Want to see HK:1321 full AI Analyst Report?
China New City Commercial Development Ltd (1321) AI Stock Analysis
China New City Commercial Development Ltd
(HKEX:1321)
The score is driven primarily by a sharply deteriorating financial profile: a 53% revenue collapse, negative gross margin, a net loss of RMB 269 million, and severe cash burn of RMB -1.49 billion in free cash flow against over RMB 5 billion of debt and a debt-to-equity ratio above 1x. These solvency and earnings-quality concerns outweigh the stock's constructive technical setup, where the price sits above all major moving averages with a neutral-to-positive RSI. Valuation provides no offset, as the company is loss-making with a negative P/E and pays no dividend. Overall, the shares carry elevated risk tied to both company-specific financial stress and the broader distress in China's property development sector.
China New City Commercial Development Ltd (1321) vs. iShares MSCI Hong Kong ETF (EWH)
- Market Cap
- HKD 1.33B
- Dividend Yield
- ―
- Average Volume (3M)
- 174.21K
- Price to Earnings (P/E)
- -7.6
- Beta (1Y)
- -0.36
- Revenue Growth
- -50.51%
- EPS Growth
- -262.73%
- Country
- Hong Kong
- Employees
- 942
- Sector
- Real Estate
- Sector Strength
- 65
- Industry
- Real Estate - Development
China New City Commercial Development Ltd Business Overview & Revenue Model
Company Description
China New City Commercial Development Limited serves as an investment holding company, with its core activities encompassing commercial property development, rental operations, and hotel management, both within Mainland China and internationally. The...
China New City Commercial Development Ltd Financial Statement Overview
Summary
Financials are severely distressed. Revenue collapsed ~53% to RMB 728 million in FY2025 from RMB 4.1 billion, gross margin turned negative (-1.9%), and the company swung to a net loss of RMB 269 million after a one-off profitable 2024. Leverage deteriorated sharply, with total debt rising to RMB 5.08 billion and debt-to-equity climbing to 1.12x while equity eroded to RMB 4.52 billion. Most critically, operating cash flow swung to RMB -1.42 billion and free cash flow to RMB -1.49 billion, leaving no internal cash generation to service a heavy debt load. Persistent losses in four of the last six years and extreme revenue lumpiness compound the risk in an already troubled Chinese property development sector.
Income Statement
12Very NegativeBalance Sheet
28NegativeCash Flow
8Very Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 739.80M | 739.70M | 4.10B | 1.30B | 591.78M | 871.07M |
| Gross Profit | 108.22M | 91.07M | 2.06B | 368.10M | 117.37M | 216.50M |
| EBITDA | 4.69M | -25.99M | 1.37B | -225.16M | -105.86M | -53.40M |
| Net Income | -147.94M | -276.19M | 503.91M | -404.14M | -432.52M | -295.14M |
Balance Sheet | ||||||
| Total Assets | 12.54B | 12.96B | 13.39B | 13.53B | 15.18B | 15.50B |
| Cash, Cash Equivalents and Short-Term Investments | 185.89M | 181.69M | 839.04M | 181.19M | 968.25M | 1.60B |
| Total Debt | 5.40B | 5.08B | 3.43B | 3.26B | 4.19B | 4.80B |
| Total Liabilities | 7.87B | 8.38B | 8.04B | 8.69B | 9.87B | 9.77B |
| Stockholders Equity | 4.61B | 4.52B | 5.27B | 4.75B | 5.10B | 5.50B |
Cash Flow | ||||||
| Free Cash Flow | -964.78M | -1.49B | 1.05B | 613.04M | -333.21M | 694.08M |
| Operating Cash Flow | -916.70M | -1.42B | 1.09B | 683.94M | -214.66M | 813.02M |
| Investing Cash Flow | -194.82M | -986.61M | -410.66M | -120.79M | 261.90M | 447.90M |
| Financing Cash Flow | 873.21M | 1.64B | -23.41M | -1.33B | -706.57M | -651.25M |
China New City Commercial Development Ltd Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1321, the sentiment is Negative. The current price of 0.72 is below the 20-day moving average (MA) of 0.73, above the 50-day MA of 0.72, and above the 200-day MA of 0.69, indicating a neutral trend. The MACD of -0.00 indicates Positive momentum. The RSI at 46.43 is Neutral, neither overbought nor oversold. The STOCH value of 74.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1321.
China New City Commercial Development Ltd Peers Comparison
Overall Rating
HK:061849Neutral- HK:132146Neutral
HK:009544Neutral
HK:056341Neutral
HK:123839Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| Sector * | 65Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
| HK:0618 | 49Neutral | HKD 807.54M | 0.39 | 262.91% | ― | -2.43% | ― |
| HK:1321 | 46Neutral | HKD 1.33B | -7.65 | -3.24% | ― | -50.51% | -262.73% |
| HK:0095 | 44Neutral | HKD 1.10B | -0.12 | -81.01% | ― | 293.31% | -29.87% |
| HK:0563 | 41Neutral | HKD 1.15B | -1.30 | -6.95% | ― | -72.43% | -49.43% |
| HK:1238 | 39Underperform | HKD 616.92M | -0.14 | -14.48% | ― | -22.15% | 32.63% |
* Real Estate Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| HK:1321 | China New City Commercial Development Ltd | 0.72 | 0.01 | 1.41% | |
| HK:0095 | LVGEM (China) Real Estate Investment Company Limited | 0.17 | -0.05 | -20.64% | |
| HK:0618 | Peking University Resources Holdings Co. Ltd. | 0.29 | 0.13 | 79.88% | |
| HK:1238 | Powerlong Real Estate Holdings Ltd. | 0.15 | -0.12 | -43.77% | |
| HK:0563 | Shanghai Industrial Urban Development Group Ltd | 0.24 | -0.10 | -29.41% |
China New City Commercial Development Ltd Corporate Events
China New City Group Swings Back to Profit on Property Valuation Gains
China New City Group Limited reported unaudited interim results for the six months ended 30 June 2026, showing stable revenue of RMB366.4 million, roughly flat year-on-year. The group’s total assets decreased slightly to RMB12.54 billion, while...
China New City Signals Sharp Interim Profit Rebound on Property Revaluation Gains
China New City Group Limited has issued a positive profit alert, indicating it expects to post a net profit of about RMB92.7 million for the six months ended 30 June 2026, reversing a net loss of roughly RMB35.5 million a year earlier. The board emph...
China New City Group Sets Board Meeting to Review Interim Results and Dividend
China New City Group Limited is a Cayman Islands-incorporated company listed on the Hong Kong Stock Exchange, operating in the China-focused commercial development and investment sector. It is governed by a board that includes executive, non-executiv...
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: Oct 27, 2026