Arta TechFin Corporation Limited (0279) AI Stock Analysis

• Market Cap: HK$1.06B
• Dividend Yield: N/A
• Average Volume (3M): 2.28M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.13
• Revenue Growth: 156.41%
• EPS Growth: 21.56%
• Country: HK
• Employees: 30
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Conglomerates
• EPS (TTM): -0.03
• Shares Outstanding: 1,272,527,300
• 10 Day Avg. Volume: 3,717,152
• 30 Day Avg. Volume: 2,283,111
• PEG Ratio: 12.27
• Price to Book (P/B): -273.38
• Price to Sales (P/S): 194.92
• P/FCF Ratio: -466.24
• 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$1.00
• Price Target Upside: 21.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 42 Neutral
• Price Target: HK$1.00 ▲(21.95% Upside)

The overall stock score is primarily impacted by the company's poor financial performance, characterized by high leverage and negative profitability. Technical analysis suggests a neutral to bearish outlook, while valuation metrics are unattractive due to negative earnings. The absence of earnings call insights and corporate events means these factors do not influence the score.

Arta TechFin Corporation Limited Business Overview & Revenue Model

Company Description

Arta TechFin Corporation Limited (0279) is a technology-driven financial services company that specializes in providing innovative fintech solutions. Operating within the financial technology sector, Arta TechFin focuses on developing a range of products and services including digital payment solutions, financial analytics tools, and blockchain-based applications aimed at enhancing operational efficiency for businesses and consumers alike. The company leverages cutting-edge technology to streamline financial processes and improve user experience, catering to a diverse clientele including retail, corporate, and institutional sectors.

How the Company Makes Money

Arta TechFin Corporation generates revenue through multiple streams primarily focused on the deployment of its fintech solutions. Key revenue sources include transaction fees from its digital payment platforms, subscription fees for its financial analytics software, and licensing fees for its proprietary blockchain technology. Additionally, the company may engage in strategic partnerships with banks and financial institutions to integrate its services, thereby earning revenue through collaborative ventures and shared service agreements. The growth in digital finance and increasing demand for efficient payment solutions also contribute significantly to its earnings, positioning Arta TechFin to capitalize on the expanding fintech market.

Arta TechFin Corporation Limited Financial Statement Overview

Summary

Arta TechFin Corporation Limited is experiencing significant revenue growth, but this is overshadowed by poor profitability and high leverage. The negative equity and high debt levels pose substantial financial risks. While there is some improvement in free cash flow, the overall financial health remains concerning.

Income Statement

The company has shown significant revenue growth of 119.92% in the most recent year, which is a positive sign. However, profitability metrics are concerning, with a negative net profit margin of -74.87% and negative EBIT and EBITDA margins, indicating operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of -2.54, indicating high leverage and potential financial instability. The negative stockholders' equity suggests financial distress, and the return on equity is positive but misleading due to negative equity.

Cash Flow

Cash flow analysis shows improvement with a free cash flow growth rate of 34.49%. However, the operating cash flow is negative, and the operating cash flow to net income ratio is also negative, indicating challenges in generating cash from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	69.22M	69.22M	23.33M	13.32M	48.93M	33.27M
Gross Profit	58.77M	58.77M	-6.13M	7.93M	36.74M	20.32M
EBITDA	-29.79M	-30.11M	-51.08M	-80.24M	-44.05M	-36.08M
Net Income	-47.28M	-51.83M	-62.92M	-89.92M	2.77B	-701.69M
Balance Sheet
Total Assets	101.70M	101.70M	130.88M	117.48M	133.28M	1.42B
Cash, Cash Equivalents and Short-Term Investments	54.52M	54.52M	90.74M	65.37M	69.81M	399.04M
Total Debt	125.38M	125.38M	37.86M	66.68M	47.23M	3.05B
Total Liabilities	151.16M	151.16M	54.05M	83.83M	68.60M	4.39B
Stockholders Equity	-49.36M	-49.36M	76.83M	33.65M	64.69M	-2.97B
Cash Flow
Free Cash Flow	-28.12M	-28.94M	-53.74M	-71.33M	109.32M	-175.74M
Operating Cash Flow	-24.45M	-24.45M	-52.87M	-63.30M	109.82M	-173.44M
Investing Cash Flow	-7.16M	-8.39M	9.75M	-26.57M	-433.91M	-360.00K
Financing Cash Flow	-2.15M	-2.15M	77.38M	76.65M	-7.39M	422.88M

Arta TechFin Corporation Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.82
• 50DMA: Negative
• 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:0279, the sentiment is Negative. The current price of 0.82 is below the 20-day moving average (MA) of 0.85, below the 50-day MA of 0.85, and above the 200-day MA of 0.76, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.59 is Neutral, neither overbought nor oversold. The STOCH value of 21.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0279.

Arta TechFin Corporation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
6058	61 Neutral	HK$1.86B	24.47	2.32%	2.15%	20.05%	16.56%
0888	51 Neutral	HK$130.91M	―	-174.97%	―	-7.34%	-302.50%
0397	48 Neutral	HK$127.79M	―	-14.21%	―	-2.07%	-114.10%
3623	45 Neutral	HK$838.78M	―	-9.25%	―	-66.98%	-115.16%
0279	42 Neutral	HK$1.06B	―	―	―	156.41%	21.56%
3329	31 Underperform	€1.48B	―	-99.49%	―	22.37%	20.18%