Greentown Service Group Co. Ltd. (2869) AI Stock Analysis

• Market Cap: HK$14.75B
• Dividend Yield: 2.78%
• Average Volume (3M): 4.85M
• Price to Earnings (P/E): 17.2
• Beta (1Y): 1.24
• Revenue Growth: -0.95%
• EPS Growth: 14.89%
• Country: HK
• Employees: 48,423
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.21
• Shares Outstanding: 3,152,559,600
• 10 Day Avg. Volume: 4,213,546
• 30 Day Avg. Volume: 4,849,073
• PEG Ratio: 1.38
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 9.87
• 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$6.13
• Price Target Upside: 35.32% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 70 Outperform
• Price Target: HK$5.00 ▲(10.38% Upside)

Greentown Service Group's strong financial performance is the primary driver of its score, supported by solid revenue growth and efficient cash flow management. However, technical indicators suggest weak market momentum, and the stock is fairly valued, which tempers the overall score.

Positive Factors

Cash Flow Generation

Strong cash flow generation supports operational and investment activities, ensuring financial flexibility and stability over the long term.

Governance and Leadership

Enhanced governance with new appointments and committee structure improves strategic oversight and aligns with corporate governance standards.

Employee Retention Strategy

Incentivizing key personnel with share options aligns employee interests with long-term goals, aiding in talent retention and company stability.

Negative Factors

Revenue Growth Challenges

Slower revenue growth could indicate market saturation or increased competition, potentially impacting future profitability and expansion.

Asset Management Concerns

A decrease in total assets suggests potential challenges in asset management, which may affect the company's ability to leverage opportunities.

Industry Competition

High competition in the property management industry may pressure margins and limit pricing power, impacting long-term profitability.

Greentown Service Group Co. Ltd. Business Overview & Revenue Model

Company Description

Greentown Service Group Co. Ltd. provides residential property management services in China, Australia, and Hong Kong. The company offers property management services, including security, cleaning, gardening, and repair and maintenance services; project planning, design management, construction management, and marketing management consulting services to real estate developers; and management consulting services to real estate developers and property management companies. It also provides home living, community space, property asset management, and cultural and education services to property owners and residents. In addition, the company offers nursery, hotel management, recreational, exhibitions and market promotion, conventional, business consultancy and housekeeping, property management related training, computer networking technology, education consultancy, financial service outsourcing, and information technology and consultancy services. Further, it provides pension, supply chain management, education software development, advertisement design, equipment maintenance, and wholesale and retail services, as well as community leasing, sales, and other services. The company was founded in 1998 and is headquartered in Hangzhou, the People's Republic of China.

How the Company Makes Money

Greentown Service Group generates revenue primarily through its property management services, which include the management of residential complexes and commercial properties. The company also earns income from community value-added services, such as maintenance, cleaning, and security services, as well as from leasing and sales of real estate. Additionally, partnerships with real estate developers and local governments enhance its revenue streams by providing integrated service solutions that cater to the evolving needs of property owners and tenants.

Greentown Service Group Co. Ltd. Financial Statement Overview

Summary

Greentown Service Group demonstrates a solid financial performance with consistent revenue growth and strong margins. The balance sheet reflects low leverage and a strong equity base, though a slight decrease in total assets suggests careful management of liabilities is necessary. Strong cash flow generation supports operational and investment activities.

Income Statement

Greentown Service Group has demonstrated a solid financial performance with consistent revenue growth and strong profit margins. The revenue growth rate from 2023 to 2024 is approximately 2.88%, showing steady expansion. Gross Profit Margin stands at 16.83%, while the Net Profit Margin is a healthy 4.39%. The company's EBIT Margin is 5.67% and EBITDA Margin is 7.83%, indicating efficient operations. Overall, the income statement reflects robust profitability and growth.

Balance Sheet

The balance sheet of Greentown Service Group exhibits a stable financial position with a Debt-to-Equity Ratio of 0.10, indicating low leverage. The Return on Equity (ROE) is 10.08%, showing effective use of equity to generate profits. The Equity Ratio is 44.01%, reflecting a strong capital structure. However, the company's total assets have slightly decreased, and careful management of liabilities is advisable to maintain this position.

Cash Flow

The company has shown strong cash flow generation capabilities with a Free Cash Flow growth rate of 23.53% from 2023 to 2024. The Operating Cash Flow to Net Income Ratio is 1.88, and the Free Cash Flow to Net Income Ratio is 1.47, indicating that the company efficiently converts its income into cash. This strong cash flow position supports the company's operational and investment activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.11B	17.89B	17.39B	14.86B	12.57B	10.11B
Gross Profit	3.08B	3.01B	2.91B	2.40B	2.33B	1.92B
EBITDA	1.51B	1.40B	1.54B	1.05B	1.23B	970.75M
Net Income	893.19M	785.08M	605.37M	547.50M	846.27M	710.41M
Balance Sheet
Total Assets	18.37B	17.69B	18.08B	16.85B	14.37B	13.08B
Cash, Cash Equivalents and Short-Term Investments	5.25B	5.79B	5.69B	5.07B	5.51B	5.99B
Total Debt	717.55M	803.52M	1.73B	1.85B	1.32B	1.37B
Total Liabilities	9.91B	9.15B	9.86B	8.98B	7.00B	5.97B
Stockholders Equity	7.71B	7.79B	7.41B	7.12B	7.02B	6.82B
Cash Flow
Free Cash Flow	-466.79M	1.15B	933.16M	241.48M	609.28M	968.42M
Operating Cash Flow	-398.52M	1.47B	1.44B	695.28M	1.02B	1.32B
Investing Cash Flow	-223.37M	-503.29M	-377.53M	-140.77M	-301.51M	-2.26B
Financing Cash Flow	-177.63M	-651.45M	-717.25M	-720.42M	-778.69M	2.98B

Greentown Service Group Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.53
• 50DMA: Negative
• 100DMA: Negative
• 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:2869, the sentiment is Negative. The current price of 4.53 is below the 20-day moving average (MA) of 4.68, below the 50-day MA of 4.82, and above the 200-day MA of 4.29, indicating a neutral trend. The MACD of -0.07 indicates Positive momentum. The RSI at 39.38 is Neutral, neither overbought nor oversold. The STOCH value of 44.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2869.

Greentown Service Group Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3316	―	HK$7.05B	11.28	38.46%	6.75%	21.11%	9.61%
2869	―	HK$14.75B	17.19	10.30%	2.78%	-0.95%	14.89%
2669	―	$15.99B	9.43	30.27%	3.59%	―	―
6049	―	HK$18.59B	11.29	15.94%	4.29%	6.54%	3.26%
6098	―	$21.10B	14.22	3.72%	4.89%	7.23%	―
Sector *	―	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
6666	―	HK$12.00B	11.19	185.17%	―	4.74%	-21.33%

Greentown Service Group Co. Ltd. Corporate Events

Greentown Service Group Reports 6.1% Revenue Growth in H1 2025

Greentown Service Group Co. Ltd. announced its unaudited interim results for the first half of 2025, reporting a 6.1% increase in revenue to RMB9,288.7 million compared to the same period in 2024. The company’s property services segment led the growth with a 10.2% increase in revenue, while community living services saw a decline. The company also reported a 22.2% increase in profit for the period, reaching RMB628.8 million, and a 25.3% rise in core operating profit. Despite these positive results, the company decided not to declare an interim dividend.

The most recent analyst rating on (HK:2869) stock is a Buy with a HK$5.60 price target. To see the full list of analyst forecasts on Greentown Service Group Co. Ltd. stock, see the HK:2869 Stock Forecast page.

Greentown Service Group Announces Board Meeting to Review Interim Results

Greentown Service Group Co. Ltd. has announced that its board of directors will hold a meeting on August 22, 2025, to consider and approve the interim results for the six months ended June 30, 2025. The meeting will also discuss the potential payment of an interim dividend and address other business matters, indicating a focus on financial performance and shareholder returns.

The most recent analyst rating on (HK:2869) stock is a Buy with a HK$5.70 price target. To see the full list of analyst forecasts on Greentown Service Group Co. Ltd. stock, see the HK:2869 Stock Forecast page.