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China Golden Classic Group Ltd. (HK:8281)
:8281
Hong Kong Market

China Golden Classic Group Ltd. (8281) AI Stock Analysis

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HK

China Golden Classic Group Ltd.

(8281)

Rating:44Neutral
Price Target:
The overall stock score for China Golden Classic Group Ltd. reflects significant financial challenges, particularly in revenue and profit margin declines and weak cash flows. While the company maintains a solid balance sheet, its operational and financial stability is undermined by these issues. Technical analysis indicates weak momentum, further weighing on prospects. The valuation offers some support through a high dividend yield, but is offset by a high P/E ratio relative to company performance.

China Golden Classic Group Ltd. (8281) vs. iShares MSCI Hong Kong ETF (EWH)

China Golden Classic Group Ltd. Business Overview & Revenue Model

Company DescriptionChina Golden Classic Group Ltd. (8281) is a company listed on the Hong Kong Stock Exchange, primarily engaged in the production and sale of oral care, leather care, and household hygiene products. The company operates within the consumer goods sector, offering a range of daily-use products that cater to the needs of both domestic and international markets. Its core products include toothpaste, mouthwash, leather polish, and cleaning agents, which are marketed under various brand names.
How the Company Makes MoneyChina Golden Classic Group Ltd. makes money through the manufacture and sale of its consumer products. The company's revenue model is centered around the production of oral care, leather care, and household hygiene products, which are distributed through a network of retailers and wholesalers. Significant revenue streams include domestic sales within China and international exports, which are facilitated by partnerships with distributors in various regions. Additionally, the company may engage in marketing and promotional activities to enhance brand recognition and drive sales growth.

China Golden Classic Group Ltd. Financial Statement Overview

Summary
China Golden Classic Group Ltd. is facing financial difficulties, with declining revenues, inconsistent profit margins, and weak cash flow generation. Despite a relatively strong balance sheet with low leverage, the company must address its operational inefficiencies and improve its cash flow to stabilize its financial health.
Income Statement
45
Neutral
The company has experienced declining revenue over the recent years, with a revenue drop from 2020 to 2024. Gross profit margin has also decreased from 2020 to 2024, reflecting reduced operational efficiency. Net profit margin has been volatile, with a significant decline in 2024 driven by a negative EBIT. Overall, profitability has been inconsistent, indicating challenges in maintaining stable revenue and profit margins.
Balance Sheet
55
Neutral
The balance sheet shows a stable but slightly declining stockholders' equity over the years. The debt-to-equity ratio remains low, indicating a conservative leverage position. However, the equity ratio has decreased slightly. Overall, the company maintains a solid balance sheet, though asset efficiency and equity growth could be improved.
Cash Flow
30
Negative
Cash flow performance is weak, with negative free cash flow in 2024. Operating cash flow has shown inconsistency, and the free cash flow to net income ratio is concerning, particularly with zero free cash flow in 2024. The company's ability to generate cash from operations is impaired, posing a risk to financial flexibility.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue261.30M292.01M270.54M295.70M305.79M
Gross Profit89.49M109.56M101.61M115.69M132.26M
EBITDA18.39M30.31M27.67M32.54M42.90M
Net Income2.97M7.06M12.15M12.85M18.16M
Balance Sheet
Total Assets335.11M348.56M364.15M353.01M359.12M
Cash, Cash Equivalents and Short-Term Investments83.56M80.31M76.14M73.29M85.60M
Total Debt8.81M6.42M18.27M15.00M20.02M
Total Liabilities72.80M84.88M103.95M105.00M123.60M
Stockholders Equity262.32M263.68M260.20M248.01M235.52M
Cash Flow
Free Cash Flow0.0015.23M13.27M-9.74M30.64M
Operating Cash Flow0.0029.82M28.16M10.28M44.68M
Investing Cash Flow0.00-8.73M-7.93M-11.83M-8.53M
Financing Cash Flow0.00-16.11M-463.00K-4.46M-42.25M

China Golden Classic Group Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.07
Price Trends
50DMA
0.06
Positive
100DMA
0.06
Positive
200DMA
0.09
Negative
Market Momentum
MACD
<0.01
Negative
RSI
97.97
Negative
STOCH
90.91
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8281, the sentiment is Positive. The current price of 0.07 is above the 20-day moving average (MA) of 0.06, above the 50-day MA of 0.06, and below the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 97.97 is Negative, neither overbought nor oversold. The STOCH value of 90.91 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8281.

China Golden Classic Group Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
56
Neutral
HK$23.37B3.96-1.56%6.69%0.06%-64.88%
49
Neutral
HK$49.14M-7.04%0.98%-4.81%
47
Neutral
HK$1.53B-30.10%130.71%51.92%
44
Neutral
HK$70.00M21.881.13%5.97%-12.00%-57.89%
41
Neutral
HK$18.94M-73.41%-4.84%20.93%
41
Neutral
HK$81.15M-34.21%-1.68%49.77%
31
Underperform
HK$16.55M-1039.35%-11.50%81.10%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:8281
China Golden Classic Group Ltd.
0.07
-0.06
-46.15%
HK:8296
Sino-Life Group Limited
0.52
-0.05
-8.77%
HK:8238
Winto Group (Holdings) Ltd.
0.17
-0.41
-70.69%
HK:8222
E Lighting Group Holdings Ltd
0.04
0.00
0.00%
HK:8193
Asia-Pac Financial Investment Company Limited
0.28
0.08
40.00%
HK:8198
Loto Interactive Limited
2.32
2.12
1060.00%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 22, 2025