AMTD IDEA Group Class A (HKB) AI Stock Analysis

• Market Cap: S$1.44B
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 22.8
• Beta (1Y): 0.28
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: SG
• Employees: 214
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.02
• Shares Outstanding: 242,765,730
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.05
• Price to Book (P/B): 0.11
• Price to Sales (P/S): 3.27
• P/FCF Ratio: 34.29
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: S$3.50 ▼(-2.78% Downside)

The overall stock score of 58 reflects a mix of strong revenue growth and efficient operations, but concerns over the sustainability of high profit margins and cash flow stability weigh heavily. Technical indicators suggest the stock is overbought with no recent price movement, and the high P/E ratio indicates potential overvaluation. The lack of earnings call data and corporate events further limits the assessment.

AMTD IDEA Group Class A Business Overview & Revenue Model

Company Description

AMTD IDEA Group, an investment holding company, provides capital market solutions in China, Hong Kong, Europe, the United States, and internationally. The company operates through Capital Market Solutions, Digital Solutions and Other Services, Media and Entertainment Services, Hotel Operations, Hospitality and VIP Services, and Strategic Investments segments. The Capital Market Solutions segment raises funds through equity and debt financing, private placements, and debt issuances; provides financial advisory services, such as domestic and cross border advisory services for merger and acquisitions; and offers asset management products and services. The Digital Solutions and Other Services segment provides investor communication, investor relations, and corporate communication services to institutional and corporate clients, as well as digital financial solution services. The Media and Entertainment Services segment offers print and digital advertising campaigns, licensing, value-added marketing services comprising branded content, video production, social media activation, event creation, and experiential marketing services. The Hotel Operations, Hospitality and VIP Services segment engages in hotel investments, hotel operations, hospitality, and VIP services. The Strategic Investment segment engages in proprietary investments and management of global investment portfolio, including listed and unlisted equity shares investments and movie income right investments. The company was formerly known as AMTD International Inc. AMTD IDEA Group was founded in 2003 and is based in Paris, France. The company operates as a subsidiary of AMTD Group Inc.

How the Company Makes Money

AMTD IDEA Group generates revenue through multiple streams, primarily from investment banking services, where it advises clients on mergers and acquisitions, capital raising, and other financial transactions. Additionally, the company earns income from asset management services, including managing investment funds and portfolios for institutional and retail clients. The company may also receive fees for advisory services in corporate finance and strategic consulting. Significant partnerships with technology firms and financial institutions enhance its service offerings and expand its market reach, contributing to its revenue growth. Furthermore, the company benefits from a growing demand for digital financial solutions, positioning it to capture emerging opportunities in the fintech sector.

AMTD IDEA Group Class A Financial Statement Overview

Summary

AMTD IDEA Group Class A demonstrates strong revenue growth and efficient operations, but the sustainability of its high profit margins is questionable. The balance sheet is stable with low leverage, though returns on equity are modest. Cash flow metrics reveal potential liquidity concerns, with a significant drop in free cash flow growth. Overall, the company is expanding but faces challenges in maintaining its profitability and cash flow stability.

Income Statement

The company shows strong revenue growth with a 92.97% increase in the latest year, indicating robust expansion. However, the net profit margin is exceptionally high at 94.40%, which may not be sustainable. The EBIT and EBITDA margins are also high, suggesting efficient operations, but such margins are atypical and warrant further investigation for sustainability.

Balance Sheet

The debt-to-equity ratio is low at 0.18, indicating conservative leverage, which is a positive sign for financial stability. However, the return on equity is modest at 3.21%, suggesting limited efficiency in generating returns from equity. The equity ratio is healthy, reflecting a solid capital structure.

Cash Flow

The company experienced a significant decline in free cash flow growth at -74.18%, which is concerning. The operating cash flow to net income ratio is low at 0.036, indicating potential issues in converting income into cash. However, the free cash flow to net income ratio is nearly 1, showing that free cash flow closely matches net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	54.07M	122.72M	22.42M	177.64M	141.51M
Gross Profit	24.45M	157.25M	21.51M	177.47M	141.25M
EBITDA	75.49M	168.52M	155.74M	172.90M	131.91M
Net Income	51.04M	142.99M	18.23M	157.22M	146.92M
Balance Sheet
Total Assets	2.07B	1.49B	1.06B	857.67M	1.36B
Cash, Cash Equivalents and Short-Term Investments	87.86M	120.23M	138.16M	67.49M	58.56M
Total Debt	283.49M	96.55M	457.24K	16.13M	14.99M
Total Liabilities	369.89M	193.02M	58.25M	115.17M	103.47M
Stockholders Equity	1.59B	1.29B	969.74M	740.50M	1.25B
Cash Flow
Free Cash Flow	5.15M	39.91M	26.80M	55.76M	257.19M
Operating Cash Flow	5.16M	39.98M	26.80M	55.76M	257.21M
Investing Cash Flow	-45.34M	-266.97M	-73.88M	-46.00M	-461.96M
Financing Cash Flow	-17.34M	209.35M	117.52M	-854.11K	164.39M

AMTD IDEA Group Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
S41	72 Outperform	S$1.17B	13.99	4.02%	4.87%	-10.51%	-15.79%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
U10	66 Neutral	€2.44B	11.07	10.50%	4.72%	7.87%	-4.03%
YF8	66 Neutral	S$1.79B	5.38	8.61%	3.06%	-9.47%	131.72%
HKB	58 Neutral	S$1.44B	22.83	―	―	―	―

AMTD IDEA Group Class A Corporate Events

AMTD IDEA Group Integrates Cryptocurrencies into Liquid Funds Strategy

AMTD IDEA Group, along with its subsidiaries AMTD Digital Inc. and The Generation Essentials Group (TGE), announced that cryptocurrencies will become a key component of their liquid funds, totaling approximately USD240 million. TGE will focus on cryptocurrency-related opportunities, particularly in the tokenized crypto assets segment, aiming to leverage these assets for growth in media, entertainment, and hospitality sectors, thereby enhancing consumer engagement and spending.

AMTD IDEA Group Executives Commit to Long-Term Growth with Lock-Up Agreements

AMTD IDEA Group, along with its subsidiaries AMTD Digital and The Generation Essentials Group, announced that all executive directors and core management have entered into voluntary lock-up agreements for their holdings, signaling strong confidence in the company’s long-term strategy and growth potential. This move extends existing lock-up commitments and highlights the company’s commitment to stability and strategic growth, potentially enhancing its market position and reassuring stakeholders of its future prospects.

TGE-SPAC Files for IPO Amid Expansion Strategy

The Generation Essentials Group has announced that its sponsored special purpose acquisition company, TGE Value Creative Solutions Corp, has filed a registration statement with the SEC for an initial public offering. This move is part of TGE’s business expansion and acquisition strategy, aiming to list its units on Nasdaq. The offering’s completion is contingent on market conditions, with no assurance on its timing, size, or terms.

AMTD IDEA Group Launches Cryptocurrency Conversion Program

AMTD IDEA Group, along with its subsidiaries AMTD Digital and The Generation Essentials Group, has announced a new cryptocurrency conversion program. This initiative allows cryptocurrency holders to exchange their digital assets for newly issued ordinary shares of the listed companies, aiming to bridge the gap between crypto assets and traditional stock exchanges. The program is part of AMTD’s broader mission to provide diversified asset allocation opportunities for cryptocurrency investors, enhancing their financial literacy and investment experiences.