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7Road Holdings Limited (HK:0797)
:0797
Hong Kong Market
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7Road Holdings Limited (0797) AI Stock Analysis

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HK:0797

7Road Holdings Limited

(0797)

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Neutral 56 (OpenAI - Gpt-5.6Sol)
Rating:56Neutral
Price Target:
HK$1.00
▲(100.00% Upside)
Action:Reiterated
Date:08/29/26
The score is held back primarily by weak cash flow conversion and a high P/E valuation, despite a sharp 2025 earnings rebound and a conservatively levered balance sheet. Technical signals are mixed, offering limited additional support.
Positive Factors
2025 Revenue Rebound
The sharp 2025 revenue recovery indicates renewed demand and improved business execution after the prior downturn. Sustained growth would expand the operating base and strengthen the company’s ability to absorb fixed costs.
Negative Factors
Negative Cash Conversion
Negative operating and free cash flow despite accounting profit signals weak earnings-to-cash conversion. Unless reversed, this can constrain internally funded investment, increase reliance on balance-sheet resources, and reduce confidence in the durability of reported profits.
Read all positive and negative factors
Positive Factors
Negative Factors
2025 Revenue Rebound
The sharp 2025 revenue recovery indicates renewed demand and improved business execution after the prior downturn. Sustained growth would expand the operating base and strengthen the company’s ability to absorb fixed costs.
Read all positive factors

7Road Holdings Limited (0797) vs. iShares MSCI Hong Kong ETF (EWH)

7Road Holdings Limited Business Overview & Revenue Model

Company Description
Operating as an investment holding company, 7Road Holdings Limited is a prominent player in the global gaming industry, specializing in the development and distribution of both web and mobile games, particularly across the People's Republic of Chi...

7Road Holdings Limited Financial Statement Overview

Summary
Strong 2025 rebound in profitability (revenue +47.9%, net margin ~7.1%, EBIT margin ~24.2%) and a very low-leverage balance sheet (debt-to-equity ~0.7%) support resilience. However, cash flow quality is a major concern: 2025 operating and free cash flow turned deeply negative despite positive net income, and historical free-cash-flow volatility suggests inconsistent cash conversion and sustainability risk.
Income Statement
66
Positive
Balance Sheet
84
Very Positive
Cash Flow
32
Negative
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue521.29M306.40M627.73M540.63M420.54M
Gross Profit369.02M212.28M383.10M261.20M224.47M
EBITDA134.70M51.46M74.13M69.82M218.44M
Net Income37.02M-73.45M-146.46M282.50M94.24M
Balance Sheet
Total Assets1.91B1.80B2.27B2.65B2.01B
Cash, Cash Equivalents and Short-Term Investments330.01M93.63M67.82M200.37M152.18M
Total Debt11.35M23.46M367.93M408.40M89.39M
Total Liabilities193.88M125.01M519.99M745.29M387.12M
Stockholders Equity1.71B1.68B1.75B1.90B1.61B
Cash Flow
Free Cash Flow-209.91M47.34M240.23M63.25M-244.41M
Operating Cash Flow-204.73M56.77M245.40M196.01M175.13M
Investing Cash Flow479.77M33.52M-219.80M-338.33M-369.79M
Financing Cash Flow-20.87M-76.97M-82.50M135.45M-74.71M

7Road Holdings Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.50
Price Trends
50DMA
1.05
Positive
100DMA
0.93
Positive
200DMA
0.78
Positive
Market Momentum
MACD
0.02
Negative
RSI
58.96
Neutral
STOCH
91.88
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0797, the sentiment is Positive. The current price of 0.5 is below the 20-day moving average (MA) of 0.89, below the 50-day MA of 1.05, and below the 200-day MA of 0.78, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 58.96 is Neutral, neither overbought nor oversold. The STOCH value of 91.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0797.

7Road Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
HK$2.39B5.9712.98%17.35%18.51%13.18%
65
Neutral
HK$2.18B5.0817.98%3.40%-26.58%406.66%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
58
Neutral
HK$1.57B20.393.21%5.59%0.99%
57
Neutral
HK$2.23B-1.85-45.89%1.17%3.44%-228.78%
56
Neutral
HK$2.68B38.653.71%2.31%70.60%
38
Underperform
HK$1.45B-12.78-4.78%0.53%-1.05%41.09%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0797
7Road Holdings Limited
1.09
0.54
98.18%
HK:0434
Boyaa Interactive International
3.13
-4.31
-57.94%
HK:9990
Archosaur Games Inc.
1.81
-0.09
-4.74%
HK:2660
Zengame Technology Holding Ltd.
2.31
-0.02
-0.95%
HK:3798
Homeland Interactive Technology Ltd.
1.22
0.24
24.49%
HK:6633
Qingci Games, Inc.
3.15
-0.11
-3.37%

7Road Holdings Limited Corporate Events

7Road Holdings Calls EGM to Renew 10% Share Buyback Mandate
Aug 17, 2026
7Road Holdings Limited has called an extraordinary general meeting for 4 September 2026 in Shenzhen to seek shareholder approval for a new share repurchase mandate. The proposed resolution would allow directors to buy back shares on the Hong Kong ...
7Road Schedules Board Meeting to Approve 2026 Interim Results and Dividend Plan
Aug 11, 2026
7Road Holdings Limited has called a board meeting for 31 August 2026 to review and approve the interim results for the six months ended 30 June 2026. The board will also consider the potential declaration and payment of an interim dividend, a deci...
7Road Signals Strong Interim Profit Growth on Robust Online Game Revenue
Aug 7, 2026
7Road Holdings Limited has issued a positive profit alert, indicating that it expects to report net profit of about RMB52 million for the six months ended 30 June 2026, up from approximately RMB26.1 million a year earlier. The improvement is mainl...
7Road Flags New Connected Transactions After Huatong Becomes Major Shareholder
Jul 31, 2026
7Road Holdings Limited has disclosed that Huatong, through its subsidiaries, has become a substantial shareholder with about 10.94% of its issued shares, turning existing commercial arrangements into continuing connected transactions under Hong Ko...
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.Date of analysis: Aug 29, 2026