CLSA Premium Ltd. (6877) AI Stock Analysis

• Market Cap: HK$276.53M
• Dividend Yield: N/A
• Average Volume (3M): 632.00K
• Price to Earnings (P/E): 97.1
• 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

Balance sheet strength (essentially no debt) supports stability, and net income has stayed positive in 2023–2024 after prior-year losses. However, 2024 revenue fell sharply, operating profit slipped slightly negative, and cash flow/FCF turned negative again—raising concerns about earnings quality and cash conversion.

Income Statement

Profitability has improved meaningfully versus the large losses seen in 2019–2022, with net income turning positive in 2023 and remaining positive in 2024. 2024 shows stronger gross profitability and a higher net margin than 2023, but the core operating picture weakened: revenue fell sharply in 2024 and operating profit turned slightly negative despite positive net income, suggesting earnings quality relied on below-the-line items rather than operating strength.

Balance Sheet

The balance sheet is a clear strength, with essentially no debt in recent years (and low leverage even historically), providing flexibility in a cyclical capital-markets business. Equity remains sizable and returns on equity are positive in 2023–2024, though still modest and previously negative during the loss years, highlighting that profitability is not yet consistently durable across cycles.

Cash Flow

Cash generation is the weak spot: operating cash flow and free cash flow were negative again in 2024 and also negative in several prior years, indicating earnings have not consistently converted into cash. While 2023 showed modestly positive cash flow, the reversal in 2024 raises concerns about volatility and working-capital or timing effects, even as net income stayed positive.

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 0.14, above the 50-day MA of 0.15, and below the 200-day MA of 0.26, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.70 is Neutral, neither overbought nor oversold. The STOCH value of 36.59 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
0717	69 Neutral	HK$633.64M	4.31	4.26%	―	84.88%	122.45%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
2263	61 Neutral	HK$285.00M	37.50	2.10%	―	-9.48%	130.30%
1461	56 Neutral	HK$701.33M	18.62	1.41%	2.39%	-18.72%	-45.10%
3678	55 Neutral	HK$826.51M	199.40	0.82%	0.33%	-53.05%	-32.93%
6877	52 Neutral	HK$276.53M	97.14	1.16%	―	-21.08%	-73.08%
0952	45 Neutral	HK$860.42M	-10.53	-4.03%	―	173.24%	-515.63%

CLSA Premium Ltd. Corporate Events

Top Eminent Healthcare Refreshes Independent Board Leadership With Appointment of Veteran Market Executive

Top Eminent Healthcare Group Limited has announced that independent non-executive director (INED) and lead INED Mr. Zhou Zuyu will resign from the board and all related committee roles with effect from 31 December 2025 due to other business commitments. He leaves without any dispute with the board, and the company has expressed appreciation for his service. The group will appoint veteran financial markets and regulatory executive Mr. Zhou Jiannan as INED, lead INED and chairman of the remuneration committee, as well as a member of the audit, corporate governance and nomination committees, effective 1 January 2026, with annual director’s fees of HK$240,000. With more than three decades of experience across Chinese securities regulation, stock exchanges and asset management, his appointment strengthens the company’s governance and board oversight as it continues to develop its healthcare business.

The most recent analyst rating on (HK:6877) stock is a Hold with a HK$0.15 price target. To see the full list of analyst forecasts on CLSA Premium Ltd. stock, see the HK:6877 Stock Forecast page.