Tree Holdings Ltd. (8395) AI Stock Analysis

• Market Cap: HK$376.99M
• Dividend Yield: N/A
• Average Volume (3M): 1.05M
• Price to Earnings (P/E): 34.5
• Beta (1Y): 0.13
• Revenue Growth: 52.73%
• EPS Growth: N/A
• Country: HK
• Employees: 79
• Sector: Consumer Cyclical
• Sector Strength: 78
• Industry: Specialty Retail
• EPS (TTM): N/A
• Shares Outstanding: 1,584,000,000
• 10 Day Avg. Volume: 1,428,000
• 30 Day Avg. Volume: 1,046,000
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

Tree Holdings Ltd. shows strong revenue growth and improved operational efficiency, which are positive indicators. However, the stock faces challenges with profitability and cash flow generation. Technical analysis presents mixed signals, with short-term bullish momentum but longer-term bearish trends. The high P/E ratio suggests the stock is overvalued, and the lack of a dividend yield reduces its appeal.

Tree Holdings Ltd. Business Overview & Revenue Model

Company Description

Tree Holdings Ltd. (8395) is a diversified investment holding company based in [Location], primarily focused on the real estate and property management sectors. The company engages in the acquisition, development, and management of residential, commercial, and industrial properties. Tree Holdings also explores opportunities in related sectors such as infrastructure and renewable energy, aiming to create sustainable value through strategic investments and asset management.

How the Company Makes Money

Tree Holdings Ltd. generates revenue through several key streams. Primarily, the company earns income from rental and lease agreements associated with its portfolio of properties, which includes residential apartments, office spaces, and retail outlets. Additionally, revenue is derived from property sales, where the company capitalizes on market appreciation and development projects. Management fees from third-party property management services represent another significant source of income. The company may also engage in joint ventures or partnerships with other developers and investors to undertake larger projects, sharing profits from these collaborations. Strategic investments in infrastructure and renewable energy projects may further bolster revenue, as these sectors are increasingly being prioritized for sustainable growth.

Tree Holdings Ltd. Financial Statement Overview

Summary

Tree Holdings Ltd. is experiencing financial difficulties with declining revenue, negative profitability, and increased leverage. The income statement shows deteriorating margins, while the balance sheet indicates higher debt levels and reduced equity. Cash flow challenges further affect the company's financial stability.

Income Statement

Tree Holdings Ltd. has faced declining revenue and profitability over the past few years. The revenue decreased significantly from 2021 to 2024, with a notable drop in gross profit margin from previous levels. The net profit margin has turned negative due to consistent net losses, and the EBIT and EBITDA margins reflect operating challenges. These factors indicate financial instability and declining business performance.

Balance Sheet

The balance sheet shows a concerning trend with decreasing stockholders' equity and increasing debt levels, leading to a rising debt-to-equity ratio. The equity ratio has also decreased, indicating higher leverage and potential solvency issues. However, the company maintains a reasonable level of cash and short-term investments, providing some liquidity cushion.

Cash Flow

Cash flow analysis reveals inconsistent operating cash flow, with recent periods showing a minimal positive cash flow, contrasting sharply with previous years' stronger performance. Free cash flow growth is negative, reflecting cash constraints. The operating cash flow to net income ratio is low, indicating cash flow challenges relative to earnings.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	99.22M	64.97M	78.19M	95.91M	120.55M
Gross Profit	68.79M	41.86M	51.58M	63.52M	74.22M
EBITDA	26.20M	-4.89M	1.79M	19.07M	32.73M
Net Income	1.61M	-17.27M	-11.05M	5.23M	14.56M
Balance Sheet
Total Assets	118.71M	106.81M	99.79M	114.97M	138.27M
Cash, Cash Equivalents and Short-Term Investments	961.00K	12.19M	9.48M	22.18M	29.14M
Total Debt	22.83M	32.82M	19.34M	20.94M	22.56M
Total Liabilities	81.97M	71.54M	48.11M	52.29M	67.88M
Stockholders Equity	36.75M	35.27M	51.68M	62.68M	70.39M
Cash Flow
Free Cash Flow	3.09M	-922.00K	-2.02M	26.21M	34.77M
Operating Cash Flow	3.14M	78.00K	-1.50M	26.77M	35.22M
Investing Cash Flow	-2.90M	-1.27M	-522.00K	-7.61M	-12.78M
Financing Cash Flow	-11.36M	3.98M	-10.73M	-25.82M	-10.12M

Tree Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8395, the sentiment is Positive. The current price of 0.24 is above the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.21, and below the 200-day MA of 0.31, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 65.24 is Neutral, neither overbought nor oversold. The STOCH value of 82.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8395.

Tree Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$17.60B	14.14	-5.40%	3.04%	1.40%	-15.06%
8395	58 Neutral	HK$376.99M	34.49	31.07%	―	52.73%	―
1572	54 Neutral	HK$175.81M	35.86	0.41%	―	16.97%	-59.72%
1545	46 Neutral	HK$146.00M	88.89	-4.46%	5.21%	-27.20%	-195.83%
1711	46 Neutral	HK$73.60M	―	-92.80%	―	-10.85%	-64.42%
2122	46 Neutral	HK$84.05M	―	-1969.58%	―	-15.54%	16.04%
0620	―	HK$697.51M	―	-2.73%	―	―	―