First Service Holding Limited (2107) AI Stock Analysis

First Service Holding Limited

(HKEX:2107)

Select Model

Rating:50Neutral

Price Target:HKD 0.34▼(-5.56% Downside)

Action:reiterated

Date:10/17/26

The score is primarily constrained by deteriorating profitability and weak cash-flow performance. Low leverage and a high dividend yield provide support, but technical weakness and the negative P/E ratio keep the overall score near the lower-middle of the range.

Positive Factors

Very low leverageExtremely low leverage and a sizable equity base provide a meaningful financial cushion as the company works through recent losses. Limited debt reduces interest and refinancing pressure, preserving flexibility to fund operations and pursue service growth without excessive balance-sheet strain.

Negative Factors

Sustained net lossesThe shift from several years of profit to deeper losses signals a material deterioration in earnings power. Persistent negative margins can reduce retained capital, weaken returns to shareholders, and limit the company’s ability to reinvest in expansion or service improvements.

First Service Holding Limited (2107) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 432.15M
Dividend Yield: 10.00%
Average Volume (3M): 769.40K
Price to Earnings (P/E): -4.5
Beta (1Y): 0.33
Revenue Growth: -0.09%
EPS Growth: -101.15%
Country: Hong Kong
Employees: 3,671
Sector: Real Estate
Sector Strength: 65
Industry: Real Estate - Development

First Service Holding Limited Business Overview & Revenue Model

Company Description

First Service Holding Limited specializes in delivering comprehensive property management and environmentally sustainable living solutions, with operations extending across the People's Republic of China and into international territories. The compan...

How the Company Makes Money

The company primarily makes money by charging fees for property management services and by selling value-added services to the communities it serves. (1) Property management service fees: The core revenue stream comes from recurring fees collected un...

First Service Holding Limited Financial Statement Overview

Summary

A strong, minimally leveraged balance sheet is offset by recent net losses, declining revenue, negative EBIT, volatile operating cash flow, and sharply declining free cash flow.

Income Statement

42Neutral

Balance Sheet

78Positive

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.31B	1.34B	1.33B	1.21B	1.12B	1.12B
Gross Profit	270.32M	289.25M	309.68M	304.66M	260.89M	335.36M
EBITDA	53.53M	60.37M	-20.58M	98.21M	72.41M	47.44M
Net Income	-59.67M	-52.41M	-12.07M	57.13M	41.34M	35.47M
Balance Sheet
Total Assets	1.59B	1.58B	1.68B	1.47B	1.37B	1.36B
Cash, Cash Equivalents and Short-Term Investments	703.82M	724.70M	738.08M	565.90M	538.50M	628.31M
Total Debt	2.47M	2.83M	2.65M	0	0	20.51M
Total Liabilities	973.47M	979.77M	1.01B	758.07M	694.90M	684.35M
Stockholders Equity	552.62M	537.62M	619.21M	657.49M	629.28M	637.48M
Cash Flow
Free Cash Flow	55.42M	8.38M	10.28M	82.97M	-21.47M	-7.33M
Operating Cash Flow	61.25M	13.54M	25.50M	93.39M	-12.41M	1.24M
Investing Cash Flow	-6.06M	26.85M	-77.65M	50.09M	-17.55M	-192.10M
Financing Cash Flow	-39.07M	-35.12M	-21.61M	-35.27M	-84.77M	-39.65M

First Service Holding Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price0.36

Price Trends

50DMA0.38Negative

100DMA0.35Negative

200DMA0.27Positive

Market Momentum

MACD-0.01Positive

RSI35.21Neutral

STOCH17.86Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2107, the sentiment is Negative. The current price of 0.36 is below the 20-day moving average (MA) of 0.37, below the 50-day MA of 0.38, and above the 200-day MA of 0.27, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 35.21 is Neutral, neither overbought nor oversold. The STOCH value of 17.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2107.

First Service Holding Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

HK:2107 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:1895	70Outperform	HKD 171.98M	1.50	15.16%	13.17%	4.17%	10.89%
Sector *	65Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
HK:9608	62Neutral	HKD 180.48M	13.27	2.83%	―	-6.29%	43.48%
HK:2107	50Neutral	HKD 416.12M	-4.48	-10.95%	10.00%	-0.09%	-101.15%
HK:1153	47Neutral	HKD 215.11M	50.18	30.35%	―	0.04%	-95.28%
HK:1971	47Neutral	HKD 145.25M	-2.14	-6.74%	―	-7.66%	-3032.69%
HK:2215	46Neutral	HKD 124.83M	-0.45	-52.88%	―	1.89%	-805.91%

* Real Estate Sector Average

Performance Comparison

HK:2107 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:2107	First Service Holding Limited	0.34	0.09	33.33%
HK:9608	Sundy Service Group Co. Ltd	0.05	-0.03	-41.98%
HK:1153	Jiayuan Services Holdings Limited	0.32	-0.08	-20.00%
HK:1895	Xinyuan Property Management Service (Cayman) Ltd.	0.29	-0.24	-45.28%
HK:1971	Redsun Services Group Ltd	0.35	-0.03	-7.89%
HK:2215	Dexin Services Group Ltd.	0.14	-0.33	-71.06%

First Service Holding Limited Corporate Events

First Service renews connected property management deal with Modern Land

Oct 20, 2026

First Service Holding Limited has entered into a new framework agreement with Modern Land under which its group companies will continue providing property management and value-added services to the Modern Land Group from 19 October 2026 to 31 Decembe...

First Service Holding Refreshes Board with New Audit Chair

Sep 11, 2026

First Service Holding Limited has announced a board reshuffle effective September 11, 2026, with the resignation of independent non-executive director Sun Jing, who also chaired the Audit Committee and sat on the Remuneration Committee. The company s...

First Service Holding Details Board and Committee Structure

Sep 11, 2026

First Service Holding Limited has disclosed the current composition of its board of directors, identifying three executive directors, three non-executive directors and three independent non-executive directors, with Zhang Peng serving as chairman. Th...

First Service Holding’s Interim Profit Slides on Margin Pressure and Credit Costs

Aug 26, 2026

First Service Holding Limited reported unaudited interim results for the six months ended 30 June 2026 showing weaker performance amid a challenging operating environment. Revenue fell 5.2% year on year to RMB648.5 million, while gross profit decline...

First Service flags profit drop on exit from low-margin projects

Aug 17, 2026

First Service Holding Limited has warned that its net profit for the six months ended June 30, 2026 will not exceed RMB28 million, down from about RMB39.6 million a year earlier, with profit attributable to equity shareholders expected to fall to no...

First Service Holding Refines Use of IPO Proceeds and Extends Deployment to 2029

Aug 12, 2026

First Service Holding Limited has provided supplemental details on the reallocation of net proceeds from its global offering, refining how funds will be deployed across strategic acquisitions, dividends, technology upgrades, talent initiatives, and w...

First Service Holding Sets Board Meeting to Approve 2026 Interim Results

Aug 11, 2026

First Service Holding Limited has scheduled a board meeting for 26 August 2026 to review and approve the interim results for the six months ended 30 June 2026. The board will also consider the declaration of an interim dividend and address other corp...

First Service Holding Updates Use of Global Offering Proceeds

Aug 7, 2026

First Service Holding Limited has issued a supplemental announcement to its 2025 annual report detailing the revised allocation and utilisation of HK$571.2 million in net proceeds from its global offering. The company reports that HK$491.7 million ha...

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 29, 2026

First Service Holding Limited AI Stock Analysis