China Renaissance Holdings (1911) AI Stock Analysis

• Market Cap: $3.92B
• Dividend Yield: N/A
• Average Volume (3M): 3.34M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.79
• Revenue Growth: 76.19%
• EPS Growth: 90.88%
• Country: HK
• Employees: 480
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.13
• Shares Outstanding: 573,347,800
• 10 Day Avg. Volume: 2,647,647
• 30 Day Avg. Volume: 3,335,315
• PEG Ratio: 0.12
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 1.67
• P/FCF Ratio: 74.36
• Enterprise Value/Market Cap: -0.19
• Enterprise Value/Revenue: -0.76
• Enterprise Value/Gross Profit: -0.76
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $6.99
• Price Target Upside: 10.45% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 48 Neutral
• Price Target: HK$7.00 ▲(10.58% Upside)

The overall stock score of 48 reflects significant financial challenges, including declining revenues and profitability, and cash flow volatility. While the balance sheet is strong with no debt, the negative P/E ratio and lack of dividend yield weigh heavily on the valuation. Technical analysis shows mixed signals, with short-term bearish momentum but some longer-term support. The absence of earnings call data and corporate events leaves the financial and technical aspects as the primary influences on the score.

China Renaissance Holdings Business Overview & Revenue Model

Company Description

China Renaissance Holdings Limited, an investment holding company, engages in investment banking and investment management businesses in Mainland China, Hong Kong, and the United States. It operates through Investment Banking, Investment Management, CR Securities, and Others segments. The Investment Banking segment offers financial advisory, and merger and acquisition advisory services; equity underwriting, sales, trading, brokerage, and research services; and structured financing services, which include exploring and developing non-equity financing services for new-economy firms. The Investment Management segment provides fund and asset management services for individual and institutional clients, as well as manages investment in funds. The CR Securities segment offers investment banking and asset management services. The Others provides wealth management services for high-net-worth individuals and other high net worth groups, as well as invests in and manages funds. The company serves startup and high-growth China-based companies, institutional secondary equity investors, and high net-worth individuals. China Renaissance Holdings Limited was founded in 2005 and is based in Beijing, China.

How the Company Makes Money

China Renaissance generates revenue through several key streams, primarily from advisory fees earned during mergers and acquisitions (M&A) and capital raising transactions. The company charges clients for its expertise in negotiating and structuring deals, which forms a significant portion of its income. Additionally, China Renaissance earns management fees and performance-based income from its asset management division, where it invests in high-potential companies. Strategic partnerships with tech firms and venture capitalists enhance its market position and provide access to lucrative investment opportunities, further contributing to its earnings. The firm's reputation and established network in China's innovative sectors allow it to attract a steady flow of clients and projects, supporting sustainable revenue growth.

China Renaissance Holdings Financial Statement Overview

Summary

China Renaissance Holdings is facing financial challenges, marked by declining revenues and profitability. The balance sheet provides some reassurance with a strong equity position and no debt in 2024, reducing leverage concerns. However, cash flow volatility and negative operating cash flow in recent periods highlight liquidity risks. Overall, while the company has a solid balance sheet, its income statement and cash flow performance suggest areas of significant concern.

Income Statement

The company has experienced declining revenue and profitability over the years. The revenue decreased from 1,744.48M in 2021 to 823.56M in 2024, indicating a negative growth trajectory. The net profit margin is negative in recent years, with net losses recorded in 2022, 2023, and 2024. EBIT margin remains negative, suggesting ongoing operational challenges. Gross profit margins have fluctuated, but the overall trend indicates financial struggles.

Balance Sheet

The balance sheet demonstrates some stability with a strong equity base and no debt recorded in 2024, which reduces leverage risks. The equity ratio is healthy, but stockholders' equity has slightly decreased over time. The debt-to-equity ratio was manageable in previous years and became more favorable as total debt was eliminated by 2024.

Cash Flow

The cash flow statement reveals a volatile cash flow situation with operating cash flow dropping to zero in 2024. Free cash flow was positive in 2023 but turned negative in previous years. The fluctuating cash flow metrics indicate potential liquidity issues and challenges in generating consistent cash inflows from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	980.73M	823.56M	848.26M	1.56B	1.74B	1.59B
Gross Profit	980.73M	823.56M	258.31M	1.36B	2.35B	2.72B
EBITDA	0.00	8.70M	-201.53M	-184.41M	2.07B	1.27B
Net Income	-40.21M	-179.02M	-471.90M	-429.90M	1.62B	1.04B
Balance Sheet
Total Assets	9.47B	10.56B	9.34B	13.00B	14.16B	12.54B
Cash, Cash Equivalents and Short-Term Investments	0.00	1.30B	4.11B	5.60B	5.65B	4.79B
Total Debt	0.00	42.44M	629.41M	2.62B	3.29B	1.52B
Total Liabilities	2.35B	3.51B	2.16B	5.60B	6.26B	5.16B
Stockholders Equity	6.11B	6.04B	6.14B	6.50B	6.83B	5.90B
Cash Flow
Free Cash Flow	-170.29M	18.48M	776.64M	-789.54M	1.64B	300.66M
Operating Cash Flow	-155.51M	42.96M	790.71M	-738.01M	1.70B	340.15M
Investing Cash Flow	9.29M	-33.70M	1.13B	327.83M	-1.03B	-521.37M
Financing Cash Flow	0.00	136.88M	-2.41B	-619.10M	1.12B	-95.69M

China Renaissance Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.33
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1911, the sentiment is Neutral. The current price of 6.33 is below the 20-day moving average (MA) of 7.34, below the 50-day MA of 7.49, and above the 200-day MA of 4.67, indicating a neutral trend. The MACD of -0.21 indicates Positive momentum. The RSI at 35.97 is Neutral, neither overbought nor oversold. The STOCH value of 15.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1911.

China Renaissance Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6099	71 Outperform	€160.59B	12.52	9.41%	3.41%	51.04%	24.56%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
3908	67 Neutral	$163.61B	12.54	6.94%	0.91%	4.69%	61.01%
6066	67 Neutral	€201.75B	12.02	11.96%	2.06%	20.62%	58.53%
6178	61 Neutral	HK$87.73B	15.60	5.22%	2.21%	30.38%	2.63%
1911	48 Neutral	$3.92B	―	-0.67%	―	76.19%	90.88%
1788	48 Neutral	€38.71B	55.22	4.78%	1.72%	32.03%	154.14%

China Renaissance Holdings Corporate Events

China Renaissance Reports 2024 Financial Results with Continued Losses

China Renaissance Holdings Limited reported its audited consolidated annual results for the year ending December 31, 2024, showing a decrease in total revenue from RMB 1,006,094,000 in 2023 to RMB 777,104,000 in 2024. Despite a reduction in operating loss from RMB 197,817,000 in 2023 to RMB 41,640,000 in 2024, the company still faced a significant loss for the year attributable to owners, amounting to RMB 179,017,000. The company uses a non-IFRS measure of adjusted net loss to provide a clearer picture of its operating performance, which showed an adjusted net loss of RMB 300,837,000 for 2024. This financial performance indicates challenges in maintaining profitability and may impact stakeholder confidence.

China Renaissance Holdings Schedules Board Meeting to Approve Annual Results

China Renaissance Holdings Limited has announced a board meeting scheduled for March 31, 2025, to discuss and approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the recommendation for a final dividend, which could impact shareholders and the company’s financial strategy moving forward.

China Renaissance Celebrates ZG Group’s Landmark Hong Kong Listing

China Renaissance Holdings Limited announced that ZG Group, an investee company of its Huaxing Growth Capital Fund, has successfully listed on the Hong Kong Stock Exchange through a De-SPAC transaction with Aquila Acquisition Corporation. This milestone marks ZG Group as the first mainland Chinese company to achieve a Hong Kong listing via the De-SPAC route, highlighting the investment prowess of China Renaissance and its commitment to supporting promising ventures.

China Renaissance Announces Key Leadership Change in Company Secretary Role

China Renaissance Holdings Limited announced the resignation of Mr. Yee, Ming Cheung Lawrence as the company secretary and authorized representative, effective February 12, 2025. Mr. Liu Chak Sing has been appointed as the new company secretary and authorized representative, bringing over 12 years of experience in legal and corporate finance matters. This transition is expected to continue the company’s commitment to compliance and corporate governance, ensuring smooth operations and maintaining confidence among stakeholders.