iDreamSky Technology Holdings Limited (1119) AI Stock Analysis

• Market Cap: €1.52B
• Dividend Yield: N/A
• Average Volume (3M): 10.74M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.15
• Revenue Growth: -22.86%
• EPS Growth: 8.17%
• Country: HK
• Employees: 852
• Sector: Communication Services
• Sector Strength: 85
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.35
• Shares Outstanding: 1,790,103,100
• 10 Day Avg. Volume: 14,261,131
• 30 Day Avg. Volume: 10,741,603
• PEG Ratio: N/A
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.52
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 41 Neutral
• Price Target: ―

iDreamSky Technology Holdings Limited faces significant financial difficulties, primarily due to declining revenues, negative profit margins, and cash flow constraints. The technical indicators reinforce this negative outlook with signs of bearish momentum. The valuation metrics, including a negative P/E ratio, underscore the challenges the company is facing in returning to profitability. Overall, the stock is currently not attractive for investment, given the combination of financial instability and weak market sentiment.

iDreamSky Technology Holdings Limited Business Overview & Revenue Model

Company Description

iDreamSky Technology Holdings Limited (1119) is a leading digital entertainment company based in China, primarily engaged in the operation and development of mobile games. The company collaborates with renowned game developers to distribute and manage a diverse portfolio of games across various genres and platforms, catering to a broad audience. It also explores other entertainment-related services to enhance user engagement and expand its market presence.

How the Company Makes Money

iDreamSky Technology Holdings Limited generates revenue primarily through the distribution and operation of mobile games. The company secures licensing agreements with international game developers, allowing it to localize and publish popular games in the Chinese market. Revenue is earned through a combination of in-game purchases, advertising, and collaborations with other digital platforms. The company also forms strategic partnerships with technology and entertainment firms to extend its service offerings and enhance monetization opportunities, thereby diversifying its income streams.

iDreamSky Technology Holdings Limited Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
2.47B	1.92B	2.73B	2.64B	3.21B	2.79B
	Gross Profit
335.08M	673.46M	421.20M	1.10B	1.34B	1.23B
	EBIT
-1.18B	-175.29M	-1.49B	51.15M	292.15M	457.68M
	EBITDA
-1.05B	-21.59M	-2.13B	251.24M	-225.67M	588.28M
	Net Income Common Stockholders
-2.25B	-556.35M	-2.49B	-157.48M	-441.57M	352.23M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.21B	263.57M	216.38M	788.76M	841.44M	647.29M
	Total Assets
5.62B	3.71B	4.32B	6.61B	6.75B	6.09B
	Total Debt
1.11B	1.23B	1.62B	1.83B	2.15B	1.32B
	Net Debt
-7.48M	1.04B	1.53B	1.12B	1.42B	786.62M
	Total Liabilities
2.44B	1.96B	2.53B	2.40B	3.04B	2.14B
	Stockholders Equity
3.13B	1.65B	1.62B	3.94B	3.45B	3.56B
Cash Flow		Free Cash Flow
298.74M	123.10M	62.83M	113.63M	368.77M	336.35M
	Operating Cash Flow
337.18M	252.96M	93.92M	153.77M	384.74M	350.80M
	Investing Cash Flow
-61.47M	-137.93M	-321.69M	-274.75M	-1.07B	-1.15B
	Financing Cash Flow
-274.78M	-18.11M	-406.16M	118.98M	911.90M	197.88M

iDreamSky Technology Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.85
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1119, the sentiment is Positive. The current price of 0.85 is above the 20-day moving average (MA) of 0.75, above the 50-day MA of 0.81, and below the 200-day MA of 1.70, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 60.73 is Neutral, neither overbought nor oversold. The STOCH value of 76.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1119.

iDreamSky Technology Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2020	81 Outperform	$259.84B	15.49	28.11%	2.61%	11.51%	47.88%
1810	80 Outperform	$1.35T	39.56	14.98%	―	38.46%	72.44%
9992	67 Neutral	€362.06B	106.71	33.41%	0.35%	103.44%	186.51%
2880	67 Neutral	$34.19B	16.06	2.45%	2.95%	-13.59%	-26.46%
2400	63 Neutral	HK$20.61B	22.98	38.63%	―	44.92%	―
Sector *	61 Neutral	$14.56B	5.82	-4.02%	6.41%	2.72%	-31.67%
1119	41 Neutral	€1.52B	―	-34.71%	―	-22.86%	8.17%

iDreamSky Technology Holdings Limited Corporate Events

iDreamSky Adjusts Conversion Price for Convertible Bonds

iDreamSky Technology Holdings Limited has announced an adjustment to the conversion price of its HK$386 million 5.00% guaranteed convertible bonds due 2028. The adjustment, effective as of July 31, 2024, changes the conversion price from HK$3.64 to HK$3.58 per share, following the issuance of placing shares at HK$2.15 each. This adjustment increases the maximum number of shares issuable upon full conversion of the bonds from 106,043,956 to 107,821,229, potentially impacting the company’s market positioning and shareholder value.

iDreamSky Reports 2024 Financial Results Amid Strategic Game Development Focus

iDreamSky Technology Holdings Limited announced its annual results for 2024, reporting a decline in revenues and gross profit compared to the previous year. Despite financial losses, the company emphasized its strategic focus on game publishing and self-developed games, achieving notable success with titles like ‘War Robots’ and ‘Shop Titans.’ The company also highlighted its efforts in AI technology to improve gaming experiences and its successful partnerships and cross-industry collaborations, which contributed to the growth of its principal business.

iDreamSky Announces Executive Resignation and Strategic Focus on Overseas Expansion

iDreamSky Technology Holdings Limited announced the resignation of Mr. Jeffrey Lyndon Ko from his roles as an executive director, a member of the Strategy and Remuneration and Appraisal Committees, and the president of the company, effective March 27, 2025. Mr. Ko will continue to contribute to the company by focusing on overseas business expansion, indicating a strategic shift towards international markets. The board expressed gratitude for his contributions, and the announcement included an updated list of directors and their roles.

iDreamSky Technology to Announce 2024 Financial Results

iDreamSky Technology Holdings Limited has announced that its board of directors will meet on March 27, 2025, to consider and approve the company’s final results for the year ending December 31, 2024, and to discuss the potential 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.

iDreamSky Technology Grants 6.2 Million Share Options to Employees

iDreamSky Technology Holdings Limited announced the grant of 6,245,000 share options to 89 employees under its 2023 New Share Option Scheme. The exercise price is set at HKD1.65 per share, slightly rounded from HKD1.654, reflecting the average closing price for the five days prior to the grant date. This initiative is likely aimed at incentivizing employees and aligning their interests with the company’s growth, potentially impacting the company’s operational momentum and market positioning positively.