Golden Throat Holdings Group Co Ltd (6896) AI Stock Analysis

• Market Cap: HK$2.63B
• Dividend Yield: 14.12%
• Average Volume (3M): 1.73M
• Price to Earnings (P/E): 7.6
• Beta (1Y): 0.18
• Revenue Growth: 20.89%
• EPS Growth: 24.98%
• Country: HK
• Employees: 874
• Sector: Healthcare
• Sector Strength: 48
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.27
• Shares Outstanding: 739,302,000
• 10 Day Avg. Volume: 3,102,320
• 30 Day Avg. Volume: 1,725,783
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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$4.00
• Price Target Upside: 13.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: HK$4.00 ▲(13.31% Upside)

Golden Throat Holdings' overall stock score is driven by its strong financial performance and attractive valuation. The company's robust revenue growth, high profitability, and stable balance sheet are significant strengths. However, the technical analysis indicates a bearish trend, which slightly offsets the positive financial and valuation aspects.

Golden Throat Holdings Group Co Ltd Business Overview & Revenue Model

Company Description

Golden Throat Holdings Group Company Limited, an investment holding company, manufactures and sells pharmaceutical, healthcare food, and other products in the People's Republic of China. It offers Golden Throat lozenges over-the-counter medicine to relive symptoms of sore and dry throat, and hoarse voice caused by acute pharyngitis. It also provides Golden Throat lozenge series products that include Dule lozenges and sugar-free Dule lozenges in various flavors, such as orange, fructus momordicae, chrysanthemum, American ginseng, and hawthorn; Yinxingye tablet, which is designed to facilitate blood circulation, remove blood stasis, and dredge energy channels; and herbal vegetable beverages for soothing voice and relieving sore throats. The company also exports its products to the United States, Canada, Russia, the European Union, Australia, Southeast Asia, the Middle East, Mexico, and Africa. Golden Throat Holdings Group Company Limited was founded in 1956 and is headquartered in Liuzhou, the People's Republic of China.

How the Company Makes Money

Golden Throat Holdings Group Co Ltd generates revenue primarily through the sale of its healthcare products, especially the Golden Throat Lozenges, which are sold domestically and internationally. The company benefits from a robust distribution network that ensures its products are available in various retail and pharmaceutical outlets. Key revenue streams include direct sales to consumers, wholesale distribution to retailers, and potential partnerships with healthcare providers and pharmacies. Strategic marketing and branding efforts also play a vital role in maintaining the company's market position and driving sales growth.

Golden Throat Holdings Group Co Ltd Financial Statement Overview

Summary

Golden Throat Holdings showcases robust financial health with strong revenue growth, high profitability margins, and a stable balance sheet. Despite concerns about the lack of operating cash flow data for 2024, the company’s historical cash generation capacity and low leverage underscore its financial resilience and potential for continued growth.

Income Statement

Golden Throat Holdings has demonstrated strong revenue growth, with a 23.3% increase from 2023 to 2024, and maintained robust profitability with a gross profit margin of 75.5% and a net profit margin of 26.9% for 2024. The company's EBIT and EBITDA margins are also solid at 32.8% and 38.5%, respectively, indicating efficient operations and strong earnings before interest and taxes.

Balance Sheet

The company exhibits a healthy balance sheet with a low debt-to-equity ratio of 0.29, highlighting conservative leverage. Additionally, the return on equity is impressive at 21.7%, reflecting efficient use of shareholder funds. The equity ratio of 65.1% further indicates a strong equity base relative to total assets, suggesting financial stability.

Cash Flow

Although the free cash flow in 2024 is not available, the company previously generated positive free cash flow in 2023, which grew by 90.3% from 2022 to 2023. However, the absence of operating cash flow in 2024 is a concern, as it limits the ability to assess current cash generation efficiency relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.19B	961.38M	992.01M	820.54M	646.94M
Gross Profit	894.18M	697.72M	720.92M	577.74M	475.64M
EBITDA	456.65M	410.75M	424.93M	281.80M	233.31M
Net Income	318.63M	250.16M	281.22M	187.64M	154.05M
Balance Sheet
Total Assets	2.25B	2.30B	2.30B	1.95B	1.69B
Cash, Cash Equivalents and Short-Term Investments	1.14B	1.07B	925.51M	802.84M	705.54M
Total Debt	426.92M	412.34M	272.59M	235.00M	152.45M
Total Liabilities	784.87M	748.34M	760.18M	588.04M	464.75M
Stockholders Equity	1.47B	1.55B	1.54B	1.37B	1.22B
Cash Flow
Free Cash Flow	408.65M	221.30M	255.30M	116.23M	83.80M
Operating Cash Flow	475.87M	238.84M	271.15M	164.89M	167.75M
Investing Cash Flow	-41.60M	-59.67M	36.59M	-145.11M	-81.26M
Financing Cash Flow	-335.18M	-79.38M	-142.01M	-10.21M	49.36M

Golden Throat Holdings Group Co Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6896, the sentiment is Negative. The current price of 3.53 is below the 20-day moving average (MA) of 4.34, below the 50-day MA of 4.45, and below the 200-day MA of 3.61, indicating a bearish trend. The MACD of -0.30 indicates Positive momentum. The RSI at 23.82 is Positive, neither overbought nor oversold. The STOCH value of 1.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6896.

Golden Throat Holdings Group Co Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2877	74 Outperform	HK$6.43B	7.06	11.61%	6.07%	-18.09%	-15.08%
2348	73 Outperform	HK$1.97B	3.22	18.33%	5.78%	-9.95%	67.56%
6896	72 Outperform	HK$2.63B	7.62	21.15%	14.12%	20.89%	24.98%
2161	72 Outperform	HK$2.40B	12.13	19.22%	6.86%	20.65%	63.21%
3737	70 Outperform	HK$711.48M	6.88	8.81%	6.17%	5.79%	-43.49%
Sector *	60 Neutral	HK$19.22B	4.48	-1.43%	3.30%	11.19%	-15.58%
1498	45 Neutral	HK$179.70M	―	-26.80%	―	-6.09%	66.59%

Golden Throat Holdings Group Co Ltd Corporate Events

Golden Throat Holdings Issues Profit Warning Amid Industry Changes

Golden Throat Holdings Group Co Ltd has issued a profit warning, anticipating a 37% decrease in profit for the first half of 2025 compared to the same period in 2024. This decline is attributed to changes in the industry landscape and adjustments in the company’s marketing strategy, which led to reduced purchases from distributor customers and consequently decreased sales and profits.

Golden Throat Holdings Concludes AGM with Unanimous Resolution Approvals

Golden Throat Holdings Group Co Ltd announced the successful conclusion of its Annual General Meeting (AGM) held on June 3, 2025, where all proposed resolutions were approved by shareholders. This includes the adoption of the audited financial statements for the year ended December 31, 2024, the declaration of a final dividend, and the re-election of several directors. The unanimous approval of these resolutions reflects strong shareholder support and positions the company for continued stability and growth.