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Sunac China Holdings Ltd. (HK:1918)
:1918
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Sunac China Holdings (1918) AI Stock Analysis

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HK:1918

Sunac China Holdings

(OTC:1918)

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Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
HK$2.00
▲(17.65% Upside)
Sunac China Holdings is currently facing significant financial challenges, with negative profitability and cash flow issues being the most critical factors. While there is some positive short-term technical momentum, the overbought conditions suggest caution. The valuation metrics further highlight the company's financial distress, making it a high-risk investment.

Sunac China Holdings (1918) vs. iShares MSCI Hong Kong ETF (EWH)

Sunac China Holdings Business Overview & Revenue Model

Company DescriptionSunac China Holdings Limited, together with its subsidiaries, invests in, develops, and sells residential and commercial properties in the People's Republic of China. The company provides conferences and exhibitions, tourism and vacations, theme parks, hotel operations, medical and health care, IP development and operation, and film and television content production and distribution services. It is also involved in property services, commercial operations, property management, fitting and decoration, and cultural and tourism city construction and operation activities. The company was founded in 2003 and is headquartered in Beijing, the People's Republic of China.
How the Company Makes MoneySunac China Holdings generates revenue primarily through the sale of residential and commercial properties. The company acquires land reserves in strategic locations and develops high-quality real estate projects that cater to affluent customers. Additionally, Sunac earns income from its property management services, providing maintenance and operational support for residential communities and commercial properties. The company also invests in cultural and tourism-related projects, diversifying its revenue streams by capitalizing on China's growing demand for lifestyle and entertainment experiences. Strategic partnerships and joint ventures with other real estate developers and local governments further enhance Sunac's ability to undertake large-scale projects and contribute to its earnings.

Sunac China Holdings Financial Statement Overview

Summary
Sunac China Holdings is facing substantial financial difficulties, with declining revenues, increasing leverage, and negative cash flows. The company's profitability has been severely impacted, raising concerns about its ability to manage debts and sustain operations.
Income Statement
25
Negative
Sunac China Holdings has experienced significant revenue volatility, with a noticeable decline in recent years. The company reported a negative net profit margin and EBIT margin, indicating ongoing profitability challenges. Historical revenue growth was positive, but recent periods show a concerning downward trajectory, impacting overall financial health.
Balance Sheet
30
Negative
The company's debt-to-equity ratio has increased, signaling rising leverage and potential financial risk. A shrinking equity ratio suggests decreased asset backing by equity. Return on equity is negative due to ongoing losses, highlighting profitability concerns. The company faces significant leverage challenges that could affect financial stability.
Cash Flow
20
Very Negative
Sunac China Holdings faces severe cash flow challenges, with negative operating and free cash flows in recent years. The operating cash flow to net income ratio is concerning, with operating cash flow unable to support net income. Free cash flow growth is negative, further indicating liquidity issues.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue74.02B154.23B96.75B198.39B230.59B
Gross Profit1.40B-2.50B-3.90B-12.81B48.40B
EBITDA-5.75B3.40B-14.99B-37.79B34.54B
Net Income-25.70B-7.97B-27.67B-38.26B35.85B
Balance Sheet
Total Assets882.88B977.85B1.09T1.18T1.11T
Cash, Cash Equivalents and Short-Term Investments8.37B7.68B12.71B15.36B102.17B
Total Debt260.11B278.41B45.59B322.44B304.10B
Total Liabilities827.74B894.07B1.00T1.05T930.57B
Stockholders Equity40.52B62.43B58.47B82.47B125.63B
Cash Flow
Free Cash Flow5.51B-16.65B16.98B-51.21B57.30B
Operating Cash Flow6.02B-15.79B20.74B-40.05B73.71B
Investing Cash Flow3.77B2.74B5.57B-32.87B-17.23B
Financing Cash Flow-9.12B8.48B-29.11B-11.45B-35.38B

Sunac China Holdings Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.70
Price Trends
50DMA
1.61
Positive
100DMA
1.53
Positive
200DMA
1.71
Negative
Market Momentum
MACD
0.05
Negative
RSI
53.85
Neutral
STOCH
39.13
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1918, the sentiment is Neutral. The current price of 1.7 is above the 20-day moving average (MA) of 1.64, above the 50-day MA of 1.61, and below the 200-day MA of 1.71, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 53.85 is Neutral, neither overbought nor oversold. The STOCH value of 39.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1918.

Sunac China Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
21.20B41.101.99%1.91%-8.18%0.00%
52
Neutral
13.39B-4.990.13%-11.68%-3002.05%
51
Neutral
18.44B78.441.06%-30.33%0.00%
45
Neutral
HK$19.50B-59.81%-53.05%-169.35%
44
Neutral
11.41B-1.44-61.42%-54.25%-134.22%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1918
Sunac China Holdings
1.68
0.65
63.11%
CTRYF
Country Garden Holdings Co
0.05
-0.07
-58.33%
DE:HVP0
Hopson Development Holdings Limited
0.37
0.12
48.00%
HK:9993
Radiance Holdings (Group) Company Limited
2.82
0.44
18.49%
HK:1030
Seazen Group Ltd.
2.62
1.03
64.78%
HK:0817
China Jinmao Holdings Group Limited
1.57
0.86
121.13%

Sunac China Holdings Corporate Events

Sunac China Holdings Approves Key Resolutions at EGM
Sep 9, 2025

Sunac China Holdings Limited successfully passed three resolutions at its Extraordinary General Meeting held on 9 September 2025. The resolutions included the approval of the MCB Issue, an employee stock ownership plan, and an increase in the company’s authorized share capital. These approvals are expected to enhance Sunac’s operational capabilities and financial flexibility, potentially impacting its market position positively.

The most recent analyst rating on (HK:1918) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Reports August 2025 Sales Performance
Sep 4, 2025

Sunac China Holdings Limited reported its unaudited operational data for August 2025, revealing a contracted sales value of approximately RMB5.39 billion and a contracted sales area of 130 thousand square meters. The average selling price was RMB41,460 per square meter. Cumulatively, by the end of August 2025, the company achieved a contracted sales value of RMB30.47 billion and a sales area of 922 thousand square meters, with an average price of RMB33,050 per square meter. This data, however, is preliminary and subject to change, advising investors to exercise caution.

The most recent analyst rating on (HK:1918) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Holdings Reports Significant Revenue Decline in H1 2025
Aug 26, 2025

Sunac China Holdings Limited reported its interim financial results for the first half of 2025, revealing a significant decrease in revenue by 41.7% to approximately RMB19.99 billion compared to the same period last year. The company also experienced a gross loss of RMB2.08 billion, an increase of 14.9%, and a loss attributable to owners of RMB12.81 billion, which marks a 14.4% decline in loss from the previous year. Despite these challenges, Sunac managed to reduce its total borrowings by RMB4.85 billion, indicating efforts to stabilize its financial position amidst a challenging market environment.

The most recent analyst rating on (HK:1918) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Holdings Announces Key Resolutions for Financial Restructuring
Aug 22, 2025

Sunac China Holdings Limited has announced an extraordinary general meeting to discuss and approve several key resolutions. These include the issuance of zero coupon mandatory convertible bonds (MCBs) and the adoption of an employee stock ownership plan (ESOP). The MCBs are intended to be converted into ordinary shares, facilitating financial restructuring and stability. The ESOP aims to align employee interests with company performance by granting share awards, with a cap on the total number of shares issued under the plan. These initiatives are expected to strengthen Sunac China’s financial position and enhance stakeholder confidence.

The most recent analyst rating on (HK:1918) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Holdings Adjourns Winding-Up Petition Hearing
Aug 20, 2025

Sunac China Holdings Limited has announced the adjournment of a winding-up petition hearing initially scheduled for August 25, 2025, now postponed to January 5, 2026. This development indicates ongoing legal proceedings that could impact the company’s financial stability and market confidence, urging stakeholders to exercise caution in dealing with the company’s securities.

The most recent analyst rating on (HK:1918) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Announces Major Restructuring Plan
Aug 18, 2025

Sunac China Holdings Limited has announced a restructuring plan involving the issuance of mandatory convertible bonds (MCBs) and an increase in authorized share capital. The restructuring aims to address the company’s offshore debts, which amount to over $9.5 billion, by offering MCBs to creditors as part of the debt resolution strategy. This move is expected to stabilize the company’s financial structure and improve its market positioning, with implications for stakeholders including creditors and shareholders.

The most recent analyst rating on (HK:1918) stock is a Sell with a HK$0.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Holdings Schedules Board Meeting for Interim Results
Aug 14, 2025

Sunac China Holdings Limited has announced that its board of directors will convene on August 26, 2025, to review and approve the interim financial results for the first half of the year ending June 30, 2025. This meeting is crucial for stakeholders as it will provide insights into the company’s financial health and operational performance, potentially impacting its market positioning and investor confidence.

The most recent analyst rating on (HK:1918) stock is a Sell with a HK$0.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

Sunac China Holdings Reports July 2025 Sales Data
Aug 5, 2025

Sunac China Holdings Limited reported its unaudited operational data for July 2025, revealing a contracted sales value of approximately RMB1.53 billion and a contracted sales area of 71 thousand square meters. By the end of July 2025, the company achieved a total contracted sales value of RMB25.08 billion, with a contracted sales area of 792 thousand square meters. These figures, based on preliminary internal data, are subject to change and caution is advised for investors dealing with the company’s securities.

The most recent analyst rating on (HK:1918) stock is a Sell with a HK$0.50 price target. To see the full list of analyst forecasts on Sunac China Holdings stock, see the HK:1918 Stock Forecast page.

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 13, 2025