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Shanghai Top Numerical Control Technology Co., Ltd. Class H (HK:7688)
:7688
Hong Kong Market
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Shanghai Top Numerical Control Technology Co., Ltd. Class H (7688) AI Stock Analysis

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HK:7688

Shanghai Top Numerical Control Technology Co., Ltd. Class H

(7688)

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Neutral 42 (OpenAI - Gpt-5.6Sol)
Rating:42Neutral
Price Target:
$19.50
Action:N/A
Date:08/28/26
The score is driven primarily by a still-high-risk financial profile—thin profitability, rising leverage, and negative free cash flow—despite improving revenue growth and a return to modest profits. Technicals add pressure as the stock trades below key moving averages with negative MACD, while valuation is weakened by a negative P/E and no dividend yield data.
Positive Factors
Revenue Growth Recovery
The acceleration in revenue growth indicates stronger business activity and improved demand compared with the prior year. If maintained, this top-line recovery can broaden operating scale, support better utilization of the business, and provide a foundation for more durable earnings improvement.
Negative Factors
Higher Leverage
The sharp increase in debt relative to equity has reduced balance-sheet flexibility and increased the financial burden carried by the business. Higher leverage can constrain future investment and capital allocation, particularly because returns on equity remain low relative to the enlarged capital base.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth Recovery
The acceleration in revenue growth indicates stronger business activity and improved demand compared with the prior year. If maintained, this top-line recovery can broaden operating scale, support better utilization of the business, and provide a foundation for more durable earnings improvement.
Read all positive factors

Shanghai Top Numerical Control Technology Co., Ltd. Class H (7688) vs. iShares MSCI Hong Kong ETF (EWH)

Shanghai Top Numerical Control Technology Co., Ltd. Class H Business Overview & Revenue Model

Company Description
Shanghai Top Numerical Control Technology Co., Ltd., headquartered in Shanghai, China, specializes in the research, development, production, and distribution of intelligent manufacturing equipment. The company provides a comprehensive range of adv...

Shanghai Top Numerical Control Technology Co., Ltd. Class H Financial Statement Overview

Summary
Fundamentals are improving but remain fragile. Revenue growth rebounded in 2025 and gross margin held in the mid-30% range, but net/operating margins are very thin, leverage has increased materially (debt-to-equity ~1.85x), and cash generation is still weak with negative free cash flow despite improved operating cash flow in 2025.
Income Statement
56
Neutral
Balance Sheet
43
Neutral
Cash Flow
38
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022
Income Statement
Total Revenue445.87M577.98M531.56M334.63M138.64M
Gross Profit127.03M204.36M199.88M115.81M-45.49M
EBITDA-199.79M41.23M47.53M-24.10M-162.09M
Net Income-222.07M3.57M8.88M-60.52M-195.62M
Balance Sheet
Total Assets2.64B1.01B984.09M1.12B1.16B
Cash, Cash Equivalents and Short-Term Investments1.74B221.20M143.89M174.23M377.50M
Total Debt385.87M346.41M251.72M130.96M119.07M
Total Liabilities862.04M833.37M815.03M988.36M1.03B
Stockholders Equity1.78B187.65M174.99M137.45M132.00M
Cash Flow
Free Cash Flow97.73M-13.67M-155.97M-280.15M-51.59M
Operating Cash Flow136.65M25.39M-53.94M-258.11M-47.30M
Investing Cash Flow-38.94M-38.56M-93.78M-14.52M84.88M
Financing Cash Flow45.12M88.56M132.39M75.02M113.03M

Shanghai Top Numerical Control Technology Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
HK$15.57B20.0812.98%1.90%19.63%16.42%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
46
Neutral
HK$43.05B-59.98-8.41%89.21%46.76%
45
Neutral
HK$10.08B-59.42-5.65%66.66%-87.31%
42
Neutral
HK$7.77B-29.78-22.55%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:7688
Shanghai Top Numerical Control Technology Co., Ltd. Class H
20.56
-26.94
-56.72%
HK:1286
Impro Precision Industries Limited
8.44
4.66
123.33%
HK:9880
UBTECH ROBOTICS CORP LTD Class H
85.55
-22.35
-20.71%
HK:2432
Shenzhen Dobot Corp Ltd Class H
22.84
-28.81
-55.78%
HK:3200
Shenzhen Han's CNC Technology Co., Ltd. Class H
107.00
-2.47
-2.25%
HK:1021
Guangdong Huayan Robotics Co., Ltd. Class H
9.74
-8.67
-47.09%

Shanghai Top Numerical Control Technology Co., Ltd. Class H Corporate Events

Shanghai Top Numerical Control Technology Gains Hang Seng Index, Stock Connect Inclusion
Sep 4, 2026
Shanghai Top Numerical Control Technology Co., Ltd., a PRC-incorporated numerical control technology group listed in Hong Kong, provides manufacturing-related products and services via its H shares under stock code 7688. The company serves both ma...
Shanghai Top Numerical Control Swings to Interim Loss on Steep Revenue Decline
Aug 28, 2026
Shanghai Top Numerical Control Technology Co., Ltd., a PRC-incorporated industrial technology group listed in Hong Kong, focuses on numerical control technologies and associated products for manufacturing clients. The Group operates through multip...
Shanghai Top Numerical Control Schedules Board Meeting on Interim Results and Dividend
Aug 18, 2026
Shanghai Top Numerical Control Technology Co., Ltd. has scheduled a board meeting for 28 August 2026 to review and approve its interim results for the six months ended 30 June 2026. The meeting will also consider the payment of an interim dividend...
Shanghai Top Numerical Control Plans HK$300 Million H-Share Buyback
Jul 30, 2026
Shanghai Top Numerical Control Technology Co., Ltd. has received shareholder approval to repurchase up to 38,127,240 H shares, equivalent to 10% of its H-share capital, and now plans an on-market buyback of up to HK$300 million. The proposed repur...
Shanghai Top Numerical Control Wins Mandate for H-Share Buybacks at Hybrid EGM
Jul 29, 2026
Shanghai Top Numerical Control Technology Co., Ltd. held an extraordinary general meeting on 29 July 2026 as a hybrid event in Shanghai and online, with shareholders or proxies representing about 86.67% of the company’s 419,081,290 issued sh...
Shanghai Top Numerical Control Seeks Mandate to Buy Back Up to 10% of H Shares
Jul 10, 2026
Shanghai Top Numerical Control Technology Co., Ltd. Class H, a PRC-incorporated joint stock company listed on the Hong Kong Stock Exchange under stock code 7688, issues H shares to international and mainland-related investors. Operating under both...
Shanghai Top Numerical Control Sees Surge in Aerospace Contracts but Urges Investor Caution
Jul 2, 2026
Shanghai Top Numerical Control Technology Co., Ltd. has reported a sharp increase in newly secured contracts for the six months ended 30 June 2026, with total contract value reaching about RMB470.0 million versus approximately RMB218.0 million in ...
Shanghai Top Numerical Control Seeks Mandate for 10% H-Share Buyback
Jun 29, 2026
Shanghai Top Numerical Control Technology Co., Ltd. plans to seek shareholder approval for a general mandate to repurchase up to 10% of its H shares in issue, excluding treasury shares. The company’s board argues that the current H-share pri...
Shanghai Top Numerical Control Fully Exercises Over-Allotment Option After Hong Kong Listing
Jun 14, 2026
Shanghai Top Numerical Control Technology Co., Ltd. has fully exercised the over-allotment option linked to its recent global share offering, issuing 9,799,500 additional H shares. The new shares, representing about 15% of the initial offer size, ...
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: Aug 28, 2026