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Global Sweeteners Holdings Limited (HK:3889)
:3889

Global Sweeteners Holdings Limited (3889) AI Stock Analysis

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HK

Global Sweeteners Holdings Limited

(Frankfurt:3889)

Rating:46Neutral
Price Target:
HK$0.00
▼(-100.00%Downside)
The most significant factor affecting the stock score is the company's weak financial performance, characterized by negative operational margins and liquidity concerns. Technical analysis provides some short-term optimism, but this is offset by potential overbought conditions. The stock appears undervalued, but the lack of a dividend yield and the company's financial instability present notable risks.

Global Sweeteners Holdings Limited (3889) vs. iShares MSCI Hong Kong ETF (EWH)

Global Sweeteners Holdings Limited Business Overview & Revenue Model

Company DescriptionGlobal Sweeteners Holdings Limited, an investment holding company, engages in the manufacture and sale of corn refined products and corn sweeteners primarily in the People's Republic of China. Its Corn Refined Products segment offers corn starch, gluten meal, corn oil, and other corn refined products. The company's Corn Sweeteners segment provides glucose, maltose, and high fructose corn syrups, as well as maltodextrin, a corn syrup solid. It also offers general administration services. The company serves customers in various sectors, such as food and beverage, confectionary, daily products, fermentation, and chemical industries, as well as cosmetics and pharmaceutical industries. It also exports its products in Japan, South Korea, Taiwan, the Philippines, Russia, Malaysia, and South Africa. The company was founded in 1998 and is headquartered in Hung Hom, Hong Kong. Global Sweeteners Holdings Limited is a subsidiary of Global Corn Bio-chem Technology Company Limited.
How the Company Makes MoneyGlobal Sweeteners Holdings Limited generates revenue primarily through the sale of its corn-based sweeteners. The company's key revenue streams include the production and distribution of glucose syrup, maltose syrup, and high fructose corn syrup. These products are sold to a variety of customers in the food and beverage industry, who use them as essential ingredients in their manufacturing processes. Additionally, the company may engage in strategic partnerships and supply agreements with major food and beverage companies, which can contribute significantly to its earnings. Factors such as the demand for sweeteners in the food and beverage sector and the company's ability to maintain efficient production processes are crucial to its revenue generation.

Global Sweeteners Holdings Limited Financial Statement Overview

Summary
Global Sweeteners Holdings Limited is in a financially fragile state. Despite a positive net profit margin, it is skewed by a one-time item. Operational margins are negative, and the balance sheet shows negative equity and high leverage risks. Cash flow is zero, indicating severe liquidity concerns.
Income Statement
40
Negative
The income statement shows a challenging financial situation. The Net Profit Margin is positive at about 10.7%, but this is misleading as it is skewed by a one-time item boosting net income, given prior negative results. Revenue growth is volatile but showed improvement from 2022 to 2023 with a 50.1% increase. However, EBIT and EBITDA margins are negative, indicating operational challenges. Overall, profitability is weak.
Balance Sheet
30
Negative
The balance sheet reflects financial instability. The Debt-to-Equity ratio is negative due to negative equity, highlighting high leverage and risk. The Equity Ratio is also negative, indicating more liabilities than assets. The company's financial structure is precarious, with significant liabilities overshadowing its assets.
Cash Flow
20
Very Negative
Cash flow analysis indicates severe weaknesses. Operating Cash Flow is zero in the latest year, a decline from positive cash flow in 2023. The Free Cash Flow is also zero, showing a lack of cash available after capital expenditures. This raises concerns about liquidity and the ability to sustain operations without external financing.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue623.46M440.81M359.57M728.10M769.02M
Gross Profit31.30M36.62M27.27M41.59M77.87M
EBITDA120.27M-23.12M-31.48M48.22M201.39M
Net Income66.62M289.52M-212.49M-96.26M-8.73M
Balance Sheet
Total Assets568.84M575.36M687.11M935.08M1.30B
Cash, Cash Equivalents and Short-Term Investments12.22M13.55M4.28M7.83M21.28M
Total Debt299.74M441.08M796.48M929.61M996.66M
Total Liabilities787.09M957.21M1.37B1.44B1.73B
Stockholders Equity-218.25M-375.92M-675.04M-494.19M-418.63M
Cash Flow
Free Cash Flow-192.38M87.80M13.14M-285.45M-30.01M
Operating Cash Flow-114.66M88.39M13.28M-283.86M-20.20M
Investing Cash Flow-76.51M-589.00K19.64M383.12M104.34M
Financing Cash Flow182.97M-78.30M-36.13M-112.93M-94.61M

Global Sweeteners Holdings Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.11
Price Trends
50DMA
0.10
Positive
100DMA
0.10
Positive
200DMA
0.11
Negative
Market Momentum
MACD
<0.01
Positive
RSI
60.69
Neutral
STOCH
65.69
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3889, the sentiment is Positive. The current price of 0.11 is above the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.10, and below the 200-day MA of 0.11, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 60.69 is Neutral, neither overbought nor oversold. The STOCH value of 65.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3889.

Global Sweeteners Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
HK$1.75B8.5212.91%5.00%9.63%20.08%
77
Outperform
HK$883.19M7.065.39%15.34%-1.88%129.25%
71
Outperform
HK$1.16B2.2112.45%5.05%-5.08%359.16%
71
Outperform
HK$335.00M9.088.18%0.69%>-0.01%16.04%
65
Neutral
$27.25B15.35-4.01%3.14%1.00%1.98%
46
Neutral
HK$208.59M2.10
41.43%
46
Neutral
HK$810.57M1.04
45.65%-81.70%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3889
Global Sweeteners Holdings Limited
0.11
-0.04
-28.67%
HK:1767
TS Wonders Holding Limited
0.34
0.10
41.67%
HK:1837
Natural Food International Holding Ltd.
0.79
0.31
64.58%
HK:2317
Vedan International (Holdings) Ltd.
0.62
0.17
37.78%
HK:3838
China Starch Holdings Limited
0.19
0.02
11.76%
HK:0809
Global Bio-chem Technology Group Co. Ltd.
0.09
0.02
28.57%

Global Sweeteners Holdings Limited Corporate Events

Global Corn Group Limited Announces Rebranding and Strategic Shift
Jun 11, 2025

Global Corn Group Limited has announced a series of changes including a new company name, logo, stock short name, and website address. These changes, effective in June 2025, signify a strategic rebranding effort aimed at aligning the company’s identity with its core business in the corn industry. The changes will not impact the company’s operations, shareholder rights, or financial position.

Global Sweeteners Announces Call Option Agreement on Convertible Bonds
May 12, 2025

Global Sweeteners Holdings Limited has announced a call option agreement involving its substantial shareholders and Mr. Ko Kin Hang, granting call options over the company’s Second Batch Convertible Bonds worth RMB27.0 million. This strategic move allows Mr. Ko to convert these bonds into shares, potentially impacting the company’s equity structure and market positioning.

Global Sweeteners Holdings Secures Shareholder Approval for Key Resolutions
May 9, 2025

Global Sweeteners Holdings Limited announced that all resolutions proposed at its Annual General Meeting were successfully passed by a significant majority. This includes the approval of financial statements, re-election of directors, and granting of mandates for share transactions, indicating strong shareholder support and stability in the company’s governance and operational strategies.

Global Sweeteners Holdings Limited Announces 2025 AGM and Key Resolutions
Apr 16, 2025

Global Sweeteners Holdings Limited has announced its upcoming Annual General Meeting scheduled for May 9, 2025, in Hong Kong. The meeting will address several key resolutions, including the approval of the 2024 financial statements, re-election of directors, and re-appointment of the auditor. Additionally, the company seeks authorization to allot and issue shares, potentially impacting its capital structure and market operations.

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: Jul 03, 2025