Asia-express Logistics Holdings Limited (8620) AI Stock Analysis

• Market Cap: HK$50.16M
• Dividend Yield: N/A
• Average Volume (3M): 393.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.31
• Revenue Growth: -3.39%
• EPS Growth: 29.36%
• Country: HK
• Employees: 192
• Sector: Industrials
• Sector Strength: 72
• Industry: Airlines, Airports & Air Services
• EPS (TTM): <0.01
• Shares Outstanding: 528,000,000
• 10 Day Avg. Volume: 228,500
• 30 Day Avg. Volume: 393,166
• PEG Ratio: 0.63
• Price to Book (P/B): 1.44
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 5.97
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: HK$0.08 ▼(-17.00% Downside)

The overall stock score is primarily impacted by weak financial performance, characterized by negative profitability and cash flow challenges. Technical analysis suggests bearish momentum, while valuation metrics indicate limited attractiveness due to a negative P/E ratio and lack of dividend yield.

Positive Factors

Revenue Streams

The company's partnerships with major e-commerce and retail players provide stable and diversified revenue streams, enhancing long-term financial stability and growth potential.

Market Position

Specialization in supply chain management and logistics services positions the company well in the growing logistics industry, offering a competitive edge in a crucial sector.

Service Diversification

Operating across multiple sectors such as e-commerce, retail, and manufacturing diversifies risk and enhances resilience against sector-specific downturns, supporting sustainable growth.

Negative Factors

Profitability Challenges

Ongoing profitability issues, with negative margins and declining cash flow, threaten the company's ability to invest in growth and maintain financial health over the long term.

Leverage Risk

High leverage levels can limit financial flexibility and increase vulnerability to economic downturns, potentially impacting long-term operational stability and growth opportunities.

Cash Flow Challenges

Declining free cash flow growth indicates potential liquidity issues, which can constrain the company's ability to fund operations and invest in strategic initiatives, affecting long-term viability.

Asia-express Logistics Holdings Limited Business Overview & Revenue Model

Company Description

Asia-express Logistics Holdings Limited, an investment holding company, provides air cargo ground handling services in Hong Kong and the People's Republic of China. The company offers air cargo terminal, transportation, and warehousing and other value-added services. It serves express carriers, air cargo terminal operators, freight forwarders, and corporate and individual customers. The company was founded in 1995 and is headquartered in Kwai Fong, Hong Kong. Asia-express Logistics Holdings Limited is a subsidiary of 3C Holding Limited.

How the Company Makes Money

Asia-express Logistics Holdings Limited generates revenue primarily through its core logistics services, including freight forwarding and warehousing solutions. The company charges clients for the transportation of goods, storage of inventory, and value-added services such as packing and customs brokerage. Key revenue streams include fees from freight services, storage fees from warehouses, and charges for specialized logistics services. Additionally, strategic partnerships with shipping lines, airlines, and e-commerce platforms enhance its service offerings and drive revenue growth. The company may also benefit from economies of scale, enabling competitive pricing and increased margins as it expands its customer base.

Asia-express Logistics Holdings Limited Financial Statement Overview

Summary

The company faces significant profitability challenges, with negative margins and declining free cash flow growth. While there are some improvements in revenue and leverage, the overall financial health is constrained by ongoing losses and cash flow issues.

Income Statement

The company has experienced fluctuating revenue growth, with a recent increase of 5.5%. However, profitability remains a challenge, evidenced by negative net profit margins and gross profit margins. The EBIT and EBITDA margins show some improvement, but overall profitability is weak, impacting the score.

Balance Sheet

The debt-to-equity ratio has improved slightly but remains relatively high, indicating leverage risk. The return on equity is negative, reflecting ongoing losses. The equity ratio is stable, suggesting a balanced asset structure, but the negative ROE impacts the overall score.

Cash Flow

Cash flow metrics indicate a decline in free cash flow growth, with a significant drop of 45.11%. The operating cash flow to net income ratio is low, suggesting cash flow challenges. The free cash flow to net income ratio is relatively healthy, but overall cash flow performance is weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	348.01M	348.01M	356.16M	327.74M	412.90M	378.43M
Gross Profit	20.55M	-174.00K	3.79M	-16.81M	-9.06M	803.00K
EBITDA	6.32M	11.30M	16.93M	4.12M	4.04M	9.62M
Net Income	-3.54M	-3.54M	-4.46M	-20.18M	-18.30M	-7.71M
Balance Sheet
Total Assets	101.51M	101.51M	111.83M	139.28M	178.46M	192.36M
Cash, Cash Equivalents and Short-Term Investments	9.17M	9.17M	12.43M	7.77M	25.78M	23.68M
Total Debt	28.66M	28.66M	33.23M	63.34M	80.19M	70.16M
Total Liabilities	68.54M	68.54M	75.37M	105.84M	123.80M	119.73M
Stockholders Equity	32.97M	32.97M	36.47M	33.44M	54.66M	72.62M
Cash Flow
Free Cash Flow	7.96M	7.96M	26.01M	8.24M	9.16M	-21.92M
Operating Cash Flow	9.71M	9.71M	27.58M	11.29M	10.39M	-14.56M
Investing Cash Flow	534.00K	534.00K	13.17M	-577.00K	-9.93M	-5.69M
Financing Cash Flow	-12.13M	-12.13M	-30.83M	-28.46M	-2.67M	29.48M

Asia-express Logistics Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 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:8620, the sentiment is Positive. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.09, and above the 200-day MA of 0.08, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 68.82 is Neutral, neither overbought nor oversold. The STOCH value of 51.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8620.

Asia-express Logistics Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8425	49 Neutral	HK$33.09M	-2.36	-13.79%	―	23.95%	-12.01%
8431	45 Neutral	HK$54.36M	-0.96	-114.36%	―	156.20%	-101.70%
8489	45 Neutral	HK$84.00M	-2.97	-25.91%	―	3.45%	-339.07%
8620	44 Neutral	HK$50.16M	-12.34	-11.34%	―	-3.39%	29.36%
8482	41 Neutral	HK$23.36M	-1.01	-48.39%	―	-15.52%	38.11%
8422	40 Underperform	HK$12.24M	-2.01	-16.34%	―	11.29%	-262.50%