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Goodbaby International Holdings Ltd. (HK:1086)
:1086

Goodbaby International Holdings (1086) AI Stock Analysis

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HK

Goodbaby International Holdings

(OTC:1086)

68Neutral
Goodbaby International Holdings has a stable financial performance with strong gross and net profit margins, though cash flow challenges are a concern. The technical indicators suggest mixed short-term momentum but longer-term support. The stock appears undervalued based on its low P/E ratio. Absence of earnings call details or corporate events leaves the focus on financial and technical analysis.

Goodbaby International Holdings (1086) vs. S&P 500 (SPY)

Goodbaby International Holdings Business Overview & Revenue Model

Company DescriptionGoodbaby International Holdings Limited is a leading global provider of juvenile products. The company specializes in the design, research, development, manufacture, marketing, and sale of products targeting infants and children. Its extensive product portfolio includes strollers, car seats, and other durable and innovative baby products. Goodbaby operates across a wide array of sectors, leveraging its strong expertise in product development and global distribution networks to reach consumers worldwide.
How the Company Makes MoneyGoodbaby International Holdings generates revenue primarily through the sale of its diverse range of juvenile products such as strollers, car seats, and other related items. The company utilizes a multi-channel distribution strategy which includes retail partnerships, e-commerce platforms, and direct sales. It maintains significant collaborations with leading retailers and distributors globally, enhancing its market presence and accessibility. Additionally, Goodbaby invests in continuous innovation and design, creating high-quality products that meet the evolving needs of parents and caregivers, which in turn drives consumer demand and increases sales. Strategic acquisitions and global brand positioning also contribute to its revenue streams, allowing it to capitalize on emerging market trends and expand its portfolio.

Goodbaby International Holdings Financial Statement Overview

Summary
Goodbaby International Holdings showcases a stable financial performance with strong gross margins and improved net profit margins. While the balance sheet reflects a healthy equity base and moderate leverage, the declining free cash flow growth signals potential cash flow management issues. The company should focus on enhancing operational efficiency and revenue growth to drive future performance.
Income Statement
70
Positive
The company has demonstrated a mixed performance. The Gross Profit Margin for 2024 is robust at approximately 51.4%, indicating efficient cost management. The Net Profit Margin improved significantly to 4.1% from the previous year's 2.6%, showing enhanced profitability. However, revenue growth was modest at 10.6% year-over-year, suggesting room for sales expansion. The EBIT Margin decreased from 3.1% to 0.6%, reflecting challenges in operational efficiency, while the EBITDA Margin remained strong at 9.2%.
Balance Sheet
75
Positive
The company's financial leverage is moderate with a Debt-to-Equity Ratio of 0.30, indicating a balanced capital structure. The Return on Equity (ROE) increased to 6.1% from 3.6%, reflecting improved profitability. The Equity Ratio remained stable at 55.6%, showcasing a strong equity base. Despite the positive indicators, the decrease in total assets highlights potential risks in asset management.
Cash Flow
65
Positive
The Free Cash Flow Growth Rate dropped significantly to -37.5%, indicating challenges in cash generation. However, the Operating Cash Flow to Net Income Ratio is robust at 2.6, demonstrating strong cash flow relative to earnings. The Free Cash Flow to Net Income Ratio stands at 1.6, reflecting adequate conversion of income to cash. The decline in free cash flow growth is a concern, needing attention.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
8.77B7.93B8.29B9.69B8.30B
Gross Profit
4.51B3.97B3.36B4.00B3.67B
EBIT
492.05M248.86M94.28M197.68M412.41M
EBITDA
806.20M907.04M625.88M701.49M901.53M
Net Income Common Stockholders
355.85M203.50M33.49M123.82M256.57M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.13B1.59B954.51M1.11B1.70B
Total Assets
10.40B11.37B11.71B13.17B11.87B
Total Debt
1.72B3.05B3.65B3.82B2.99B
Net Debt
616.15M1.46B2.73B2.73B1.30B
Total Liabilities
4.59B5.75B6.16B7.07B6.09B
Stockholders Equity
5.79B5.60B5.52B6.06B5.75B
Cash FlowFree Cash Flow
580.90M930.04M191.59M-46.66M776.43M
Operating Cash Flow
926.96M1.22B551.52M312.65M1.05B
Investing Cash Flow
0.00-261.22M-318.47M-332.79M-252.31M
Financing Cash Flow
-570.79M-897.18M-345.65M-585.04M-219.95M

Goodbaby International Holdings Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.30
Price Trends
50DMA
1.19
Positive
100DMA
1.08
Positive
200DMA
0.91
Positive
Market Momentum
MACD
0.05
Negative
RSI
62.10
Neutral
STOCH
75.01
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1086, the sentiment is Positive. The current price of 1.3 is above the 20-day moving average (MA) of 1.16, above the 50-day MA of 1.19, and above the 200-day MA of 0.91, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 62.10 is Neutral, neither overbought nor oversold. The STOCH value of 75.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1086.

Goodbaby International Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
$2.30B6.336.23%10.58%74.84%
68
Neutral
$72.93B645.670.21%2.86%-11.90%-97.93%
63
Neutral
HK$3.51B13.714.14%2.54%-1.56%30.87%
61
Neutral
$6.98B11.292.93%3.90%2.60%-21.72%
59
Neutral
$36.86B56.291.56%6.67%-22.88%-89.15%
46
Neutral
HK$8.13B-13.67%0.48%-3.39%-868.11%
45
Neutral
$626.32M-20.68%-14.44%-14025.00%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1086
Goodbaby International Holdings
1.30
0.67
106.35%
HK:1717
Ausnutria Dairy Corp. Ltd.
1.96
-0.35
-15.15%
HK:1117
China Modern Dairy Holdings Ltd.
1.01
0.28
38.36%
HK:2319
China Mengniu Dairy Co
18.34
2.22
13.77%
HK:6865
Flat Glass Group Co
8.99
-6.45
-41.79%
HK:1680
Macau Legend Development
0.11
-0.10
-48.79%

Goodbaby International Holdings Corporate Events

Goodbaby International Announces AGM and Strategic Resolutions
Apr 16, 2025

Goodbaby International Holdings Limited has announced its upcoming Annual General Meeting, scheduled for May 27, 2025, in Shanghai. Key agenda items include the approval of audited financial statements, re-election of directors, declaration of a final dividend of HK$0.07 per share, and the re-appointment of Ernst & Young as auditors. Additionally, the company seeks shareholder approval for mandates to buy back shares and issue additional shares, reflecting strategic moves to enhance shareholder value and operational flexibility.

Goodbaby International Achieves Strong Financial Growth in 2024
Mar 26, 2025

Goodbaby International Holdings Limited reported a strong financial performance for the year ended December 31, 2024, with a 10.6% increase in revenue to HK$8,765.9 million and a 70.8% rise in profit to HK$356.2 million. The company’s significant profit growth and improved earnings per share highlight its successful operational strategies and positive market positioning, which could strengthen its competitive edge and benefit stakeholders.

Goodbaby International Declares Final Dividend for 2024
Mar 26, 2025

Goodbaby International Holdings Limited has announced a final ordinary cash dividend of HKD 0.07 per share for the financial year ending December 31, 2024. The dividend will be paid on June 23, 2025, following shareholder approval on May 27, 2025. This announcement reflects the company’s commitment to returning value to its shareholders and may positively influence investor sentiment.

Goodbaby International Strengthens Governance with New Appointments
Mar 26, 2025

Goodbaby International Holdings Limited has announced several key changes to its board and committees, effective from March 26, 2025. The company appointed Mr. Wong Shun Tak as an independent non-executive director and chairperson of the audit committee, and established an Environmental, Social, and Governance (ESG) committee. These changes are expected to enhance the company’s governance structure and focus on sustainable practices, potentially impacting its market positioning and stakeholder relations positively.

Goodbaby International Announces Board Composition and Committee Roles
Mar 26, 2025

Goodbaby International Holdings Limited has announced the composition of its board of directors and the roles and functions of each member. The board consists of executive, non-executive, and independent non-executive directors, with various members serving on four key committees: Audit, Remuneration, Nomination, and Environmental, Social and Governance. This announcement highlights the company’s commitment to structured governance and oversight, which is crucial for maintaining investor confidence and ensuring strategic alignment with industry standards.

Goodbaby International Establishes ESG Committee to Enhance Governance
Mar 26, 2025

Goodbaby International Holdings Limited has established an Environmental, Social, and Governance (ESG) Committee to assist its board of directors in overseeing ESG issues within the group. The committee will consist of at least three directors, including at least one independent non-executive director, and will meet at least once a year to ensure the company’s ESG responsibilities are met. This move is aimed at strengthening the company’s commitment to sustainable practices and enhancing its governance framework.

Goodbaby International Proposes New Share Option Scheme for 2025
Mar 26, 2025

Goodbaby International Holdings Limited, a company incorporated in the Cayman Islands, has announced the proposed adoption of a new 2025 Share Option Scheme, which will replace the existing 2020 Share Option Scheme. This move follows amendments to Chapter 17 of the Listing Rules effective from January 2023. The new scheme aims to incentivize and reward eligible participants, including employees and service providers, by aligning their interests with the company and encouraging long-term growth. The adoption of the 2025 scheme is subject to shareholder approval and regulatory permissions.

Goodbaby International Announces Change of Hong Kong Business Address
Mar 3, 2025

Goodbaby International Holdings Limited has announced a change in the address of its principal place of business in Hong Kong, effective from March 3, 2025. This relocation to Stelux House in Kowloon may reflect strategic operational adjustments, potentially impacting its logistical and administrative functions.

Goodbaby International Projects Significant Profit Growth for 2024
Feb 10, 2025

Goodbaby International Holdings Limited has announced an expected increase in net profit for the year ending December 2024, with projections ranging from HK$325 million to HK$375 million, compared to HK$208.5 million the previous year. This anticipated growth is attributed to increased revenue, improved gross margins, and favorable brand revenue mix, although offset by rising sea freight costs and foreign exchange fluctuations. The figures are based on unaudited management accounts, and actual results may vary, advising investors to exercise caution.

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.