MS Concept Ltd. (8447) AI Stock Analysis

• Market Cap: HK$36.00M
• Dividend Yield: N/A
• Average Volume (3M): 132.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.44
• Revenue Growth: 6.55%
• EPS Growth: 98.02%
• Country: HK
• Employees: 202
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): <0.01
• Shares Outstanding: 1,000,000,000
• 10 Day Avg. Volume: 203,000
• 30 Day Avg. Volume: 132,666
• PEG Ratio: 0.32
• Price to Book (P/B): 3.76
• Price to Sales (P/S): 0.16
• P/FCF Ratio: 1.34
• 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: 50 Neutral
• Price Target: HK$0.04 ▼(-10.00% Downside)

The overall stock score of 50 reflects significant financial challenges, particularly in profitability and leverage, which are partially offset by positive cash flow trends. Technical analysis suggests some upward momentum, but valuation metrics are weak due to negative earnings. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates the company's ability to expand its market reach and enhance its product offerings, which is crucial for long-term sustainability.

Cash Flow Generation

Strong cash flow generation supports operational flexibility and investment in growth opportunities, enhancing long-term business resilience.

Gross Profit Margin

A strong gross profit margin indicates effective cost control and pricing power, which are vital for maintaining profitability over time.

Negative Factors

High Leverage

Significant leverage poses financial risks, potentially limiting the company's ability to invest in growth and affecting long-term financial stability.

Negative Profitability

Persistent unprofitability can hinder reinvestment in business operations and innovation, challenging long-term growth prospects.

Negative Return on Equity

A negative return on equity indicates inefficiency in generating profits from shareholder investments, which can deter future investment and growth.

MS Concept Ltd. Business Overview & Revenue Model

Company Description

MS Concept Ltd. (8447) is a dynamic company operating primarily in the technology and innovation sectors. The firm specializes in providing cutting-edge solutions in software development, data analytics, and digital transformation services. With a focus on enhancing operational efficiency for businesses across various industries, MS Concept Ltd. offers a suite of products designed to streamline processes and improve decision-making through advanced technology integration.

How the Company Makes Money

MS Concept Ltd. generates revenue through multiple streams, primarily by offering software development services tailored to meet the specific needs of clients in various sectors. This includes custom application development, system integration, and ongoing maintenance contracts. Additionally, the company earns income from subscription-based analytics platforms that provide businesses with valuable insights from their data. Strategic partnerships with industry leaders and technology providers enhance its service offerings, allowing for collaborative projects that can lead to increased revenue. Furthermore, MS Concept Ltd. also engages in consultancy services, advising businesses on technology adoption and digital strategies, which adds another layer to its revenue model.

MS Concept Ltd. Financial Statement Overview

Summary

MS Concept Ltd. shows some revenue growth and strong gross margins, but profitability is a significant issue with negative net income and EBIT margins. The balance sheet is heavily leveraged, posing financial risks, though cash flow trends are positive.

Income Statement

MS Concept Ltd. shows a mixed performance in its income statement. The company has experienced revenue growth of 6.4% in the most recent year, indicating some positive momentum. However, profitability remains a concern with a negative net profit margin of -6.8% and a negative EBIT margin of -4.2%. The gross profit margin is relatively healthy at 59.1%, suggesting good control over direct costs, but the overall profitability is hindered by high operating expenses.

Balance Sheet

The balance sheet reveals significant leverage with a high debt-to-equity ratio of 4.83, indicating potential financial risk. The return on equity is negative at -157.8%, reflecting the company's inability to generate profits from shareholder equity. The equity ratio is low, suggesting limited financial stability and a heavy reliance on debt financing.

Cash Flow

Cash flow analysis shows some strengths, with a free cash flow growth rate of 38.8% and a strong free cash flow to net income ratio of 0.94, indicating efficient cash generation relative to net income. The operating cash flow to net income ratio is 0.60, showing that operating activities are generating cash, albeit not as robustly as desired.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	253.47M	253.47M	225.72M	250.42M	202.84M	172.58M
Gross Profit	93.76M	149.91M	139.12M	51.77M	59.66M	24.08M
EBITDA	24.36M	24.41M	-11.88M	50.58M	36.06M	41.49M
Net Income	-17.20M	-17.20M	-18.61M	3.97M	-4.89M	3.81M
Balance Sheet
Total Assets	91.56M	91.56M	134.05M	133.39M	116.52M	129.82M
Cash, Cash Equivalents and Short-Term Investments	17.53M	17.53M	29.10M	46.93M	28.82M	48.44M
Total Debt	52.68M	52.68M	79.02M	61.23M	60.53M	63.75M
Total Liabilities	80.66M	80.66M	105.95M	86.68M	73.77M	82.18M
Stockholders Equity	10.90M	10.90M	28.10M	46.71M	42.74M	47.64M
Cash Flow
Free Cash Flow	18.59M	30.64M	24.25M	57.87M	20.34M	31.23M
Operating Cash Flow	27.34M	32.46M	30.35M	62.69M	26.91M	33.88M
Investing Cash Flow	-1.79M	-3.16M	-6.06M	-4.82M	-6.56M	-2.64M
Financing Cash Flow	-35.64M	-40.88M	-40.06M	-41.82M	-37.92M	-33.31M

MS Concept Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 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:8447, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and above the 200-day MA of 0.04, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 64.92 is Neutral, neither overbought nor oversold. The STOCH value of 78.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8447.

MS Concept Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8447	50 Neutral	HK$36.00M	―	-3.70%	―	6.55%	98.02%
8096	49 Neutral	HK$30.80M	-5.08	-27.31%	―	14.18%	42.51%
8432	46 Neutral	HK$30.77M	―	-48.61%	―	1.39%	-206.25%
8510	44 Neutral	HK$25.08M	-3.07	―	―	144.78%	10.07%
8367	44 Neutral	HK$27.75M	―	-120.93%	―	2.67%	-264.58%
8493	26 Underperform	HK$10.16M	―	―	―	-77.80%	-586.04%