Allied Sustainability and Environmental Consultants Group Limited (8320) AI Stock Analysis

• Market Cap: HK$65.21M
• Dividend Yield: N/A
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): 18.0
• Beta (1Y): 0.28
• Revenue Growth: 12.29%
• EPS Growth: 51.28%
• Country: HK
• Employees: 87
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): <0.01
• Shares Outstanding: 737,510,000
• 10 Day Avg. Volume: 99,000
• 30 Day Avg. Volume: 1,075,666
• PEG Ratio: <0.01
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 1.62
• P/FCF Ratio: -21.19
• 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: 44 Neutral
• Price Target: HK$0.09 ▼(-20.00% Downside)
• Action: Reiterated Date: 12/02/25
• Date: Action: Reiterated 12/02/25

The overall stock score is primarily driven by the company's weak financial performance and poor valuation. Technical analysis suggests bearish momentum, although oversold indicators may hint at a potential rebound. The lack of earnings call data and corporate events limits further insights.

Positive Factors

Revenue Growth Trend

A reported ~12.3% revenue growth suggests underlying demand and the company’s ability to expand sales. Sustained top-line momentum over several quarters can support operational scale, improve bargaining power with suppliers, and create room to invest in efficiency or service expansion if maintained.

Per-share Improvement (EPS Growth)

A ~51% EPS improvement indicates meaningful per-share performance gains versus prior periods. If this reflects improving unit economics or better cost absorption rather than one-offs, it can translate into stronger shareholder returns and greater resilience in funding capital needs over the medium term.

Reasonable Equity Ratio / Capital Structure

A reasonable equity ratio provides a capital buffer that supports solvency through cyclical stress and allows some access to capital markets. For a small waste-management firm, a stable capital structure helps preserve operational continuity while management addresses cashflow and profitability gaps.

Negative Factors

Negative Operating and Free Cash Flow

Persistent negative operating and free cash flow erode liquidity and force reliance on external financing or asset sales. Over months this limits ability to invest in maintenance, comply with regulatory/environmental standards, and sustains a cycle of underinvestment that harms long-term competitiveness.

Negative Profitability and Declining Margins

Declining gross margins and sustained negative EBIT and net margins indicate structural operational issues or pricing pressure. Over several months this impairs internal capital generation, weakens return metrics, and makes it hard to fund growth or absorb regulatory and cost shocks without corrective action.

Rising Leverage / Increased Debt-to-Equity

An increasing debt-to-equity ratio combined with negative ROE raises refinancing and covenant risks. Higher leverage heightens fixed interest burdens and reduces strategic flexibility, making the company more vulnerable to cashflow variability and limiting investment capacity over the medium term.

Allied Sustainability and Environmental Consultants Group Limited Business Overview & Revenue Model

Company Description

Allied Sustainability and Environmental Consultants Group Limited, an investment holding company, provides environmental consulting services in Hong Kong, the People's Republic of China, Macau, and internationally. The company operates through four segments: Green Building Certification Consultancy; Sustainability and Environmental Consultancy; Acoustic, Noise and Vibration Control, and Audio-Visual Design Consultancy; and Environmental, Social and Governance (ESG) Reporting and Consultancy. It offers green building certification consultancy services for property developers, contractors, architects, designers, and government departments; and sustainable design solutions to architects for urban regeneration, sustainable development, and integrated planning, as well as environmental impact assessment, noise impact assessment, air quality impact assessment, air ventilation assessment, carbon/energy audit, and built environmental study services. The company also provides services to assist architects and engineers to test and evaluate environmental performance of various materials and products for buildings; and architectural acoustics, building acoustics, mechanical service and airborne noise control products, sound reinforcement and public address systems, and architectural and facade lighting systems, as well as theatre planning and stage equipment systems. In addition, it offers consultancy services on ESG reporting for companies listed on the stock exchange; and Sustainature, an ESG online management platform. The company was founded in 1994 and is based in Wan Chai, Hong Kong. Allied Sustainability and Environmental Consultants Group Limited is a subsidiary of Gold Investments Limited.

How the Company Makes Money

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Allied Sustainability and Environmental Consultants Group Limited Financial Statement Overview

Summary

The company is facing significant financial challenges, with declining revenues, negative profitability, and increasing leverage. Despite a stable equity ratio, the negative cash flows and consistent losses are concerning.

Income Statement

The company has experienced a decrease in revenue from the prior year with a negative revenue growth rate. Gross profit margin has declined, and both EBIT and net profit margins are negative, indicating operational challenges. The consistent negative net income over the years further suggests profitability issues.

Balance Sheet

The balance sheet shows a reasonable equity ratio, indicating a stable capital structure. However, the debt-to-equity ratio has increased, reflecting rising leverage. Return on equity is negative due to net losses, posing a concern for equity holders.

Cash Flow

Operating cash flow has been negative, suggesting struggles with generating cash from core operations. Free cash flow is also negative, indicating potential liquidity issues. The free cash flow to net income ratio is unfavorable, pointing to inefficiencies in cash generation.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	66.80M	47.58M	52.02M	46.74M	43.14M	40.32M
Gross Profit	23.29M	17.84M	23.78M	16.55M	18.61M	20.97M
EBITDA	2.03M	-4.06M	5.65M	1.57M	-48.00K	9.76M
Net Income	-4.45M	-9.58M	561.00K	-3.29M	-4.94M	3.54M
Balance Sheet
Total Assets	95.95M	97.66M	98.12M	94.29M	95.25M	98.67M
Cash, Cash Equivalents and Short-Term Investments	10.78M	11.90M	14.22M	12.94M	16.45M	26.65M
Total Debt	25.78M	26.56M	21.25M	15.22M	11.47M	13.24M
Total Liabilities	30.42M	33.14M	27.70M	24.68M	21.34M	20.20M
Stockholders Equity	65.54M	64.52M	70.41M	69.59M	73.87M	78.39M
Cash Flow
Free Cash Flow	542.50K	-3.64M	-1.07M	-2.12M	-5.55M	7.67M
Operating Cash Flow	767.00K	-3.21M	-306.00K	-1.51M	-5.10M	8.11M
Investing Cash Flow	-862.50K	-426.00K	-949.00K	4.18M	-2.16M	-236.00K
Financing Cash Flow	1.06M	1.44M	2.79M	-5.75M	-3.03M	10.48M

Allied Sustainability and Environmental Consultants Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8320, the sentiment is Negative. The current price of 0.11 is above the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.10, and above the 200-day MA of 0.10, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 18.28 is Positive, neither overbought nor oversold. The STOCH value of 21.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8320.

Allied Sustainability and Environmental Consultants Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1397	75 Outperform	HK$464.80M	1.16	21.36%	3.17%	6.12%	78.64%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1790	60 Neutral	HK$530.00M	1.93	4.69%	―	17.22%	-21.23%
0436	52 Neutral	HK$197.32M	-8.86	-2.28%	2.46%	-5.95%	33.73%
0923	47 Neutral	HK$96.46M	-1.85	-107.25%	―	-2.08%	-647.01%
0646	46 Neutral	HK$53.46M	-1.06	―	―	4.13%	-5.11%
8320	44 Neutral	HK$65.21M	18.02	-4.04%	―	12.29%	51.28%