Guotai Junan International Holdings Limited (1788) AI Stock Analysis

• Market Cap: €10.09B
• Dividend Yield: 2.58%
• Average Volume (3M): 20.89M
• Price to Earnings (P/E): 29.1
• Beta (1Y): 2.25
• Revenue Growth: 37.06%
• EPS Growth: 72.51%
• Country: HK
• Employees: 623
• Sector: Financial
• Sector Strength: 86
• Industry: Financial - Capital Markets
• EPS (TTM): 0.04
• Shares Outstanding: 9,536,050,000
• 10 Day Avg. Volume: 11,750,600
• 30 Day Avg. Volume: 20,890,059
• PEG Ratio: 0.40
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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

Guotai Junan International Holdings Limited's overall score reflects its strong operational efficiency but also highlights concerns regarding profitability, cash flow management, and high liabilities. The technical indicators suggest mixed momentum, while valuation metrics point to potential overvaluation. The lack of earnings call data and corporate events leaves these aspects unassessed.

Guotai Junan International Holdings Limited Business Overview & Revenue Model

Company Description

Guotai Junan International Holdings Limited, an investment holding company, provides brokerage, corporate finance, asset management, loans and financing, financial products, and market making and investment services in Hong Kong and internationally. The company's Wealth Management segment provides a range financial services and solutions to individual investors and small to medium-sized businesses and family office, including brokerage, loans and financing, and other wealth management services. Its Institutional Investor Services segment offers market making, investments, structured product solutions, lending, and other services to corporations, governments, and financial institutions. The company's Corporate Finance segment provides advisory services; and placing and underwriting services of debt and equity securities. Its Investment Management segment offers asset management and fund management services to institutions and individuals; and invests in funds, debts, and equity securities. The company's Other segment provides information channel services. It also provides securities, futures, and leveraged foreign exchange dealing and broking services; money lending and trading services; and consultancy and financial services. The company was founded in 1995 and is based in Central, Hong Kong. Guotai Junan International Holdings Limited is a subsidiary of Guotai Junan Financial Holdings Limited.

How the Company Makes Money

Guotai Junan International Holdings Limited makes money through multiple revenue streams. The primary source of income comes from its brokerage services, which include securities trading and wealth management. The company earns commissions and fees from facilitating trades and managing client portfolios. Additionally, Guotai Junan International generates revenue from its corporate finance services, such as underwriting and advisory services for mergers and acquisitions, equity and debt issuance. Another key revenue stream is its asset management business, which includes management fees and performance fees earned from managing investment funds. The company also offers loans and margin financing, generating interest income from these lending activities. Significant partnerships with banks, financial institutions, and corporate clients further contribute to its earnings, enhancing its ability to offer diverse financial products and services.

Guotai Junan International Holdings Limited Financial Statement Overview

Summary

Guotai Junan International Holdings Limited exhibits strong operational efficiency gains but struggles with profitability and cash flow management. While the balance sheet indicates stability, the company faces risks related to high liabilities and negative cash flow trends, impacting future financial flexibility. The income statement, balance sheet, and cash flow scores reflect these mixed results.

Income Statement

The company has shown a mixed performance with declining revenue over the years, but an improvement in EBIT margin from 5.2% in 2023 to 12.9% in 2024 indicates better operational efficiency. However, the net profit margin remains low at 1.6% in 2024, reflecting challenges in achieving profitability.

Balance Sheet

The company maintains a stable equity position and a reasonable debt-to-equity ratio of 0.50 in 2024. However, the high total liabilities pose a potential risk. The equity ratio improved slightly over the year, indicating a stable asset financing structure.

Cash Flow

The cash flow performance is concerning with consistent negative free cash flow, indicating cash management challenges. The lack of operating cash flow and capital expenditure data in 2024 makes it difficult to assess the company's cash utilization effectively.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
3.22B	2.32B	3.97B	4.88B	4.11B
	Gross Profit
2.33B	2.11B	3.67B	4.62B	3.92B
	EBIT
1.69B	849.16M	2.27B	3.00B	2.71B
	EBITDA
1.77B	927.24M	2.35B	3.07B	2.78B
	Net Income Common Stockholders
201.26M	80.38M	1.09B	1.56B	902.62M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.41B	40.02B	28.13B	37.06B	41.01B
	Total Assets
107.54B	94.46B	106.29B	121.72B	96.74B
	Total Debt
69.73B	58.53B	60.12B	75.06B	62.95B
	Net Debt
62.32B	51.00B	54.97B	69.80B	55.99B
	Total Liabilities
92.57B	79.52B	90.85B	106.48B	85.33B
	Stockholders Equity
14.84B	14.81B	15.31B	15.12B	11.30B
Cash Flow		Free Cash Flow
-4.94B	-1.92B	38.97M	23.06M	-580.12M
	Operating Cash Flow
-4.91B	-1.88B	82.03M	59.20M	-552.04M
	Investing Cash Flow
-32.67M	8.21B	-8.44B	-5.10B	4.55B
	Financing Cash Flow
4.58B	801.87M	-5.98B	13.41B	6.88B

Guotai Junan International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1788, the sentiment is Positive. The current price of 1.07 is above the 20-day moving average (MA) of 0.98, below the 50-day MA of 1.07, and above the 200-day MA of 1.00, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.70 is Neutral, neither overbought nor oversold. The STOCH value of 76.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1788.

Guotai Junan International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1579	71 Outperform	HK$13.31B	16.60	15.77%	8.19%	4.68%	-14.34%
Sector *	64 Neutral	$12.54B	9.79	7.92%	16985.69%	12.58%	-6.07%
1788	53 Neutral	€10.09B	29.12	2.31%	2.58%	37.06%	72.51%

Guotai Junan International Holdings Limited Corporate Events

Guotai Junan International Announces AGM and Key Resolutions

Guotai Junan International Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for May 22, 2025. Key agenda items include the approval of the audited financial statements for 2024, the declaration of a final dividend, and the re-election and appointment of directors. The company also seeks authorization for the board to fix directors’ remuneration and re-appoint KPMG as auditors. Additionally, resolutions to grant a general mandate for issuing new shares will be considered, potentially impacting the company’s capital structure and market operations.

Guotai Junan International Proposes New Articles of Association

Guotai Junan International Holdings Limited announced a proposal to adopt new articles of association, which will be discussed at their upcoming annual general meeting. The proposed changes aim to align with the amended Companies Ordinance and Listing Rules, introduce hybrid and virtual general meetings, and allow electronic methods for dividend distribution, enhancing shareholder engagement and communication.

Guotai Junan International Proposes New Non-Executive Director Appointment

Guotai Junan International Holdings Limited has proposed the appointment of Mr. ZOU Hua as a non-executive director, pending shareholder approval. Mr. ZOU, with over 25 years of experience in the securities industry, currently serves as the general manager of the legal and compliance department at the company’s parent firm, Guotai Haitong Securities Co., Ltd. This strategic appointment is expected to enhance the company’s governance and compliance capabilities, potentially strengthening its position in the financial services industry.

Guotai Junan International Announces Board Changes

Guotai Junan International Holdings Limited announced the resignation of Mr. HAN Zhida as a non-executive director and his departure from the Nomination Committee, effective April 7, 2025. The company expressed gratitude for Mr. HAN’s contributions, and noted that there are no disagreements or issues that need to be communicated to shareholders. This change in the board’s composition may impact the company’s governance dynamics, but the smooth transition suggests stability in its operations.

Guotai Junan International Announces Board Composition and Committee Roles

Guotai Junan International Holdings Limited has announced the composition of its board of directors and the roles within various board committees. This announcement outlines the leadership structure, which is crucial for stakeholders to understand the governance and strategic direction of the company. The board includes a mix of executive, non-executive, and independent non-executive directors, with specific members assigned to key committees such as audit, remuneration, nomination, and risk, which are essential for the company’s operational oversight and strategic planning.

Guotai Junan International Declares Final Dividend for 2024

Guotai Junan International Holdings Limited has announced a final ordinary cash dividend of HKD 0.02 per share for the financial year ending 31 December 2024. The dividend will be paid on 17 June 2025, following shareholder approval on 22 May 2025. This announcement reflects the company’s ongoing commitment to returning value to its shareholders and may enhance its attractiveness to investors.

Guotai Junan International Reports Strong 2024 Financial Results

Guotai Junan International Holdings Limited reported a significant increase in its financial performance for the year ended December 31, 2024. The company achieved a 37% rise in revenue to HK$4.42 billion, driven by growth in commission, interest, and trading income. Profit attributable to ordinary equity holders surged by 73% to HK$347.8 million, and the dividend per share increased by 60% to 3.2 HK cents. The results reflect the company’s strong operational performance and improved market positioning.

Guotai Junan International Announces Board Meeting for Financial Results and Dividend Consideration

Guotai Junan International Holdings Limited has announced a board meeting scheduled for March 26, 2025, to approve the company’s final results for the year ending December 31, 2024, and to consider a potential dividend recommendation. This meeting is significant as it will determine the financial performance and shareholder returns, impacting stakeholders’ expectations and the company’s market positioning.