tiprankstipranks
Sinomax Group Ltd. (HK:1418)
:1418
Hong Kong Market
Want to see HK:1418 full AI Analyst Report?

Sinomax Group Ltd. (1418) AI Stock Analysis

0 Followers

Top Page

HK:1418

Sinomax Group Ltd.

(1418)

Select Model
Select Model
Select Model
Neutral 55 (OpenAI - Gpt-5.6Sol)
Rating:55Neutral
Price Target:
HK$0.12
▼(-46.52% Downside)
Action:Reiterated
Date:09/08/26
The score is held back primarily by weakening financial quality (margin compression, lower ROE, higher leverage, and weaker cash conversion) and bearish technicals (below major moving averages with negative MACD). Valuation is a notable positive with a low P/E and high dividend yield, partially offsetting the fundamental and trend risks.
Positive Factors
Strong 2025 Revenue Rebound
The sharp 2025 revenue rebound demonstrates that Sinomax retains the ability to restore sales growth after weaker periods. Continued demand across foam materials and finished home-comfort products could support better capacity utilization and provide a foundation for earnings recovery over the next several quarters.
Negative Factors
Severe Margin Compression
The substantial decline in net margin leaves Sinomax with a limited earnings buffer and makes results more sensitive to cost and pricing pressure. Persistently thin profitability could restrict reinvestment, weaken resilience during demand fluctuations, and make future earnings recovery harder to sustain.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong 2025 Revenue Rebound
The sharp 2025 revenue rebound demonstrates that Sinomax retains the ability to restore sales growth after weaker periods. Continued demand across foam materials and finished home-comfort products could support better capacity utilization and provide a foundation for earnings recovery over the next several quarters.
Read all positive factors

Sinomax Group Ltd. (1418) vs. iShares MSCI Hong Kong ETF (EWH)

Sinomax Group Ltd. Business Overview & Revenue Model

Company Description
Sinomax Group Limited functions as an investment holding company, primarily engaged in the manufacturing and distribution of health and household goods, as well as polyurethane foam. The company offers a diverse range of products such as viscoelas...
How the Company Makes Money
Sinomax makes money primarily by manufacturing and selling (1) foam materials and (2) foam-based finished products. A key revenue stream comes from supplying PU foam (and related foam components) to business customers that incorporate these materi...

Sinomax Group Ltd. Financial Statement Overview

Summary
Revenue rebounded strongly in 2025 (~18% YoY), but profitability and earnings quality weakened: net margin fell to ~1.3% (from ~3.4%), ROE dropped to ~5.8% (from ~14.2%), leverage rose (debt-to-equity ~1.03 vs ~0.76), and cash conversion softened (FCF to net income ~0.38 vs ~0.74).
Income Statement
58
Neutral
Balance Sheet
55
Neutral
Cash Flow
52
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue5.38B4.70B4.09B3.61B3.17B4.26B
Gross Profit1.34B1.10B1.05B919.72M586.55M716.95M
EBITDA282.87M222.55M324.37M320.07M163.28M234.82M
Net Income45.20M60.30M138.07M62.59M-35.97M15.30M
Balance Sheet
Total Assets3.16B3.24B2.56B2.41B2.24B2.83B
Cash, Cash Equivalents and Short-Term Investments262.94M386.86M262.44M309.92M168.96M229.71M
Total Debt1.00B1.06B743.79M722.62M822.00M944.87M
Total Liabilities2.06B2.16B1.56B1.49B1.35B1.82B
Stockholders Equity1.06B1.03B973.71M925.76M895.20M992.82M
Cash Flow
Free Cash Flow37.13M57.95M184.10M358.11M98.55M69.70M
Operating Cash Flow120.93M150.74M249.94M420.35M149.60M118.34M
Investing Cash Flow-150.13M-156.86M-82.70M-49.46M-20.79M28.19M
Financing Cash Flow-54.40M115.45M-214.09M-231.43M-191.18M-55.86M

Sinomax Group Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.23
Price Trends
50DMA
0.14
Negative
100DMA
0.15
Negative
200DMA
0.18
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
24.38
Positive
STOCH
29.85
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1418, the sentiment is Negative. The current price of 0.23 is above the 20-day moving average (MA) of 0.13, above the 50-day MA of 0.14, and above the 200-day MA of 0.18, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 24.38 is Positive, neither overbought nor oversold. The STOCH value of 29.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1418.

Sinomax Group Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
64
Neutral
HK$11.17B5.9113.03%8.63%-2.80%-12.13%
63
Neutral
HK$466.88M10.545.15%6.77%-8.88%-4.52%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
55
Neutral
HK$199.50M4.424.32%8.77%35.18%-56.12%
42
Neutral
HK$223.48M-0.28-164.30%0.68%-29.60%-51.87%
41
Neutral
HK$76.58M-0.04-38.45%3.07%
40
Underperform
HK$140.01M-1.3726.53%7.98%-59.38%-200.00%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1418
Sinomax Group Ltd.
0.11
-0.12
-50.43%
HK:1373
International Housewares Retail Co
0.67
-0.13
-15.93%
HK:1999
Man Wah Holdings
2.78
-1.59
-36.44%
HK:1198
Royale Home Holdings Limited
0.09
-0.15
-63.04%
HK:1575
Morris Home Holdings Limited
0.04
>-0.01
-13.95%
HK:2127
Huisen Household International Group Limited
0.02
0.00
0.00%

Sinomax Group Ltd. Corporate Events

Sinomax Delivers Strong Revenue Growth But Profit Slides on Rising Costs
Aug 25, 2026
Sinomax Group Limited reported a strong top-line performance for the six months ended 30 June 2026, with revenue rising 36.2% year on year to HK$2,576.3 million and gross profit surging 53.9% to HK$680.7 million. These figures underscore robust de...
Sinomax flags profit decline as expansion costs and supply shocks bite
Aug 6, 2026
Sinomax Group has warned that its unaudited net profit for the six months ended 30 June 2026 is expected to decline to about HK$20 million from HK$30.4 million a year earlier, despite revenue growth. The company attributes the profit contraction t...
Sinomax sets August board meeting to approve interim results and consider dividend
Aug 3, 2026
Sinomax Group Limited has scheduled a board meeting for 25 August 2026 to review and approve the unaudited interim results for the six months ended 30 June 2026, and to authorize their publication. The board will also consider the potential paymen...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Sep 08, 2026