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China Aerospace International Holdings Limited (HK:0031)
:0031

China Aerospace International Holdings Limited (0031) AI Stock Analysis

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HK

China Aerospace International Holdings Limited

(0031)

Rating:49Neutral
Price Target:
China Aerospace International Holdings Limited is experiencing significant financial challenges, with declining revenues and negative profitability impacting its financial performance score. The technical analysis suggests a lack of strong momentum, with potential overbought signals. Valuation metrics further indicate concerns, with a negative P/E ratio and no dividend yield, suggesting the stock could be overvalued. Improvements in revenue generation and cash flow management are crucial for enhancing financial stability and stock performance.

China Aerospace International Holdings Limited (0031) vs. iShares MSCI Hong Kong ETF (EWH)

China Aerospace International Holdings Limited Business Overview & Revenue Model

Company DescriptionChina Aerospace International Holdings Limited, an investment holding company, engages in hi-tech manufacturing business in the People's Republic of China. The company distributes plastic and metal products and molds, liquid crystal displays and modules, printed circuit boards, intelligent battery chargers, and electronic components. It is also involved in the provision of property investment and management, and treasury services; electroplating of metals; and distribution of packing products. The company was incorporated in 1975 and is based in Hung Hom, Hong Kong, and is considered a Red Chip company due to its listing on the Hong Kong Stock Exchange.
How the Company Makes MoneyChina Aerospace International Holdings Limited generates revenue through its diverse business segments. The hi-tech manufacturing segment, which includes the production and sale of plastic products, liquid crystal display products, and printed circuit boards, is a significant contributor to the company's income. Additionally, the aerospace service segment provides specialized services related to the aerospace industry, further enhancing its revenue streams. The company's involvement in the new material business, which focuses on innovative materials for various industries, also adds to its revenue. Strategic partnerships and collaborations in these sectors amplify the company's capability to maintain steady earnings and expand its market presence.

China Aerospace International Holdings Limited Financial Statement Overview

Summary
The company faces declining revenue and profitability challenges, with a negative net profit margin in 2024. EBIT margins showed slight recovery, indicating operational efficiency improvements. The balance sheet remains relatively stable despite asset declines and profit volatility. Cash flow issues are significant, with negative free cash flow and no operating cash flow in 2024.
Income Statement
55
Neutral
The company's revenue declined in recent years, with a notable drop from 2020 to 2023. Gross profit margins decreased from 27% in 2020 to 21% in 2024. Additionally, the net profit margin turned negative in 2024, indicating challenges in profitability. However, there was a slight recovery in EBIT margins from 1.6% in 2023 to 2.7% in 2024, showing some operational efficiency improvements.
Balance Sheet
65
Positive
The company maintains a stable equity position with a debt-to-equity ratio improving from 0.21 in 2019 to 0.23 in 2024. However, total assets have been decreasing, and the equity ratio slightly declined from 54% in 2019 to 50% in 2024. Return on equity experienced significant volatility, dropping to negative in 2024, indicating profitability issues.
Cash Flow
40
Negative
After a positive cash flow trend up to 2020, the company's free cash flow turned negative in recent years, with no operating cash flow recorded in 2024. This indicates potential cash management issues. The free cash flow to net income ratio has been unstable, further emphasizing cash flow challenges.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
3.84B3.45B4.50B4.75B3.58B
Gross Profit
807.85M700.72M989.11M1.07B967.95M
EBIT
104.03M54.13M136.94M326.36M374.29M
EBITDA
130.00M319.98M37.54M569.62M566.25M
Net Income Common Stockholders
-53.31M4.05M-119.92M345.76M296.68M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.50B1.72B2.09B1.95B2.03B
Total Assets
14.28B14.58B15.27B16.87B16.12B
Total Debt
1.62B1.51B1.60B1.67B1.63B
Net Debt
464.42M4.12M-109.12M191.85M-276.88M
Total Liabilities
5.17B5.11B5.48B6.03B5.83B
Stockholders Equity
7.15B7.41B7.66B8.39B7.93B
Cash FlowFree Cash Flow
0.00-187.50M344.43M-311.90M143.69M
Operating Cash Flow
233.95M244.21M722.38M152.18M473.87M
Investing Cash Flow
-688.85M-207.36M-299.55M-476.97M195.34M
Financing Cash Flow
0.00-166.77M-138.69M-121.08M-125.39M

China Aerospace International Holdings Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.40
Price Trends
50DMA
0.39
Positive
100DMA
0.40
Positive
200DMA
0.38
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
51.16
Neutral
STOCH
76.39
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0031, the sentiment is Positive. The current price of 0.4 is below the 20-day moving average (MA) of 0.40, above the 50-day MA of 0.39, and above the 200-day MA of 0.38, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 51.16 is Neutral, neither overbought nor oversold. The STOCH value of 76.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0031.

China Aerospace International Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$11.93B10.60-7.51%3.00%7.40%-8.09%
49
Neutral
HK$1.25B-0.73%11.32%-1430.77%
$8.17B11.716.96%5.99%
DEHNT
€22.00M16.841.08%
69
Neutral
HK$2.50B4.9918.22%6.25%24.08%24.13%
47
Neutral
HK$6.75B137.161.18%1.98%11.18%-95.11%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0031
China Aerospace International Holdings Limited
0.40
0.07
21.21%
ZLIOF
Zoomlion Heavy Industry Science & Technology Co
0.77
0.05
6.94%
DE:HNT
Cinda International Holdings Limited
0.03
<0.01
50.00%
HK:1184
S.A.S. Dragon Holdings Limited
4.00
0.56
16.28%
HK:1691
JS Global Lifestyle Company Limited
2.04
0.53
35.10%

China Aerospace International Holdings Limited Corporate Events

China Aerospace International Announces Auditor Change
Apr 25, 2025

China Aerospace International Holdings Limited has announced a proposed change of auditor, with Deloitte Touche Tohmatsu set to retire at the conclusion of the 2025 Annual General Meeting after over 20 years of service. The company plans to appoint PKF Hong Kong Limited as the new auditor, subject to approval at the AGM, citing good corporate practice and the competence of PKF Hong Kong as reasons for the change.

China Aerospace International Holdings Limited Strengthens ESG Commitment
Mar 27, 2025

China Aerospace International Holdings Limited has established an Environment, Social and Governance Committee to oversee and implement ESG strategies across the company and its subsidiaries. This committee is tasked with formulating policies, promoting ESG culture, monitoring communication with stakeholders, and ensuring compliance with relevant laws and standards. The initiative underscores the company’s commitment to sustainability and responsible governance, potentially enhancing its industry positioning and stakeholder relationships.

China Aerospace Enhances Shareholder Communication Strategy
Mar 27, 2025

China Aerospace International Holdings Limited has implemented a comprehensive Shareholders & Investors Communication Policy to enhance transparency and communication with its stakeholders. The policy includes timely updates on the company’s website, regular shareholder meetings, and accessible corporate documents, aiming to foster better understanding and engagement among shareholders and investors.

China Aerospace International Holdings Reports 2024 Financial Results
Mar 27, 2025

China Aerospace International Holdings Limited has announced its audited financial results for the year ending December 31, 2024. The company reported a revenue increase to HK$3,841,472,000 from HK$3,450,954,000 in 2023, but faced a loss of HK$83,853,000, compared to a loss of HK$1,765,000 in the previous year. The results indicate challenges in cost management and investment property valuations, impacting the company’s profitability and shareholder returns.

China Aerospace International Issues Profit Warning Amid Increased Losses
Mar 20, 2025

China Aerospace International Holdings Limited has issued a profit warning, anticipating a net loss between HK$60 million and HK$90 million for the year ending December 2024, a significant increase from the previous year’s loss of HK$1,765,000. Despite a projected 10% increase in revenue to approximately HK$3,800 million, the loss is attributed mainly to a HK$300 million decrease in the fair value of investment properties. This announcement may impact shareholder and investor confidence, urging caution in dealing with the company’s shares.

China Aerospace International Schedules Board Meeting for Annual Results Review
Mar 11, 2025

China Aerospace International Holdings Limited has announced that its Board of Directors will meet on March 27, 2025, to review and approve the company’s annual results for the year ending December 31, 2024. This meeting will also consider the possibility of declaring a final dividend, which could impact the company’s financial outlook and shareholder returns.

China Aerospace International Appoints New Non-Executive Director
Feb 14, 2025

China Aerospace International Holdings Limited announced changes in its board of directors effective from 14 February 2025. Mr. Hua Chongzhi has retired from his role as a Non-Executive Director and committee member, to be succeeded by Mr. Liu Yong, who brings extensive financial management experience. This transition may strengthen the company’s governance and strategic direction in its market.

China Aerospace Announces New Board of Directors
Feb 14, 2025

China Aerospace International Holdings Limited has announced the updated list of its Board of Directors and their roles, effective from February 14, 2025. This update reflects strategic governance restructuring intended to strengthen the company’s leadership as it continues to navigate the competitive aerospace industry. By appointing experienced directors to various committees, the company aims to bolster its operational efficiency and adherence to governance standards, potentially impacting its market standing and stakeholder relations positively.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.