Steed Oriental (Holdings) Company Ltd. (8277) AI Stock Analysis

• Market Cap: HK$26.25M
• Dividend Yield: N/A
• Average Volume (3M): 44.27K
• Price to Earnings (P/E): 0.7
• Beta (1Y): -0.17
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 19
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 0.17
• Shares Outstanding: 262,473,330
• 10 Day Avg. Volume: 30,200
• 30 Day Avg. Volume: 44,266
• PEG Ratio: 0.09
• Price to Book (P/B): -0.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.70
• 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: 34 Underperform
• Price Target: ―

Steed Oriental (Holdings) Company Ltd. is facing significant financial instability, with persistent operational losses and a high leverage risk due to negative equity. Technical indicators suggest a bearish trend, further reflecting the company's challenges. The stock's valuation, hampered by negative earnings and lack of dividends, does not offer compelling investment prospects. Overall, the company requires significant strategic interventions to improve its financial health and stock performance.

Steed Oriental (Holdings) Company Ltd. Business Overview & Revenue Model

Company Description

Steed Oriental (Holdings) Company Ltd. is a company listed on the Growth Enterprise Market of the Hong Kong Stock Exchange under the stock code 8277. The company primarily engages in the business of manufacturing and trading plywood and other wood products. Its operations are primarily based in China, and it serves a range of markets looking for quality wood materials suitable for construction and furniture manufacturing.

How the Company Makes Money

Steed Oriental (Holdings) Company Ltd. generates revenue through the production and sale of plywood and other wood-related materials. The company's primary revenue stream comes from its manufacturing facilities where it processes raw timber into finished plywood products. These products are then sold to various customers, including construction companies and furniture manufacturers. Additionally, the company may engage in trading activities involving wood materials, further contributing to its revenue. Key factors influencing its earnings include the cost of raw materials, operational efficiency, and the demand from the construction and furniture sectors. The company may also establish partnerships or agreements with suppliers and distributors to optimize its supply chain and market reach.

Steed Oriental (Holdings) Company Ltd. Financial Statement Overview

Summary

Steed Oriental (Holdings) Company Ltd. faces significant financial challenges. Revenue and profitability have been declining, with consistent operational losses. The balance sheet reflects high leverage and potential insolvency risks due to negative equity. Cash flow problems persist, further exacerbating financial difficulties. The company needs strategic interventions to stabilize and improve its financial health.

Income Statement

The company displays significant challenges in its income statement, with consistent revenue decline over the years. Gross profit margins are deteriorating, and the net profit margins are negative, indicating ongoing losses. EBIT and EBITDA margins are also negative, reflecting operational difficulties.

Balance Sheet

The balance sheet shows a concerning financial structure with negative stockholders' equity, indicating potential insolvency risks. The debt-to-equity ratio is extremely high due to negative equity, implying leveraged risk. Return on equity is not applicable due to negative equity, and the equity ratio is negative as well, signaling financial instability.

Cash Flow

Cash flow analysis reveals negative operating cash flow and free cash flow, indicating poor cash generation from operations. The free cash flow to net income ratio is not favorable, and the operating cash flow to net income ratio reflects cash flow issues. Despite this, there was some positive cash flow from financing activities.

Breakdown	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	63.12M	12.51M	93.83M	181.88M	223.49M
Gross Profit	14.74M	1.99M	24.61M	35.89M	42.48M
EBITDA	-18.43M	-8.73M	29.97M	11.01M	-7.65M
Net Income	-38.62M	-29.19M	-5.04M	-27.50M	-31.50M
Balance Sheet
Total Assets	202.26M	235.66M	427.66M	414.05M	387.93M
Cash, Cash Equivalents and Short-Term Investments	955.00K	644.00K	8.07M	20.95M	11.18M
Total Debt	161.72M	170.42M	184.18M	228.31M	135.61M
Total Liabilities	234.21M	226.35M	391.17M	382.89M	335.96M
Stockholders Equity	-31.96M	9.31M	36.50M	31.16M	51.97M
Cash Flow
Free Cash Flow	-11.93M	5.33M	3.96M	-10.57M	-22.53M
Operating Cash Flow	-11.76M	5.33M	9.14M	-1.28M	6.50M
Investing Cash Flow	2.16M	50.20M	3.40M	-1.05M	-30.67M
Financing Cash Flow	10.37M	-64.05M	-14.80M	7.77M	21.64M

Steed Oriental (Holdings) Company Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8277, the sentiment is Positive. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.10, and below the 200-day MA of 0.15, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 57.44 is Neutral, neither overbought nor oversold. The STOCH value of 64.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8277.

Steed Oriental (Holdings) Company Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2128	80 Outperform	HK$13.92B	7.62	7.12%	4.42%	-14.13%	-30.69%
Sector *	59 Neutral	HK$16.42B	4.45	-5.52%	4.84%	-3.57%	-61.41%
1196	57 Neutral	HK$12.19B	―	-26.60%	―	-46.56%	-1256.77%
3318	53 Neutral	HK$2.05B	105.43	0.59%	―	-21.05%	-87.68%
1159	46 Neutral	HK$404.44M	―		―	-49.75%	48.12%
0399	44 Neutral	HK$777.77M	58.73		―	-23.08%	-85.52%
8277	34 Underperform	HK$26.25M	0.72		―	―	―