Neo-Concept International Group Holdings Limited (NCI) AI Stock Analysis

• Market Cap: $7.14M
• Dividend Yield: N/A
• Average Volume (3M): 61.56K
• Price to Earnings (P/E): 6.9
• Beta (1Y): 0.53
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 24
• Sector: General
• Sector Strength: N/A
• Industry: Apparel - Manufacturers
• EPS (TTM): N/A
• Shares Outstanding: 3,464,000
• 10 Day Avg. Volume: 13,409
• 30 Day Avg. Volume: 61,558
• 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: 2.94
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $2.00
• Price Target Upside: 16.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 53 Neutral
• Price Target: $2.00 ▲(16.96% Upside)

Neo-Concept International Group Holdings Limited's stock score is primarily influenced by its financial performance and technical analysis. While there are improvements in profitability, the company's high debt levels and negative cash flow pose significant risks. The technical indicators suggest a bearish trend, but the low P/E ratio indicates potential undervaluation, offering some upside if financial conditions stabilize.

Neo-Concept International Group Holdings Limited Business Overview & Revenue Model

Company Description

Neo-Concept International Group Holdings Limited provides one-stop apparel solution in Hong Kong. The company offers a suite of services in the apparel supply chain, including market trend analysis, product design and development, raw material sourcing, production and quality control, and logistics management. It sells knitwear/apparel products under the les 100 ciels brand. The company serves brand owners, apparel sourcing agents, and online fashion retailers primarily located in North America, the United Kingdom, and Europe. Neo-Concept International Group Holdings Limited was incorporated in 2021 and is based in Kwun Tong, Hong Kong. Neo-Concept International Group Holdings Limited operates as a subsidiary of Neo-concept (BVI) Limited.

How the Company Makes Money

NCI generates revenue through the sale of its consumer electronic products to both individual customers and business clients. The company's key revenue streams include direct sales of its proprietary electronic devices, as well as partnerships with retailers and distributors who help in reaching broader markets. Additionally, NCI may engage in strategic collaborations with technology firms to enhance its product offerings and increase market penetration. Significant factors contributing to its earnings include continuous product innovation, efficient manufacturing processes, and maintaining strong relationships with supply chain partners.

Neo-Concept International Group Holdings Limited Financial Statement Overview

Summary

Neo-Concept International Group Holdings Limited shows some profitability improvements in 2024, but high debt levels and negative free cash flow highlight significant financial risks. The balance sheet is leveraged, and consistent revenue growth and better cash flow management are needed to stabilize the company.

Income Statement

The company shows a fluctuating revenue trend with a significant decrease in total revenue from 2022 to 2023, but a rebound in 2024. Gross profit and net income margins have improved in 2024 compared to 2023, indicating a positive trajectory in profitability. However, the revenue growth rate remains volatile, and historical EBIT and EBITDA margins have been inconsistent.

Balance Sheet

The company's balance sheet highlights a challenging financial structure with high debt levels. The debt-to-equity ratio is concerning, given the negative equity in previous years, though it has turned positive in 2024. The equity ratio is improving but still indicates a high reliance on debt, posing potential risks.

Cash Flow

Cash flow from operations remains weak, with negative free cash flow in recent years. While operating cash flow has shown improvements in 2024, the free cash flow growth remains negative. The ratio of operating and free cash flow to net income indicates potential cash flow management issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	235.67M	174.20M	347.45M	240.54M	182.58M
Gross Profit	49.44M	35.05M	41.83M	22.59M	11.65M
EBITDA	18.94M	14.90M	21.67M	1.28M	-4.94K
Net Income	8.06M	4.41M	12.40M	5.45M	-3.33M
Balance Sheet
Total Assets	135.65M	90.62M	41.87M	40.23M	64.04M
Cash, Cash Equivalents and Short-Term Investments	9.17M	5.85M	8.59M	1.43M	421.50K
Total Debt	69.60M	54.64M	84.99M	28.00M	64.26M
Total Liabilities	78.82M	93.00M	102.55M	115.82M	142.71M
Stockholders Equity	56.83M	-2.39M	-60.68M	-75.59M	-78.66M
Cash Flow
Free Cash Flow	-18.74M	-50.50M	-42.83M	10.19M	6.17M
Operating Cash Flow	428.24K	-49.23M	-42.76M	10.27M	6.28M
Investing Cash Flow	-19.17M	-1.28M	-73.53K	-78.19K	-115.89K
Financing Cash Flow	21.89M	47.55M	50.00M	-9.19M	-6.48M

Neo-Concept International Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.71
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NCI, the sentiment is Negative. The current price of 1.71 is below the 20-day moving average (MA) of 1.86, below the 50-day MA of 2.05, and below the 200-day MA of 2.37, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 39.20 is Neutral, neither overbought nor oversold. The STOCH value of 41.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NCI.

Neo-Concept International Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GIII	71 Outperform	$1.13B	6.24	12.21%	―	1.72%	13.75%
Sector *	55 Neutral	$6.41B	1.59	-10.19%	6.24%	14.96%	-2.21%
NCI	53 Neutral	$7.14M	6.89	-184.96%	―	―	―
JRSH	52 Neutral	$42.67M	51.77	1.30%	5.94%	17.12%	―
VNCE	47 Neutral	$18.50M	6.22	-63.56%	―	1.46%	-191.66%
CULP	45 Neutral	$50.61M	―	-28.56%	―	-5.37%	-37.39%
UFI	42 Neutral	$80.79M	―	-7.94%	―	-1.87%	57.41%