Bortex Global Ltd. (8118) AI Stock Analysis

• Market Cap: HK$52.50M
• Dividend Yield: N/A
• Average Volume (3M): 1.26M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.46
• Revenue Growth: -20.21%
• EPS Growth: -39.66%
• Country: HK
• Employees: 89
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): -0.09
• Shares Outstanding: 500,000,000
• 10 Day Avg. Volume: 670,400
• 30 Day Avg. Volume: 1,259,200
• PEG Ratio: -0.02
• Price to Book (P/B): 2.38
• Price to Sales (P/S): 1.44
• P/FCF Ratio: 2.06
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: HK$0.13 ▲(5.83% Upside)

Bortex Global Ltd.'s overall stock score is primarily impacted by its challenging financial performance, with declining revenues and increased leverage posing significant risks. The technical analysis provides a slightly positive outlook, but the valuation remains unattractive due to the negative P/E ratio. The lack of earnings call and corporate events data means these factors do not influence the score.

Positive Factors

Sustainability Focus

Bortex's commitment to sustainability and eco-friendly products attracts environmentally-conscious buyers, enhancing its market position and appeal.

Cash Flow Improvement

Positive operating cash flow indicates effective cash management, providing a buffer against financial instability and supporting future operations.

Stable Revenue Base

Long-term contracts ensure consistent revenue streams, reducing volatility and supporting financial planning and stability.

Negative Factors

Declining Revenue

Significant revenue decline indicates challenges in market demand or competitive positioning, impacting long-term growth potential.

Increased Leverage

Higher leverage increases financial risk, potentially limiting the company's ability to invest in growth and weather economic downturns.

Negative Profitability

Operating losses and negative margins suggest difficulty in maintaining profitability, which could hinder long-term financial health and investment capacity.

Bortex Global Ltd. Business Overview & Revenue Model

Company Description

Bortex Global Limited, an investment holding company, designs, manufactures, and trades in light-emitting diode (LED) lighting products in Canada, the United States, the People's Republic of China, Hong Kong, and internationally. The company offers LED decorative and string lights products, including straight line, icicle, beard garland, crab, wreath, flower, meteor shower, sphere, net, and smart string lights, as well as toy light and tree light series; LED commercial lighting products, such as tube lights, ceiling lamps, and light bulbs; and LED solar system series products. It serves retailers, wholesalers, real estate developers, and other fields, as well as agricultural technology production companies. Bortex Global Limited was incorporated in 2014 and is headquartered in Kwun Tong, Hong Kong.

How the Company Makes Money

Bortex Global Ltd. generates revenue through multiple key streams, primarily by manufacturing and selling clothing and textile products to wholesale buyers and retailers. The company operates on a business-to-business (B2B) model, where it partners with various retail brands and distributors to fulfill orders. In addition to direct sales, Bortex also benefits from long-term contracts with established retailers, providing a stable revenue base. The company's focus on sustainability and the introduction of eco-friendly products have positioned it favorably in the market, attracting environmentally-conscious buyers. Furthermore, Bortex may engage in strategic partnerships and collaborations with other businesses to expand its product offerings and reach new markets, thereby enhancing its revenue potential.

Bortex Global Ltd. Financial Statement Overview

Summary

Bortex Global Ltd. faces significant financial challenges, with declining revenues and profitability. The balance sheet shows increased leverage, which could pose risks if not managed carefully. However, the improvement in cash flow metrics provides some optimism for future financial stability.

Income Statement

Bortex Global Ltd. has experienced a significant decline in revenue over the past few years, with a revenue growth rate of -28.53% in the latest period. The company has been operating at a loss, as indicated by negative net profit margins and EBIT margins. The gross profit margin has also decreased, reflecting challenges in maintaining profitability.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.03, indicating higher leverage and potential financial risk. Return on equity is negative, reflecting losses. However, the equity ratio remains relatively stable, suggesting some level of asset backing.

Cash Flow

Despite negative net income, the company has managed to generate positive operating cash flow in the latest period, with a significant improvement in free cash flow growth. The free cash flow to net income ratio is positive, indicating better cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.44M	26.44M	33.14M	70.56M	149.92M	200.91M
Gross Profit	-15.49M	3.70M	4.84M	11.15M	33.27M	55.20M
EBITDA	-16.59M	-43.51M	-28.81M	-62.11M	14.73M	40.09M
Net Income	-44.89M	-44.89M	-32.15M	-69.94M	5.67M	24.13M
Balance Sheet
Total Assets	51.93M	51.93M	99.05M	138.78M	231.48M	228.88M
Cash, Cash Equivalents and Short-Term Investments	16.11M	16.11M	1.92M	18.03M	56.97M	58.91M
Total Debt	16.38M	16.38M	19.70M	15.22M	34.54M	38.44M
Total Liabilities	35.97M	35.97M	35.35M	40.36M	61.27M	62.77M
Stockholders Equity	15.97M	15.97M	63.70M	98.42M	170.21M	166.10M
Cash Flow
Free Cash Flow	18.41M	18.41M	-21.03M	-19.53M	-2.18M	24.23M
Operating Cash Flow	18.41M	18.41M	-21.03M	-19.29M	-915.00K	27.63M
Investing Cash Flow	11.00K	11.00K	8.00K	-237.00K	1.60M	-3.25M
Financing Cash Flow	-3.87M	-3.87M	5.01M	-19.01M	-1.91M	5.28M

Bortex Global Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.12
• 50DMA: Positive
• 100DMA: Positive
• 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:8118, the sentiment is Neutral. The current price of 0.12 is below the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 50.43 is Neutral, neither overbought nor oversold. The STOCH value of 31.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:8118.

Bortex Global Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0396	53 Neutral	HK$93.74M	5.55	20.69%	8.62%	-13.44%	―
8125	51 Neutral	HK$50.57M	―	-31.52%	―	114.81%	-134.21%
8118	48 Neutral	HK$52.50M	-1.17	-112.69%	―	-20.21%	-39.66%
8222	45 Neutral	HK$17.59M	―	-49.85%	―	-7.75%	37.65%
8392	43 Neutral	HK$47.00M	―	-1.87%	―	19.09%	90.00%
8547	41 Neutral	HK$76.36M	235.00	―	―	-21.85%	-98.18%