Linekong Interactive Group Co., Ltd. (8267) AI Stock Analysis

• Market Cap: HK$225.39M
• Dividend Yield: N/A
• Average Volume (3M): 2.86M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 20.90%
• EPS Growth: 70.71%
• Country: HK
• Employees: 57
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.03
• Shares Outstanding: 369,492,950
• 10 Day Avg. Volume: 2,005,838
• 30 Day Avg. Volume: 2,864,146
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: ―

Linekong Interactive Group's overall stock score reflects significant financial distress, with ongoing losses and poor cash flow. Despite a debt-free balance sheet, the lack of profitability and weak technical indicators suggest caution. The negative P/E ratio further complicates the valuation outlook, leading to a below-average score.

Linekong Interactive Group Co., Ltd. Business Overview & Revenue Model

Company Description

Linekong Interactive Group Co., Ltd., an investment holding company, researches, develops, and publishes online games in the People's Republic of China and internationally. It operates through two segments, Game Business and Film Business. The company publishes self-developed games and licensed games through its own game distribution channels, as well as third-party game distribution channels, payment collection channels, and prepaid game card distributors. It also produces and distributes film and television drama series, as well as provides technology consulting and services, and artist management services. The company was formerly known as Linekong Interactive Co., Ltd. and changed its name to Linekong Interactive Group Co., Ltd. in June 2015. Linekong Interactive Group Co., Ltd. was incorporated in 2007 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Linekong Interactive Group Co., Ltd. generates revenue through a diversified model primarily centered around its gaming products. The company earns money by distributing its games on various platforms, including iOS, Android, and PC. Revenue streams include in-game purchases, where players buy virtual goods and enhancements to improve their gaming experience. Additionally, the company benefits from advertising within its games and collaboration with other gaming platforms and distributors. Strategic partnerships with technology firms and entertainment companies also contribute to broadening their market reach and enhancing monetization opportunities.

Linekong Interactive Group Co., Ltd. Financial Statement Overview

Summary

The financial performance of Linekong Interactive Group is concerning, with declining revenues and consistent losses over several years. Despite a slight revenue growth in 2024, profitability remains weak. The balance sheet shows improvement with no debt, but cash flow issues and negative returns for shareholders highlight the need for strategic changes.

Income Statement

Linekong Interactive Group has been experiencing declining revenues over the years, with a significant revenue decrease from 2020 to 2023. The company's net profit margin has been negative, highlighting consistent losses. The gross profit margin has also shrunk, suggesting increased cost pressures or declining efficiency. While the company did achieve a slight revenue growth in 2024, the overall profitability remains weak.

Balance Sheet

The company maintains a strong equity position with no debt in 2024, improving its debt-to-equity ratio to zero. However, the return on equity is negative due to net losses, indicating poor returns for shareholders. The equity ratio has improved slightly, which is a positive sign of financial stability, but the company's ability to generate returns from its assets remains a concern.

Cash Flow

Linekong Interactive Group's cash flow performance has been weak, with negative free cash flow over several years. The operating cash flow has been inconsistent, showing challenges in generating cash from operations. The company's reliance on external financing in previous years to cover expenses suggests potential liquidity issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	146.05M	135.51M	71.06M	85.93M	211.88M
Gross Profit	21.43M	34.32M	20.93M	25.27M	49.25M
EBITDA	-35.66M	-12.36M	-38.48M	-51.90M	-13.30M
Net Income	-29.03M	-17.43M	-58.46M	-80.93M	-40.48M
Balance Sheet
Total Assets	315.53M	320.57M	364.82M	448.89M	572.43M
Cash, Cash Equivalents and Short-Term Investments	89.88M	106.06M	148.50M	195.69M	176.00M
Total Debt	0.00	645.00K	3.45M	54.61M	106.35M
Total Liabilities	81.32M	72.91M	102.42M	144.90M	178.74M
Stockholders Equity	234.65M	247.23M	262.41M	303.49M	384.38M
Cash Flow
Free Cash Flow	-53.24M	-47.47M	-65.51M	24.36M	-55.54M
Operating Cash Flow	13.17M	-22.29M	-16.57M	38.45M	12.71M
Investing Cash Flow	-1.61M	-17.53M	40.44M	74.14M	100.97M
Financing Cash Flow	-704.00K	-1.10M	-55.16M	-57.44M	-109.76M

Linekong Interactive Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.67
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8267, the sentiment is Neutral. The current price of 0.67 is below the 20-day moving average (MA) of 0.71, below the 50-day MA of 0.67, and above the 200-day MA of 0.45, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.04 is Neutral, neither overbought nor oversold. The STOCH value of 11.18 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:8267.

Linekong Interactive Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1810	79 Outperform	1.50T	35.78	14.74%	―	38.60%	94.11%
0700	78 Outperform	6.01T	26.97	19.93%	0.70%	11.41%	39.10%
1109	76 Outperform	229.90B	7.82	9.39%	4.57%	14.94%	-2.55%
9992	67 Neutral	339.21B	46.44	29.26%	0.33%	176.86%	342.12%
0772	60 Neutral	43.92B	306.66	-1.14%	―	-10.26%	-85.75%
8267	45 Neutral	HK$225.39M	―	-2.00%	―	20.90%	70.71%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%