Beijing Tong Ren Tang Chinese Medicine Co (3613) AI Stock Analysis

• Market Cap: $7.37B
• Dividend Yield: 3.97%
• Average Volume (3M): 1.44M
• Price to Earnings (P/E): 14.3
• Beta (1Y): 0.78
• Revenue Growth: 24.13%
• EPS Growth: 4.29%
• Country: HK
• Employees: 782
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): 0.28
• Shares Outstanding: 837,100,000
• 10 Day Avg. Volume: 1,338,102
• 30 Day Avg. Volume: 1,442,489
• PEG Ratio: -1.91
• Price to Book (P/B): 1.80
• Price to Sales (P/S): 4.56
• P/FCF Ratio: -28.22
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 3.47
• Enterprise Value/Gross Profit: 5.25
• Enterprise Value/Ebitda: 9.44
• 1Y Price Target: $10.03
• Price Target Upside: 13.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: HK$10.00 ▲(13.25% Upside)

Beijing Tong Ren Tang Chinese Medicine Co's strong financial performance, characterized by robust balance sheet metrics and consistent revenue growth, is the primary driver of its stock score. The technical analysis suggests a neutral market sentiment, while the valuation indicates a fair market price with an attractive dividend yield. The absence of recent cash flow data and earnings call insights introduces some uncertainty, but the company's overall financial health remains a strong positive factor.

Beijing Tong Ren Tang Chinese Medicine Co Business Overview & Revenue Model

Company Description

Beijing Tong Ren Tang Chinese Medicine Company Limited, together with its subsidiaries, engages in the manufacture, retail, and wholesale of Chinese medicine and healthcare products to wholesalers and individuals. The company operates through three segments: Hong Kong, Mainland China, and Overseas. It also offers Chinese medical consultation and treatment services. The company operates 23 retail outlets in Hong Kong and 46 retail outlets in other countries and regions in Asia, Oceania, North America, and Europe. It markets its products under the Tong Ren Tang brand. The company was founded in 1669 and is based in Wan Chai, Hong Kong.

How the Company Makes Money

Beijing Tong Ren Tang Chinese Medicine Co generates revenue primarily through the sale of its traditional Chinese medicine products. The company's revenue model includes direct retail sales through its network of stores and e-commerce platforms, as well as wholesale distribution to pharmacies, healthcare providers, and international markets. Key revenue streams include proprietary herbal formulations, over-the-counter health supplements, and wellness products. Significant partnerships with healthcare institutions and collaborations with research organizations also contribute to its earnings by enhancing product development and expanding market reach. Additionally, the company's strategic focus on integrating TCM with modern healthcare practices helps in tapping into new customer segments and increasing its revenue base.

Beijing Tong Ren Tang Chinese Medicine Co Financial Statement Overview

Summary

Beijing Tong Ren Tang Chinese Medicine Co shows strong financial health with consistent revenue growth, solid profitability metrics, and a robust balance sheet. The net profit margin has slightly decreased, and the absence of recent cash flow data poses a potential risk.

Income Statement

Beijing Tong Ren Tang Chinese Medicine Co has shown consistent revenue growth over recent years, with a slight dip in 2024. The gross profit and EBIT margins are strong, indicating efficient operations and cost management. However, the net profit margin decreased slightly, reflecting potential challenges in controlling non-operating expenses or taxes.

Balance Sheet

The company maintains a robust balance sheet with a high equity ratio, indicating financial stability and low leverage risk. The debt-to-equity ratio is very low, suggesting prudent financial management. High stockholders' equity relative to total assets reflects a strong capital position.

Cash Flow

The company's free cash flow has been positive but shows volatility, with no data available for 2024. The high operating cash flow relative to net income in prior years indicates strong cash generation from operations, but the lack of recent data prevents a comprehensive assessment of current cash flow health.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.61B	1.52B	1.73B	1.56B	1.32B
Gross Profit	1.07B	1.05B	1.15B	1.12B	952.90M
EBITDA	722.32M	779.54M	907.63M	852.81M	769.14M
Net Income	500.28M	540.39M	645.88M	607.84M	542.46M
Balance Sheet
Total Assets	4.56B	4.43B	4.23B	3.83B	3.42B
Cash, Cash Equivalents and Short-Term Investments	1.82B	2.38B	2.24B	2.28B	1.85B
Total Debt	123.42M	131.81M	103.08M	128.48M	106.01M
Total Liabilities	313.09M	413.75M	486.49M	295.48M	287.46M
Stockholders Equity	4.08B	3.87B	3.60B	3.42B	3.02B
Cash Flow
Free Cash Flow	-260.42M	438.96M	508.94M	753.74M	103.17M
Operating Cash Flow	-217.25M	460.83M	547.44M	777.17M	116.05M
Investing Cash Flow	1.35B	-1.08B	335.41M	-265.73M	506.73M
Financing Cash Flow	-355.30M	-372.18M	-535.42M	-278.65M	-264.30M

Beijing Tong Ren Tang Chinese Medicine Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.83
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3613, the sentiment is Negative. The current price of 8.83 is below the 20-day moving average (MA) of 9.08, below the 50-day MA of 9.19, and above the 200-day MA of 8.47, indicating a neutral trend. The MACD of -0.08 indicates Positive momentum. The RSI at 39.19 is Neutral, neither overbought nor oversold. The STOCH value of 14.85 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3613.

Beijing Tong Ren Tang Chinese Medicine Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2877	73 Outperform	HK$6.16B	6.90	11.25%	6.20%	-20.64%	-25.39%
6896	72 Outperform	HK$2.57B	8.87	21.73%	14.37%	-2.70%	2.19%
3613	70 Outperform	$7.37B	14.31	13.22%	3.97%	24.13%	4.29%
1666	69 Neutral	HK$6.13B	13.20	―	4.10%	0.73%	-34.04%
0570	54 Neutral	HK$11.99B	-41.90	0.25%	3.29%	-9.58%	-128.83%
2616	49 Neutral	HK$10.76B	-23.90	-25.07%	―	-55.64%	-158.67%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Beijing Tong Ren Tang Chinese Medicine Co Corporate Events

Beijing Tong Ren Tang Chinese Medicine Co Reports Successful AGM Outcomes

Beijing Tong Ren Tang Chinese Medicine Co announced the successful passing of all proposed resolutions at its annual general meeting held on June 3, 2025. Key resolutions included the re-election of directors, approval of a final dividend, and the re-appointment of Ernst & Young as auditors, reflecting strong shareholder support and strategic continuity for the company.

Beijing Tong Ren Tang Issues Supplemental Notice for AGM

Beijing Tong Ren Tang Chinese Medicine Co. has issued a supplemental notice for its upcoming annual general meeting on June 3, 2025. The notice includes additional resolutions for the re-election of Mr. Yue Zheng and Mr. Yan Han as executive directors. Shareholders are advised to submit a revised form of proxy to accommodate these new resolutions, ensuring their voting rights are maintained at the meeting.

Leadership Changes at Beijing Tong Ren Tang Chinese Medicine Co

Beijing Tong Ren Tang Chinese Medicine Co announced significant changes in its executive leadership, with the resignation of Mr. Chen Fei from multiple roles, including executive director and member of the competition executive committee, effective May 12, 2025. The company expressed gratitude for Mr. Chen’s contributions. Concurrently, Mr. Yue Zheng has been appointed as an executive director and vice chairman of the board, while Mr. Yan Han has taken on roles as an executive director, member of the competition executive committee, and authorized representative. These appointments are expected to influence the company’s strategic direction and reinforce its leadership structure.