Madison Holdings Group Limited (8057) AI Stock Analysis

• Market Cap: HK$53.59M
• Dividend Yield: N/A
• Average Volume (3M): 160.80K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.30
• Revenue Growth: -16.06%
• EPS Growth: -24.64%
• Country: HK
• Employees: 109
• Sector: Financial
• Sector Strength: 65
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): -0.01
• Shares Outstanding: 623,127,200
• 10 Day Avg. Volume: 77,400
• 30 Day Avg. Volume: 160,800
• PEG Ratio: 0.56
• Price to Book (P/B): -0.46
• Price to Sales (P/S): 0.74
• P/FCF Ratio: -9.62
• 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

• Rating: 25 Underperform
• Price Target: ―

The overall stock score for Madison Holdings Group Limited is 25.0, indicating a very weak investment prospect. The primary concern is the company's poor financial performance, characterized by declining revenues, significant leverage, and negative equity. Technical analysis further indicates a bearish trend, with the stock being oversold. Additionally, the stock's valuation is unfavorable due to a negative P/E ratio and the absence of dividends. These factors collectively suggest that the stock is currently not an attractive investment.

Madison Holdings Group Limited Business Overview & Revenue Model

Company Description

Madison Holdings Group Limited, an investment holding company, engages in the retail and wholesale of wine products and other alcoholic beverages in the People's of Republic of China and Hong Kong. It operates through Sales of Alcoholic Beverages, Financial Services, and Loan Financing Services segments. The company also offers wine storage services; financial consultancy services; securities and futures dealing services; and loan financing and loan referral services, as well as business consultancy services. The company was formerly known as Madison Wine Holdings Limited and changed its name to Madison Holdings Group Limited in July 2017. Madison Holdings Group Limited was founded in 1997 and is based in Wong Chuk Hang, Hong Kong.

How the Company Makes Money

Madison Holdings Group Limited generates revenue through its two main business segments: the distribution of alcoholic beverages and cryptocurrency mining. In the beverage distribution segment, the company earns money by importing and distributing a wide selection of wines and spirits to wholesalers and retailers. They leverage their extensive network and expertise in the wine industry to source high-quality products and cater to different market demands. In the cryptocurrency mining segment, Madison Holdings invests in and operates cryptocurrency mining facilities, earning revenue by mining digital currencies such as Bitcoin. This involves the use of specialized hardware to solve complex cryptographic equations, validating transactions on the blockchain and receiving cryptocurrency rewards in return. The company's earnings are further influenced by strategic partnerships within the wine industry and fluctuations in cryptocurrency market conditions.

Madison Holdings Group Limited Financial Statement Overview

Summary

Madison Holdings Group Limited is facing significant financial challenges. The company is experiencing declining revenues and profitability, with high leverage and negative equity on the balance sheet. Cash flow management is also a concern, as indicated by the negative operating and free cash flows. Immediate strategic interventions are required to stabilize the financial situation.

Income Statement

The revenue has decreased significantly from the previous year, showing a negative growth trend. The company is operating with negative net income and EBIT margins, indicating a lack of profitability. The gross profit margin has also seen a decline, suggesting reduced efficiency in cost management.

Balance Sheet

The company has a negative stockholders' equity, indicating financial distress. The debt-to-equity ratio is not calculable due to negative equity, which is concerning. The equity ratio is also negative, showing that the company is highly leveraged and reliant on debt financing.

Cash Flow

Operating cash flow has turned negative, highlighting cash flow management issues. The free cash flow has also declined, and the free cash flow to net income ratio is not favorable, indicating poor cash conversion from earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	67.85M	71.09M	68.09M	97.17M	130.49M	106.90M
Gross Profit	26.25M	30.60M	51.54M	46.49M	42.25M	44.12M
EBITDA	-20.46M	-6.09M	-2.10M	35.25M	18.17M	50.21M
Net Income	-21.74M	-15.22M	-16.22M	-2.21M	-16.64M	-34.97M
Balance Sheet
Total Assets	360.54M	336.99M	350.81M	432.28M	618.52M	649.42M
Cash, Cash Equivalents and Short-Term Investments	27.65M	22.32M	34.44M	72.91M	49.74M	19.66M
Total Debt	163.00M	95.99M	107.22M	135.88M	369.91M	352.77M
Total Liabilities	187.69M	188.06M	237.52M	282.70M	442.25M	410.33M
Stockholders Equity	-101.32M	-114.07M	-38.88M	-12.42M	3.53M	11.15M
Cash Flow
Free Cash Flow	967.00K	-5.44M	-9.59M	30.68M	45.72M	16.44M
Operating Cash Flow	1.10M	-5.34M	-9.46M	30.81M	46.52M	16.49M
Investing Cash Flow	6.00M	1.10M	9.56M	9.30M	5.66M	135.06M
Financing Cash Flow	-36.73M	-7.54M	-36.83M	-23.02M	-22.77M	-176.91M

Madison Holdings Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8057, the sentiment is Negative. The current price of 0.09 is below the 20-day moving average (MA) of 0.11, below the 50-day MA of 0.14, and below the 200-day MA of 0.12, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 28.09 is Positive, neither overbought nor oversold. The STOCH value of 35.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8057.

Madison Holdings Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8509	70 Outperform	HK$264.00M	6.64	12.59%	―	69.22%	115.70%
Sector *	67 Neutral	$17.01B	11.59	9.50%	3.95%	10.65%	1.31%
0828	63 Neutral	HK$422.52M	12.66	11.24%	1.17%	3.26%	46.30%
8146	50 Neutral	HK$107.28M	115.29	-16.65%	―	-48.00%	-494.33%
1389	48 Neutral	HK$205.10M	―	-11.48%	―	-7.95%	24.69%
8057	25 Underperform	HK$53.59M	―		―	-16.06%	-24.64%
CATWF	―	$16.52M	―	-128.01%	―	―	―