Acotec Scientific Holdings Limited (6669) AI Stock Analysis

• Market Cap: HK$4.01B
• Dividend Yield: N/A
• Average Volume (3M): 462.19K
• Price to Earnings (P/E): 35.0
• Beta (1Y): 1.05
• Revenue Growth: 12.94%
• EPS Growth: 212.66%
• Country: HK
• Employees: 650
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.32
• Shares Outstanding: 313,389,160
• 10 Day Avg. Volume: 400,669
• 30 Day Avg. Volume: 462,190
• PEG Ratio: 0.13
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 3.16
• P/FCF Ratio: 317.86
• 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: HK$15.00
• Price Target Upside: 18.82% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 2.8
• Revenue Forecast (FY): HK$5.54B

• Rating: 67 Neutral
• Price Target: HK$13.50 ▲(6.97% Upside)

Acotec Scientific Holdings Limited shows strong financial performance with robust revenue growth and cash flow metrics, which are the most significant factors supporting its stock score. However, the technical indicators suggest neutral market sentiment, and the high P/E ratio indicates potential overvaluation, which slightly dampens the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Cash Flow Improvement

Improved cash flow enhances financial flexibility, allowing for reinvestment in growth opportunities and strengthening the company's financial position.

Strong Gross Profit Margin

A strong gross profit margin reflects efficient cost control and pricing power, which supports sustainable profitability and competitive advantage.

Negative Factors

Moderate Profitability

Moderate net profitability indicates potential challenges in converting revenue to profit, which may impact long-term financial performance if not addressed.

Leverage Concerns

Moderate ROE suggests limited efficiency in using equity to generate profits, which could constrain growth and shareholder returns over time.

Potential for Enhanced Profitability

While financial health is strong, the potential for improved profitability highlights the need for strategic initiatives to boost bottom-line growth.

Acotec Scientific Holdings Limited Business Overview & Revenue Model

Company Description

Acotec Scientific Holdings Limited, a medical device company, researches and develops percutaneous transluminal angioplasty and drug-coated balloon products for the treatment of vascular diseases in Mailand China, Europe, and internationally. It offers AcoArt Orchid & Dhalia to prevent stenosis or occlusion in superficial femoral artery and popliteal artery for the treatment of lower extremity artery disease; under clinical studies in nephrology for arteriovenous fistula stenosis and in neurology for vertebral atherosclerotic stenosis indications/applications; and under clinical studies in andrology for vasculogenic erectile dysfunction indications/applications. The company also provides AcoArt Tulip & Litos, which is under registration process in China and Europe, and under preclinical studies in the United States in vascular surgery for below-the-knee artery disease indications/applications; and in pre-clinical studies in andrology for vasculogenic erectile dysfunction indications/applications. The company was incorporated in 2020 and is headquartered in Beijing, China. Acotec Scientific Holdings Limited is a subsidiary of CA Medtech Investment (Cayman) Limited.

How the Company Makes Money

Acotec Scientific Holdings Limited generates revenue primarily through the sale of its medical devices, which are marketed to hospitals and healthcare providers. The company employs a business-to-business (B2B) revenue model, where it sells its products directly to medical institutions and distributors. Key revenue streams include sales from its proprietary catheter systems and related accessories. Additionally, Acotec may engage in strategic partnerships with healthcare organizations and research institutions to expand its product offerings or enhance its market reach, which can also contribute to revenue growth. The company's focus on innovation and product development, along with its ability to address unmet medical needs, plays a critical role in driving its earnings.

Acotec Scientific Holdings Limited Financial Statement Overview

Summary

Acotec Scientific Holdings Limited exhibits strong financial health with consistent revenue growth, robust gross profit margins, and improving cash flow metrics. The balance sheet remains solid with low leverage, although there is potential for enhancing net profitability.

Income Statement

Acotec Scientific Holdings Limited has demonstrated consistent revenue growth with a 5.22% increase in the TTM period. The company maintains a strong gross profit margin of 75.23%, indicating effective cost management. However, the net profit margin of 17.02% suggests room for improvement in profitability. The EBIT margin of 10.11% and EBITDA margin of 13.68% are healthy, reflecting operational efficiency.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.16, indicating conservative leverage. The return on equity (ROE) of 7.22% shows moderate profitability relative to shareholder equity. The equity ratio of 79.01% suggests a strong equity position, providing a solid financial foundation.

Cash Flow

Acotec Scientific Holdings Limited has shown significant improvement in cash flow, with a 51.62% growth in free cash flow. The operating cash flow to net income ratio of 0.90 indicates strong cash generation relative to net income. The free cash flow to net income ratio of 0.82 further supports the company's ability to generate cash, enhancing financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	592.85M	533.99M	473.85M	395.55M	303.81M	193.97M
Gross Profit	446.01M	402.72M	377.42M	336.35M	265.94M	163.78M
EBITDA	81.08M	112.48M	70.54M	91.17M	-51.02M	-24.66M
Net Income	100.90M	52.28M	14.49M	70.14M	-79.08M	-43.84M
Balance Sheet
Total Assets	1.83B	1.66B	1.61B	1.41B	1.31B	272.94M
Cash, Cash Equivalents and Short-Term Investments	995.38M	809.57M	879.21M	986.46M	1.14B	147.10M
Total Debt	236.13M	202.92M	234.00M	47.78M	24.57M	41.41M
Total Liabilities	384.00M	312.76M	314.53M	134.46M	100.17M	553.95M
Stockholders Equity	1.44B	1.35B	1.30B	1.28B	1.21B	-281.01M
Cash Flow
Free Cash Flow	159.00M	5.31M	-92.54M	-115.45M	-31.72M	-27.39M
Operating Cash Flow	194.51M	102.79M	-12.88M	-68.75M	-10.48M	-8.77M
Investing Cash Flow	-203.20M	45.02M	-319.22M	-49.17M	-20.48M	-17.73M
Financing Cash Flow	-35.32M	-35.24M	-23.21M	-32.87M	1.02B	142.52M

Acotec Scientific Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 12.62
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6669, the sentiment is Neutral. The current price of 12.62 is above the 20-day moving average (MA) of 12.60, above the 50-day MA of 12.55, and above the 200-day MA of 10.47, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 49.22 is Neutral, neither overbought nor oversold. The STOCH value of 44.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:6669.

Acotec Scientific Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6669	67 Neutral	HK$4.01B	35.01	7.44%	―	12.94%	212.66%
6609	55 Neutral	HK$1.93B	41.97	3.84%	―	32.93%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
2235	44 Neutral	HK$3.15B	-104.71	-1.39%	―	49.86%	80.35%
2160	43 Neutral	HK$2.68B	513.64	0.22%	―	-4.38%	―
2500	41 Neutral	HK$1.01B	-1.46	-26.80%	―	-8.56%	-14.84%
9996	39 Underperform	€3.90B	-15.66	-11.20%	―	29.25%	9.02%

Acotec Scientific Holdings Limited Corporate Events

Acotec Scientific Secures Approval for Microcatheter V-otter

Acotec Scientific Holdings Limited announced that it has received registration approval from the PRC National Medical Products Administration for its new product, the Microcatheter V-otter. This microcatheter is designed for Transarterial Chemoembolization (TACE) procedures and features a large-lumen design to prevent catheter occlusion, offering various tip configurations for precise access to target vessels. The company plans to market this product in the PRC market, although there is no guarantee of successful commercialization.

Acotec Scientific Gains Approval for New Cardiovascular Device

Acotec Scientific Holdings Limited announced that it has received approval from the PRC National Medical Products Administration for its Coronary Over-the-Wire Balloon Dilatation Catheter Jingyi. This product is designed to improve myocardial perfusion by addressing complex coronary artery lesions, and the company plans to market it in the PRC. The approval marks a significant step in Acotec’s product development, potentially enhancing its market position in the cardiovascular medical device sector.

Acotec’s Endovenous System Gains U.S. FDA Clearance

Acotec Scientific Holdings Limited announced that its Endovenous Radiofrequency Ablation System has received 510(k) clearance from the U.S. FDA, marking a significant milestone in its product development. This clearance allows the company to distribute the system, which treats varicose veins, in the U.S. through a partnership with the BSC Group, potentially enhancing its market presence and offering new opportunities for growth.