CLSA Premium Ltd. (6877) AI Stock Analysis

• Market Cap: HK$298.89M
• Dividend Yield: N/A
• Average Volume (3M): 632.00K
• Price to Earnings (P/E): 100.0
• Beta (1Y): 0.45
• Revenue Growth: -21.08%
• EPS Growth: -73.08%
• Country: HK
• Employees: 13
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): >-0.01
• Shares Outstanding: 2,033,290,000
• 10 Day Avg. Volume: 915,500
• 30 Day Avg. Volume: 632,000
• PEG Ratio: 1.05
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 2.30
• P/FCF Ratio: -10.02
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: HK$0.15 ▲(0.00% Upside)

The score is mainly supported by a strong, low-leverage balance sheet and a return to positive net income, but it is held back by weak cash conversion and a 2024 operating/revenue deterioration. Bearish technical positioning and a very high P/E further pressure the overall rating.

Positive Factors

Balance Sheet Strength

A strong balance sheet with low leverage provides financial flexibility and stability, crucial for navigating cyclical downturns in the capital markets industry.

Positive Net Income

Sustained positive net income indicates improved profitability and potential for reinvestment, enhancing long-term business resilience.

Improved Profitability

Improved profitability suggests better cost management and pricing power, which can support future growth and competitive positioning.

Negative Factors

Revenue Decline

A significant revenue decline raises concerns about market position and demand for services, potentially impacting long-term growth prospects.

Negative Cash Flow

Negative cash flow indicates challenges in converting earnings into cash, which can limit investment capacity and financial flexibility.

Operating Profit Weakness

Weak operating profit suggests reliance on non-operational factors for earnings, which may not be sustainable, affecting long-term profitability.

CLSA Premium Ltd. Business Overview & Revenue Model

Company Description

Top Eminent Healthcare Group Limited, an investment holding company, sells healthcare products and other services in Australia, Hong Kong, and New Zealand.

How the Company Makes Money

CLSA Premium Ltd. generates revenue primarily through the spreads and commissions charged on the trades executed by its clients on its platforms. The company also earns income from overnight financing fees and other related transactional services. Its earnings are influenced by trading volumes, client activity, and market volatility. Additionally, CLSA Premium Ltd. may engage in strategic partnerships or collaborations with financial institutions to enhance its service offerings and expand its client base.

CLSA Premium Ltd. Financial Statement Overview

Summary

CLSA Premium Ltd. operates in a highly volatile industry, reflected in its fluctuating revenue and profit margins. While the company has maintained a strong equity position with minimal debt, its cash flow challenges pose significant risks. Continued improvement in revenue and cash flow generation will be crucial for stable growth.

Income Statement

The company has shown significant revenue volatility, with recent revenue declining sharply from the previous year. Gross Profit Margin has been negative in the earlier years but improved to positive in the latest period. Net Profit Margin has experienced fluctuations but turned positive recently. This suggests a challenging but gradually improving financial performance.

Balance Sheet

The balance sheet displays strong equity levels with minimal debt, resulting in a favorable Debt-to-Equity Ratio. However, the Equity Ratio has declined as total assets have decreased over time. The Return on Equity has improved, indicating better profitability relative to equity.

Cash Flow

Cash flow from operations has been consistently negative, reflecting challenges in generating cash from core activities. Free Cash Flow has shown improvement but remains negative, limiting the company's ability to invest in growth or pay dividends. The Operating Cash Flow to Net Income Ratio indicates inconsistency in cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.45M	86.49M	191.17M	39.13M	5.44M	4.71M
Gross Profit	85.45M	28.26M	34.55M	4.37M	-13.02M	-15.95M
EBITDA	0.00	-2.54M	6.97M	-8.17M	-37.05M	-65.72M
Net Income	2.86M	11.34M	9.84M	-31.05M	-56.54M	-71.64M
Balance Sheet
Total Assets	266.24M	279.38M	251.78M	284.31M	330.62M	430.44M
Cash, Cash Equivalents and Short-Term Investments	0.00	205.17M	222.39M	211.79M	234.47M	289.83M
Total Debt	0.00	0.00	0.00	0.00	9.64M	10.70M
Total Liabilities	17.99M	35.08M	11.91M	53.51M	61.86M	97.38M
Stockholders Equity	248.25M	244.31M	239.87M	230.80M	268.76M	333.06M
Cash Flow
Free Cash Flow	-17.02M	-19.90M	1.82M	-16.79M	-40.12M	-6.50M
Operating Cash Flow	-17.02M	-19.90M	1.82M	-16.79M	-39.26M	-5.87M
Investing Cash Flow	4.67M	9.48M	9.64M	1.78M	2.21M	-2.58M
Financing Cash Flow	0.00	0.00	-1.00K	-2.12M	-10.14M	-12.35M

CLSA Premium Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.15
• 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:6877, the sentiment is Negative. The current price of 0.15 is above the 20-day moving average (MA) of 0.15, below the 50-day MA of 0.17, and below the 200-day MA of 0.27, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 39.39 is Neutral, neither overbought nor oversold. The STOCH value of 36.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6877.

CLSA Premium Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
2263	61 Neutral	HK$280.00M	36.84	2.10%	―	-9.48%	130.30%
0717	58 Neutral	HK$653.86M	4.36	4.26%	―	84.88%	122.45%
3678	58 Neutral	HK$866.46M	204.19	0.82%	0.33%	-53.05%	-32.93%
1461	56 Neutral	HK$701.33M	17.60	1.41%	2.39%	-18.72%	-45.10%
6877	52 Neutral	HK$298.89M	100.00	1.16%	―	-21.08%	-73.08%
0952	45 Neutral	HK$878.86M	-10.45	-4.03%	―	173.24%	-515.63%