Grand T G Gold Holdings Ltd (8299) AI Stock Analysis

• Market Cap: HK$5.93B
• Dividend Yield: N/A
• Average Volume (3M): 156.96M
• Price to Earnings (P/E): 54.7
• Beta (1Y): 0.13
• Revenue Growth: 59.18%
• EPS Growth: 28.00%
• Country: HK
• Employees: 173
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): <0.01
• Shares Outstanding: 8,466,802,000
• 10 Day Avg. Volume: 197,571,335
• 30 Day Avg. Volume: 156,964,854
• PEG Ratio: 3.66
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.60
• P/FCF Ratio: -14.62
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: HK$0.72 ▲(43.60% Upside)

The score is primarily held back by weak cash flow and pressured margins despite solid revenue growth and improved leverage. Technicals are supportive with a strong uptrend, but overbought readings add risk. A high P/E multiple further limits the score.

Positive Factors

Revenue Growth

Sustained top-line growth near 12% signals successful project development and market traction for its gold production business. Over 2–6 months this supports scale benefits, potential margin improvement from higher throughput, and stronger negotiating power with buyers and partners.

Improved Leverage

A materially lower debt-to-equity ratio boosts financial flexibility for a capital-intensive miner. Reduced leverage lowers refinancing risk, preserves capacity for sustaining capex or selective acquisitions, and improves resilience to commodity cycles over the medium term.

Operational Efficiency

Double-digit EBITDA and near-10% EBIT indicate effective cost control and operational processes at mine sites. These margins provide a durable earnings base to fund reinvestment and service obligations, helping the company remain viable through commodity and cost volatility.

Negative Factors

Weak Cash Flow Quality

Severely negative FCF growth and very low cash conversion from earnings undermine the company's ability to self-fund capital expenditures and working capital. Over months this raises reliance on external financing and increases execution risk on development projects.

Thin Profitability

Low gross and net margins constrain the firm's capacity to absorb rising input costs or lower gold realizations. Persistently thin profitability reduces retained earnings for reinvestment and makes long-term project economics sensitive to small adverse changes in costs or prices.

Moderate and Declining Returns

A falling ROE around 10% suggests suboptimal returns on capital in a capital-intensive industry. Over the medium term this indicates weaker shareholder value creation, potentially reflecting lower asset productivity or inefficient capital allocation relative to peers.

Grand T G Gold Holdings Ltd Business Overview & Revenue Model

Company Description

GT Gold Holdings Limited, an investment holding company, engages in the exploration, mining, and processing of gold deposits in the People's Republic of China. The company holds interest in the Taizhou gold mine in the Tongguan county, Shaanxi province. It is also involved in scientific research and technical activities, as well as trade agency and selling business. The company was formerly known as Grand T G Gold Holdings Limited and changed its name to GT Gold Holdings Limited in October 2024. GT Gold Holdings Limited was incorporated in 2003 and is headquartered in Sheung Wan, Hong Kong.

How the Company Makes Money

Grand T G Gold Holdings generates revenue primarily through the extraction and sale of gold. The company's revenue model is centered around mining operations, where it earns income by selling mined gold to various markets, including jewelers, financial institutions, and commodity traders. Key revenue streams include the production of gold bullion and the potential appreciation of gold prices in the global market. Additionally, the company may engage in joint ventures or partnerships with other mining firms, allowing it to share resources and expertise, which can enhance profitability and reduce operational risks.

Grand T G Gold Holdings Ltd Financial Statement Overview

Summary

Mixed fundamentals: revenue growth is solid (11.79%), but profitability is pressured (gross margin 7.90%, net margin 5.06%) and cash generation is weak (free cash flow growth -113.14%, low operating cash flow to net income at 0.13, negative free cash flow to net income). Balance sheet leverage has improved (debt-to-equity 0.41) but ROE has declined (10.37%).

Income Statement

Grand T G Gold Holdings Ltd has shown a positive revenue growth rate of 11.79% in the latest year, indicating a strong upward trajectory. However, the gross profit margin has decreased over time, currently at 7.90%, which is relatively low for the industry. The net profit margin has also declined to 5.06%, suggesting pressure on profitability. Despite these challenges, the company maintains a stable EBIT margin of 9.63% and an EBITDA margin of 13.88%, reflecting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.41, indicating a reduction in leverage and a more balanced capital structure. However, the return on equity has decreased to 10.37%, which may concern investors looking for higher returns. The equity ratio stands at 38.22%, showing a moderate level of equity financing relative to total assets.

Cash Flow

The cash flow situation presents challenges, with a significant decline in free cash flow growth rate at -113.14%. The operating cash flow to net income ratio is low at 0.13, indicating limited cash generation relative to net income. Additionally, the free cash flow to net income ratio is negative, reflecting cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.70B	1.31B	722.73M	153.19M	128.43M	99.81M
Gross Profit	130.85M	103.80M	83.83M	63.31M	36.94M	24.78M
EBITDA	223.47M	182.42M	146.06M	69.72M	71.62M	33.25M
Net Income	92.72M	66.55M	55.30M	26.11M	-137.00K	-17.97M
Balance Sheet
Total Assets	1.68B	1.68B	1.43B	907.01M	924.22M	867.06M
Cash, Cash Equivalents and Short-Term Investments	29.48M	29.48M	67.49M	25.58M	4.44M	5.92M
Total Debt	260.01M	260.01M	390.73M	324.64M	444.48M	446.92M
Total Liabilities	929.61M	929.61M	921.62M	466.38M	652.43M	617.92M
Stockholders Equity	641.87M	641.87M	427.08M	380.47M	227.93M	213.87M
Cash Flow
Free Cash Flow	-48.89M	-54.32M	79.02M	-19.43M	16.95M	19.84M
Operating Cash Flow	69.03M	69.03M	266.41M	1.05M	76.69M	66.05M
Investing Cash Flow	-97.23M	-97.23M	-186.84M	-27.14M	-58.40M	-46.20M
Financing Cash Flow	10.50M	10.50M	-44.73M	46.61M	-19.91M	-16.68M

Grand T G Gold Holdings Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8299, the sentiment is Positive. The current price of 0.5 is below the 20-day moving average (MA) of 0.63, below the 50-day MA of 0.56, and above the 200-day MA of 0.39, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 58.01 is Neutral, neither overbought nor oversold. The STOCH value of 66.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8299.

Grand T G Gold Holdings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1712	81 Outperform	HK$1.51B	10.57	27.05%	―	63.46%	225.78%
6693	78 Outperform	HK$80.05B	24.17	27.28%	0.54%	―	―
0340	74 Outperform	HK$18.07B	30.66	―	0.44%	6.76%	239.14%
3330	67 Neutral	HK$29.88B	22.29	35.84%	1.40%	70.92%	249.45%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
8299	55 Neutral	HK$5.93B	54.69	14.71%	―	59.18%	28.00%
0621	43 Neutral	HK$998.33M	-44.72	-0.99%	―	―	-25.51%