Haidilao International Holding (6862) AI Stock Analysis

• Market Cap: $86.84B
• Dividend Yield: 6.57%
• Average Volume (3M): 18.13M
• Price to Earnings (P/E): 16.5
• Beta (1Y): 1.23
• Revenue Growth: 1.35%
• EPS Growth: 4.06%
• Country: HK
• Employees: 137,178
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Restaurants
• EPS (TTM): 0.94
• Shares Outstanding: 5,574,000,000
• 10 Day Avg. Volume: 17,072,876
• 30 Day Avg. Volume: 18,129,870
• PEG Ratio: -0.59
• Price to Book (P/B): 14.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.19
• 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: $19.15
• Price Target Upside: 28.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 69 Neutral
• Price Target: HK$16.50 ▲(10.74%Upside)

Haidilao International Holding scores well due to its strong financial performance and attractive valuation. The company's financials indicate robust growth and profitability, while the high dividend yield suggests good investor returns. However, technical analysis presents mixed signals, with some bearish indicators. The lack of recent earnings call and corporate events data limits further insight into future prospects.

Positive Factors

Expansion Strategy

Potential store expansion acceleration and margin expansion are expected to drive a mild turnaround.

Operational Efficiency

Store efficiencies are expected to see meaningful improvement through streamlining underperforming stores and improving supply chain management.

Profit Margins

Favourable raw material prices could boost margins ahead, with impacts of potential Sino-US trade tensions remaining manageable.

Negative Factors

Earnings Forecast

Analysts cut earnings by 8% for FY24E/FY25E due to lower store numbers and higher staff cost assumptions.

Macro Environment

Key risks include weaker-than-expected table turnover ratio, recovery in store efficiencies, and a slowdown in the macro environment.

Market Competition

Intense competition in the catering market led to a lowered target price pegged to a reduced PE ratio.

Haidilao International Holding Business Overview & Revenue Model

Company Description

Haidilao International Holding Ltd., an investment holding company, engages in the restaurant chain operation and delivery businesses. It operates a Haidilao branded Chinese cuisine restaurant that focuses on hot pot cuisine. The company is also involved in the sale of condiment products and food ingredients; logistics and wholesale trade activities; management consultation; financial management; provision of food research, development, and technology services; and trading businesses. As of December 31, 2021, it owned and operated 1,443 restaurants, which included 1,329 restaurants in Mainland China, as well as 114 restaurants in Hong Kong, Macao, Taiwan, Singapore, Vietnam, Malaysia, Indonesia, South Korea, Japan, the United Kingdom, the United States, Canada, and Australia. The company was incorporated in 2015 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Haidilao primarily generates revenue through its extensive chain of hotpot restaurants, which attract a large customer base due to their customizable dining experience and exceptional service. The company capitalizes on its well-known brand and the growing popularity of hotpot cuisine both in China and abroad. In addition to restaurant sales, Haidilao benefits from ancillary sales, such as branded condiments and food products available for purchase in their restaurants and online. Strategic location selection, efficient supply chain management, and a strong focus on customer service contribute significantly to its earnings. The company may also engage in partnerships and collaborations to enhance its brand presence and diversify its revenue streams.

Haidilao International Holding Financial Statement Overview

Summary

Haidilao International Holding shows strong financial performance with significant revenue growth and improved profitability margins. The balance sheet is solid with moderate leverage and a high ROE. However, cash flow analysis is limited due to missing data, presenting challenges in liquidity assessment.

Income Statement

Haidilao International Holding exhibited strong revenue growth with a 3.14% increase from 2023 to 2024. The gross profit margin improved to 24.65%, and the net profit margin increased to 11.01%, highlighting enhanced profitability. EBIT and EBITDA margins also showed significant strength at 24.05% and 19.34%, respectively, reflecting efficient operational management.

Balance Sheet

The company maintains a solid equity position with a debt-to-equity ratio of 0.59, indicating moderate leverage. The return on equity (ROE) improved to 45.11%, suggesting efficient use of shareholders' funds to generate profits. The equity ratio stands at 45.81%, reflecting a healthy balance between equity and total assets.

Cash Flow

Cash flow metrics are mixed. The operating cash flow to net income ratio is unavailable for 2024, but free cash flow growth showed strength with a 54.76% increase in 2023. The free cash flow to net income ratio is not calculable for 2024, indicating potential challenges in liquidity analysis.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
42.75B	41.45B	31.04B	41.11B	28.61B
	Gross Profit
12.11B	9.44B	7.89B	8.26B	6.68B
	EBIT
6.05B	8.99B	2.44B	249.93M	1.18B
	EBITDA
8.27B	9.13B	6.40B	2.06B	4.21B
	Net Income Common Stockholders
4.71B	4.50B	1.37B	-4.16B	309.27M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
9.58B	11.36B	7.04B	6.50B	2.95B
	Total Assets
22.78B	24.68B	21.44B	28.02B	27.53B
	Total Debt
6.17B	7.30B	9.88B	14.93B	12.16B
	Net Debt
-1.31B	-2.03B	3.26B	9.13B	9.24B
	Total Liabilities
12.36B	13.16B	13.98B	20.09B	17.29B
	Stockholders Equity
10.43B	11.53B	7.44B	7.91B	10.23B
Cash Flow		Free Cash Flow
6.33B	8.37B	5.30B	-663.18M	-3.16B
	Operating Cash Flow
7.63B	9.00B	6.15B	3.81B	2.92B
	Investing Cash Flow
-91.49M	-5.31B	-756.89M	-4.95B	-4.69B
	Financing Cash Flow
-7.63B	-3.50B	-4.99B	4.31B	2.34B

Haidilao International Holding Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.90
• 50DMA: Negative
• 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:6862, the sentiment is Negative. The current price of 14.9 is below the 20-day moving average (MA) of 15.27, below the 50-day MA of 16.19, and below the 200-day MA of 15.26, indicating a bearish trend. The MACD of -0.25 indicates Negative momentum. The RSI at 41.35 is Neutral, neither overbought nor oversold. The STOCH value of 62.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6862.

Haidilao International Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2217	74 Outperform	HK$1.92B	24.20	5.40%	3.78%	1.63%	-47.80%
6862	69 Neutral	$86.84B	16.53	42.85%	6.57%	1.35%	4.06%
0341	69 Neutral	HK$4.07B	15.24	9.84%	8.45%	2.29%	35.94%
Sector *	62 Neutral	$6.90B	11.05	2.80%	4.27%	2.67%	-24.92%
9658	51 Neutral	HK$10.53B	35.84	11.98%	―	―	―
9922	50 Neutral	HK$3.75B	62.91	1.72%	5.60%	-0.41%	-87.88%
2150	40 Underperform	HK$2.19B	―	-20.95%	―	-6.61%	-5748.54%

Haidilao International Holding Corporate Events

Haidilao Announces Successful AGM Resolutions and Strategic Mandates

Haidilao International Holding Ltd. announced the successful passing of all resolutions at its Annual General Meeting held on May 19, 2025. Key resolutions included the adoption of the company’s financial statements, the declaration of a final dividend, the re-election of several directors, and the reappointment of Deloitte Touche Tohmatsu as the auditor. Additionally, the company authorized mandates for share allotment and repurchase, reflecting a strategic focus on shareholder value and corporate governance.

The most recent analyst rating on (HK:6862) stock is a Hold with a HK$14.20 price target. To see the full list of analyst forecasts on Haidilao International Holding stock, see the HK:6862 Stock Forecast page.

Haidilao Announces 2025 Annual General Meeting Agenda

Haidilao International Holding Ltd. has announced its upcoming annual general meeting scheduled for May 19, 2025. Key agenda items include the approval of the audited financial statements for 2024, the declaration of a final dividend, re-election of directors, and the re-appointment of Deloitte Touche Tohmatsu as the company’s auditor. The meeting will also consider resolutions to authorize the board to allot and issue additional shares, which could impact the company’s market positioning and shareholder value.

Haidilao Clarifies AGM Dates in Annual Results Announcement

Haidilao International Holding Ltd. issued a clarification regarding its annual results announcement for the year ended December 31, 2024. The company amended the closure dates of its register of members for the upcoming AGM to determine shareholder eligibility for attending and voting. This announcement serves as a supplement to the previously released annual results, ensuring stakeholders are informed of the correct dates and procedures.

Haidilao Reports 2024 Financial Growth and Strategic Expansion

Haidilao International Holding Ltd. reported its annual results for 2024, showing a 3.1% increase in total revenue to RMB42,754.7 million and an 18.7% rise in core operating profit. The company expanded its restaurant count to 1,368, including 13 franchised locations, and improved its average table turnover rate. Despite closing or relocating some restaurants, Haidilao launched 62 new outlets and resumed operations at two previously suspended locations. The company’s strategic initiatives, such as the ‘Pomegranate plan,’ aim to diversify and sustain long-term growth amidst increasing competition in the catering market.

Haidilao Announces Final Dividend for 2024

Haidilao International Holding Ltd. announced a final cash dividend of HKD 0.507 per share for the financial year ending December 31, 2024. The dividend reflects the company’s solid financial performance and commitment to returning value to its shareholders, with the payment scheduled for June 19, 2025, following shareholder approval in May.