Clifford Modern Living Holdings Ltd (3686) AI Stock Analysis

• Market Cap: HK$680.55M
• Dividend Yield: 6.72%
• Average Volume (3M): 659.65K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.37
• Revenue Growth: -2.42%
• EPS Growth: 49.65%
• Country: HK
• Employees: 618
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 0.08
• Shares Outstanding: 1,015,750,000
• 10 Day Avg. Volume: 612,000
• 30 Day Avg. Volume: 659,654
• PEG Ratio: 0.36
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 6.03
• 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: HK$0.50
• Price Target Upside: -25.37% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: HK$0.50 ▼(-25.37% Downside)

Clifford Modern Living Holdings Ltd scores well due to its solid financial performance and attractive valuation metrics. Strong profitability and low leverage enhance its appeal, although cash flow management is a concern. Technical indicators show bullish momentum, but caution is advised due to overbought signals.

Clifford Modern Living Holdings Ltd Business Overview & Revenue Model

Company Description

Clifford Modern Living Holdings Limited, an investment holding company, provides retail services in the People's Republic of China. The company operates through six segments: Property Management Services, Renovation and Fitting-Out Services, Retail Services, Off-Campus Training Services, Information Technology Services, and Ancillary Living Services. It operates 18 retail outlets, which include two supermarkets, one wet market, and 15 convenience stores. The company also offers general property management and resident support services to residential communities and commercial properties; renovation and fitting-out services to residents, tenants or owners, and third-party sub-contractors; and off-campus training services, including interest classes and language learning classes. In addition, it provides information technology and related engineering services; security systems, and hardware and software integration services, as well as telecommunication sales outlet services; and catering consultancy, property agency, employment placement, and laundry services. The company offers its services to residents under the Clifford brand. Clifford Modern Living Holdings Limited was founded in 1998 and is headquartered in Guangzhou, the People's Republic of China.

How the Company Makes Money

Clifford Modern Living Holdings Ltd makes money through its diversified service offerings in the property management sector. The primary revenue streams include fees from property management services, which involve managing residential and commercial properties to ensure their smooth operation and maintenance. Additionally, the company earns through its environmental hygiene services, providing cleaning and sanitation solutions, and engineering services, which include building maintenance and repair. The company's earnings are further supported by strategic partnerships with property developers and real estate companies, allowing it to expand its service reach and client base. These partnerships, along with a focus on high-quality service delivery, contribute significantly to its revenue generation.

Clifford Modern Living Holdings Ltd Financial Statement Overview

Summary

Clifford Modern Living Holdings Ltd shows strong profitability with robust gross and net profit margins. The income statement and balance sheet reflect financial stability and efficient operations. However, the absence of recent cash flow data suggests an area for potential improvement.

Income Statement

Clifford Modern Living Holdings Ltd has demonstrated consistent growth in key income metrics. The gross profit margin stands strong at 46.1%, and the net profit margin is robust at 26.5%, indicating effective cost management and profitability. Revenue growth is modest at 6.5% year-over-year, and the EBIT margin is healthy at 30.3%. These figures suggest solid operational efficiency and profitability.

Balance Sheet

The balance sheet reflects financial stability with a low debt-to-equity ratio of 0.10 and an impressive equity ratio of 74.8%. Return on equity is high at 21.5%, suggesting efficient use of shareholders' equity to generate profits. Despite the decrease in total assets and equity, the company maintains a strong financial position with significant cash reserves.

Cash Flow

Cash flow metrics indicate some weaknesses, with operating cash flow and free cash flow unavailable for the recent period. Historical data shows declining free cash flow growth, but the free cash flow to net income ratio was previously strong. Cash reserves remain substantial, providing liquidity, but current cash flow generation is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	346.31M	367.38M	345.04M	382.88M	430.84M	420.94M
Gross Profit	167.30M	169.37M	163.61M	177.84M	189.19M	183.75M
EBITDA	119.85M	121.77M	147.66M	154.71M	136.57M	127.87M
Net Income	119.61M	97.54M	85.84M	95.14M	81.12M	128.74M
Balance Sheet
Total Assets	555.18M	605.52M	872.78M	843.10M	763.66M	694.17M
Cash, Cash Equivalents and Short-Term Investments	286.65M	282.91M	711.14M	622.24M	416.67M	358.33M
Total Debt	35.47M	45.14M	49.80M	67.44M	65.89M	44.13M
Total Liabilities	174.04M	152.41M	171.54M	204.50M	201.13M	190.18M
Stockholders Equity	381.14M	453.11M	701.23M	638.60M	562.53M	503.99M
Cash Flow
Free Cash Flow	72.71M	79.06M	115.92M	154.61M	87.51M	95.93M
Operating Cash Flow	73.59M	80.45M	119.09M	156.01M	88.62M	105.23M
Investing Cash Flow	-52.51M	-28.53M	-55.12M	95.43M	-42.74M	-91.64M
Financing Cash Flow	-158.96M	-360.15M	-40.07M	-36.08M	-38.40M	-34.10M

Clifford Modern Living Holdings Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.67
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3686, the sentiment is Positive. The current price of 0.67 is above the 20-day moving average (MA) of 0.65, above the 50-day MA of 0.64, and above the 200-day MA of 0.53, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 69.60 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3686.

Clifford Modern Living Holdings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3686	74 Outperform	HK$680.55M	5.28	30.11%	6.72%	-2.42%	49.65%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2215	58 Neutral	HK$477.30M	13.98	4.11%	―	-7.17%	-22.01%
0727	50 Neutral	HK$391.09M	15.06	6.51%	―	-39.27%	―
0021	48 Neutral	HK$405.47M	28.14	-4.27%	―	1303.01%	-45.00%
3913	42 Neutral	HK$498.36M	24.82	-29.80%	―	-15.03%	-3600.73%

Clifford Modern Living Holdings Ltd Corporate Events

Clifford Modern Living Holdings Ltd Enhances Governance with New Nomination Committee

Clifford Modern Living Holdings Ltd has announced the terms of reference for its Nomination Committee, which is responsible for overseeing the selection and appointment of directors. The committee will consist of at least three members, with a majority being independent non-executive directors, and will include at least one director of a different gender. This move is likely to enhance the governance structure of the company, ensuring a diverse and independent board, which could positively impact its operations and stakeholder confidence.

Clifford Modern Living Approves Key Resolutions at AGM

Clifford Modern Living Holdings Ltd announced the successful passing of all resolutions during its Annual General Meeting held on June 20, 2025. The resolutions included the approval of financial statements, re-election of directors, and the declaration of a final dividend of HK4.50 cents per share. The company also authorized the board to manage director remuneration and reappointed Moore CPA Limited as auditors. These decisions are expected to strengthen the company’s governance and financial strategies, potentially enhancing shareholder value.