Jiumaojiu International Holdings Ltd. (9922) AI Stock Analysis

• Market Cap: HK$2.73B
• Dividend Yield: 1.12%
• Average Volume (3M): 8.36M
• Price to Earnings (P/E): 58.0
• Beta (1Y): 2.16
• Revenue Growth: -6.80%
• EPS Growth: -85.10%
• Country: HK
• Employees: 20,735
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 0.04
• Shares Outstanding: 1,391,782,700
• 10 Day Avg. Volume: 6,590,048
• 30 Day Avg. Volume: 8,362,708
• PEG Ratio: -0.94
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 0.75
• P/FCF Ratio: 10.50
• 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: 53 Neutral
• Price Target: HK$2.00 ▲(2.04% Upside)

The overall stock score of 53 reflects significant challenges in financial performance, particularly in profitability and cash flow, combined with bearish technical indicators. The high P/E ratio suggests potential overvaluation, and the dividend yield is modest. The absence of earnings call data and corporate events leaves these areas unaddressed.

Positive Factors

Brand Portfolio

A multi-brand, multi-format restaurant portfolio provides durable competitive advantages: diversified customer reach, cross-brand marketing, and the ability to target both casual and upscale segments. This supports resilient revenue streams and lowers single-format risk over time.

Scale of Operations

A large operational footprint implies scale advantages in procurement, operations, and regional penetration. Scale supports cost negotiation with suppliers, efficient training and rollout of new outlets, and the capacity to capture recovery in consumer dining patterns across regions.

Capital Structure Balance

A stable ~48% equity ratio indicates a balanced capital structure, providing financial resilience. This gives management flexibility to fund expansion or weather downturns without immediate equity dilution, supporting longer-term strategic investments and credit access.

Negative Factors

Sharp Margin Compression

A precipitous drop in gross margin signals structural cost pressures or pricing weakness. Sustained margin erosion undermines operating leverage, reduces reinvestable cash, and weakens the economics of new openings or promotions, pressuring long-term profitability and competitive positioning.

Weak Cash Generation

Zero operating cash flow and negative free cash flow are durable red flags: they constrain the firm's ability to self-fund operations, capex, and expansion. Persistent weak cash generation raises reliance on external financing and increases liquidity and refinancing risk over the medium term.

Rising Leverage and Collapsing ROE

Higher leverage alongside a collapse in ROE indicates the company is taking on more debt while delivering far lower shareholder returns. This combination increases financial risk, reduces strategic flexibility, and can elevate interest burden, limiting capacity for long-term value creation.

Jiumaojiu International Holdings Ltd. Business Overview & Revenue Model

Company Description

Jiumaojiu International Holdings Limited operates as a Chinese cuisine restaurant brand manager and operator in the People's Republic of China. As of December 31, 2021 it operated 453 restaurants and managed 17 franchised restaurants covering 85 cities in People's Republic of China, one in Canada, and one in Singapore under the Jiu Mao Jiu, Tai Er, Double Eggs, Song, and Uncle Chef brands. Jiumaojiu International Holdings Limited was founded in 1995 and is headquartered in Guangzhou, the People's Republic of China.

How the Company Makes Money

Jiumaojiu International Holdings Ltd. generates revenue primarily through its restaurant operations, which include dine-in services, take-out, and delivery. The company's revenue model is built on a combination of direct sales from food and beverage services, as well as potential franchise fees from its restaurant brands. Key revenue streams include the sale of a wide range of traditional Chinese dishes and beverages, supplemented by promotional events and seasonal offerings. The company may also leverage partnerships with food delivery platforms to enhance its reach and sales volume, contributing to overall earnings through increased customer engagement and convenience.

Jiumaojiu International Holdings Ltd. Financial Statement Overview

Summary

Jiumaojiu International Holdings Ltd. faces challenges in profitability and cash flow, despite revenue growth. Declining profit margins and cash flow issues could pose risks to future financial stability. However, the balance sheet remains relatively stable, suggesting some resilience.

Income Statement

The company's revenue has shown a steady growth trajectory over the years, with a notable increase from 2022 to 2023. However, the gross profit margin has declined from 54.2% in 2023 to 27.1% in 2024, indicating increasing cost pressures. The net profit margin also decreased significantly from 7.6% in 2023 to 0.9% in 2024, which is concerning for profitability. EBIT and EBITDA margins have also seen considerable declines, reflecting operational inefficiencies.

Balance Sheet

The company's financial leverage has increased, with a debt-to-equity ratio rising from 0.7 in 2023 to 0.8 in 2024, indicating higher reliance on debt. The equity ratio remained stable at around 48%, showing a balanced capital structure. Return on equity dropped significantly from 13.6% in 2023 to 1.8% in 2024, highlighting reduced shareholder returns.

Cash Flow

The cash flow position has weakened, with operating cash flow dropping to zero in 2024. Free cash flow growth is negative, indicating potential liquidity challenges. The lack of operating and free cash flow in 2024 raises concerns about the company's ability to fund operations and growth without external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.76B	6.07B	5.99B	4.01B	4.18B	2.71B
Gross Profit	1.56B	2.19B	3.24B	1.12B	1.30B	722.74M
EBITDA	519.36M	545.94M	1.45B	768.72M	1.08B	597.44M
Net Income	44.21M	55.81M	453.46M	49.28M	339.94M	124.06M
Balance Sheet
Total Assets	6.01B	6.49B	6.52B	5.41B	5.14B	4.81B
Cash, Cash Equivalents and Short-Term Investments	1.05B	1.12B	1.80B	1.95B	2.08B	2.52B
Total Debt	2.12B	2.56B	2.33B	1.68B	1.50B	1.33B
Total Liabilities	2.84B	3.34B	3.16B	2.21B	2.00B	1.75B
Stockholders Equity	3.17B	3.15B	3.34B	3.17B	3.08B	3.02B
Cash Flow
Free Cash Flow	323.75M	435.11M	345.14M	314.18M	519.90M	290.49M
Operating Cash Flow	633.77M	975.98M	1.01B	684.24M	856.18M	570.95M
Investing Cash Flow	-390.68M	-797.77M	-150.19M	-587.69M	-490.43M	-1.08B
Financing Cash Flow	-537.03M	-904.70M	-646.41M	-480.85M	-788.59M	2.37B

Jiumaojiu International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.96
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9922, the sentiment is Positive. The current price of 1.96 is above the 20-day moving average (MA) of 1.84, above the 50-day MA of 1.81, and below the 200-day MA of 2.34, indicating a neutral trend. The MACD of 0.04 indicates Negative momentum. The RSI at 62.51 is Neutral, neither overbought nor oversold. The STOCH value of 69.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9922.

Jiumaojiu International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6811	68 Neutral	HK$1.05B	11.53	10.47%	5.56%	4.16%	59.08%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0341	55 Neutral	HK$2.81B	20.74	5.05%	6.90%	-3.45%	-50.11%
9922	53 Neutral	HK$2.73B	57.99	1.38%	1.12%	-6.80%	-85.10%
0538	47 Neutral	HK$993.30M	83.49	0.38%	7.11%	0.26%	-73.09%
1443	42 Neutral	HK$87.10M	-1.44	-48.91%	4.48%	-13.13%	-873.33%

Jiumaojiu International Holdings Ltd. Corporate Events

Jiumaojiu Posts Steady Q4 2025 Operational Improvement Led by Tai Er Recovery

Jiumaojiu International Holdings reported that as of 31 December 2025 it operated 644 restaurants across its various brands, including 499 Tai Er outlets and 63 Jiu Mao Jiu restaurants, reflecting a sizable and diversified store network built primarily on self-operated locations. For the fourth quarter of 2025, the group highlighted a steady improvement in operating performance, with Tai Er’s Chinese mainland stores achieving positive year-on-year growth in same-store average daily sales despite overall same-store declines at major brands, and the newer “Fresh” model stores delivering particularly strong results that supported Tai Er’s recovery and suggested ongoing benefits from recent operational adjustments and store model upgrades.

The most recent analyst rating on (HK:9922) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Jiumaojiu International Holdings Ltd. stock, see the HK:9922 Stock Forecast page.

Jiumaojiu Plans US$43 Million Stake Increase in Independent Target Company

Jiumaojiu International Holdings Limited has signed a non-legally binding term sheet to potentially increase its equity interest in an independent target company from around 10% to approximately 49% through a combined secondary share purchase and new share subscription totaling US$43 million. The possible investment, to be funded by internal resources and bank loans, is subject to the negotiation and signing of definitive agreements by March 31, 2026, and may constitute a notifiable transaction under Hong Kong listing rules, with the company cautioning that the deal may or may not proceed and advising shareholders and investors to exercise caution.

The most recent analyst rating on (HK:9922) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Jiumaojiu International Holdings Ltd. stock, see the HK:9922 Stock Forecast page.