SITC International Holdings Co., Ltd. (1308) AI Stock Analysis

• Market Cap: HK$63.58B
• Dividend Yield: 11.89%
• Average Volume (3M): 4.58M
• Price to Earnings (P/E): 7.8
• Beta (1Y): 0.43
• Revenue Growth: 25.44%
• EPS Growth: 92.86%
• Country: HK
• Employees: 2,219
• Sector: Industrials
• Sector Strength: 91
• Industry: Marine Shipping
• EPS (TTM): 1.94
• Shares Outstanding: 2,699,988,000
• 10 Day Avg. Volume: 3,818,065
• 30 Day Avg. Volume: 4,577,067
• PEG Ratio: 0.05
• Price to Book (P/B): 2.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.90
• Enterprise Value/Market Cap: 0.09
• Enterprise Value/Revenue: 0.49
• Enterprise Value/Gross Profit: 4.75
• Enterprise Value/Ebitda: 1.60
• 1Y Price Target: HK$26.98
• Price Target Upside: 14.55% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 80 Outperform
• Price Target: HK$29.00 ▲(23.14%Upside)

SITC International scores highly due to its strong financial performance, underpinned by significant revenue growth and profitability, robust technical indicators, and attractive valuation metrics. The stock's current technical overbought conditions and lack of earnings call data slightly temper the overall score.

SITC International Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

SITC International Holdings Co., Ltd. (1308) is a leading logistics and transportation company that operates in the Asia-Pacific region. The company provides comprehensive shipping and logistics services, including container shipping, freight forwarding, and warehousing solutions. SITC International is known for its extensive network covering major ports and cities, enabling efficient and reliable transport of goods across its service areas.

How the Company Makes Money

SITC International Holdings Co., Ltd. makes money primarily through its integrated logistics services, which include container shipping and freight forwarding. The company's revenue model is based on charging customers for the transportation of goods via its shipping network, which spans key trade routes in the Asia-Pacific region. Additionally, SITC earns income from its value-added services such as warehousing and distribution, which support the efficient movement and storage of goods. Partnerships with local and international logistics providers and a strong focus on operational efficiency and customer service also contribute significantly to its earnings.

SITC International Holdings Co., Ltd. Financial Statement Overview

Summary

SITC International demonstrates strong financial performance with significant revenue growth, high profitability margins, and robust cash flow generation. The balance sheet reflects low leverage and a solid equity base, despite minor fluctuations, indicating a well-positioned company in the transportation industry.

Income Statement

SITC International has shown significant revenue growth from $1.68 billion in 2020 to $3.06 billion in 2024, with a notable Gross Profit Margin of 37.37% in 2024. The Net Profit Margin is impressive at 33.64% for the same year, indicating strong profitability. EBIT and EBITDA margins are robust at 34.93% and 40.32%, respectively. The company has demonstrated consistent revenue growth and high profitability margins, although there was a dip in revenue in 2023 before recovering in 2024.

Balance Sheet

The company's financial health is solid, with a Debt-to-Equity Ratio of 0.16 in 2024, showing low leverage. The Return on Equity is strong at 42.77%, reflecting efficient use of equity to generate profits. The Equity Ratio stands at 75.21%, indicating a high proportion of assets financed by equity, which signifies stability. Overall, the balance sheet is strong, but there was a decline in total assets and stockholders' equity in 2023 before improvement in 2024.

Cash Flow

SITC International exhibits a strong cash flow position with a Free Cash Flow of $897 million in 2024, growing significantly from $314 million in 2020. The Operating Cash Flow to Net Income Ratio is 1.13, suggesting healthy cash generation relative to net income. Free Cash Flow to Net Income Ratio is 0.87 in 2024, indicating substantial free cash flow relative to profits. Cash flow generation is robust, with consistent growth and efficient cash utilization.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.06B	2.43B	4.11B	3.01B	1.69B
Gross Profit	1.14B	623.03M	1.98B	1.32B	445.03M
EBITDA	1.23B	730.93M	2.14B	1.33B	494.43M
Net Income	1.03B	531.39M	1.94B	1.16B	351.62M
Balance Sheet
Total Assets	3.20B	2.65B	3.08B	2.72B	2.04B
Cash, Cash Equivalents and Short-Term Investments	745.18M	431.10M	997.11M	951.59M	535.56M
Total Debt	388.82M	370.70M	516.04M	543.87M	578.87M
Total Liabilities	776.57M	721.40M	917.85M	1.20B	845.45M
Stockholders Equity	2.40B	1.91B	2.15B	1.50B	1.18B
Cash Flow
Free Cash Flow	897.31M	363.06M	1.51B	1.15B	314.28M
Operating Cash Flow	1.16B	672.21M	2.00B	1.34B	501.39M
Investing Cash Flow	-509.55M	-149.19M	-429.19M	53.82M	-323.71M
Financing Cash Flow	-633.54M	-944.61M	-1.72B	-754.21M	-193.44M

SITC International Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 23.55
• 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:1308, the sentiment is Neutral. The current price of 23.55 is below the 20-day moving average (MA) of 25.03, below the 50-day MA of 24.12, and above the 200-day MA of 19.98, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 41.20 is Neutral, neither overbought nor oversold. The STOCH value of 23.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1308.

SITC International Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1919	84 Outperform	$249.41B	4.10	24.28%	16.19%	30.58%	―
6198	83 Outperform	HK$59.63B	7.22	12.46%	6.77%	5.80%	5.59%
0316	81 Outperform	$88.29B	4.39	21.08%	15.48%	27.79%	87.52%
1308	80 Outperform	HK$63.58B	7.76	46.88%	11.89%	25.44%	92.86%
0144	74 Outperform	$63.31B	7.99	7.67%	6.63%	3.14%	23.12%
1199	69 Neutral	$21.11B	7.80	5.64%	5.21%	5.93%	-3.64%
Sector *	58 Neutral	HK$14.16B	4.43	-3.01%	7.12%	3.67%	-54.16%

SITC International Holdings Co., Ltd. Corporate Events

SITC International Enhances Governance with New Nomination Committee

SITC International Holdings Co., Ltd. has established a nomination committee to oversee the appointment of directors, ensuring a majority of independent non-executive directors and gender diversity among its members. This move is aimed at enhancing corporate governance and transparency within the company, potentially strengthening its position in the industry by aligning with best practices and improving stakeholder confidence.

The most recent analyst rating on (HK:1308) stock is a Hold with a HK$25.00 price target. To see the full list of analyst forecasts on SITC International Holdings Co., Ltd. stock, see the HK:1308 Stock Forecast page.

SITC International Approves Key Resolutions at AGM

SITC International Holdings Co., Ltd. announced the successful passage of all proposed resolutions during its Annual General Meeting held on April 29, 2025. Key resolutions included the approval of the audited financial statements for 2024, the declaration of a final dividend, and the re-election of several directors. The meeting also authorized the board to fix directors’ remuneration and re-appointed Ernst & Young as auditors. These decisions are expected to strengthen the company’s governance and financial strategies, potentially enhancing shareholder value.

SITC International Grants 14 Million Share Awards to Boost Employee Engagement

SITC International Holdings Co., Ltd. announced the grant of 14 million share awards to 687 eligible participants under its Share Scheme, with the aim of incentivizing and aligning the interests of its employees with the company’s long-term growth objectives. The share awards, which will vest on April 29, 2028, are designed to motivate and retain key contributors to the company’s success, enhancing productivity and performance without imposing additional performance targets.

SITC International Reports Strong Q1 2025 Revenue Growth

SITC International Holdings Co., Ltd. reported a significant increase in revenue for the first quarter of 2025, with a 38.6% rise to approximately US$760.5 million, driven by higher average freight rates. The company’s container shipping volume also grew by 6.8% compared to the previous year, reflecting strong operational performance and positioning in the shipping industry.

SITC International Expands Fleet with New Vessel Construction

SITC International Holdings Co., Ltd. has announced the exercise of options for the construction of two additional container vessels, with a total investment of approximately US$57.96 million. This transaction is classified as discloseable under Hong Kong’s Listing Rules due to its size and is expected to enhance the company’s operational capacity by expanding its fleet, potentially strengthening its market position and benefiting stakeholders.