Archosaur Games Inc. (9990) AI Stock Analysis

• Market Cap: HK$1.41B
• Dividend Yield: N/A
• Average Volume (3M): 401.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.56
• Revenue Growth: 23.51%
• EPS Growth: 11.90%
• Country: HK
• Employees: 1,083
• Sector: Communication Services
• Sector Strength: 84
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.21
• Shares Outstanding: 801,196,100
• 10 Day Avg. Volume: 354,939
• 30 Day Avg. Volume: 401,533
• PEG Ratio: 0.12
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.27
• 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$2.00
• Price Target Upside: 9.29% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 51 Neutral
• Price Target: HK$2.00 ▲(9.29%Upside)

The overall score reflects significant financial challenges due to negative profitability and cash flow issues. While technical analysis shows some bullish momentum, the potential overbought condition could lead to short-term volatility. Valuation concerns due to a negative P/E ratio further pressure the score.

Archosaur Games Inc. Business Overview & Revenue Model

Company Description

Archosaur Games Inc., an investment holding company, develops and operates mobile games in Mainland China and internationally. It primarily focuses on the development of massively multiplayer online role-playing, simulation, female-oriented, shooting, strategy cards, and other genres games. The company was founded in 1997 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Archosaur Games Inc. generates revenue primarily through the development and publishing of mobile games. The company employs a free-to-play model, where games are available for download at no cost, but monetization occurs through in-game purchases. These purchases include virtual goods, premium features, and cosmetic items that enhance the gaming experience for players. Additionally, Archosaur Games benefits from licensing agreements and partnerships with other gaming companies and platforms, which help expand the reach of its games internationally. Advertising within games also constitutes a secondary revenue stream, as the company integrates ads to capitalize on its large user base.

Archosaur Games Inc. Financial Statement Overview

Summary

Archosaur Games Inc. is facing substantial financial challenges, with negative trends in profitability and cash flow generation. Despite a strong equity position, the company struggles with operational efficiency, reflected in negative operating cash flows and profit margins.

Income Statement

The company has shown a negative trend in profitability with declining gross profit margins and consistently negative net profit margins over the years. Revenue growth has been inconsistent, with a decline in 2020 followed by fluctuations. EBIT and EBITDA margins have also been negative, indicating operational challenges.

Balance Sheet

The balance sheet shows a strong equity base with a positive equity ratio, as stockholders' equity is significantly higher than total liabilities. However, the company has been operating with negative net debt, indicating a strong cash position, but the debt-to-equity ratio is low due to minimal debt levels.

Cash Flow

The company has experienced significant negative operating cash flows in recent years, contributing to negative free cash flow. The free cash flow to net income ratio is negative, highlighting challenges in generating cash from operations relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.14B	908.49M	584.12M	920.83M	1.21B
Gross Profit	826.00M	650.41M	423.62M	713.53M	925.91M
EBITDA	-309.62M	-265.27M	-697.48M	-220.93M	108.12M
Net Income	-287.25M	-315.56M	-768.55M	-303.32M	-759.02M
Balance Sheet
Total Assets	2.60B	2.74B	2.95B	3.52B	4.00B
Cash, Cash Equivalents and Short-Term Investments	1.58B	1.98B	2.03B	2.70B	3.34B
Total Debt	15.55M	44.30M	102.72M	135.88M	164.84M
Total Liabilities	493.08M	409.69M	363.13M	351.69M	452.55M
Stockholders Equity	2.11B	2.33B	2.59B	3.17B	3.55B
Cash Flow
Free Cash Flow	-208.81M	-83.93M	-525.61M	-176.54M	442.64M
Operating Cash Flow	-188.01M	-79.54M	-514.53M	-151.75M	456.81M
Investing Cash Flow	122.46M	-589.10M	85.66M	-1.09B	153.61M
Financing Cash Flow	-60.20M	-19.16M	-118.31M	-114.77M	1.90B

Archosaur Games Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.83
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9990, the sentiment is Positive. The current price of 1.83 is above the 20-day moving average (MA) of 1.73, above the 50-day MA of 1.60, and above the 200-day MA of 1.54, indicating a bullish trend. The MACD of 0.05 indicates Positive momentum. The RSI at 65.66 is Neutral, neither overbought nor oversold. The STOCH value of 65.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9990.

Archosaur Games Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$40.89B	-1.56	-12.05%	3.97%	2.10%	-69.66%
6633	60 Neutral	HK$2.25B	41.20	2.87%	―	-31.60%	―
0302	53 Neutral	HK$1.47B	―	-43.81%	―	-27.68%	-11792.65%
9990	51 Neutral	HK$1.41B	―	-12.95%	―	23.51%	11.90%
08IA	―	€160.85M	―	-34.71%	―	―	―
3798	48 Neutral	HK$1.59B	18.03	-3.75%	8.06%	-23.76%	-116.47%
6820	46 Neutral	HK$1.94B	―	-4.15%	―	7.55%	64.78%

Archosaur Games Inc. Corporate Events

Archosaur Games Inc. Successfully Passes AGM Resolutions

Archosaur Games Inc. announced the successful passage of all resolutions at its Annual General Meeting held on June 13, 2025. Key resolutions included the adoption of financial statements, re-election of directors, and re-appointment of PricewaterhouseCoopers as auditors. The approval of mandates for share issuance and repurchase reflects the company’s strategic focus on financial flexibility and governance, potentially impacting its market operations and shareholder value.

Archosaur Games Inc. Grants RSUs to Retain Talent

Archosaur Games Inc. has announced the grant of 150,000 Restricted Share Units (RSUs) to an employee under its RSU Scheme, aimed at incentivizing and retaining talent for future growth. The RSUs will vest in tranches over three years, with a clawback mechanism in place for misconduct or contract breaches. This move reflects the company’s strategy to motivate and retain skilled personnel, ensuring continued development and expansion.

Archosaur Games Inc. Enhances Governance with New Nomination Committee

Archosaur Games Inc. has established a Nomination Committee to identify and recommend suitable candidates for its board of directors, oversee board performance evaluations, and develop nomination guidelines in line with applicable laws and regulations. This move aims to strengthen the company’s governance structure and ensure compliance with the Listing Rules of The Stock Exchange of Hong Kong Limited, potentially enhancing its industry positioning and stakeholder confidence.

Archosaur Games Inc. Announces 2025 AGM and Key Resolutions

Archosaur Games Inc. has announced its upcoming annual general meeting (AGM) scheduled for June 13, 2025, in Beijing, China. The AGM agenda includes the adoption of the company’s audited financial statements for 2024, re-election of directors, and re-appointment of PricewaterhouseCoopers as the auditor. Additionally, the company seeks approval to authorize the board to issue new shares, which could impact the company’s capital structure and shareholder value.