Life Concepts Holdings Limited (8056) AI Stock Analysis

• Market Cap: HK$23.70M
• Dividend Yield: N/A
• Average Volume (3M): 571.19K
• Price to Earnings (P/E): 0.5
• Beta (1Y): 0.47
• Revenue Growth: -54.03%
• EPS Growth: N/A
• Country: HK
• Employees: 17
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Restaurants
• EPS (TTM): 0.46
• Shares Outstanding: 113,414,540
• 10 Day Avg. Volume: 374,575
• 30 Day Avg. Volume: 571,191
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$0.50
• Price Target Upside: 138.10% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 42 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily influenced by the company's poor financial performance, which poses significant risks. Technical analysis indicates bearish momentum, further weighing down the score. While the stock appears undervalued based on its P/E ratio, the lack of dividend yield and financial instability overshadow potential valuation benefits.

Positive Factors

Business Model Strength

The company's diversified revenue streams, including online sales and retail partnerships, provide a robust business model that can adapt to market changes and consumer preferences, enhancing long-term stability.

Product Innovation

Continuous product innovation through R&D strengthens the company's competitive edge and market position, supporting sustainable revenue growth and customer retention.

Strategic Partnerships

Collaborations with health professionals and influencers enhance brand visibility and credibility, potentially leading to increased market penetration and long-term revenue growth.

Negative Factors

Declining Revenue

A significant decline in revenue indicates potential market share loss and challenges in maintaining customer demand, which could impact long-term financial health and growth prospects.

Negative Equity

Negative equity suggests financial instability and potential solvency risks, which could limit the company's ability to invest in growth opportunities and affect long-term sustainability.

Cash Flow Challenges

Volatile cash flow and negative operating cash flow indicate difficulties in generating sufficient cash to cover operational needs, potentially hindering future investments and financial flexibility.

Life Concepts Holdings Limited Business Overview & Revenue Model

Company Description

Life Concepts Holdings Limited (8056) is a diversified company primarily engaged in the health and wellness sector, focusing on providing innovative products and services that enhance the quality of life. Its core offerings include nutritional supplements, wellness programs, and lifestyle products designed to promote health and well-being. The company operates in various markets, aiming to cater to a broad audience seeking holistic health solutions.

How the Company Makes Money

Life Concepts Holdings Limited generates revenue through multiple streams, including the sale of its nutritional supplements and health-related products both online and through retail partnerships. The company also earns income from subscription-based wellness programs that provide customers with personalized health plans and ongoing support. Additionally, strategic partnerships with health professionals and wellness influencers help drive brand awareness and sales, contributing significantly to its revenue. The company's focus on research and development allows for the continuous introduction of new products, further enhancing its market position and revenue potential.

Life Concepts Holdings Limited Financial Statement Overview

Summary

Life Concepts Holdings Limited faces significant financial challenges across all verticals. The income statement shows declining revenues and profitability, the balance sheet reflects a precarious financial position with negative equity, and cash flow statements reveal volatility and cash management issues.

Income Statement

The income statement reveals a concerning trend with declining revenues and profitability. The company experienced a significant revenue drop of 44.49% in the latest year, and gross profit turned negative, indicating cost management issues. Despite a positive EBITDA in the latest year, the net profit margin remains negative, highlighting ongoing profitability challenges.

Balance Sheet

The balance sheet shows a weak financial position with negative stockholders' equity, indicating potential solvency issues. The debt-to-equity ratio is not meaningful due to negative equity, and the return on equity is misleadingly positive due to negative equity. The equity ratio is also negative, reflecting a high-risk financial structure.

Cash Flow

Cash flow analysis shows volatility, with a significant decline in free cash flow growth and negative operating cash flow in the latest year. The operating cash flow to net income ratio is negative, indicating cash flow challenges despite reported net income. The free cash flow to net income ratio is not meaningful due to negative free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.32M	7.39M	16.09M	61.36M	162.83M	214.32M
Gross Profit	4.90M	-2.10M	557.00K	10.85M	70.58M	101.95M
EBITDA	-2.57M	52.88M	-18.49M	-20.34M	-12.22M	3.79M
Net Income	-17.67M	49.67M	-19.56M	-28.88M	-40.85M	-64.43M
Balance Sheet
Total Assets	117.15M	128.02M	122.24M	139.25M	150.81M	251.13M
Cash, Cash Equivalents and Short-Term Investments	368.00K	171.00K	1.34M	2.21M	2.52M	12.19M
Total Debt	84.85M	2.38M	820.00K	17.73M	22.74M	60.60M
Total Liabilities	232.00M	190.72M	239.97M	239.07M	261.22M	311.09M
Stockholders Equity	-119.96M	-67.53M	-122.70M	-104.97M	-119.92M	-74.91M
Cash Flow
Free Cash Flow	77.20M	-12.31M	12.21M	6.38M	-51.00K	-23.08M
Operating Cash Flow	77.20M	-9.71M	12.21M	6.38M	1.86M	-14.35M
Investing Cash Flow	1.15M	-5.07M	834.00K	-17.06M	13.16M	-72.56M
Financing Cash Flow	-112.82M	13.61M	-13.83M	10.39M	-17.72M	68.52M

Life Concepts Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8056, the sentiment is Negative. The current price of 0.21 is below the 20-day moving average (MA) of 0.24, below the 50-day MA of 0.27, and above the 200-day MA of 0.19, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 37.60 is Neutral, neither overbought nor oversold. The STOCH value of 36.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8056.

Life Concepts Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.09B	12.97	-1.60%	2.98%	1.42%	-15.92%
8432	49 Neutral	HK$31.31M	―	-124.73%	―	-6.46%	-3042.86%
8447	48 Neutral	HK$38.00M	―	-88.20%	―	12.29%	7.53%
8056	42 Neutral	HK$23.70M	0.48		―	-54.03%	―
8096	41 Neutral	HK$24.06M	―	-31.67%	―	-19.25%	65.38%
8367	41 Neutral	HK$15.19M	1.62	-80.18%	―	6.44%	-294.12%
8510	―	HK$19.51M	―		―	―	―