Powerlong Commercial Management Holdings Limited (9909) AI Stock Analysis

• Market Cap: HK$1.45B
• Dividend Yield: 13.76%
• Average Volume (3M): 322.50K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 1.11
• Revenue Growth: -2.53%
• EPS Growth: -53.46%
• Country: HK
• Employees: 5,566
• Sector: Real Estate
• Sector Strength: 52
• Industry: Real Estate - Services
• EPS (TTM): 0.31
• Shares Outstanding: 642,900,000
• 10 Day Avg. Volume: 284,050
• 30 Day Avg. Volume: 322,500
• 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: HK$2.50
• Price Target Upside: 11.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: HK$2.50 ▲(11.11% Upside)

The stock's overall score is primarily influenced by its solid financial performance and undervaluation. However, bearish technical indicators and cash flow concerns weigh down the score. Addressing profitability and cash flow issues could improve the company's financial outlook.

Powerlong Commercial Management Holdings Limited Business Overview & Revenue Model

Company Description

Powerlong Commercial Management Holdings Limited (9909) is a leading commercial property management company in China. The company primarily operates in the commercial real estate sector, focusing on the management and operation of shopping malls, office buildings, and other commercial properties. It provides a range of services including property management, leasing, marketing, and asset management, ensuring the efficient operation and profitability of the properties under its management.

How the Company Makes Money

Powerlong Commercial Management Holdings Limited generates revenue through a multi-faceted business model centered around property management services. The company's primary revenue streams include management fees from overseeing the operation and maintenance of commercial properties, leasing fees from renting out retail and office spaces, and marketing service fees for organizing promotional activities to increase foot traffic and tenant sales. Additionally, the company may earn performance-based incentives tied to the financial success of the properties it manages. Key factors contributing to its earnings include its extensive network of commercial properties, strategic partnerships with property developers, and its reputation for delivering high-quality management services.

Powerlong Commercial Management Holdings Limited Financial Statement Overview

Summary

Powerlong Commercial Management Holdings Limited exhibits strong revenue growth and a robust balance sheet with low leverage. However, the decline in profitability margins and concerning cash flow metrics, notably the zero operating cash flow in 2024, present potential risks.

Income Statement

The company has shown a consistent increase in total revenue over the years, with a slight dip in 2024. Gross Profit Margin has been stable, ranging from 32% to 35%. However, there is a notable decline in Net Profit Margin from 17.19% in 2023 to 8.26% in 2024, indicating potential profitability challenges. EBIT and EBITDA margins have also decreased slightly in the most recent period.

Balance Sheet

The company's balance sheet is strong with a stable Stockholders' Equity position that has been increasing annually. The Debt-to-Equity Ratio is low, indicating prudent financial leverage. The Equity Ratio remains solid above 50%, suggesting a strong equity position relative to total assets. These metrics suggest a stable financial foundation with low risk from leverage.

Cash Flow

There is some concern regarding cash flow as the Operating Cash Flow dropped to zero in 2024. The Free Cash Flow has fluctuated over the years, with a significant drop in the latest period. The lack of positive operating cash flow in 2024 is a potential risk despite historically strong free cash flow metrics relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.62B	2.64B	2.55B	2.46B	1.92B
Gross Profit	833.95M	887.02M	834.42M	821.83M	594.55M
EBITDA	431.84M	741.54M	691.94M	690.97M	529.38M
Net Income	216.02M	452.95M	443.07M	438.14M	305.06M
Balance Sheet
Total Assets	6.04B	5.61B	5.21B	5.07B	4.52B
Cash, Cash Equivalents and Short-Term Investments	4.13B	3.88B	3.45B	3.99B	3.45B
Total Debt	1.27B	995.65M	955.64M	777.41M	861.89M
Total Liabilities	2.82B	2.56B	2.48B	2.60B	2.35B
Stockholders Equity	3.22B	3.05B	2.73B	2.46B	2.15B
Cash Flow
Free Cash Flow	354.91M	442.10M	282.03M	959.83M	786.59M
Operating Cash Flow	366.69M	486.80M	287.07M	970.94M	795.11M
Investing Cash Flow	-8.59M	178.45M	1.49B	-2.08B	-8.09M
Financing Cash Flow	-112.79M	-248.00M	-321.58M	-361.96M	44.31M

Powerlong Commercial Management Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9909, the sentiment is Negative. The current price of 2.25 is below the 20-day moving average (MA) of 2.28, below the 50-day MA of 2.31, and below the 200-day MA of 2.35, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 44.15 is Neutral, neither overbought nor oversold. The STOCH value of 9.26 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:9909.

Powerlong Commercial Management Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9909	66 Neutral	HK$1.45B	6.11	6.90%	13.76%	-2.53%	-53.46%
Sector *	53 Neutral	$1.21B	2.91	-5.63%	5.83%	-2.74%	-80.64%
1755	―	HK$2.44B	4.88	15.76%	8.04%	―	―
6668	78 Outperform	HK$1.34B	7.92	12.36%	9.92%	-0.26%	-11.41%
3658	77 Outperform	HK$1.64B	6.36	18.89%	9.01%	15.31%	3.39%
6989	66 Neutral	HK$1.44B	4.33	7.55%	11.52%	-0.79%	-6.52%
0432	44 Neutral	HK$413.76M	―	-95.44%	―	19.34%	18.13%

Powerlong Commercial Management Holdings Limited Corporate Events

Powerlong Commercial Management Faces Liquidation Hearing Delay

Powerlong Commercial Management Holdings Limited announced that the hearing for the liquidation application against its direct holding company, Powerlong Real Estate (BVI) Holdings Limited, has been postponed to 17 November 2025. This delay in the legal proceedings could impact the company’s operations and investor confidence, as stakeholders are advised to exercise caution when dealing with the company’s securities.

The most recent analyst rating on (HK:9909) stock is a Sell with a HK$2.80 price target. To see the full list of analyst forecasts on Powerlong Commercial Management Holdings Limited stock, see the HK:9909 Stock Forecast page.

Powerlong Commercial Management Successfully Concludes AGM with All Resolutions Passed

Powerlong Commercial Management Holdings Limited announced that all proposed resolutions were passed at its Annual General Meeting held on June 13, 2025. Key resolutions included the re-election of directors, authorization of directors’ remuneration, re-appointment of auditors, and granting of mandates related to shares issuance and buy-back. This successful AGM reflects the company’s stable governance and strategic direction, potentially strengthening its market position and shareholder confidence.

The most recent analyst rating on (HK:9909) stock is a Sell with a HK$2.80 price target. To see the full list of analyst forecasts on Powerlong Commercial Management Holdings Limited stock, see the HK:9909 Stock Forecast page.

Powerlong Commercial Management Establishes Nomination Committee to Enhance Board Governance

Powerlong Commercial Management Holdings Limited has established a Nomination Committee, primarily composed of independent non-executive directors, to oversee the selection and appointment of board members. The committee is tasked with reviewing the board’s structure, ensuring diversity, and recommending suitable candidates for directorships, thereby supporting the company’s corporate strategy and governance.

The most recent analyst rating on (HK:9909) stock is a Sell with a HK$2.80 price target. To see the full list of analyst forecasts on Powerlong Commercial Management Holdings Limited stock, see the HK:9909 Stock Forecast page.

Powerlong Commercial Management Announces Rescheduled Liquidation Hearing

Powerlong Commercial Management Holdings Limited announced a rescheduling of the liquidation application hearing concerning its direct holding company, Powerlong Real Estate (BVI) Holdings Limited, to 21 July 2025. This development may impact the company’s operations and stakeholders are advised to exercise caution when dealing with the company’s securities.

The most recent analyst rating on (HK:9909) stock is a Sell with a HK$2.80 price target. To see the full list of analyst forecasts on Powerlong Commercial Management Holdings Limited stock, see the HK:9909 Stock Forecast page.