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Simplicity Holding Ltd. (HK:8367)
:8367
Hong Kong Market
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Simplicity Holding Ltd. (8367) AI Stock Analysis

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HK:8367

Simplicity Holding Ltd.

(8367)

Rating:41Neutral
Price Target:
HK$0.00
▼(-100.00% Downside)
The overall stock score is primarily influenced by significant financial challenges, including negative profit margins and poor cash flow management. Technical analysis suggests a bearish trend, although the stock is oversold, which might indicate a potential rebound. Valuation metrics are weak, with a negative P/E ratio and no dividend yield, further impacting the stock's attractiveness.

Simplicity Holding Ltd. (8367) vs. iShares MSCI Hong Kong ETF (EWH)

Simplicity Holding Ltd. Business Overview & Revenue Model

Company DescriptionSimplicity Holding Ltd. (8367) is a diversified investment holding company based in Hong Kong, primarily involved in the development and management of a portfolio of businesses across various sectors, including technology, consumer products, and financial services. The company aims to leverage innovative strategies to enhance operational efficiency and maximize profitability through its subsidiaries and investments.
How the Company Makes MoneySimplicity Holding Ltd. generates revenue through multiple streams including the management of its investment portfolio, which consists of equity stakes in various companies across its sectors of interest. The company earns income from dividends, capital gains on asset disposals, and interest from financing activities. Additionally, it may engage in partnerships with other firms to co-develop products or services, thereby sharing in the revenue generated from these collaborations. The company's ability to identify and invest in high-growth opportunities contributes significantly to its earnings.

Simplicity Holding Ltd. Financial Statement Overview

Summary
Simplicity Holding Ltd. faces significant financial challenges, particularly in profitability and cash flow management. While there is some revenue growth, the company struggles with negative profit margins and declining cash flow. The balance sheet shows moderate leverage but poor returns on equity. Overall, the company needs to focus on improving profitability and cash flow to enhance financial health.
Income Statement
45
Neutral
The company has shown some revenue growth with an 8.29% increase in the latest year, indicating potential recovery. However, profitability metrics are concerning, with a negative net profit margin of -21.33% and a negative EBIT margin of -20.44%. The gross profit margin is relatively low at 29.87%, suggesting challenges in cost management. Overall, while there is revenue growth, the company struggles with profitability.
Balance Sheet
40
Negative
The debt-to-equity ratio has improved from previous years but remains moderate at 0.82, indicating manageable leverage. However, the return on equity is negative at -118.90%, reflecting poor profitability relative to shareholder equity. The equity ratio is not explicitly calculated, but the balance sheet shows a need for improved financial stability.
Cash Flow
35
Negative
The cash flow situation is challenging, with a significant decline in free cash flow growth at -91.10%. The operating cash flow to net income ratio is low at 0.27, indicating limited cash generation from operations relative to net income. The free cash flow to net income ratio is also low at 0.07, suggesting cash flow issues despite revenue growth.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue90.28M97.76M91.85M68.70M85.58M97.42M
Gross Profit19.68M29.20M26.40M1.36M6.58M4.15M
EBITDA18.91M-9.36M20.27M-23.80M19.63M35.26M
Net Income6.32M-20.85M8.25M-36.69M4.01M8.59M
Balance Sheet
Total Assets85.39M74.09M69.71M85.23M96.79M100.16M
Cash, Cash Equivalents and Short-Term Investments15.46M7.14M11.48M17.72M31.90M12.81M
Total Debt20.94M14.30M16.16M25.36M23.49M49.98M
Total Liabilities61.83M56.59M35.27M69.80M54.00M61.41M
Stockholders Equity23.59M17.54M34.48M15.46M42.82M38.79M
Cash Flow
Free Cash Flow10.42M927.00K5.79M4.63M929.00K8.73M
Operating Cash Flow13.75M12.68M9.13M4.65M976.00K8.96M
Investing Cash Flow1.56M-10.88M-2.11M-8.31M45.61M14.75M
Financing Cash Flow-12.32M-3.60M-14.02M-12.70M-27.52M-13.89M

Simplicity Holding Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.23
Price Trends
50DMA
0.28
Negative
100DMA
0.30
Negative
200DMA
0.32
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
29.21
Positive
STOCH
23.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8367, the sentiment is Negative. The current price of 0.23 is below the 20-day moving average (MA) of 0.28, below the 50-day MA of 0.28, and below the 200-day MA of 0.32, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 29.21 is Positive, neither overbought nor oversold. The STOCH value of 23.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8367.

Simplicity Holding Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$17.95B12.83-3.20%2.97%1.18%-14.28%
49
Neutral
HK$32.18M-124.73%-6.46%-3042.86%
41
Neutral
HK$15.74M1.62-80.18%6.44%-294.12%
41
Neutral
HK$23.48M-31.67%-19.25%65.38%
38
Underperform
HK$4.70M
26
Underperform
HK$13.06M
-77.80%-586.04%
HK$19.91M
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:8367
Simplicity Holding Ltd.
0.23
-0.43
-65.15%
HK:8096
Tasty Concepts Holding Limited
0.12
<0.01
9.09%
HK:8432
Bar Pacific Group Holdings Ltd.
0.04
-0.02
-33.33%
HK:8475
K Group Holdings Limited
0.07
-0.41
-85.42%
HK:8493
Dragon King Group Holdings Ltd.
0.04
-0.02
-33.33%
HK:8510
Top Standard Corp.
0.10
0.00
0.00%
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: Sep 05, 2025