Beijing Fourth Paradigm Technology Co. Ltd. Class H (6682) AI Stock Analysis

• Market Cap: HK$25.30B
• Dividend Yield: N/A
• Average Volume (3M): 4.77M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 967
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.15
• Shares Outstanding: 320,809,500
• 10 Day Avg. Volume: 5,030,522
• 30 Day Avg. Volume: 4,772,736
• PEG Ratio: 1.04
• Price to Book (P/B): 4.38
• Price to Sales (P/S): 4.22
• P/FCF Ratio: -34.10
• 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$76.11
• Price Target Upside: 45.94% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.34
• Revenue Forecast (FY): HK$53.89B

• Rating: 48 Neutral
• Price Target: HK$57.00 ▲(9.30% Upside)

The overall stock score is primarily influenced by the company's financial performance, which highlights strong revenue growth but significant profitability challenges. Technical analysis indicates a neutral trend, while valuation concerns due to a negative P/E ratio further impact the score. The absence of earnings call and corporate events data means these factors do not influence the score.

Beijing Fourth Paradigm Technology Co. Ltd. Class H Business Overview & Revenue Model

Company Description

Beijing Fourth Paradigm Technology Co. Ltd. is a leading artificial intelligence company specializing in machine learning and data analysis solutions. The company provides a suite of products and services designed to enhance data-driven decision making across various sectors, including finance, healthcare, and manufacturing. Its core offerings include AI algorithms, predictive analytics tools, and customized solutions that enable organizations to optimize their operations and gain valuable insights from large datasets.

How the Company Makes Money

Beijing Fourth Paradigm Technology Co. Ltd. generates revenue primarily through the sale of its AI software products and analytics services. Key revenue streams include licensing fees for its proprietary machine learning platforms, subscription-based models for ongoing access to its analytics tools, and consulting services that tailor AI solutions to specific business needs. Additionally, the company has established significant partnerships with various enterprises and government agencies, which contribute to its earnings through collaborative projects and joint ventures in AI development and implementation.

Beijing Fourth Paradigm Technology Co. Ltd. Class H Financial Statement Overview

Summary

The company shows strong revenue growth and a healthy gross profit margin, but faces significant challenges with profitability and negative operating cash flows. The low leverage is a positive sign for financial stability, but achieving operational efficiency and profitability is crucial.

Income Statement

The company has shown significant revenue growth, with a compound annual growth rate from 2020 to 2024. However, it remains unprofitable with negative EBIT and net income, indicating operational and profitability challenges. The gross profit margin is healthy, suggesting solid core operations, but high operating expenses are impacting overall profitability.

Balance Sheet

The company's balance sheet shows a strong equity position in 2023 and 2024, with a return to positive equity. The debt-to-equity ratio is low, indicating minimal leverage, which is a positive sign for financial stability. However, historical negative equity and liabilities exceeding assets in previous years indicate past financial stress.

Cash Flow

Cash flow statements indicate challenges with operating cash flows, consistently negative over the years, which could impact liquidity. The absence of free cash flow growth and reliance on financing activities to manage cash flows are concerns. Positive changes in investing and financing cash flows in recent years are notable but do not offset operational cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.02B	5.26B	4.20B	3.08B	2.02B	942.24M
Gross Profit	2.45B	2.24B	1.98B	1.49B	953.48M	429.74M
EBITDA	-161.29M	-318.20M	-418.66M	-1.06B	-1.24B	-575.23M
Net Income	-184.16M	-268.79M	-908.72M	-1.64B	-1.80B	-750.21M
Balance Sheet
Total Assets	7.76B	7.59B	7.15B	6.72B	6.45B	2.02B
Cash, Cash Equivalents and Short-Term Investments	2.73B	1.89B	3.03B	2.66B	3.85B	1.32B
Total Debt	18.56M	28.36M	154.63M	144.59M	54.12M	38.77M
Total Liabilities	1.50B	2.52B	1.69B	8.18B	6.70B	3.20B
Stockholders Equity	6.28B	5.06B	5.35B	-1.57B	-351.02M	-1.18B
Cash Flow
Free Cash Flow	-236.03M	-650.31M	-1.04B	-795.11M	-791.15M	-504.21M
Operating Cash Flow	-219.81M	-622.00M	-998.58M	-779.59M	-770.01M	-452.94M
Investing Cash Flow	-44.34M	-474.17M	723.41M	822.39M	-3.20B	-139.08M
Financing Cash Flow	-9.46M	-30.93M	930.72M	-9.01M	4.21B	942.43M

Beijing Fourth Paradigm Technology Co. Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 52.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6682, the sentiment is Negative. The current price of 52.15 is below the 20-day moving average (MA) of 53.85, below the 50-day MA of 58.57, and above the 200-day MA of 51.03, indicating a bearish trend. The MACD of -2.43 indicates Positive momentum. The RSI at 35.84 is Neutral, neither overbought nor oversold. The STOCH value of 10.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6682.

Beijing Fourth Paradigm Technology Co. Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6608	67 Neutral	HK$7.15B	12.69	7.02%	―	16.43%	17.05%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
2598	59 Neutral	HK$8.78B	4.75	94.40%	―	―	―
9923	54 Neutral	HK$3.97B	35.60	3.35%	―	-9.32%	477.27%
9959	49 Neutral	HK$6.71B	―	-12.22%	―	11.43%	-94.89%
6682	48 Neutral	HK$25.30B	―	-3.20%	―	―	―
2121	42 Neutral	HK$3.42B	-6.69	-27.20%	―	-3.78%	20.83%

Beijing Fourth Paradigm Technology Co. Ltd. Class H Corporate Events

Beijing Fourth Paradigm Reports Strong Revenue Growth Amid AI Platform Success

Beijing Fourth Paradigm Technology Co., Ltd. reported a significant revenue increase of 40.7% year-on-year for the first half of 2025, driven by the success of its ‘AI agent + World Model’ strategy. The company’s core business, the 4ParadigmSage AI Platform, saw a 71.9% revenue growth, contributing to 81.8% of total revenue. Despite an adjusted net loss, the company narrowed its losses by 71.2% compared to the previous year, indicating improved financial health. The company continues to invest in technological innovation, with a focus on developing its AI platform into a foundational infrastructure for enterprises, as evidenced by increased R&D expenditure and growing adoption among enterprise clients.

The most recent analyst rating on (HK:6682) stock is a Hold with a HK$55.00 price target. To see the full list of analyst forecasts on Beijing Fourth Paradigm Technology Co. Ltd. Class H stock, see the HK:6682 Stock Forecast page.

Beijing Fourth Paradigm Completes H Shares Issuance to Boost AI and Global Expansion

Beijing Fourth Paradigm Technology Co., Ltd. has completed the issuance of 25,900,000 H Shares under a general mandate, raising approximately HK$1,306.18 million in net proceeds. The funds will be allocated towards research and development in AI products and solutions, global business expansion, potential acquisitions of technology service providers, and general corporate purposes. This strategic move is expected to enhance the company’s capabilities in emerging AI fields and strengthen its market position.

Beijing Fourth Paradigm Announces Board Meeting for Interim Results

Beijing Fourth Paradigm Technology Co., Ltd. has announced an upcoming board meeting scheduled for August 21, 2025, to discuss and approve the unaudited interim results for the first half of the year ending June 30, 2025. This meeting is significant as it will address the company’s financial performance and could impact its market positioning and stakeholder interests.

Beijing Fourth Paradigm Projects Significant Loss Reduction for H1 2025

Beijing Fourth Paradigm Technology Co., Ltd. announced an expected reduction in its adjusted net loss by approximately 68% to 73% for the first half of 2025 compared to the previous year. This improvement is attributed to strong demand for its core AI platform, leading to increased revenue and gross profit, while operating expenses grew at a slower pace, enhancing profitability.

Fourth Paradigm Forms Joint Venture to Advance AI in Energy Storage

Beijing Fourth Paradigm Technology Co., Ltd. announced the formation of a joint venture with Beijing HyperStrong Technology Co., Ltd. to establish Energy Crystal (Beijing) Technology Co., Ltd., which will focus on AI technology services for electricity trading. This collaboration aims to integrate AI and energy storage technologies, leveraging HyperStrong’s expertise in energy storage and Fourth Paradigm’s AI capabilities, to innovate and promote AI applications in the energy storage sector, ultimately contributing to global sustainable energy development.