Universal Health International Group Holding Ltd. (2211) AI Stock Analysis

• Market Cap: HK$81.71M
• Dividend Yield: N/A
• Average Volume (3M): 340.03K
• Price to Earnings (P/E): 4.3
• Beta (1Y): 1.05
• Revenue Growth: -15.49%
• EPS Growth: N/A
• Country: HK
• Employees: 1,198
• Sector: Healthcare
• Sector Strength: 55
• Industry: Medical - Pharmaceuticals
• EPS (TTM): -0.11
• Shares Outstanding: 80,105,960
• 10 Day Avg. Volume: 156
• 30 Day Avg. Volume: 340,031
• PEG Ratio: <0.01
• Price to Book (P/B): 0.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.24
• 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

• Rating: 49 Neutral
• Price Target: HK$1.00 ▲(0.00%Upside)

The overall stock score is primarily impacted by financial performance and technical analysis. The company is experiencing financial difficulties with declining revenues and weak operational margins. Technical indicators suggest a downward trend with low momentum. Valuation is somewhat positive with a low P/E ratio, indicating potential undervaluation, but lack of dividend yield detracts from its appeal.

Universal Health International Group Holding Ltd. Business Overview & Revenue Model

Company Description

Universal Health International Group Holding Ltd. (2211) is a Hong Kong-based investment holding company primarily engaged in the distribution and retail of healthcare and pharmaceutical products. The company operates through its extensive network of retail outlets and distribution channels, providing a wide range of health-related products, including pharmaceuticals, health supplements, and personal care items. Its core business sectors encompass both wholesale and retail operations, targeting a diverse customer base across various regions.

How the Company Makes Money

Universal Health International Group Holding Ltd. generates revenue through its dual-channel approach of wholesale and retail operations. The wholesale division supplies pharmaceutical and healthcare products to a broad network of retailers and healthcare institutions, leveraging partnerships with manufacturers and suppliers to ensure a steady flow of products. The retail segment operates through company-owned stores, where it sells directly to consumers, thus capturing retail margins. The company also capitalizes on its brand reputation and extensive market reach to secure exclusive distribution agreements, which further contribute to its revenue streams. Additionally, economies of scale achieved through its expansive distribution network help in maintaining competitive pricing, thereby enhancing profitability.

Universal Health International Group Holding Ltd. Financial Statement Overview

Summary

Universal Health International Group Holding Ltd. is facing financial difficulties characterized by declining revenues and profitability over recent years. The company has managed to achieve a positive net income in 2024, but operational margins are weak, and cash flow challenges persist. The balance sheet shows moderate leverage, yet overall financial health needs improvement.

Income Statement

The company has experienced declining revenue over the past few years, with a significant drop from 2019 to 2024. In 2024, the gross profit margin is approximately 16.52%, which is low, indicating cost management issues. Despite a positive net income for the first time in years, the net profit margin remains minimal at 0.38%. The EBIT and EBITDA margins are also very slim, highlighting operational inefficiencies.

Balance Sheet

The balance sheet shows a relatively stable equity position, with a modest debt-to-equity ratio of 0.20 in 2024, suggesting reasonable leverage. However, the equity ratio has decreased over the years, standing at 50.90% in 2024. The return on equity in 2024 is low at 0.12%, indicating limited profitability from shareholders' equity.

Cash Flow

Cash flow analysis reveals significant challenges, with negative operating cash flow and free cash flow in 2024. The company has not shown substantial improvement in cash flow generation over the years. The operating cash flow to net income ratio is negative, reflecting poor cash conversion from profits.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
938.85M	1.09B	1.46B	1.54B	1.39B	1.67B
	Gross Profit
154.07M	179.88M	222.60M	215.32M	56.19M	160.56M
	EBIT
13.15M	82.00K	-100.56M	-213.00M	-519.30M	-558.79M
	EBITDA
32.99M	12.59M	-82.27M	-160.78M	-560.83M	-446.66M
	Net Income Common Stockholders
13.33M	413.00K	-118.73M	-226.85M	-790.91M	-544.69M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
50.71M	36.92M	89.37M	103.48M	81.51M	193.43M
	Total Assets
606.06M	692.88M	797.10M	983.55M	1.15B	1.64B
	Total Debt
22.00M	70.60M	93.18M	81.56M	46.46M	65.05M
	Net Debt
-28.71M	34.24M	3.81M	-21.92M	-35.05M	-128.38M
	Total Liabilities
265.63M	339.99M	457.57M	504.47M	459.02M	273.63M
	Stockholders Equity
339.93M	352.72M	339.53M	478.40M	691.04M	1.36B
Cash Flow		Free Cash Flow
8.69M	-101.75M	-19.47M	-47.94M	-126.92M	-555.63M
	Operating Cash Flow
8.69M	-101.73M	-19.40M	-47.81M	-124.67M	-449.52M
	Investing Cash Flow
14.24M	54.88M	460.72K	4.81M	9.33M	-109.65M
	Financing Cash Flow
-8.60M	40.23M	12.70M	67.66M	-11.96M	7.85M

Universal Health International Group Holding Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2211, the sentiment is Negative. The current price of 1 is below the 20-day moving average (MA) of 1.06, below the 50-day MA of 1.01, and below the 200-day MA of 1.18, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.33 is Neutral, neither overbought nor oversold. The STOCH value of 54.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2211.

Universal Health International Group Holding Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1099	78 Outperform	$57.51B	7.53	9.19%	4.98%	-3.94%	-23.48%
0867	76 Outperform	$28.64B	16.23	10.17%	5.79%	-8.91%	-34.40%
1513	74 Outperform	$33.38B	12.54	14.56%	3.78%	-5.37%	6.28%
1110	70 Outperform	HK$357.83M	7.54	6.61%	5.66%	-3.59%	4.81%
Sector *	54 Neutral	$5.34B	3.27	-45.10%	3.30%	16.80%	0.02%
2211	49 Neutral	HK$81.71M	4.29	4.03%	―	-15.49%	―
0853	44 Neutral	HK$15.50B	―	-31.45%	―	8.11%	55.55%

Universal Health International Group Holding Ltd. Corporate Events

Universal Health International Announces Delay in Circular Dispatch

Universal Health International Group Holding Ltd. announced a delay in the dispatch of a circular related to the subscription of new shares. The circular, originally expected by June 3, 2025, will now be dispatched by June 17, 2025, due to the need for additional time to prepare and finalize certain information. This delay may impact shareholder expectations and the company’s timeline for executing its strategic initiatives.

Universal Health International Approves Share Consolidation

Universal Health International Group Holding Ltd. announced the results of its Extraordinary General Meeting held on May 28, 2025, where a resolution for share consolidation was approved unanimously. The share consolidation will be effective on May 30, 2025, impacting the trading of shares and the adjustment of share options, which could influence the company’s stock market performance and shareholder value.

Universal Health Clarifies Ownership Structure in Share Subscription

Universal Health International Group Holding Ltd. issued a clarification regarding the ownership structure of a subscriber involved in a share subscription under a specific mandate. The company corrected a clerical error, confirming that the subscriber is wholly owned by Ms. Guo Bing, with a subsidiary owned 89% by the subscriber and 11% by the company. This announcement maintains the integrity of the company’s disclosure practices, ensuring accurate information for stakeholders.

Universal Health International Announces New Share Subscription to Boost Capital

Universal Health International Group Holding Ltd. has entered into a Subscription Agreement to issue new shares, raising approximately HK$24.35 million. This move, which involves a significant portion of the company’s share capital, is intended to bolster the company’s general working capital and enhance its financial stability. The subscription is contingent upon several conditions, including shareholder approval and share consolidation, highlighting the company’s strategic efforts to strengthen its market position.

Universal Health International Proposes Share Consolidation at Upcoming EGM

Universal Health International Group Holding Ltd. has announced an extraordinary general meeting (EGM) to discuss a proposed share consolidation. The proposal involves consolidating every ten issued and unissued ordinary shares into one, subject to approval by the Stock Exchange of Hong Kong Limited. This move is aimed at streamlining the company’s share structure and potentially enhancing share value, which could have implications for shareholders and market positioning.

Universal Health International Proposes Share Consolidation

Universal Health International Group Holding Ltd. has announced a proposed share consolidation, where every ten issued and unissued existing shares of US$0.01 will be consolidated into one consolidated share of US$0.10. This move is subject to shareholder approval at an Extraordinary General Meeting (EGM) and compliance with relevant legal and listing requirements. The consolidation aims to streamline the company’s share structure, although it may result in the creation of odd lots, which could affect trading dynamics. Shareholders and investors are advised to exercise caution and consult professional advisers.