Greentown Management Holdings Co., Ltd. (9979) AI Stock Analysis

• Market Cap: HK$5.76B
• Dividend Yield: 9.08%
• Average Volume (3M): 5.70M
• Price to Earnings (P/E): 6.6
• Beta (1Y): 0.86
• Revenue Growth: 2.33%
• EPS Growth: -19.62%
• Country: HK
• Employees: 2,377
• Sector: Real Estate
• Sector Strength: 56
• Industry: Real Estate - Services
• EPS (TTM): 0.44
• Shares Outstanding: 2,010,000,000
• 10 Day Avg. Volume: 7,167,157
• 30 Day Avg. Volume: 5,701,971
• PEG Ratio: -0.61
• Price to Book (P/B): 1.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 74.39
• 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$3.00
• Price Target Upside: 4.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: HK$3.50 ▲(22.38%Upside)

Greentown Management Holdings Co., Ltd. is well-positioned with strong financial health and an attractive valuation. However, technical analysis suggests only moderate bullish momentum and some potential resistance, which slightly tempers the overall outlook. The company shows promise for future growth within the real estate services industry.

Positive Factors

Financial Performance

Improved operating cash flow amid accelerating local government bond issuances and recent property policies are leading to a narrower decline in property sales.

Market Position

The project management industry is gaining market share with advantages in operating leverage, industry value chain resources, and brand output capability despite increased competition.

Negative Factors

Leadership Changes

The stock price plunged 32% post-1H24 earnings, partly due to the uncertainty on strategy execution among investors following the resignation of former CEO Mr. Li Jun.

Greentown Management Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Greentown Management Holdings Company Limited, an investment holding company, provides project management services in the People's Republic of China. It operates through Commercial Project Management, Governmental Project Management, and Others segments. The company offers property development management services for commercial projects, and government on resettlement housing property development and public infrastructure projects. It also provides construction design and consulting services, as well as other services. The company was founded in 2010 and is headquartered in Hangzhou, the People's Republic of China. Greentown Management Holdings Company Limited is a subsidiary of Greentown China Holdings Limited.

How the Company Makes Money

Greentown Management Holdings Co., Ltd. generates revenue primarily through its project management services for real estate developers. The company earns fees based on the management services it provides throughout the lifecycle of a real estate project. These fees may include a percentage of the project's total budget or fixed service fees negotiated with the property developers. Additionally, Greentown Management may engage in consultancy services, providing strategic advice and planning for real estate projects, which also contributes to its revenue streams. Key factors contributing to the company's earnings include its extensive experience, strong brand reputation, and established relationships with major real estate developers in China.

Greentown Management Holdings Co., Ltd. Financial Statement Overview

Summary

Overall, Greentown Management Holdings Co., Ltd. exhibits strong financial health with consistent revenue growth and a stable balance sheet. The company's profitability metrics are generally strong, though some operational cost pressures are observed. Cash flow performance is mostly positive, but recent operating cash flow concerns warrant attention.

Income Statement

The company has demonstrated a strong revenue growth trajectory, with a consistent increase in total revenue over the past years. Gross profit and net profit margins are also healthy, indicating efficient cost management. However, there is a slight decline in EBIT and EBITDA margins in the most recent year, suggesting increased operational costs.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio, indicating low financial leverage. The return on equity is strong, reflecting effective use of shareholders' capital. The equity ratio is high, showcasing a solid capital structure with a significant proportion of assets financed by equity.

Cash Flow

While the company has shown positive free cash flow generation, the lack of operating cash flow in the most recent year is a concern. The free cash flow to net income ratio is high in previous years, suggesting strong cash conversion from profits, but recent fluctuations may pose risks.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.44B	3.30B	2.66B	2.24B	1.81B
Gross Profit	1.71B	1.72B	1.39B	1.04B	865.83M
EBITDA	1.11B	1.27B	1.01B	752.93M	549.89M
Net Income	801.13M	973.61M	744.54M	565.22M	439.32M
Balance Sheet
Total Assets	6.78B	6.73B	6.16B	5.24B	4.75B
Cash, Cash Equivalents and Short-Term Investments	1.52B	2.09B	2.01B	2.21B	2.40B
Total Debt	10.45M	7.58M	17.01M	15.19M	17.39M
Total Liabilities	2.84B	2.60B	2.29B	1.87B	1.65B
Stockholders Equity	3.81B	4.00B	3.74B	3.34B	3.08B
Cash Flow
Free Cash Flow	274.85M	930.57M	695.90M	544.95M	889.81M
Operating Cash Flow	291.67M	955.08M	724.65M	565.66M	903.33M
Investing Cash Flow	208.74M	-61.41M	-530.24M	-496.67M	-92.40M
Financing Cash Flow	-1.00B	-766.01M	-400.40M	-322.19M	485.89M

Greentown Management Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.86
• 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:9979, the sentiment is Positive. The current price of 2.86 is above the 20-day moving average (MA) of 2.76, above the 50-day MA of 2.61, and above the 200-day MA of 2.80, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 61.74 is Neutral, neither overbought nor oversold. The STOCH value of 64.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9979.

Greentown Management Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9979	80 Outperform	HK$5.76B	6.61	20.55%	9.08%	2.33%	-19.62%
Sector *	59 Neutral	C$1.25B	-1.04	-8.19%	4.97%	10.83%	-22.67%
1V0	―	€457.47M	―	-29.17%	2.22%	―	―
1755	―	HK$2.44B	4.88	15.76%	8.04%	―	―
2156	82 Outperform	HK$3.93B	10.79	18.58%	5.38%	-9.07%	-33.13%
6989	80 Outperform	HK$1.84B	5.45	8.56%	8.32%	5.84%	0.84%
3316	74 Outperform	HK$6.52B	11.01	36.29%	7.15%	25.93%	8.97%

Greentown Management Holdings Co., Ltd. Corporate Events

Greentown Management Reports Growth in Project Management Business

Greentown Management Holdings Co., Ltd. has reported a notable increase in its project management business for the first half of 2025. The total gross floor area of newly contracted projects reached 19.89 million square meters, marking a 13.9% rise compared to the previous year, and the estimated project management fee increased by 19.1% to RMB5.00 billion. These figures, although preliminary and unaudited, suggest a positive trajectory for the company’s operations and may enhance its industry positioning. However, stakeholders are advised to exercise caution and seek professional advice due to the preliminary nature of the data.

The most recent analyst rating on (HK:9979) stock is a Hold with a HK$2.90 price target. To see the full list of analyst forecasts on Greentown Management Holdings Co., Ltd. stock, see the HK:9979 Stock Forecast page.

Greentown Management Passes All AGM Resolutions

Greentown Management Holdings Co., Ltd. announced the successful passing of all resolutions at their Annual General Meeting held on June 18, 2025. The resolutions included the approval of financial statements, the declaration of a final dividend, the re-election of directors, the re-appointment of auditors, and the granting of mandates to repurchase and issue shares. This outcome reflects strong shareholder support and positions the company for continued operational stability and strategic flexibility.

The most recent analyst rating on (HK:9979) stock is a Hold with a HK$2.90 price target. To see the full list of analyst forecasts on Greentown Management Holdings Co., Ltd. stock, see the HK:9979 Stock Forecast page.

Greentown Management Holdings Announces Final Dividend for 2024

Greentown Management Holdings Co., Ltd. announced a final cash dividend of RMB 0.24 per share for the year ending December 31, 2024, which will be paid in Hong Kong dollars at an exchange rate of RMB 1 to HKD 1.093408. This announcement reflects the company’s financial health and commitment to providing returns to its shareholders, potentially enhancing its attractiveness to investors.

The most recent analyst rating on (HK:9979) stock is a Hold with a HK$2.90 price target. To see the full list of analyst forecasts on Greentown Management Holdings Co., Ltd. stock, see the HK:9979 Stock Forecast page.

Greentown Management Holdings Announces AGM and Key Resolutions

Greentown Management Holdings Co., Ltd. has announced its upcoming annual general meeting scheduled for June 18, 2025, in Hangzhou, China. The meeting will address several key resolutions, including the approval of the company’s audited financial statements for 2024, the declaration of a final dividend of RMB0.24 per share, the re-election of directors, and the reappointment of Ernst & Young as auditors. Additionally, the company seeks shareholder approval for mandates to repurchase shares and issue additional shares, which could impact its market operations and shareholder value.

The most recent analyst rating on (HK:9979) stock is a Hold with a HK$2.90 price target. To see the full list of analyst forecasts on Greentown Management Holdings Co., Ltd. stock, see the HK:9979 Stock Forecast page.

Greentown Management Appoints New Co-Chairman

Greentown Management Holdings Co., Ltd. has announced the appointment of Mr. Geng Zhongqiang as a non-executive director and co-chairman of the board, effective from April 25, 2025. Mr. Geng brings extensive experience in operation and management from his previous roles in various real estate and construction companies. His appointment is expected to strengthen the company’s leadership and potentially enhance its strategic positioning in the real estate market.

Greentown Management Holdings Announces Board Composition and Roles

Greentown Management Holdings Co., Ltd. announced the composition of its board of directors, detailing the roles and committee memberships of each member. This announcement provides clarity on the governance structure of the company, potentially impacting its strategic direction and stakeholder engagement.