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Topsports International Holdings Limited (HK:6110)
:6110
Hong Kong Market
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Topsports International Holdings Limited (6110) AI Stock Analysis

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HK:6110

Topsports International Holdings Limited

(6110)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
HK$3.50
▲(10.76% Upside)
Topsports International Holdings Limited has a solid financial foundation with strong cash flow and a stable balance sheet, which are the most significant factors in its score. The valuation is attractive due to a high dividend yield, appealing to income investors. Technical analysis suggests a mild upward trend, but momentum is limited. The absence of earnings call data and corporate events does not impact the score.
Positive Factors
Strong Cash Flow
Consistent positive cash flow indicates robust cash generation, providing the company with flexibility to invest in growth opportunities and manage financial obligations effectively.
Decreasing Leverage
Reduced leverage enhances financial stability, lowering risk and improving the company's ability to withstand economic fluctuations and invest in strategic initiatives.
Strong Profitability Margins
Sustained profitability margins indicate efficient operations and cost management, supporting long-term financial health and the potential for reinvestment in business expansion.
Negative Factors
Revenue Decline
Declining revenue trends can signal challenges in market demand or competitive pressures, potentially impacting future growth and profitability if not addressed.
Profitability Pressures
Pressure on net profit margins suggests challenges in maintaining cost efficiency or pricing power, which could affect long-term earnings potential if not managed effectively.
Asset Decrease
A reduction in total assets could limit the company's ability to invest in new opportunities or expand operations, potentially hindering future growth prospects.

Topsports International Holdings Limited (6110) vs. iShares MSCI Hong Kong ETF (EWH)

Topsports International Holdings Limited Business Overview & Revenue Model

Company DescriptionTopsports International Holdings Limited, an investment holding company, engages in the sale of sportswear products in the People's Republic of China. The company is also involved in the leasing of commercial spaces to other retailers for concessionaire sale; provision of information technology services; operation of sports cities business; and trading of sportswear products. As of February 28, 2022, it operated a network of 7,695 directly operated stores. The company also offers its products through e-commerce platform. Topsports International Holdings Limited was founded in 1999 and is headquartered in Kwai Chung, Hong Kong.
How the Company Makes MoneyTopsports International Holdings Limited generates revenue primarily through the retail sales of sportswear and related products. The company operates a vast network of directly operated and franchised retail stores, which feature a variety of international sports brands. Key revenue streams include the sale of branded sports apparel and footwear, as well as accessories. Additionally, Topsports benefits from strategic partnerships and distribution agreements with major global sports brands, which allow them to offer exclusive products and gain a competitive advantage in the Chinese market. The company also leverages e-commerce platforms to expand its reach and drive sales, further contributing to its revenue.

Topsports International Holdings Limited Financial Statement Overview

Summary
Topsports International Holdings Limited shows stable financial performance with strong cash flow generation and a solid balance sheet, despite challenges in revenue and profitability margins. Reduced leverage and robust stockholders' equity contribute positively, although asset reduction and capital allocation volatility present potential risks.
Income Statement
65
Positive
Topsports International Holdings Limited has experienced fluctuating revenue over the past years with a notable decrease from 2021 to 2025. The gross profit margin remained relatively stable, with a slight decline in more recent years. Net profit margin shows a similar trend, indicating some profitability pressures. EBIT and EBITDA margins are consistent, suggesting stable operating efficiency despite revenue challenges.
Balance Sheet
70
Positive
The company's debt-to-equity ratio has improved, reflecting a more conservative financial structure with reduced leverage. Stockholders' equity remains robust, contributing to a strong equity ratio. However, total assets have decreased over the period, which may signal potential constraints on growth.
Cash Flow
72
Positive
The operating cash flow has remained strong, with free cash flow consistently positive, indicating good cash generation capability. The free cash flow to net income ratio is favorable, highlighting efficient cash operations relative to profitability. However, fluctuations in investing and financing cash flows suggest potential volatility in capital allocation strategies.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue27.01B28.93B27.07B31.88B36.01B
Gross Profit10.38B12.08B11.28B13.82B14.68B
EBITDA3.14B4.58B3.14B4.17B4.71B
Net Income1.29B2.21B1.84B2.45B2.77B
Balance Sheet
Total Assets14.90B14.54B16.82B17.80B17.71B
Cash, Cash Equivalents and Short-Term Investments2.59B1.96B2.38B1.75B1.23B
Total Debt4.06B2.71B4.21B3.57B4.99B
Total Liabilities5.84B4.69B6.99B7.21B8.00B
Stockholders Equity9.06B9.85B9.83B10.58B9.71B
Cash Flow
Free Cash Flow3.38B2.73B3.99B4.97B4.06B
Operating Cash Flow3.76B3.13B4.35B5.69B4.71B
Investing Cash Flow-297.50M-198.10M-305.60M-671.30M2.10B
Financing Cash Flow-2.83B-3.33B-3.44B-4.49B-8.40B

Topsports International Holdings Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.16
Price Trends
50DMA
3.14
Positive
100DMA
2.99
Positive
200DMA
2.98
Positive
Market Momentum
MACD
<0.01
Negative
RSI
52.34
Neutral
STOCH
72.37
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6110, the sentiment is Positive. The current price of 3.16 is above the 20-day moving average (MA) of 3.13, above the 50-day MA of 3.14, and above the 200-day MA of 2.98, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.34 is Neutral, neither overbought nor oversold. The STOCH value of 72.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6110.

Topsports International Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
HK$2.46B11.3210.81%8.88%3.78%-21.19%
71
Outperform
HK$5.15B9.9510.39%5.03%-7.34%-28.66%
67
Neutral
HK$19.78B14.2313.64%10.96%-7.87%-42.79%
67
Neutral
HK$15.62B10.1214.23%4.71%-12.29%21.00%
51
Neutral
HK$4.43B-28.60-6.19%0.34%1.21%-5.68%
46
Neutral
HK$393.48M-0.23-693.22%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:6110
Topsports International Holdings Limited
3.16
0.03
0.96%
HK:0330
Esprit Holdings
1.39
-0.23
-14.20%
HK:0709
Giordano International
1.52
-0.04
-2.31%
HK:1368
Xtep International Holdings
5.84
0.01
0.19%
HK:1223
Symphony Holdings Limited
1.49
0.67
81.71%
HK:3709
EEKA Fashion Holdings Limited
7.55
-1.41
-15.74%

Topsports International Holdings Limited Corporate Events

Topsports International Approves Key Resolutions at AGM
Jul 18, 2025

Topsports International Holdings Limited announced the successful passing of all ordinary resolutions at its Annual General Meeting held on July 18, 2025. Key resolutions included the approval of financial statements, the declaration of final and special dividends, the re-appointment of PricewaterhouseCoopers as auditors, and the re-election of several directors. Additionally, the company granted mandates for share issuance and repurchase, reflecting a strategic move to enhance its financial flexibility and shareholder value.

The most recent analyst rating on (HK:6110) stock is a Buy with a HK$3.75 price target. To see the full list of analyst forecasts on Topsports International Holdings Limited stock, see the HK:6110 Stock Forecast page.

Topsports Reports Decline in Q1 FY2025/26 Sales and Store Area
Jun 25, 2025

Topsports International Holdings Limited reported a mid-single-digit decline in total sales for the first quarter of FY2025/26, with a notable decrease in the gross selling area of directly-operated stores by 1.3% from the previous quarter and 12.3% year-on-year. This operational update highlights challenges in both retail and wholesale operations, suggesting potential impacts on the company’s market positioning and financial performance.

The most recent analyst rating on (HK:6110) stock is a Hold with a HK$2.55 price target. To see the full list of analyst forecasts on Topsports International Holdings Limited stock, see the HK:6110 Stock Forecast page.

Topsports International Announces AGM and Dividend Plans
Jun 17, 2025

Topsports International Holdings Limited has announced its upcoming annual general meeting, where key resolutions will be discussed, including the approval of financial statements, declaration of dividends, and re-election of directors. The company plans to issue a final dividend of RMB2.00 cents and a special dividend of RMB12.00 cents per share, reflecting its strong financial performance. Additionally, the board seeks authorization to manage share capital and director remuneration, indicating a strategic focus on maintaining robust governance and shareholder value.

The most recent analyst rating on (HK:6110) stock is a Hold with a HK$2.55 price target. To see the full list of analyst forecasts on Topsports International Holdings Limited stock, see the HK:6110 Stock Forecast page.

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: Sep 25, 2025