Yuexiu Services Group Ltd. (6626) AI Stock Analysis

• Market Cap: €4.42B
• Dividend Yield: 6.8%
• Average Volume (3M): 869.56K
• Price to Earnings (P/E): 11.7
• Beta (1Y): 0.72
• Revenue Growth: 17.83%
• EPS Growth: -28.85%
• Country: HK
• Employees: 10,422
• Sector: Real Estate
• Sector Strength: 66
• Industry: Real Estate - Services
• EPS (TTM): 0.05
• Shares Outstanding: 1,502,212,200
• 10 Day Avg. Volume: 1,026,007
• 30 Day Avg. Volume: 869,563
• PEG Ratio: 0.00
• Price to Book (P/B): 1.38
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.09
• 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

• Rating: 68 Neutral
• Price Target: ―

Yuexiu Services Group's stock is supported by strong financial fundamentals, including healthy revenue growth and a robust balance sheet. However, technical indicators point to a bearish trend, which, combined with constrained cash flow data, poses potential risks. The stock's valuation is reasonable, with a high dividend yield providing additional appeal.

Yuexiu Services Group Ltd. Business Overview & Revenue Model

Company Description

Yuexiu Services Group Limited, an investment holding company, engages in the provision of non-commercial and commercial property management in the People's Republic of China and Hong Kong. The company operates through two segments: Non-Commercial Property Management and Value-Added Services; and Commercial Property Management and Operational Services. The Non-Commercial Property Management and Value-Added Services segment provides cleaning, security, gardening, and repair and maintenance services; sale of office and display unit management and pre-delivery support, sale of carpark space assistance, ancillary property leasing, and preliminary planning and design consultancy services; decoration, home-living, space operation, and other community value-added services. The Commercial Property Management and Operational Services segment offers in the commercial operation and management services; market positioning consultancy; and tenant sourcing services. It also provides agency, security, and contract consulting services. The company was formerly known as Yuexiu Property Management Holding Limited and changed its name to Yuexiu Services Group Limited in January 2021. Yuexiu Services Group Limited was founded in 1992 and is based in Hong Kong.

How the Company Makes Money

Yuexiu Services Group Ltd. generates revenue primarily through its property management services, which comprise fees collected from managing residential and commercial properties. The company also earns income from providing value-added services such as facility maintenance, cleaning, security, and landscaping. Additionally, Yuexiu leverages strategic partnerships and collaborations in urban development projects, contributing to its earnings by offering integrated smart city solutions.

Yuexiu Services Group Ltd. Financial Statement Overview

Summary

Yuexiu Services Group shows strong revenue growth and solid operational performance, although recent profitability has weakened. The balance sheet is robust with low leverage and strong equity, but ROE is declining. Cash flow analysis is constrained by missing data, indicating potential cash management risks.

Income Statement

The company shows strong revenue growth with an increase from 1,168 million in 2020 to 3,868 million in 2024. Gross profit margin has remained stable around 23% to 25%, indicating efficient cost management. However, net profit margin has seen a decline from 15.7% in 2023 to 9.1% in 2024, suggesting reduced profitability. EBIT and EBITDA margins have been consistent, reflecting solid operational performance.

Balance Sheet

Yuexiu Services Group maintains a strong equity position, with an equity ratio improving from 25.5% in 2019 to 52.9% in 2024, demonstrating financial stability. The debt-to-equity ratio is low at 0.03, indicating low leverage and reduced financial risk. ROE has decreased from 14.1% in 2023 to 10.1% in 2024, signaling a decline in shareholder returns.

Cash Flow

The company's cash flow situation is mixed. Operating cash flow to net income ratio is not available for 2024 due to zero reported operating cash flow, which raises concerns about cash generation. Free cash flow growth has been robust in previous years, but the lack of current data limits comprehensive analysis.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.87B	3.22B	2.49B	1.92B	1.17B
	Gross Profit
901.62M	856.63M	679.44M	670.83M	403.29M
	EBIT
583.46M	584.95M	504.19M	503.67M	302.46M
	EBITDA
618.99M	778.40M	658.08M	603.99M	384.74M
	Net Income Common Stockholders
352.92M	487.02M	416.10M	359.54M	199.13M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.47B	4.70B	4.39B	3.80B	994.63M
	Total Assets
6.62B	6.41B	5.95B	5.13B	2.41B
	Total Debt
119.45M	108.13M	78.84M	55.02M	115.40M
	Net Debt
-1.89B	-4.55B	-4.32B	-3.75B	-879.23M
	Total Liabilities
3.03B	2.79B	2.56B	2.04B	1.65B
	Stockholders Equity
3.50B	3.44B	3.22B	2.93B	614.62M
Cash Flow		Free Cash Flow
0.00	674.11M	730.29M	969.94M	435.20M
	Operating Cash Flow
0.00	695.01M	750.42M	998.12M	450.27M
	Investing Cash Flow
0.00	-28.23M	-22.47M	137.58M	1.03B
	Financing Cash Flow
0.00	-327.29M	-184.45M	1.69B	-1.25B

Yuexiu Services Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.96
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6626, the sentiment is Positive. The current price of 2.96 is above the 20-day moving average (MA) of 2.88, above the 50-day MA of 2.89, and below the 200-day MA of 3.13, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 55.45 is Neutral, neither overbought nor oversold. The STOCH value of 79.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6626.

Yuexiu Services Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6626	68 Neutral	€4.42B	11.67	10.03%	6.80%	17.83%	-28.85%
Sector *	61 Neutral	$2.84B	10.78	0.41%	6.09%	6.01%	-21.16%
CNPPF		$2.24B	10.95		24.29%	―	―
1778	56 Neutral	HK$312.38M	12.17	0.44%	―	23.25%	-22.03%
CTRGF		$2.81B	11.11	4.96%	0.31%	―	―
1V0		€462.81M	―	-29.17%	2.40%	―	―
9983	65 Neutral	HK$1.53B	6.49	10.96%	12.47%	1.88%	―

Yuexiu Services Group Ltd. Corporate Events

Yuexiu Services Group Declares Final Dividend for 2024

Yuexiu Services Group Ltd. announced a final ordinary dividend of HKD 0.083 per share for the financial year ending 31 December 2024. This decision reflects the company’s commitment to returning value to its shareholders, with the payment date set for 8 July 2025. The announcement may enhance investor confidence and solidify Yuexiu’s position in the market, demonstrating its financial stability and growth potential.

Yuexiu Services Group Ltd. Reports 20% Revenue Growth for 2024

Yuexiu Services Group Ltd. reported a total revenue of RMB3,868 million for the year ended December 31, 2024, marking a 20% increase from the previous year. Despite a decrease in gross profit margin and a significant impairment of goodwill, the company achieved a core net profit increase of 5.1%. The Group’s managed and contracted GFA grew by 6.3%, while the Board proposed a final dividend, reflecting a commitment to shareholder returns.

Yuexiu Services Group Schedules Board Meeting for Annual Results and Dividend Decision

Yuexiu Services Group Ltd. has announced an upcoming board meeting scheduled for March 20, 2025, where the board will approve the annual results for the year ending December 31, 2024, and consider recommending a final dividend. This announcement indicates the company’s commitment to transparency and shareholder engagement, potentially impacting investor confidence and market positioning.