Lai Group Holding Co Ltd (8455) AI Stock Analysis

• Market Cap: HK$47.04M
• Dividend Yield: N/A
• Average Volume (3M): 404.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.98
• Revenue Growth: -8.22%
• EPS Growth: -7.28%
• Country: HK
• Employees: 21
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): >-0.01
• Shares Outstanding: 960,000,000
• 10 Day Avg. Volume: 198,000
• 30 Day Avg. Volume: 404,666
• PEG Ratio: -0.52
• Price to Book (P/B): -11.29
• Price to Sales (P/S): 0.53
• P/FCF Ratio: -4.21
• 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: 0

• Rating: 41 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score reflects significant financial challenges, including declining revenues and a weak balance sheet. Technical indicators suggest bearish momentum, and the valuation is unattractive due to negative earnings and no dividend yield. These factors collectively contribute to a low stock score.

Lai Group Holding Co Ltd Business Overview & Revenue Model

Company Description

Lai Group Holding Co Ltd (8455) is a multifaceted company primarily engaged in the manufacturing and distribution of high-quality consumer products. The company operates across various sectors, including textiles, garments, and home furnishings, catering to both domestic and international markets. Lai Group is recognized for its commitment to innovation and sustainability, offering a diverse range of products designed to enhance everyday living while maintaining a strong focus on environmental responsibility.

How the Company Makes Money

Lai Group Holding Co Ltd generates revenue through several key streams, primarily from the sale of its consumer products in textiles and home furnishings. The company leverages its manufacturing capabilities to produce a wide array of goods, which are then sold through both wholesale and retail channels. A significant portion of its revenue comes from long-term partnerships with major retailers and distributors, enabling steady demand for its products. Additionally, Lai Group focuses on expanding its market presence internationally, which contributes to its earnings through exports. The company's commitment to innovation allows it to introduce new product lines, tapping into emerging consumer trends and enhancing its competitive edge.

Lai Group Holding Co Ltd Financial Statement Overview

Summary

Lai Group Holding Co Ltd is facing significant financial challenges, with declining revenues, persistent losses, and a weak balance sheet. The company struggles with profitability and cash flow generation, and its high leverage poses a risk to financial stability. While there is some improvement in free cash flow, the overall financial health remains concerning.

Income Statement

The company has experienced declining revenue over the past few years, with a negative revenue growth rate of -6.56% in the most recent year. Profitability metrics are weak, with negative net profit margins and EBIT margins indicating ongoing losses. The gross profit margin has also decreased, reflecting challenges in maintaining cost efficiency.

Balance Sheet

The balance sheet shows significant financial instability, with a negative stockholders' equity and a high debt-to-equity ratio of -1.76, indicating that liabilities exceed equity. The return on equity is positive due to negative equity, but this is not a sign of financial health. The equity ratio is also negative, highlighting a precarious financial position.

Cash Flow

Cash flow metrics reveal some improvement, with a positive free cash flow growth rate of 13.58%. However, operating cash flow remains negative, and the operating cash flow to net income ratio is unfavorable, indicating cash flow challenges. The free cash flow to net income ratio is stable at 1.0, suggesting that free cash flow is aligned with net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	140.53M	93.69M	102.08M	111.26M	138.33M	140.62M
Gross Profit	17.57M	14.93M	20.98M	19.15M	30.20M	29.44M
EBITDA	-18.52M	-12.49M	-10.84M	-15.08M	-557.00K	1.56M
Net Income	-16.75M	-13.00M	-12.09M	-17.91M	-3.57M	-1.45M
Balance Sheet
Total Assets	23.57M	23.57M	36.81M	52.63M	74.86M	75.65M
Cash, Cash Equivalents and Short-Term Investments	12.12M	12.12M	24.33M	34.52M	57.73M	58.91M
Total Debt	7.75M	7.75M	5.72M	9.61M	5.14M	5.33M
Total Liabilities	27.97M	27.97M	28.21M	31.93M	36.26M	32.78M
Stockholders Equity	-4.39M	-4.39M	8.60M	20.70M	38.60M	42.11M
Cash Flow
Free Cash Flow	-11.79M	-11.79M	-13.26M	-17.36M	2.97M	15.02M
Operating Cash Flow	-11.79M	-11.79M	-13.20M	-16.66M	3.36M	15.17M
Investing Cash Flow	-82.00K	4.00K	11.23M	-12.82M	-387.00K	-149.00K
Financing Cash Flow	-892.00K	-415.00K	2.24M	-3.95M	-4.14M	2.15M

Lai Group Holding Co Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 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:8455, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.05, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 44.10 is Neutral, neither overbought nor oversold. The STOCH value of 82.14 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8455.

Lai Group Holding Co Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8341	―	HK$11.20M	1.90	12.10%	―	-12.30%	-27.22%
8501	―	HK$97.98M	―	-2.95%	―	-2.17%	-188.41%
3893	―	HK$167.96M	―	―	―	-24.93%	-69.61%
8040	―	HK$105.40M	―	-48.06%	―	-10.74%	-81.54%
8173	―	HK$31.23M	―	-22.97%	―	-41.70%	12.59%
8455	―	HK$47.04M	―	-617.73%	―	-8.22%	-7.28%