Chia Tai Enterprises International (3839) AI Stock Analysis

• Market Cap: HK$1.69B
• Dividend Yield: N/A
• Average Volume (3M): 166.49K
• Price to Earnings (P/E): 7.0
• Beta (1Y): 1.55
• Revenue Growth: 153.95%
• EPS Growth: 551.46%
• Country: HK
• Employees: 900
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.20
• Shares Outstanding: 240,718,300
• 10 Day Avg. Volume: 121,886
• 30 Day Avg. Volume: 166,494
• PEG Ratio: 0.01
• Price to Book (P/B): 0.21
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -18.99
• 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: 62 Neutral
• Price Target: HK$7.50 ▲(12.28% Upside)

Chia Tai Enterprises International's stock score is primarily driven by its strong financial performance, particularly revenue growth and improving profit margins. However, the lack of positive cash flow and neutral technical indicators present challenges. The stock's undervaluation offers potential upside, but the absence of a dividend yield may deter some investors.

Positive Factors

Revenue Growth

The company's strong revenue growth indicates expanding market reach and successful product adoption, which are critical for long-term business sustainability and competitive positioning.

Financial Stability

A low debt-to-equity ratio suggests financial stability and prudent management, providing the company with flexibility to invest in growth opportunities without over-reliance on debt.

Profit Margin Improvement

Improved profit margins reflect enhanced operational efficiency and cost management, which are essential for sustaining profitability and competitive advantage in the long term.

Negative Factors

Cash Flow Challenges

The absence of positive cash flow suggests potential liquidity constraints, which could limit the company's ability to invest in growth and manage financial obligations effectively.

Asset Utilization

Suboptimal asset utilization can hinder the company's ability to maximize returns on investments, affecting long-term profitability and shareholder value.

EBIT and EBITDA Margins

Lower EBIT and EBITDA margins indicate potential inefficiencies in operations, which could impact the company's ability to generate sufficient earnings from its core business activities.

Chia Tai Enterprises International Business Overview & Revenue Model

Company Description

Chia Tai Enterprises International (3839) is a prominent agribusiness company based in Thailand, primarily engaged in the production and distribution of seeds, agricultural products, and related services. The company operates in various sectors, including seed production, crop protection, and agricultural technology. Its core offerings encompass a diverse range of seeds for crops such as vegetables, fruits, and field crops, alongside providing innovative solutions aimed at enhancing agricultural productivity and sustainability.

How the Company Makes Money

Chia Tai Enterprises International generates revenue through multiple streams, primarily from the sale of seeds and agricultural products. The company leverages its extensive research and development initiatives to create high-quality seeds tailored to meet the demands of farmers and agricultural businesses. Additionally, revenue is derived from the provision of crop protection products and agronomic services. Strategic partnerships with agricultural institutions and collaborations with local farmers enhance its market presence and contribute to its earnings. The company also benefits from expanding its distribution networks and entering new markets, which are crucial for driving sales and increasing market share.

Chia Tai Enterprises International Financial Statement Overview

Summary

Chia Tai Enterprises International shows strong revenue growth and improving profit margins, indicating positive operational momentum. The balance sheet reflects financial stability with low leverage. However, the lack of positive cash flow is a significant risk, highlighting the need for improved cash management.

Income Statement

Chia Tai Enterprises International has shown a strong revenue growth rate with a significant increase from 2023 to 2024. The gross profit margin stands at 15.90% for 2024, depicting healthy profitability. Additionally, the net profit margin improved to 3.63%, indicating better cost management and operational efficiency. However, there is room for improvement in EBIT and EBITDA margins, which suggest potential for enhanced operational performance.

Balance Sheet

The company's debt-to-equity ratio is 0.29, reflecting a conservative approach to leverage and strong equity financing. The equity ratio is 55.60%, indicating a robust financial position with a substantial portion of assets financed by equity. Return on Equity (ROE) is modest at 4.76% for 2024, suggesting average returns for shareholders. There is a need to enhance asset utilization and profitability to boost ROE.

Cash Flow

Chia Tai Enterprises International faces challenges in cash flow management, as evidenced by no reported operating or free cash flow for 2024. The absence of positive cash flow suggests potential liquidity constraints. Historically, the company has struggled with consistent free cash flow generation, highlighting the need for improved cash flow efficiency and cost control.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	523.10M	307.75M	173.98M	159.24M	142.41M	93.58M
Gross Profit	72.73M	48.93M	30.18M	39.19M	34.76M	24.90M
EBITDA	39.46M	17.51M	11.29M	5.17M	12.38M	23.73M
Net Income	26.25M	11.17M	2.55M	-6.68M	19.56M	16.25M
Balance Sheet
Total Assets	448.53M	422.21M	377.37M	350.58M	365.22M	330.70M
Cash, Cash Equivalents and Short-Term Investments	35.49M	32.38M	37.61M	30.86M	31.09M	32.26M
Total Debt	59.09M	69.17M	78.17M	49.10M	42.61M	20.50M
Total Liabilities	163.63M	161.70M	125.36M	94.83M	81.69M	80.09M
Stockholders Equity	255.65M	234.77M	228.43M	230.85M	253.06M	228.00M
Cash Flow
Free Cash Flow	0.00	-2.56M	-27.17M	-10.38M	-28.46M	-9.23M
Operating Cash Flow	0.00	11.29M	-16.06M	5.63M	-10.91M	4.03M
Investing Cash Flow	0.00	-9.27M	-7.14M	-15.64M	-9.84M	-10.87M
Financing Cash Flow	0.00	-7.07M	30.23M	10.38M	19.36M	249.00K

Chia Tai Enterprises International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.68
• 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:3839, the sentiment is Negative. The current price of 6.68 is below the 20-day moving average (MA) of 7.15, below the 50-day MA of 7.16, and above the 200-day MA of 4.99, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 38.17 is Neutral, neither overbought nor oversold. The STOCH value of 10.94 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3839.

Chia Tai Enterprises International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0239	74 Outperform	HK$766.63M	10.80	9.75%	7.52%	-24.96%	-26.43%
3839	62 Neutral	HK$1.69B	7.02	12.24%	―	153.95%	551.46%
3737	61 Neutral	HK$448.91M	20.15	1.87%	9.43%	-1.99%	-81.52%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
1652	49 Neutral	HK$558.77M	-3.12	-40.38%	―	-43.46%	-96.48%
0897	46 Neutral	HK$450.04M	-31.71	-1.16%	7.50%	59.60%	-351.02%
0455	41 Neutral	HK$234.35M	-3.51	-13.08%	―	-19.28%	-42.27%

Chia Tai Enterprises International Corporate Events

Chia Tai Enterprises Updates Audit Committee Terms for Enhanced Governance

Chia Tai Enterprises International Limited has updated the terms of reference for its Audit Committee, originally established by the board of directors in 2014. The Committee, which consists solely of non-executive directors, is responsible for overseeing the company’s financial reporting and audit processes. The recent amendments to the terms of reference, effective from November 2025, aim to enhance the governance and operational efficiency of the Committee, ensuring compliance with relevant regulations and improving stakeholder confidence in the company’s financial oversight.

Chia Tai Enterprises Updates Remuneration Committee Terms

Chia Tai Enterprises International Limited has updated the terms of reference for its Remuneration Committee, which was initially established by the board of directors in 2014. The committee is responsible for developing a transparent remuneration policy for directors and senior management, ensuring alignment with corporate goals and industry standards. The updated terms emphasize the committee’s authority to recommend remuneration structures and recruitment guidelines for senior management, aiming to enhance governance and operational efficiency.

Chia Tai Enterprises Updates Nomination Committee Terms

Chia Tai Enterprises International Limited has updated the terms of reference for its Nomination Committee, which was initially established in 2014. The committee’s responsibilities include formulating and implementing policies related to nominations, board diversity, and workforce diversity, as well as reviewing the board’s structure and composition to align with the company’s strategic needs.

Chia Tai Enterprises Reports Strong Nine-Month Financial Performance

Chia Tai Enterprises International Limited announced its unaudited consolidated results for the nine months ended September 30, 2025, reporting a significant increase in revenue and profit compared to the previous year. The company’s profit before tax rose to US$33.855 million from US$7.399 million, indicating strong operational performance and improved market positioning, benefiting both shareholders and non-controlling interests.

Chia Tai Enterprises Schedules Board Meeting for Financial Results

Chia Tai Enterprises International Limited has announced that its board of directors will hold a meeting on November 10, 2025, to approve the unaudited financial results for the nine months ending September 30, 2025. This meeting is crucial as it will provide insights into the company’s financial performance and could impact its market positioning and stakeholder confidence.

Chia Tai Enterprises Reports Significant Profit Growth Amid Sector Challenges

Chia Tai Enterprises International Limited announced an expected significant increase in its unaudited consolidated profit for the first nine months of 2025, reaching approximately US$23.5 million compared to US$4.3 million in the same period of 2024. This growth is attributed to a successful strategy to boost sales to key customers. However, the company also reported a decline in quarterly profit due to reduced demand for animal health products amid a slowdown in China’s animal farming sector.