TravelSky Technology (0696) AI Stock Analysis

• Market Cap: $31.90B
• Dividend Yield: 1.54%
• Average Volume (3M): 5.27M
• Price to Earnings (P/E): 14.2
• Beta (1Y): 1.31
• Revenue Growth: 24.17%
• EPS Growth: 43.01%
• Country: HK
• Employees: 6,722
• Sector: Technology
• Sector Strength: 68
• Industry: Information Technology Services
• EPS (TTM): 0.77
• Shares Outstanding: 932,562,000
• 10 Day Avg. Volume: 3,735,352
• 30 Day Avg. Volume: 5,268,485
• PEG Ratio: 0.33
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: $10.93
• Price Target Upside: 0.26% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

TravelSky Technology scores well due to its strong financial performance, characterized by robust revenue growth, profitability, and efficient cash management. However, the technical analysis reveals a lack of strong momentum, and the valuation indicates fair pricing relative to earnings. The stock's overall score reflects these strengths, tempered by neutral technical signals.

TravelSky Technology Business Overview & Revenue Model

Company Description

TravelSky Technology Limited, together with its subsidiaries, provides information technology solutions for aviation and travel industry in the People's Republic of China. It primarily offers aviation information technology (AIT), distribution information technology, accounting, settlement, and clearing services. The company's AIT services consist of electronic travel distribution services, including inventory control system, computer reservation system, and airport passenger processing system services, as well as other related information technology solutions. It also provides cargo management services, as well as sells and installs related information systems; computer hardware and software development, and data network services; and computer system engineering design and installation services. In addition, the company engages in technology development, support, and transfer services; sales of computers, software, and auxiliary equipment; contracting of computer software and hardware engineering projects; technical consultation and service; system integration; real estate development and sales; self-developed commercial housing contracting; labor service subcontracting; freight management services; and trade financing services. TravelSky Technology Limited was founded in 1979 and is based in Beijing, the People's Republic of China.

How the Company Makes Money

TravelSky Technology generates revenue primarily by providing IT solutions and services to airlines, airports, and travel agencies. Its core revenue streams include fees from electronic travel distribution services, which facilitate ticket sales and reservations for airlines. Additionally, the company earns money from its airport passenger processing systems through service fees for managing passenger check-in and boarding processes. TravelSky also offers air cargo management solutions, contributing to its revenue. The company has established significant partnerships with major Chinese airlines and travel agencies, which bolster its market presence and financial performance.

TravelSky Technology Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
6.98B	5.21B	5.48B	5.49B	8.12B
	Gross Profit
6.33B	2.12B	2.16B	2.40B	4.50B
	EBIT
1.60B	328.84M	525.33M	-62.29M	2.49B
	EBITDA
2.63B	1.77B	1.46B	1.26B	3.49B
	Net Income Common Stockholders
1.40B	627.05M	551.30M	362.80M	2.54B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
10.87B	10.92B	10.35B	7.71B	7.77B
	Total Assets
27.50B	25.24B	24.11B	22.77B	23.65B
	Total Debt
1.11B	300.23M	62.25M	27.35M	152.86M
	Net Debt
-6.26B	-7.28B	-6.40B	-4.43B	-5.12B
	Total Liabilities
6.48B	5.50B	4.88B	4.00B	4.41B
	Stockholders Equity
20.47B	19.23B	18.76B	18.30B	18.78B
Cash Flow		Free Cash Flow
―	1.04B	2.46B	-369.38M	1.32B
	Operating Cash Flow
137.43M	1.34B	2.94B	164.21M	2.11B
	Investing Cash Flow
-796.24M	-142.23M	-796.76M	-311.91M	-761.83M
	Financing Cash Flow
449.45M	-97.55M	-165.57M	-691.12M	-956.89M

TravelSky Technology Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.90
• 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:0696, the sentiment is Positive. The current price of 10.9 is below the 20-day moving average (MA) of 10.91, below the 50-day MA of 11.12, and above the 200-day MA of 10.23, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 49.56 is Neutral, neither overbought nor oversold. The STOCH value of 23.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0696.

TravelSky Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0696	74 Outperform	$31.90B	14.18	9.69%	1.54%	24.17%	43.01%
1050	64 Neutral	HK$1.48B	7.46	20.43%	8.90%	29.30%	-1.21%
Sector *	60 Neutral	$10.94B	10.58	-7.08%	2.98%	7.52%	-12.04%
1055	42 Neutral	HK$95.73B	―	-4.92%	―	7.08%	―

TravelSky Technology Corporate Events

TravelSky Technology Secures New Data Center Contracts with CTCD

TravelSky Technology has announced new agreements with CTCD for leasing data center racks and ancillary services at the Jiaxing Data Center, effective from May 2025 to April 2028. These contracts replace previous agreements and are classified as continuing connected transactions under the Listing Rules, requiring reporting and annual review but exempt from independent shareholders’ approval due to the applicable percentage ratios.

TravelSky Technology Announces Strong 2024 Financial Results and Dividend Policy Adjustment

TravelSky Technology Limited reported a significant financial performance for the year ended December 31, 2024, with a total revenue of approximately RMB8,823.0 million, marking a 26.3% increase from the previous year. The net profit attributable to shareholders rose by 48.3% to RMB2,074.3 million. The company announced a proposed adjustment to its dividend policy, increasing the payout range from 30%-40% to 35%-45% of the net profit. This strategic move, alongside the recommendation of a final cash dividend of RMB0.239 per share, reflects the company’s robust financial health and commitment to enhancing shareholder value.

TravelSky Technology Declares Final Dividend for 2024

TravelSky Technology Limited has announced a final cash dividend of RMB 0.239 per share for the financial year ending December 31, 2024. This announcement reflects the company’s ongoing commitment to returning value to its shareholders, although specific details regarding the payment date and other related information are yet to be disclosed. The dividend declaration could potentially impact the company’s financial standing and shareholder relations positively.

TravelSky Technology Announces Upcoming Board Meeting to Review Annual Results

TravelSky Technology Limited has announced that its board of directors will meet on March 27, 2025, to consider and approve the company’s annual results for the year ending December 31, 2024, and discuss dividend distribution. This meeting is significant as it will provide insights into the company’s financial health and future strategies, potentially impacting stakeholders and market positioning.

TravelSky Technology Projects Strong Profit Growth for 2024

TravelSky Technology Limited has issued a profit warning for the year 2024, expecting a significant increase in net profit of at least 41.4% compared to the previous year. This anticipated growth is largely due to a rise in revenue from its aviation information technology services and system integration services, driven by the resumption and expansion of China’s civil aviation industry and airport construction projects. The company is in the process of finalizing its financial results, which may be subject to adjustments, and advises investors to exercise caution.