Honbridge Holdings (8137) AI Stock Analysis

• Market Cap: HK$7.65B
• Dividend Yield: N/A
• Average Volume (3M): 1.60M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: -44.43%
• EPS Growth: -281.08%
• Country: HK
• Employees: 164
• Sector: Real Estate
• Sector Strength: 63
• Industry: Electrical Equipment & Parts
• EPS (TTM): N/A
• Shares Outstanding: 14,554,533,000
• 10 Day Avg. Volume: 1,748,000
• 30 Day Avg. Volume: 1,595,133
• PEG Ratio: 0.23
• Price to Book (P/B): 1.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -404.40
• 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$0.47
• Price Target Upside: -11.14% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: HK$0.50 ▼(-5.66%Downside)

Honbridge Holdings faces significant financial and valuation challenges, with declining revenues and persistent losses being the most impactful factors. The technical analysis provides a neutral outlook, while the valuation is unattractive due to negative earnings. No earnings call data or corporate events influenced the score.

Honbridge Holdings Business Overview & Revenue Model

Company Description

Honbridge Holdings Limited (8137) is an investment holding company primarily engaged in the exploration and development of mineral resources. The company operates in sectors such as lithium, iron ore mining, and new energy vehicle battery production. Its core products and services include the extraction and sale of mineral resources, as well as the development and manufacturing of lithium battery materials.

How the Company Makes Money

Honbridge Holdings generates revenue through several key streams. Firstly, it earns income from the sale of extracted mineral resources, including iron ore and lithium, which are fundamental to the energy and manufacturing sectors. Secondly, the company has ventured into the new energy vehicle market by producing and selling lithium battery materials, which are critical components for electric vehicles. This diversification into the battery production sector allows Honbridge Holdings to capitalize on the growing demand for sustainable energy solutions. Significant partnerships with other mining and technology firms also contribute to its earnings, enabling the company to leverage shared expertise and market access to enhance its production capabilities and market reach.

Honbridge Holdings Financial Statement Overview

Summary

Honbridge Holdings faces significant financial challenges with declining revenues and consistent losses impacting profitability. Despite a strong equity position and low leverage, the persistent inability to generate positive cash flow and return on equity highlights the need for strategic improvements.

Income Statement

Honbridge Holdings has seen a significant decline in total revenue from 2021 to 2024, with a contraction of approximately 73.7%. Gross profit margins have remained positive but are declining, and the net income has been negative for the past three years, indicating consistent losses. EBIT and EBITDA margins are also negative, further highlighting profitability challenges.

Balance Sheet

The company's equity ratio remains strong due to substantial stockholders' equity, though it has decreased over time. The debt-to-equity ratio is low, indicating conservative leverage usage. However, the return on equity has been negative due to continued net losses, impacting overall financial stability.

Cash Flow

The operating and free cash flows have been volatile, with a significant downturn in cash flow generation in recent years. The operating cash flow to net income ratio is not available for the latest period, and free cash flow has not been positive, reflecting challenges in cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	126.11M	226.96M	137.66M	478.92M	297.06M
Gross Profit	34.39M	50.66M	24.93M	115.13M	92.99M
EBITDA	-597.88M	-121.16M	-237.78M	117.40M	1.87B
Net Income	-412.88M	-106.52M	-300.40M	151.25M	1.16B
Balance Sheet
Total Assets	5.69B	7.96B	7.53B	7.31B	7.80B
Cash, Cash Equivalents and Short-Term Investments	146.11M	223.06M	247.64M	544.69M	462.27M
Total Debt	122.51M	152.64M	164.79M	292.05M	429.13M
Total Liabilities	2.17B	2.98B	2.82B	2.62B	3.00B
Stockholders Equity	3.56B	4.99B	4.67B	4.65B	4.87B
Cash Flow
Free Cash Flow	-87.51M	7.41M	-60.04M	99.59M	153.97M
Operating Cash Flow	-82.75M	14.76M	-39.81M	129.53M	167.78M
Investing Cash Flow	-11.46M	14.46M	-39.98M	-34.44M	-17.20M
Financing Cash Flow	-5.60M	-26.47M	-127.13M	-74.89M	-168.86M

Honbridge Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8137, the sentiment is Negative. The current price of 0.53 is below the 20-day moving average (MA) of 0.56, below the 50-day MA of 0.59, and below the 200-day MA of 0.54, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 40.76 is Neutral, neither overbought nor oversold. The STOCH value of 41.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8137.

Honbridge Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3393	72 Outperform	HK$9.14B	11.99	13.34%	0.52%	18.17%	33.08%
0842	67 Neutral	HK$3.01B	4.70	12.91%	2.15%	17.69%	3.08%
1979	67 Neutral	HK$2.04B	5.31	21.87%	5.66%	11.66%	16.73%
1729	66 Neutral	HK$17.70B	39.12		0.25%	―	―
Sector *	54 Neutral	$1.23B	3.78	0.67%	6.00%	-2.39%	-129.28%
8328	51 Neutral	HK$620.57M	7.87	-18.50%	―	-11.36%	-336.92%
8137	47 Neutral	HK$7.65B	―	-9.66%	―	-44.43%	-281.08%