Classified Group (Holdings) Limited (8232) AI Stock Analysis

• Market Cap: HK$240.28M
• Dividend Yield: N/A
• Average Volume (3M): 526.37K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: -2.95%
• EPS Growth: 56.44%
• Country: HK
• Employees: 54
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Restaurants
• EPS (TTM): -0.05
• Shares Outstanding: 55,750,000
• 10 Day Avg. Volume: 326,250
• 30 Day Avg. Volume: 526,371
• 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$4.50
• Price Target Upside: 0.22% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: HK$4.50 ▲(0.22% Upside)

The stock's overall score is primarily impacted by severe financial instability, with persistent losses and liquidity concerns. Despite strong technical momentum, the negative valuation metrics further weigh down the score. The lack of earnings call and corporate events data limits additional insights.

Positive Factors

Menu Diversity

Menu diversity allows the company to cater to different customer preferences, potentially enhancing customer retention and attracting a broader audience, which can support long-term revenue stability.

Partnerships with Delivery Platforms

Partnerships with delivery platforms can expand market reach and sales, providing a strategic advantage in the growing online food delivery market, which is crucial for long-term growth.

Location Strategy

A strong location strategy can drive foot traffic and sales, ensuring the company remains competitive in the food and beverage sector, which is essential for sustained revenue growth.

Negative Factors

Declining Revenues

Declining revenues indicate challenges in maintaining market share and customer base, which can threaten long-term financial health and competitive positioning.

Negative Cash Flows

Consistently negative cash flows highlight operational inefficiencies and reliance on external funding, which can hinder the company's ability to invest in growth and innovation.

Increasing Financial Leverage

Higher financial leverage increases risk, as it may lead to higher interest obligations and reduced financial flexibility, potentially impacting long-term solvency.

Classified Group (Holdings) Limited Business Overview & Revenue Model

Company Description

Classified Group (Holdings) Limited, an investment holding company, owns and operates casual dining restaurants in Hong Kong. The company operates seven restaurants, including five restaurants under the Classified brand and two restaurants under the Rise by Classified brand; and three franchised restaurants in Indonesia. It also provides management services. The company was formerly known as Press Room Group (Holdings) Limited and changed its name to Classified Group (Holdings) Limited in February 2016. Classified Group (Holdings) Limited was founded in 2006 and is headquartered in Wong Chuk Hang, Hong Kong.

How the Company Makes Money

Classified Group (Holdings) Limited generates revenue primarily through its network of restaurants. The company earns money by offering dine-in, takeout, and delivery services across its various restaurant brands. Revenue streams include direct sales from food and beverages, as well as catering services for events and private functions. The company may also engage in partnerships with delivery platforms to extend its market reach and enhance sales. Factors contributing to its earnings include location strategy, menu diversity, and customer service quality.

Classified Group (Holdings) Limited Financial Statement Overview

Summary

The company is facing severe financial challenges with declining revenues, persistent losses, and negative cash flows. The balance sheet shows increasing leverage and shrinking equity, indicating financial instability and liquidity concerns.

Income Statement

The company has experienced a significant decline in revenue over recent years, with a drop from 107.47M in 2019 to 36.25M in 2024. The net income has remained negative, indicating consistent losses. Gross profit margin has also decreased over time, reflecting reduced operational efficiency. The company struggles with profitability as evidenced by negative EBIT and EBITDA margins.

Balance Sheet

The company has seen declining stockholders' equity, notably dropping from 73.70M in 2019 to 9.51M in 2024, which indicates potential solvency issues. The debt-to-equity ratio has increased, reflecting higher financial leverage. However, the company maintains a positive equity ratio, suggesting it still funds a portion of its assets with equity.

Cash Flow

Operating cash flow is consistently negative, indicating operational challenges. Free cash flow remains negative, demonstrating the company struggles with generating cash from its operations after capital expenditures. Although there were fluctuations in financing cash flow, reliance on external funding seems evident.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.25M	36.36M	37.47M	59.90M	74.63M
Gross Profit	2.55M	8.87M	2.66M	10.42M	12.85M
EBITDA	107.00K	-13.03M	-15.42M	-8.23M	5.60M
Net Income	-8.31M	-15.35M	-33.64M	-18.61M	-16.39M
Balance Sheet
Total Assets	27.34M	35.93M	38.93M	77.69M	90.83M
Cash, Cash Equivalents and Short-Term Investments	815.00K	6.18M	1.74M	17.27M	25.61M
Total Debt	9.12M	5.42M	5.84M	12.38M	24.83M
Total Liabilities	17.83M	18.11M	18.57M	36.94M	33.53M
Stockholders Equity	9.51M	17.82M	20.36M	40.75M	57.30M
Cash Flow
Free Cash Flow	-2.16M	-5.39M	1.94M	-5.66M	-17.31M
Operating Cash Flow	-2.16M	-4.59M	2.01M	-3.34M	-15.51M
Investing Cash Flow	13.00K	-797.00K	-258.00K	-2.10M	-1.42M
Financing Cash Flow	-3.22M	9.84M	-17.29M	-2.89M	-15.11M

Classified Group (Holdings) Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.49
• 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:8232, the sentiment is Positive. The current price of 4.49 is above the 20-day moving average (MA) of 4.00, above the 50-day MA of 2.84, and above the 200-day MA of 1.29, indicating a bullish trend. The MACD of 0.36 indicates Positive momentum. The RSI at 62.58 is Neutral, neither overbought nor oversold. The STOCH value of 66.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8232.

Classified Group (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%
8232	54 Neutral	HK$240.28M	―	-77.73%	―	-2.95%	56.44%
8432	49 Neutral	HK$31.31M	―	-124.73%	―	-6.46%	-3042.86%
8447	48 Neutral	HK$38.00M	―	-88.20%	―	12.29%	7.53%
1443	46 Neutral	HK$80.60M	10.67	-41.01%	4.84%	-7.56%	-231.11%
8495	―	HK$86.02M	203.64	0.78%	―	―	―
8519	42 Neutral	HK$67.27M	―	-350.87%	―	-5.22%	-7.61%