Meitu (1357) AI Stock Analysis

• Market Cap: $42.37B
• Dividend Yield: 2.25%
• Average Volume (3M): 131.06M
• Price to Earnings (P/E): 43.4
• Beta (1Y): 1.47
• Revenue Growth: 15.57%
• EPS Growth: 94.36%
• Country: HK
• Employees: 2,416
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): 0.09
• Shares Outstanding: 4,566,179,000
• 10 Day Avg. Volume: 119,030,869
• 30 Day Avg. Volume: 131,056,387
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.91
• Enterprise Value/Revenue: 11.48
• Enterprise Value/Gross Profit: 16.72
• Enterprise Value/Ebitda: 65.94
• 1Y Price Target: $13.84
• Price Target Upside: 49.18% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 66 Neutral
• Price Target: HK$10.00 ▲(7.76% Upside)

Meitu's strong financial performance is the primary driver of its stock score, supported by robust revenue growth and profitability. However, the stock's technical indicators suggest weak momentum, and its high P/E ratio indicates a potentially overvalued position, which tempers the overall score.

Meitu Business Overview & Revenue Model

Company Description

Meitu, Inc., an investment holding company, operates as an internet company in the People's Republic of China and internationally. It offers a portfolio of photo and community apps, including the Meitu app, BeautyCam, BeautyPlus, Meipai, MeituEve, Airbrush, MeituGenius, and others. The company also provides online advertising, VIP subscription and image software as a service, internet value-added, influencer marketing, advertising agency, and other services. In addition, it offers information technology and online recruitment services; and develops and operates apps. Further, the company is involved in the smart hardware business. Meitu, Inc. was founded in 2008 and is headquartered in Xiamen, the People's Republic of China.

How the Company Makes Money

Meitu generates revenue through a combination of advertising, premium subscriptions, and e-commerce. Its primary revenue stream comes from digital advertising on its platforms, where brands and marketers leverage Meitu's large user base for targeted advertising campaigns. Additionally, Meitu offers premium features and services within its apps, which users can access through subscription models, contributing to a steady stream of recurring income. The company also capitalizes on its extensive user base by engaging in e-commerce activities, such as selling beauty products and accessories directly through its apps. Significant partnerships with technology and beauty brands further bolster Meitu's earnings, enabling the company to expand its market reach and enhance its product offerings.

Meitu Financial Statement Overview

Summary

Meitu exhibits strong financial performance with impressive revenue growth, high profitability margins, and a robust balance sheet. The low debt-to-equity ratio indicates financial stability, and the company maintains effective cash flow generation, supporting strategic initiatives.

Income Statement

The company has shown impressive revenue growth with a consistent upward trajectory over the years, achieving a 24% increase from 2023 to 2024. The gross profit margin is strong at approximately 68.7%, indicating effective cost management. Additionally, the net profit margin has increased significantly to 24.1% in 2024, reflecting improved profitability. EBIT and EBITDA margins have also improved, showcasing enhanced operational efficiency.

Balance Sheet

The balance sheet shows a healthy equity position with a debt-to-equity ratio of 0.06, indicating low leverage and financial stability. Return on Equity (ROE) has improved to 16% in 2024, demonstrating effective utilization of equity to generate profits. The equity ratio stands at a solid 71.3%, underscoring strong financial health and low reliance on debt.

Cash Flow

Operating cash flow has shown robust growth, with the operating cash flow to net income ratio at 0.93, indicating strong cash generation relative to net income. Free cash flow has significantly increased, reflecting effective cash management and investment strategies. However, the free cash flow to net income ratio is slightly below 1, suggesting room for improvement in converting income into cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.34B	2.70B	2.09B	1.67B	1.19B
Gross Profit	2.29B	1.66B	1.19B	1.13B	793.87M
EBITDA	581.69M	320.01M	-47.03M	73.66M	-47.66M
Net Income	805.18M	378.29M	94.14M	-44.51M	-40.97M
Balance Sheet
Total Assets	7.05B	5.77B	5.00B	4.75B	4.51B
Cash, Cash Equivalents and Short-Term Investments	2.96B	1.31B	1.34B	1.23B	2.03B
Total Debt	318.35M	90.28M	38.15M	48.54M	33.78M
Total Liabilities	2.01B	1.65B	1.29B	1.23B	939.33M
Stockholders Equity	5.03B	4.11B	3.77B	3.52B	3.55B
Cash Flow
Free Cash Flow	699.48M	356.82M	183.58M	-60.98M	-262.35M
Operating Cash Flow	745.81M	413.23M	233.99M	-26.32M	89.21M
Investing Cash Flow	7.17M	-644.63M	-16.77M	-330.42M	273.44M
Financing Cash Flow	-104.07M	-81.16M	-37.03M	-51.24M	-43.47M

Meitu Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.28
• 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:1357, the sentiment is Negative. The current price of 9.28 is below the 20-day moving average (MA) of 9.96, below the 50-day MA of 10.41, and above the 200-day MA of 6.51, indicating a neutral trend. The MACD of -0.31 indicates Positive momentum. The RSI at 42.62 is Neutral, neither overbought nor oversold. The STOCH value of 55.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1357.

Meitu Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1024	79 Outperform	327.38B	18.64	24.73%	―	10.72%	17.05%
9888	77 Outperform	361.65B	12.40	10.13%	―	-1.69%	42.04%
9898	71 Outperform	23.84B	8.88	8.64%	6.59%	0.99%	14.41%
1357	66 Neutral	$42.37B	43.45	19.44%	2.25%	15.57%	94.36%
2390	65 Neutral	3.57B	22.35	-4.15%	―	-22.45%	0.00%
1896	56 Neutral	9.95B	121.25	2.01%	3.74%	-7.61%	-90.51%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Meitu Corporate Events

Meitu, Inc. Announces EGM Results and Adjournment

Meitu, Inc. announced the results of its Extraordinary General Meeting (EGM) held on September 10, 2025, where the shareholders approved a resolution to declare and pay an interim dividend of HK$0.045 per ordinary share. The meeting also saw the adjournment of a second resolution regarding amendments to the Articles of Association, as the company seeks further feedback from shareholders before proceeding. This decision reflects Meitu’s responsiveness to shareholder input and its commitment to aligning corporate governance with stakeholder interests.

The most recent analyst rating on (HK:1357) stock is a Hold with a HK$11.00 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.

Meitu Announces EGM to Approve Dividend and New Articles of Association

Meitu, Inc., a company incorporated in the Cayman Islands and operating in Hong Kong, has announced an extraordinary general meeting (EGM) to be held on September 10, 2025. The meeting will address two main issues: the approval of an interim dividend of HK$0.045 per share and the adoption of new articles of association. These changes could impact the company’s governance structure and shareholder returns.

The most recent analyst rating on (HK:1357) stock is a Buy with a HK$13.50 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.

Meitu CEO Increases Stake, Signals Confidence in Future

Meitu, Inc. announced that its Founder, Chairman, and CEO, Mr. Wu Zeyuan, has increased his shareholding in the company by purchasing 700,000 shares at an average price of HK$10.00 per share. This move raises Mr. Wu’s total interest in the company to 12.89% of the issued share capital. Mr. Wu’s continued investment reflects his confidence in the company’s future business prospects, suggesting potential positive implications for stakeholders.

The most recent analyst rating on (HK:1357) stock is a Buy with a HK$13.50 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.

Meitu Reports Strong Interim Results with AI-Driven Growth

Meitu, Inc. announced its interim results for the six months ending June 30, 2025, highlighting significant growth in monthly active users and paying subscribers. The launch of their AI design agent, RoboNeo, has bolstered their productivity tools segment, leading to a 90% YoY growth in markets outside Mainland China. The company’s revenue increased by 12.3% YoY, with a notable 45.2% rise in their photo, video, and design products segment. This growth has improved their gross margin and net profit, indicating a strong operational performance and enhanced market positioning.

The most recent analyst rating on (HK:1357) stock is a Buy with a HK$5.10 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.

Meitu, Inc. Announces Strong Profit Growth for First Half of 2025

Meitu, Inc. has announced a positive profit alert, expecting a significant year-over-year growth in adjusted net profit for the first half of 2025, driven by rapid revenue growth in its core business. The increase in paying subscribers and high gross profit margins have expanded the company’s profitability, despite rising operating expenses. The actual interim results, yet to be finalized, may differ from the preliminary figures, and stakeholders are advised to exercise caution.

The most recent analyst rating on (HK:1357) stock is a Buy with a HK$5.10 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.

Meitu, Inc. Grants Over 1.2 Million Share Awards to Employees

Meitu, Inc. has announced the grant of 1,209,702 share awards under its Share Award Scheme, representing approximately 0.03% of the total shares in issue. This initiative aims to align the interests of employees with the company’s growth and development, recognizing their contributions and helping to attract and retain talent. The share awards will vest over a period of 24 months, with no performance targets set for the grantees. This move is expected to support Meitu’s continuous operations and development, enhancing its position in the technology industry.

The most recent analyst rating on (HK:1357) stock is a Buy with a HK$5.10 price target. To see the full list of analyst forecasts on Meitu stock, see the HK:1357 Stock Forecast page.