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Easou Technology Holdings Limited (HK:2550)
:2550
Hong Kong Market
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Easou Technology Holdings Limited (2550) AI Stock Analysis

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HK:2550

Easou Technology Holdings Limited

(2550)

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Neutral 52 (OpenAI - 4o)
Rating:52Neutral
Price Target:
HK$5.00
▲(65.56% Upside)
Easou Technology Holdings Limited faces significant challenges, primarily driven by its poor financial performance and overvaluation. The company's profitability issues and liquidity constraints are major concerns. Technical indicators suggest a bearish trend, further impacting the stock's attractiveness. The absence of earnings call insights and corporate events leaves these areas unaddressed.

Easou Technology Holdings Limited (2550) vs. iShares MSCI Hong Kong ETF (EWH)

Easou Technology Holdings Limited Business Overview & Revenue Model

Company DescriptionEasou Technology Holdings Limited (2550) is a company primarily engaged in the technology sector. It focuses on the development and provision of mobile internet services, with its core offerings revolving around mobile search engines and related internet-based solutions. The company aims to enhance user experience by leveraging innovative technologies and providing comprehensive search capabilities across mobile platforms.
How the Company Makes MoneyEasou Technology Holdings Limited generates revenue primarily through its mobile internet services, particularly its mobile search engine platform. The company earns money by offering advertising services to businesses seeking to reach mobile users. This includes both display and search-based advertisements. Additionally, partnerships with content providers and mobile developers help expand the reach and capability of Easou's platform, potentially leading to shared revenue opportunities. The company's ability to attract and retain a large user base is crucial to its advertising revenue model, as it increases the attractiveness of its platform to advertisers.

Easou Technology Holdings Limited Financial Statement Overview

Summary
Easou Technology Holdings Limited shows revenue growth but faces significant profitability challenges, with negative EBIT and net income. The balance sheet is stable with moderate leverage, but poor returns on equity and cash flow issues, including zero operating and free cash flow, indicate potential liquidity constraints.
Income Statement
65
Positive
Easou Technology Holdings Limited shows a mixed performance in its income statement. The company experienced a positive revenue growth rate from 2023 to 2024, increasing from 559,045,000 to 604,164,000. However, both EBIT and Net Income turned negative in 2024, indicating a decline in operational efficiency and profitability. The EBIT margin fell significantly, and although the EBITDA margin is positive, it is relatively low. These factors suggest some challenges in maintaining profitability despite revenue growth.
Balance Sheet
70
Positive
The balance sheet reveals a strong equity position with an equity ratio of approximately 65.36% in 2024, reflecting financial stability. The debt-to-equity ratio is 0.43, indicating moderate leverage, which is manageable. However, the company's return on equity has turned negative in 2024, reflecting the impact of the negative net income on shareholder returns. Overall, the balance sheet suggests a stable financial structure but highlights concerns over profitability.
Cash Flow
50
Neutral
The cash flow statement is concerning, with operating cash flow dropping to zero in 2024 from negative figures in previous years. Free cash flow is also zero, indicating potential liquidity issues. The lack of free cash flow growth and operating cash flow to net income ratio suggests challenges in generating cash from operations, which could affect future investments and debt servicing.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue708.59M604.16M559.04M456.41M433.11M
Gross Profit290.57M255.81M259.73M238.67M208.69M
EBITDA21.95M15.57M58.87M67.40M72.63M
Net Income4.93M-2.08M25.01M44.39M49.98M
Balance Sheet
Total Assets798.20M680.85M505.43M394.31M404.95M
Cash, Cash Equivalents and Short-Term Investments331.09M233.17M162.36M160.01M217.53M
Total Debt132.61M193.65M85.14M89.83M308.00K
Total Liabilities171.13M235.10M126.10M137.64M55.03M
Stockholders Equity626.56M445.08M378.71M256.08M349.39M
Cash Flow
Free Cash Flow-54.20M-108.17M-77.72M-5.79M24.06M
Operating Cash Flow-47.08M-94.47M-29.50M6.07M50.95M
Investing Cash Flow6.65M-9.37M-127.04M-20.70M-22.43M
Financing Cash Flow0.00181.85M97.49M-48.18M-20.27M

Easou Technology Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price3.02
Price Trends
50DMA
3.87
Negative
100DMA
4.18
Negative
200DMA
4.13
Negative
Market Momentum
MACD
-0.19
Negative
RSI
39.70
Neutral
STOCH
25.83
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2550, the sentiment is Negative. The current price of 3.02 is below the 20-day moving average (MA) of 3.04, below the 50-day MA of 3.87, and below the 200-day MA of 4.13, indicating a bearish trend. The MACD of -0.19 indicates Negative momentum. The RSI at 39.70 is Neutral, neither overbought nor oversold. The STOCH value of 25.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2550.

Easou Technology Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
HK$2.58B20.188.02%0.93%40.20%26.39%
60
Neutral
HK$24.56B80.3315.99%51.81%86.98%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
53
Neutral
HK$1.50B586.670.45%35.73%-88.89%
52
Neutral
HK$1.32B183.650.89%
43
Neutral
HK$135.59M-31.88%-5.03%-35.29%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2550
Easou Technology Holdings Limited
3.02
-54.93
-94.79%
HK:1762
Wanka Online, Inc.
0.88
0.72
450.00%
HK:1860
Mobvista, Inc.
16.53
14.80
855.49%
HK:1917
Doumob
0.06
0.00
0.00%
HK:1948
UJU HOLDING LIMITED
4.30
3.12
264.41%
HK:2131
Netjoy Holdings Limited
0.46
-0.17
-26.98%

Easou Technology Holdings Limited Corporate Events

Easou Technology Invests in Lightnet to Expand Fintech Footprint
Aug 6, 2025

Easou Technology Holdings Limited has announced an investment in Lightnet Pte. Ltd., acquiring approximately 1.23% equity interest for USD 5 million. This strategic move, funded by the company’s working capital and proceeds from recent share placements, positions Easou to benefit from Lightnet’s expertise in payment solutions and money services across South-East Asia. The transaction highlights Easou’s commitment to expanding its footprint in the financial technology sector, leveraging Lightnet’s advanced payment solutions powered by AI and blockchain technology. The completion of this investment is contingent upon satisfactory due diligence, and stakeholders are advised to exercise caution as the transaction may or may not proceed.

Easou Technology Completes Share Placing and Subscription
Aug 6, 2025

Easou Technology Holdings Limited has successfully completed the placing of existing shares and a top-up subscription of new shares under a general mandate. The placing involved 65,787,000 shares, which were sold at HKD5.26 per share to independent and non-connected parties. The subscription also involved 65,787,000 new shares issued at the same price, representing 14.55% of the total issued shares. This move is part of the company’s strategy to enhance its capital base without any of the placees becoming substantial shareholders.

Easou Technology Announces Share Placing and Subscription Agreement
Jul 23, 2025

Easou Technology Holdings Limited has announced a Placing and Subscription Agreement involving the sale and issuance of shares. The agreement includes the sale of 65,787,000 existing shares by a vendor and the issuance of an equivalent number of new shares to the vendor, both at the same price. This transaction represents approximately 17.0% of the company’s total issued shares and aims to enhance the company’s capital structure. The completion of this agreement is contingent upon certain conditions, including no material adverse changes in the company’s financial condition and the receipt of necessary legal opinions.

Easou Technology Forms Joint Venture for Blockchain-Based RWA Platform
Jul 23, 2025

Easou Technology Holdings Limited has formed a joint venture with Acceleronet HPC Limited, a Huawei Cloud Solution Provider, to establish Novus Infusion Partners Limited. This new entity will focus on the issuance of Real-World Assets (RWA) and the development of a blockchain-based platform for tokenizing and managing intangible cultural intellectual property rights. The collaboration aims to create a cross-border and cross-chain RWA ecosystem, enhancing Easou’s positioning in the digital asset space and potentially impacting stakeholders involved in the Web3.0 industry transformation.

Easou Technology Completes Share Placing and Subscription
Jun 30, 2025

Easou Technology Holdings Limited has announced the successful completion of its placing and subscription agreement, which involved the placement of 57,330,000 existing shares and the issuance of 57,330,000 new shares. The shares were placed at a price of HKD3.20 each to independent and non-connected parties, and the new shares represent approximately 14.84% of the company’s total issued shares. This move is expected to strengthen the company’s capital base and potentially enhance its market positioning.

Easou Technology Enters Strategic Partnership for Digital Asset Tokenization
Jun 29, 2025

Easou Technology Holdings Limited has entered into a framework cooperation agreement with a Hong Kong-based technology company, a Huawei Cloud Solution Provider, to collaborate on Real World Assets-tokenization (RWA) products. This strategic partnership aims to utilize Easou’s digital content expertise and the cooperator’s financial sector connections to develop RWA products with cultural and creative intellectual property as underlying assets. Additionally, the parties plan to co-invest in a data center in Hong Kong to support these projects. A letter of intent was also signed to explore a potential acquisition for building a data center in Hong Kong, Japan, or Southeast Asia, with a budget of up to HKD3.0 billion, although this acquisition is subject to further negotiations and is not yet legally binding.

Easou Technology Holdings Secures Shareholder Approval for Key Resolutions
Jun 27, 2025

Easou Technology Holdings Limited announced the successful passing of all proposed resolutions at its Annual General Meeting held on June 27, 2025. The resolutions included the adoption of audited financial statements, re-election of directors, re-appointment of auditors, and granting of mandates for share issuance and repurchase. This outcome reflects strong shareholder support and positions the company for continued operational and strategic initiatives.

Easou Technology Announces Share Placing and Subscription Agreement
Jun 19, 2025

Easou Technology Holdings Limited has entered into a Placing and Subscription Agreement involving the sale and issuance of shares. The Vendor will sell 57,330,000 shares through Placing Agents, and subsequently, the same amount of new shares will be issued to the Vendor. This move represents approximately 17.4% of the company’s current issued shares and aims to strengthen its capital base and market positioning.

Easou Technology Reschedules AGM and Adjusts Book Closure Period
May 19, 2025

Easou Technology Holdings Limited has announced a change in the schedule of its Annual General Meeting (AGM) due to administrative reasons. The AGM, originally set for May 30, 2025, has been rescheduled to June 27, 2025. Consequently, the book closure period has also been adjusted to June 24-27, 2025, during which no share transfers will be registered. Shareholders are advised that the previously distributed AGM Form of Proxy remains valid for the rescheduled meeting.

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 02, 2025