Kidztech Holdings Ltd. (6918) AI Stock Analysis

• Market Cap: HK$113.17M
• Dividend Yield: N/A
• Average Volume (3M): 5.14M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.55
• Revenue Growth: 84.26%
• EPS Growth: 44.41%
• Country: HK
• Employees: 32
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Leisure
• EPS (TTM): -0.03
• Shares Outstanding: 749,476,800
• 10 Day Avg. Volume: 4,124,000
• 30 Day Avg. Volume: 5,136,466
• PEG Ratio: 0.03
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -2.57
• 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: 43 Neutral
• Price Target: HK$0.15 ▼(-4.38% Downside)

Kidztech Holdings Ltd. faces significant financial and operational challenges, reflected in its low financial performance score. The technical analysis indicates a bearish trend, and the negative valuation metrics further highlight the company's struggles. These factors contribute to a low overall stock score.

Positive Factors

Revenue Growth

Despite financial challenges, the company has shown significant revenue growth, indicating potential market demand and product appeal.

Diverse Revenue Streams

Kidztech's diverse revenue streams through direct sales, partnerships, and licensing provide resilience against market fluctuations.

Innovative Product Line

The company's focus on innovative, technology-driven toys positions it well to capitalize on trends in educational and interactive play.

Negative Factors

Declining Profitability

The declining profitability and negative net profit margin highlight operational inefficiencies and cost management challenges.

Weak Cash Flow

Weak cash flow and negative free cash flow growth indicate liquidity issues, potentially limiting the company's ability to invest and grow.

Increasing Liabilities

Rising liabilities could strain financial stability, impacting the company's ability to manage debt and fund operations effectively.

Kidztech Holdings Ltd. Business Overview & Revenue Model

Company Description

Kidztech Holdings Limited, an investment holding company, engages in the design, development, manufacture, and sale of smart toy vehicles, smart interactive toys, and traditional toys in Mainland China and internationally. It also manufactures products under international customers' brands on original equipment manufacturing and original design manufacturing bases. In addition, the company is involved in the research, development, and sale of smart hardware products. It sells its products through wholesalers and retailers, as well as e-commerce channels under the kidztech brand. The company also exports its products. Kidztech Holdings Limited was founded in 2009 and is headquartered in Shantou, the People's Republic of China.

How the Company Makes Money

Kidztech Holdings Ltd. generates revenue through multiple key streams. Primarily, the company earns income from direct sales of its toy and educational product lines through retail channels, including both physical stores and online platforms. Additionally, Kidztech engages in strategic partnerships with major retail chains and e-commerce platforms, enhancing its market reach and distribution capabilities. The company may also explore licensing agreements for its proprietary technology and educational content, further diversifying its revenue sources. Seasonal sales during holidays and promotional events significantly contribute to its earnings, alongside ongoing product development that keeps the product lineup fresh and appealing to consumers.

Kidztech Holdings Ltd. Financial Statement Overview

Summary

Kidztech Holdings Ltd. is facing significant financial challenges. The income statement reveals declining revenue and profitability, with a net loss and negative net profit margin. The balance sheet shows stable debt-to-equity but declining equity and increasing liabilities. Cash flow is particularly weak, with no operating or free cash flow, indicating liquidity issues.

Income Statement

Kidztech Holdings Ltd. has experienced declining revenue and profitability over recent years. The company recorded a significant net loss in 2024, with a negative net profit margin and declining revenue. Gross profit margin has also decreased over time, indicating challenges in cost management.

Balance Sheet

The balance sheet shows a relatively stable debt-to-equity ratio over the years, but the declining stockholders' equity is concerning. The equity ratio remains moderate, but the company's increasing liabilities pose a risk to financial stability.

Cash Flow

The cash flow situation is weak, with no operating or free cash flow in the latest period. Past fluctuations in operating cash flow and negative free cash flow growth highlight liquidity challenges and potential cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	202.75M	218.77M	131.41M	169.43M	283.84M	295.91M
Gross Profit	11.70M	18.33M	15.03M	28.33M	80.78M	100.16M
EBITDA	-32.99M	-36.90M	-61.78M	-49.92M	58.14M	58.53M
Net Income	-51.00M	-61.06M	-97.99M	-76.66M	26.09M	24.14M
Balance Sheet
Total Assets	572.97M	592.29M	640.36M	736.73M	780.99M	670.55M
Cash, Cash Equivalents and Short-Term Investments	46.42M	10.71M	53.90M	11.55M	292.62M	140.57M
Total Debt	155.04M	149.22M	144.31M	144.84M	165.56M	163.88M
Total Liabilities	297.99M	306.42M	303.45M	338.38M	339.23M	247.00M
Stockholders Equity	275.30M	286.20M	337.21M	398.35M	441.76M	423.54M
Cash Flow
Free Cash Flow	2.43M	-34.51M	41.00M	-289.21M	156.41M	-69.33M
Operating Cash Flow	17.88M	-3.60M	41.06M	-289.21M	166.41M	-14.49M
Investing Cash Flow	-5.50M	-12.69M	-55.00K	22.74M	-2.08M	-63.87M
Financing Cash Flow	-12.21M	-21.91M	1.67M	-13.89M	-10.37M	97.95M

Kidztech Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.16
• 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:6918, the sentiment is Negative. The current price of 0.16 is above the 20-day moving average (MA) of 0.16, below the 50-day MA of 0.16, and above the 200-day MA of 0.15, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.06 is Neutral, neither overbought nor oversold. The STOCH value of 3.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6918.

Kidztech Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0114	66 Neutral	HK$374.78M	7.51	8.24%	8.96%	5.72%	986.84%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
3830	52 Neutral	HK$64.00M	-7.36	-32.53%	―	-6.48%	-38.10%
8545	50 Neutral	HK$44.12M	-18.10	-1.26%	―	0.47%	-195.45%
6918	43 Neutral	HK$113.17M	-1.51	-19.89%	―	84.26%	44.41%
1348	42 Neutral	HK$169.54M	-9.92	-50.25%	―	-61.76%	75.15%
0765	40 Neutral	HK$142.21M	-7.42	-36.17%	―	-13.96%	64.58%