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GBA Holdings Limited (HK:0261)
:0261
Hong Kong Market

GBA Holdings Limited (0261) AI Stock Analysis

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HK

GBA Holdings Limited

(0261)

Rating:41Neutral
Price Target:
GBA Holdings Limited faces major financial challenges, particularly in profitability and cash flow, which are significant risks to its stability and growth. The technical analysis indicates a bearish trend, and the negative P/E ratio and absence of dividends highlight valuation concerns. These factors result in a low overall stock score, reflecting high risk and limited investment appeal.

GBA Holdings Limited (0261) vs. iShares MSCI Hong Kong ETF (EWH)

GBA Holdings Limited Business Overview & Revenue Model

Company DescriptionGBA Holdings Limited, an investment holding company, designs, develops, sells, and supplies telecom, electronic, and infant and baby products in Mainland China, Hong Kong, and internationally. It offers cordless products, such as DECT cordless, digital cordless, corded/cordless combo phone systems, and designer phones; and design phones, corded phones, and Qi charging pads, as well as family radio systems and Bluetooth products. The company's infant and child products include baby monitoring products, feeding and grooming products, nursing kits and safety products, and home appliances. It is also involved in the development and sale of properties; trading of telecom, electronic, and child products; and finance business. The company was formerly known as Greater Bay Area Investments Group Holdings Limited and changed its name to GBA Holdings Limited in August 2020. GBA Holdings Limited is headquartered in Shatin, Hong Kong.
How the Company Makes MoneyGBA Holdings Limited generates revenue primarily through its investment activities and real estate operations. The company invests in a wide range of financial instruments, including equities, bonds, and other securities, and derives income from capital gains and dividends. In the real estate sector, it earns money through the development, sale, and leasing of residential and commercial properties. Additionally, the company may engage in strategic partnerships and joint ventures to enhance its investment portfolio and maximize returns. The combination of investment income, property sales, and rental revenue constitutes the core of its earnings.

GBA Holdings Limited Financial Statement Overview

Summary
GBA Holdings Limited is facing considerable financial challenges, notably in profitability and cash flow. The income statement highlights negative profit margins and volatile revenue growth, posing a risk to financial stability. Despite a strong equity base and low debt, cash flow issues persist with negative operating and free cash flows, affecting the potential for future growth.
Income Statement
35
Negative
The company's income statement reveals a challenging financial environment with negative profit margins. The gross profit margin is consistently negative, indicating that cost of goods sold surpasses the revenue generated. Net profit margins have also been negative, reflecting substantial losses. Revenue has decreased sharply since 2021, with significant revenue growth volatility, posing a risk to financial stability.
Balance Sheet
45
Neutral
The balance sheet shows a strong equity base with a high equity ratio, indicating stability. However, the company has been experiencing decreasing total assets and increasing liabilities, leading to a rising debt-to-equity ratio. Despite this, the company maintains a low level of total debt, and recent years have shown a slight improvement in net debt, suggesting controlled leverage.
Cash Flow
30
Negative
The cash flow statement highlights negative operating and free cash flows over recent years, indicating potential liquidity challenges. The company has struggled with generating positive cash flow from operations, and free cash flow has been consistently negative, which could affect its ability to fund future growth or meet obligations without external financing.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
57.05M78.38M56.00M469.00M394.00M
Gross Profit
-3.28M-4.60M-63.00M49.00M-25.00M
EBIT
-33.71M-39.47M-119.00M-25.00M-171.00M
EBITDA
-58.19M-90.05M-175.00M-58.00M-134.00M
Net Income Common Stockholders
-55.78M-98.41M-175.00M-60.00M-123.00M
Balance SheetCash, Cash Equivalents and Short-Term Investments
29.59M53.33M48.00M97.00M209.00M
Total Assets
659.94M730.19M754.00M978.00M1.48B
Total Debt
16.51M23.07M2.00M2.00M0.00
Net Debt
1.68M-16.59M-28.00M-46.00M-149.00M
Total Liabilities
129.91M121.60M75.00M99.00M555.00M
Stockholders Equity
547.35M615.33M679.00M879.00M926.00M
Cash FlowFree Cash Flow
0.00-28.84M-36.00M-101.00M57.00M
Operating Cash Flow
-22.00M-28.52M-32.00M-101.00M57.00M
Investing Cash Flow
0.00-4.73M-6.00M-2.00M37.00M
Financing Cash Flow
2.28M43.33M18.00M-1.00M-97.00M

GBA Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.40
Price Trends
50DMA
0.41
Negative
100DMA
0.44
Negative
200DMA
0.74
Negative
Market Momentum
MACD
<0.01
Negative
RSI
50.58
Neutral
STOCH
50.80
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0261, the sentiment is Negative. The current price of 0.4 is above the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.41, and below the 200-day MA of 0.74, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.58 is Neutral, neither overbought nor oversold. The STOCH value of 50.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0261.

GBA Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$2.78B10.700.50%8507.83%5.74%-19.41%
41
Neutral
HK$94.30M-9.60%-27.22%60.28%
$10.51B16.1442.85%7.97%
$46.80M2.040.81%51.16%
DECUV
€1.17B-26.60%
70
Outperform
HK$216.00M11.448.97%-10.49%-14.80%
60
Neutral
HK$79.40M0.1870.23%-8.35%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0261
GBA Holdings Limited
0.40
-0.84
-67.74%
HDALF
Haidilao International Holding
1.95
-0.27
-12.16%
LKSGF
Luks Group (Vietnam Holdings) Co
0.01
-0.06
-85.71%
DE:CUV
Realord Group Holdings Limited
0.76
0.14
22.58%
HK:0084
Stelux Holdings International Limited
0.08
-0.02
-20.00%
HK:0368
Superland Group Holdings Ltd.
0.27
0.05
22.73%

GBA Holdings Limited Corporate Events

GBA Holdings Limited Announces AGM and Share Buyback Proposal
Apr 23, 2025

GBA Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 6, 2025, in Hong Kong. The meeting will address several key resolutions, including the adoption of the company’s audited financial statements for 2024, the re-election of several directors, and the reappointment of Baker Tilly Hong Kong Limited as auditors. Additionally, a special resolution will be considered to authorize the directors to buy back up to 10% of the company’s issued shares, reflecting a strategic move to manage the company’s share capital.

GBA Holdings Acquires Ticker Square Capital
Apr 1, 2025

GBA Holdings Limited, a company incorporated in Bermuda, announced the acquisition of the entire equity interest in Ticker Square Capital Limited. The acquisition, valued at approximately HK$1.5 million, will be funded through the company’s internal resources. Upon completion, Ticker Square Capital will become a subsidiary of GBA Holdings, and its financial results will be consolidated into the group’s financial statements. This strategic move is expected to enhance GBA Holdings’ operational capabilities and market positioning.

GBA Holdings Reports Decreased Revenue and Loss for 2024
Mar 28, 2025

GBA Holdings Limited reported a 27.2% decrease in revenue for 2024, amounting to HK$57.0 million, and a reduced loss of HK$55.8 million, down from HK$98.4 million in 2023. The company’s financial performance was impacted by a decrease in the fair value of financial assets, slow recovery in the high-end catering market in Hong Kong, and weak property selling prices. Despite these challenges, the company continues to sell units in its property projects, with significant portions of Landmark City and Evian Villa already sold.

GBA Holdings to Review Annual Results and Dividend
Mar 18, 2025

GBA Holdings Limited has announced that its board of directors will meet on March 28, 2025, to approve the annual results for the year ending December 31, 2024, and to consider the payment of a final dividend. This meeting is significant as it will determine the company’s financial performance and potential shareholder returns, impacting its market positioning and stakeholder interests.

GBA Holdings Announces Share Consolidation Approval
Mar 17, 2025

GBA Holdings Limited, a company listed on the Hong Kong Stock Exchange, held a Special General Meeting (SGM) on March 17, 2025, where a special resolution regarding a Share Consolidation was passed with overwhelming support. The Share Consolidation will become effective on March 19, 2025, and will involve adjustments to the outstanding share options, as certified by the company’s independent auditor. This move is expected to streamline the company’s share structure and potentially enhance market perception, impacting shareholders and market participants.

GBA Holdings Proposes Share Consolidation at Upcoming General Meeting
Feb 24, 2025

GBA Holdings Limited has announced a special general meeting to discuss a proposed share consolidation. This move aims to consolidate every five issued and unissued ordinary shares of HK$0.04 into one consolidated share of HK$0.20. The share consolidation is contingent upon approval from the Hong Kong Stock Exchange and compliance with relevant Bermuda laws. If approved, this consolidation could simplify the company’s share structure and potentially enhance its marketability.

GBA Holdings Limited Changes Hong Kong Branch Share Registrar
Feb 18, 2025

GBA Holdings Limited has announced a change in its Hong Kong branch share registrar and transfer office, effective from March 19, 2025. The new registrar will be Tricor Investor Services Limited, which will manage the registration of transfer shares and collection of share certificates, marking an operational shift for the company.

GBA Holdings Announces Discloseable Financial Assistance Agreement
Feb 10, 2025

GBA Holdings Limited has announced a discloseable transaction involving a financial assistance agreement. CCT Finance, a subsidiary of GBA Holdings, has entered into a New Loan Agreement with borrower Lin Diexin to provide a loan of HK$6,500,000 for six months. This financial assistance is secured by a residential property and is aimed at settling a previous loan of the same amount. The transaction falls under the disclosable transaction category according to the Hong Kong Stock Exchange’s listing rules, given that the applicable percentage ratio exceeds 5% but is less than 25%.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.