consumers and automotive manufacturers. Revenue streams include product sales, subscription-based services, and partnerships with automotive manufacturers and technology providers. These collaborations help integrate GL-Carlink's technologies into vehicles, further expanding its market reach and enhancing its revenue potential.

GL-Carlink Technology Holding Limited Financial Statement Overview

Summary

GL-Carlink Technology Holding Limited demonstrates strong revenue growth and balance sheet stability, with low leverage and high equity ratios. However, the decline in net profit margin and absence of cash flow generation in 2024 highlight areas for improvement. The company should focus on enhancing profitability and cash flow management to sustain its growth trajectory.

Income Statement

The company shows impressive revenue growth with a 24.9% increase from 2023 to 2024. Gross profit margin has improved from 44.9% in 2023 to 62.4% in 2024, indicating better cost management. However, the net profit margin slightly decreased from 9.1% to 6.3%, suggesting increased expenses. EBIT and EBITDA margins for 2024 are 6.0% and 6.8%, respectively, reflecting operational efficiency but also room for improvement in profitability.

Balance Sheet

The company maintains a strong balance sheet with a debt-to-equity ratio of 0.07, indicating low leverage and financial stability. The equity ratio improved to 72.6%, showing robust equity financing. Return on equity is stable at 6.7% in 2024, reflecting consistent shareholder returns. The company's high cash reserves also buffer against potential financial risks.

Cash Flow

Cash flow metrics are concerning due to zero reported operating and free cash flow in 2024, which raises questions about cash generation efficiency. However, the company had positive operating cash flow in 2023. The lack of free cash flow growth indicates potential challenges in cash management or capital allocation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	695.18M	700.42M	560.57M	413.86M	326.77M
Gross Profit	475.17M	437.36M	251.78M	173.19M	94.68M
EBITDA	32.79M	46.81M	75.11M	65.51M	49.22M
Net Income	44.66M	44.44M	51.13M	44.15M	31.83M
Balance Sheet
Total Assets	925.75M	907.75M	565.85M	561.98M	518.52M
Cash, Cash Equivalents and Short-Term Investments	398.05M	456.25M	315.55M	297.27M	177.90M
Total Debt	96.67M	46.08M	46.17M	39.93M	40.70M
Total Liabilities	247.40M	248.53M	200.54M	250.56M	241.60M
Stockholders Equity	678.52M	659.40M	365.41M	306.73M	273.17M
Cash Flow
Free Cash Flow	97.27M	40.77M	10.13M	15.06M	46.11M
Operating Cash Flow	91.16M	45.25M	26.12M	30.28M	57.59M
Investing Cash Flow	-130.06M	-37.76M	-11.80M	80.99M	-36.73M
Financing Cash Flow	0.00	245.55M	4.68M	-18.20M	6.28M

GL-Carlink Technology Holding Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.42
• 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:2531, the sentiment is Negative. The current price of 9.42 is above the 20-day moving average (MA) of 8.19, below the 50-day MA of 11.37, and below the 200-day MA of 13.49, indicating a bearish trend. The MACD of -1.59 indicates Negative momentum. The RSI at 35.12 is Neutral, neither overbought nor oversold. The STOCH value of 35.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2531.

GL-Carlink Technology Holding Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1809	78 Outperform	HK$5.24B	4.83	15.64%	8.39%	2.85%	-33.83%
1571	76 Outperform	HK$3.83B	7.35	13.59%	13.26%	-3.80%	-27.62%
1760	64 Neutral	HK$2.13B	12.27	6.62%	3.20%	13.35%	-38.32%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
2531	59 Neutral	HK$2.49B	49.77	8.35%	―	―	―
6830	44 Neutral	HK$403.38M	7.62	3.56%	1.22%	14.93%	19.84%
6162	44 Neutral	HK$590.00M	-1,475.00	-0.12%	―	23.71%	-112.50%

GL-Carlink Technology Holding Limited Corporate Events

GL-Carlink Says Operations Stable Despite Unusual Share Price Movements

GL-Carlink Technology Holding Limited reported that it has observed recent unusual fluctuations in its share price but, after making reasonable enquiries, the board stated it is not aware of any specific reason, undisclosed information or inside information that would explain the movements. The company emphasized that its business operations remain normal and stable, with its core business advancing as usual, and indicated there are no material matters requiring disclosure at this time, aiming to reassure investors and the market about its operational status despite the volatility in its stock.

The most recent analyst rating on (HK:2531) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on GL-Carlink Technology Holding Limited stock, see the HK:2531 Stock Forecast page.

GL-Carlink Terminates MOU, Continues RWA Business Development

GL-Carlink Technology Holding Limited announced the termination of its Memorandum of Understanding (MOU) with High West due to the inability to reach a definitive agreement, which will not adversely affect the company’s financial condition. Despite this, the company continues to focus on developing its RWA business, including the tokenization of traditional assets and energy data from electric vehicle infrastructure. The company is also exploring shared mobility as a strategic entry point for RWA deployment and has registered new patents related to data processing and application. GL-Carlink aims to expand its RWA business by leveraging its expertise in ICV data development, ensuring compliance with legal and regulatory standards.

The most recent analyst rating on (HK:2531) stock is a Hold with a HK$14.50 price target. To see the full list of analyst forecasts on GL-Carlink Technology Holding Limited stock, see the HK:2531 Stock Forecast page.

GL-Carlink Technology Reports Mixed Financial Results Amid Strategic Expansion

GL-Carlink Technology Holding Limited reported a 1.8% decrease in total revenue for the first three quarters of 2025 compared to the same period in 2024, while gross profit increased by 15.5%. The company’s software and services business saw significant growth, with revenue and gross profit increasing by 12.6% and 21.5%, respectively. This growth is attributed to the company’s focus on high-margin software and services, expanding its customer base among NEV automotive manufacturers, and introducing new service categories like digital used-car business. The company anticipates further growth opportunities in the NEV market in China, driven by the implementation of digital systems and marketing services.

The most recent analyst rating on (HK:2531) stock is a Hold with a HK$14.50 price target. To see the full list of analyst forecasts on GL-Carlink Technology Holding Limited stock, see the HK:2531 Stock Forecast page.

GL-Carlink Technology Announces Board Composition and Roles

GL-Carlink Technology Holding Limited has announced the composition of its board of directors, highlighting the roles and functions of each member. This announcement provides clarity on the leadership structure, which is crucial for stakeholders to understand the governance and strategic direction of the company.

The most recent analyst rating on (HK:2531) stock is a Hold with a HK$14.50 price target. To see the full list of analyst forecasts on GL-Carlink Technology Holding Limited stock, see the HK:2531 Stock Forecast page.

GL-Carlink Announces Resignation of Non-Executive Director Amid Regulatory Penalty

GL-Carlink Technology Holding Limited announced the resignation of Mr. Cui Changsheng from his position as a non-executive director due to personal reasons, effective October 13, 2025. This resignation follows an administrative penalty imposed on Mr. Cui by the China Securities Regulatory Commission for violations of the Securities Law, resulting in a fine, forfeiture of illegal gains, and a five-year ban from the securities market. The company expressed gratitude for Mr. Cui’s contributions and confirmed no disagreements between him and the board.

The most recent analyst rating on (HK:2531) stock is a Hold with a HK$14.50 price target. To see the full list of analyst forecasts on GL-Carlink Technology Holding Limited stock, see the HK:2531 Stock Forecast page.