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Redsun Properties Group Ltd. (1996) AI Stock Analysis

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HK:1996

Redsun Properties Group Ltd.

(HKEX:1996)

Select Model
Rating:45Neutral
Price Target:HKD 0.02â–²(0.00% Upside)
Action:reiterated
Date:10/31/26

The score is primarily constrained by severe financial distress, including negative equity, high debt, deteriorating profitability, and negative operating cash flow. Weak technical momentum and the loss-making valuation further reduce the score.

Positive Factors
Commercial mall platformA retail-led commercial property platform can provide recurring rental income alongside property management and operating services. This asset-focused model gives the company multiple ways to monetize malls and, if occupancy and tenant activity stabilize, can support recurring revenue over the medium term.
Negative Factors
Severe revenue and profit deteriorationSharp revenue contraction combined with negative gross profit and a near-95% net margin indicates severe operating stress rather than a normal cyclical slowdown. Persistently weak earnings reduce internal funding capacity, impair reinvestment ability, and make a return to sustainable profitability more difficult.

Redsun Properties Group Ltd. (1996) vs. iShares MSCI Hong Kong ETF (EWH)

-80%-60%-40%-20%0%20%HK:1996-58.54%EWH+8.17%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
HKD 56.35M
Dividend Yield
―
Average Volume (3M)
1.79M
Price to Earnings (P/E)
-0.0
Beta (1Y)
1.11
Revenue Growth
-70.44%
EPS Growth
20.78%
Country
Hong Kong
Employees
376
Sector
Real Estate
Sector Strength
65
Industry
Real Estate - Development

Redsun Properties Group Ltd. Business Overview & Revenue Model

Company Description

Operating across the People's Republic of China, Redsun Properties Group Limited, along with its various affiliates, is primarily engaged in the real estate development sector. Its comprehensive business model is segmented into three key areas: Prope...

How the Company Makes Money

Redsun Properties Group Ltd. primarily makes money through its commercial property business, especially shopping malls. Key revenue streams include (1) rental income from leasing retail/commercial space to tenants in its malls and other investment pr...

Redsun Properties Group Ltd. Financial Statement Overview

Summary

Severe financial deterioration limits the score: revenue and margins collapsed, equity turned deeply negative, debt remains high, and operating cash flow became negative. The underlying income statement, balance sheet, and cash flow scores were 12, 18, and 25, respectively.

Income Statement

12Very Negative

Balance Sheet

18Very Negative

Cash Flow

25Negative
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.31B4.32B11.31B19.79B20.01B26.67B
Gross Profit-1.66B-746.50M-177.07M-669.72M1.67B5.08B
EBITDA-2.28B-1.10B-654.71M-5.21B381.27M3.29B
Net Income-3.94B-4.12B-5.02B-7.21B-3.88B1.25B
Balance Sheet
Total Assets48.52B50.64B60.01B74.91B101.73B132.75B
Cash, Cash Equivalents and Short-Term Investments492.70M546.04M1.32B1.19B4.91B16.25B
Total Debt20.30B20.77B21.63B22.34B25.67B35.85B
Total Liabilities48.67B48.64B52.83B60.08B77.93B101.00B
Stockholders Equity-6.25B-4.56B-432.78M4.69B11.92B15.77B
Cash Flow
Free Cash Flow748.39M-320.96M-472.36M314.02M1.61B344.64M
Operating Cash Flow780.25M-289.40M-450.55M342.25M1.63B366.28M
Investing Cash Flow-401.26M591.50M1.16B1.17B1.62B-2.59B
Financing Cash Flow-732.06M-1.03B-1.14B-2.90B-14.70B3.74B

Redsun Properties Group Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price0.02

Price Trends

50DMA0.03Negative
100DMA0.02Negative
200DMA0.03Negative

Market Momentum

MACD-0.00Positive
RSI30.66Neutral
STOCH5.56Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1996, the sentiment is Negative. The current price of 0.02 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.03, and below the 200-day MA of 0.03, indicating a bearish trend. The MACD of -0.00 indicates Positive momentum. The RSI at 30.66 is Neutral, neither overbought nor oversold. The STOCH value of 5.56 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1996.

Redsun Properties Group Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (65)

Financial Indicators

HK:1996 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *65Neutral$2.17B12.193.79%4.94%3.15%1.96%
HK:1560HK:156046NeutralHKD 528.30M-0.77-56.69%―-80.29%26.58%
HK:1996HK:199645NeutralHKD 56.35M-0.0172.87%―-70.44%20.78%
HK:0456HK:045631UnderperformHKD 124.25M-0.32-255.84%―-39.55%-72.98%

* Real Estate Sector Average

Performance Comparison

0%100%200%300%HK:1996HK:0845HK:0059HK:1560HK:0456Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
HK:1996 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:1996Redsun Properties Group Ltd.0.02-0.03-60.47%
HK:0845Glorious Property Holdings Limited0.010.000.00%
HK:0059Skyfame Realty (Holdings) Ltd0.010.000.00%
HK:1560Star Group Company Limited3.602.52233.33%
HK:0456New City Development Group Limited0.580.0816.00%

Redsun Properties Group Ltd. Corporate Events

Redsun Reports RMB1.463 Billion Contracted Sales Through October

Nov 5, 2026

Redsun Properties Group Limited operates in China’s property development industry, with its business centered on residential real estate sales.The Group recorded October contracted sales of RMB134 million from 8,351 square meters, at an average selli...

Redsun Properties Moves Ahead With Court-Backed Offshore Debt Restructuring

Oct 28, 2026

Redsun Properties Group Limited has provided an update on its proposed restructuring of offshore debts, which is planned to be implemented through a court-sanctioned scheme of arrangement in Hong Kong with cross-border recognition. The company has fi...

Redsun Properties Reshapes Company Secretarial Team Under New HKEX Waiver

Oct 16, 2026

Redsun Properties Group Limited has announced the resignation of joint company secretary, authorised representative and process agent Ms. Chan Charmayne, effective 19 October 2026, who leaves without disagreement with the board. The company has appoi...

Redsun Properties Extends Deadlines for Creditor Restructuring Deal

Oct 9, 2026

Redsun Properties Group Limited has further extended the deadlines tied to its restructuring support agreement, moving the Early RSA Fee cut-off to 6 November 2026 and the Base RSA Fee deadline to 20 November 2026. The company says the extensions are...

Redsun Properties posts RMB1.33 billion in unaudited contracted sales for first nine months of 2026

Oct 7, 2026

Redsun Properties Group Ltd. reported unaudited contracted sales of RMB126 million in September 2026, with a sales area of 5,857 square meters and an average selling price of RMB21,511 per square meter. These figures highlight monthly transaction act...

Redsun Properties Wins Adjournment in Hong Kong Winding-Up Case

Sep 30, 2026

Redsun Properties Group Ltd. has secured support from certain holders of its Senior Notes for an adjournment of a winding-up petition in the Hong Kong High Court. The court approved the jointly proposed application by the petitioner and the company,...

Redsun Properties Moves to Ease Going-Concern Risks With Loan Extensions and New Financing

Sep 30, 2026

Redsun Properties Group Limited has issued an update addressing the auditors’ disclaimer of opinion on its 2025 consolidated financial statements, which arose from material uncertainties about the Group’s ability to continue as a going concern. Since...

Redsun Properties Further Extends Deadlines in Debt Restructuring Deal

Sep 11, 2026

Redsun Properties Group Ltd. has announced a further extension of key deadlines tied to its restructuring support agreement with creditors. The Early RSA Fee Deadline has been moved from 11 September 2026 to 9 October 2026, while the Base RSA Fee Dea...

Redsun Properties Posts RMB1.2 Billion in Unaudited Contracted Sales for First Eight Months of 2026

Sep 4, 2026

Redsun Properties Group reported unaudited contracted sales of RMB110 million for August 2026, with a sales area of 10,229 square meters and an average selling price of RMB10,754 per square meter. From January to August 2026, the group recorded aggre...

Redsun Properties Swings to Deep Gross Loss as Revenue Plunges 74% in First Half 2026

Aug 27, 2026

Redsun Properties Group reported a sharp deterioration in its financial performance for the six months ended 30 June 2026, as revenue fell 74.2% year-on-year to RMB700.3 million and contracted sales reached RMB944.0 million on nearly 100,000 square m...

Redsun Properties Further Extends Deadlines for Creditor Restructuring Agreement

Aug 14, 2026

Redsun Properties Group Limited has once again extended key deadlines under its restructuring support agreement to give creditors more time to join the plan. The Early RSA Fee Deadline has been moved to 11 September 2026 and the Base RSA Fee Deadline...

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: Oct 31, 2026