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Deewin Tianxia Co. Ltd Class H (2418) AI Stock Analysis

HK:2418

Deewin Tianxia Co. Ltd Class H

(HKEX:2418)

Select Model
Rating:44Neutral
Price Target:HKD 2.50â–¼(-8.76% Downside)
Action:reiterated
Date:09/06/26

The score is held down primarily by weak financial quality (sharp profitability compression and persistently negative operating/free cash flow) and very expensive valuation (P/E ~283). Technicals are comparatively better, showing moderately positive momentum, but they are not strong enough to offset the fundamental and valuation risks.

Positive Factors
Distribution ReachUsing both online and offline channels gives the company multiple ways to reach individual customers and distribute insurance products. This operating model can support broader customer access and ongoing service across the insurance lifecycle over the coming quarters.
Negative Factors
Margin CompressionSharp and sustained margin compression shows that revenue is currently producing much less profit than in earlier periods. A thinner earnings base reduces resilience, limits internally funded investment, and leaves results more exposed to operating cost or product-mix pressure.

Deewin Tianxia Co. Ltd Class H (2418) vs. iShares MSCI Hong Kong ETF (EWH)

-75%-50%-25%0%25%50%HK:2418-61.41%EWH+7.37%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
HKD 1.43B
Dividend Yield
1.32%
Average Volume (3M)
270.35K
Price to Earnings (P/E)
252.7
Beta (1Y)
-0.16
Revenue Growth
28.06%
EPS Growth
-75.16%
Country
Hong Kong
Employees
1,560
Sector
Consumer Cyclical
Sector Strength
61
Industry
Auto - Dealerships

Deewin Tianxia Co. Ltd Class H Business Overview & Revenue Model

Company Description

Deewin Tianxia Co., Ltd is a Chinese enterprise offering a broad spectrum of services, including logistics and supply chain management, financial solutions, and Internet of Vehicles (IoV) data services. Within its logistics and supply chain operation...

Deewin Tianxia Co. Ltd Class H Financial Statement Overview

Summary

Income statement quality is weak: TTM revenue grew ~5% but net margin has compressed to ~1.0% versus ~2.5% in 2025 and much higher in 2022–2024. Balance sheet leverage has improved (debt-to-equity ~1.65 vs ~2.13 in 2025) but returns are very low (~0.9% ROE). Cash flow is the biggest concern with negative operating and free cash flow in most periods including TTM, increasing liquidity/funding risk.

Income Statement

38Negative

Balance Sheet

52Neutral

Cash Flow

24Negative
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue3.06B2.76B2.63B3.12B2.73B3.13B
Gross Profit372.75M387.42M430.61M515.41M494.04M732.41M
EBITDA181.31M164.20M286.19M301.75M364.20M503.30M
Net Income29.49M68.29M153.23M149.26M226.41M362.72M
Balance Sheet
Total Assets12.56B11.43B9.49B9.20B9.17B10.19B
Cash, Cash Equivalents and Short-Term Investments1.16B1.10B1.01B1.09B1.24B580.36M
Total Debt5.33B7.14B5.11B4.69B4.67B5.94B
Total Liabilities9.35B8.08B6.13B5.89B5.84B7.74B
Stockholders Equity3.23B3.35B3.36B3.32B3.34B2.44B
Cash Flow
Free Cash Flow-347.06M-870.21M-118.57M204.60M-180.08M-495.62M
Operating Cash Flow-248.23M-821.16M-76.62M267.39M-142.72M-470.75M
Investing Cash Flow-99.94M-243.70M-36.66M-58.01M-32.06M-19.35M
Financing Cash Flow761.28M928.92M30.63M-381.16M1.11B506.52M

Deewin Tianxia Co. Ltd Class H Technical Analysis

Technical Analysis SentimentNegative
Last Price2.74

Price Trends

50DMA2.81Negative
100DMA2.80Negative
200DMA2.76Negative

Market Momentum

MACD0.01Negative
RSI49.47Neutral
STOCH61.76Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2418, the sentiment is Negative. The current price of 2.74 is above the 20-day moving average (MA) of 2.69, below the 50-day MA of 2.81, and below the 200-day MA of 2.76, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 49.47 is Neutral, neither overbought nor oversold. The STOCH value of 61.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2418.

Deewin Tianxia Co. Ltd Class H Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

HK:2418 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
Sector *61Neutral$18.38B12.79-2.54%3.03%1.52%-15.83%
HK:1268HK:126844NeutralHKD 390.41M-1.58-11.37%13.54%-17.65%92.47%
HK:2418HK:241844NeutralHKD 1.51B252.720.90%1.32%28.06%-75.16%
HK:1728HK:172842NeutralHKD 1.43B-0.4558.35%―1.77%45.42%
HK:3836HK:383641NeutralHKD 621.89M-0.86-13.15%―31.42%-181.28%
HK:0881HK:088140UnderperformHKD 5.28B-1.73-5.77%30.61%-5.03%-198.49%
HK:3669HK:366939UnderperformHKD 1.29B-0.62-20.16%22.36%-16.05%45.22%

* Consumer Cyclical Sector Average

Performance Comparison

-50%0%HK:2418HK:3669HK:1268HK:1728HK:3836HK:0881Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
HK:2418 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:2418Deewin Tianxia Co. Ltd Class H2.74-4.04-59.56%
HK:3669China Yongda Automobiles Services Holdings Limited0.68-0.99-59.28%
HK:1268China MeiDong Auto Holdings 0.29-1.30-81.72%
HK:1728China Zhengtong Auto Services Holdings 0.140.000.00%
HK:3836China Harmony Auto Holding Limited0.42-0.83-66.27%
HK:0881Zhongsheng Group Holdings Ltd.2.21-9.95-81.78%

Deewin Tianxia Co. Ltd Class H Corporate Events

Deewin Tianxia Publishes Unaudited 2026 Interim Results Announcement

Aug 28, 2026

Deewin Tianxia Co., Ltd, a PRC-incorporated joint stock company listed on the Hong Kong Stock Exchange under stock code 2418, released its unaudited interim results for the six months ended 30 June 2026. The group, based in Xi’an and overseen b...

Deewin Tianxia Changes Hong Kong Process Agent in Administrative Move

Aug 28, 2026

Deewin Tianxia Co., Ltd, a PRC-incorporated joint stock company listed in Hong Kong, announced a change to its Hong Kong process agent responsible for receiving legal process and notices under local company law. The company’s board, chaired by...

Deewin Tianxia Sets Board Meeting to Approve Interim Results and Consider Dividend

Aug 18, 2026

Deewin Tianxia Co., Ltd is a joint stock company incorporated in the People’s Republic of China with limited liability and listed in Hong Kong under stock code 2418. The company is governed by a board comprising executive, non-executive and ind...

Deewin Tianxia flags profit slump on competition and higher credit provisions

Aug 7, 2026

Deewin Tianxia has warned investors that its net profit for the six months ended 30 June 2026 is expected to fall sharply to between RMB30 million and RMB40 million from RMB91.7 million a year earlier. The company attributes the 56% to 67% decline ma...

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 06, 2026