Madison Holdings Group Limited (8057) AI Stock Analysis

Madison Holdings Group Limited

(HKEX:8057)

Select Model

Rating:40Underperform

Price Target:HKD 0.22▲(1.85% Upside)

Action:reiterated

Date:09/25/26

The overall score is low because the company’s financial position is severely stressed, with sharply declining revenue, compressed margins, persistent losses, negative equity, and three years of negative free cash flow that together point to elevated solvency and funding risk. Technical indicators reinforce a cautious view, as the share price is in a clear downtrend and deeply oversold, suggesting pressure and volatility rather than a confirmed recovery. Valuation is not compelling given the negative P/E and absence of a dividend, meaning the low price is driven by weak fundamentals rather than proven value or income support.

Positive Factors

Stable Asset BaseThe relatively stable asset base indicates that Madison has retained its operating scale despite recent earnings deterioration. While this does not offset negative equity, maintaining assets may provide a foundation for restructuring, portfolio repositioning, or recovery if management improves returns.

Negative Factors

Revenue and Margin ContractionThe sharp revenue decline and substantial gross-margin compression point to weakening commercial performance and reduced earnings quality. Lower scale and profitability can make fixed costs harder to absorb, limit reinvestment capacity, and keep the company exposed to continued operating losses over the next several quarters.

Madison Holdings Group Limited (8057) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 1.35M
Dividend Yield: ―
Average Volume (3M): 254.65K
Price to Earnings (P/E): -0.7
Beta (1Y): -0.50
Revenue Growth: -18.55%
EPS Growth: -15.37%
Country: Hong Kong
Employees: 106
Sector: Financial
Sector Strength: 68
Industry: Financial - Credit Services

Madison Holdings Group Limited Business Overview & Revenue Model

Company Description

As an investment holding company, Madison Holdings Group Limited primarily focuses on the distribution of wine and various other alcoholic beverages, both through retail and wholesale channels, across mainland China and Hong Kong. Its operations are...

Madison Holdings Group Limited Financial Statement Overview

Summary

Financial performance is very weak: revenue has dropped sharply from about HKD 130 million in 2022 to roughly HKD 58 million in 2026, margins have compressed from high-40% to about 27%, the company is loss-making with large operating and net losses, shareholders’ equity is negative with a sizable accumulated deficit, and cash flow has deteriorated from strong positive to three consecutive years of negative operating and free cash flow, indicating sustained cash burn and high insolvency risk despite modest debt reduction.

Income Statement

18Very Negative

Balance Sheet

12Very Negative

Cash Flow

22Negative

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	82.34M	57.90M	71.09M	68.09M	97.17M	130.49M
Gross Profit	26.63M	15.46M	30.60M	19.29M	32.13M	42.25M
EBITDA	-22.11M	-24.94M	-6.09M	-2.10M	35.25M	-7.91M
Net Income	-21.93M	-17.55M	-15.22M	-16.22M	-2.21M	-16.64M
Balance Sheet
Total Assets	343.79M	343.79M	336.99M	350.81M	432.28M	618.52M
Cash, Cash Equivalents and Short-Term Investments	31.88M	23.10M	22.32M	34.44M	72.91M	49.74M
Total Debt	167.12M	79.98M	95.99M	107.22M	135.88M	369.91M
Total Liabilities	197.03M	197.03M	188.06M	237.52M	282.70M	442.25M
Stockholders Equity	-124.94M	-124.94M	-114.07M	-38.88M	-12.42M	3.53M
Cash Flow
Free Cash Flow	19.70M	-13.43M	-5.44M	-9.59M	30.68M	45.72M
Operating Cash Flow	19.76M	-13.40M	-5.34M	-9.46M	30.81M	46.52M
Investing Cash Flow	34.50K	-36.00K	1.10M	9.56M	9.30M	5.66M
Financing Cash Flow	1.93M	12.75M	-7.54M	-36.83M	-23.02M	-22.77M

Madison Holdings Group Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price0.22

Price Trends

50DMA0.32Negative

100DMA0.47Negative

200DMA0.55Negative

Market Momentum

MACD-0.02Negative

RSI27.35Positive

STOCH54.30Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8057, the sentiment is Negative. The current price of 0.22 is above the 20-day moving average (MA) of 0.21, below the 50-day MA of 0.32, and below the 200-day MA of 0.55, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 27.35 is Positive, neither overbought nor oversold. The STOCH value of 54.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8057.

Madison Holdings Group Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

HK:8057 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
HK:0007	67Neutral	HKD 101.12M	3.08	11.04%	―	―	―
HK:2324	61Neutral	HKD 83.72M	0.32	28.16%	―	600.05%	―
HK:0310	52Neutral	HKD 84.47M	-6.60	-82.36%	―	―	79.32%
HK:3963	49Neutral	HKD 70.39M	-7.03	-87.70%	―	1.99%	-21.32%
HK:0810	42Neutral	HKD 58.45M	-63.08	2.01%	―	―	97.66%
HK:8057	40Underperform	HKD 33.65M	-0.70	17.46%	―	-18.55%	-15.37%

* Financial Sector Average

Performance Comparison

HK:8057 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:8057	Madison Holdings Group Limited	0.22	-0.26	-54.81%
HK:2324	Capital VC Limited	0.09	-0.02	-16.22%
HK:0310	Prosperity Investment Holdings Limited	0.14	-0.10	-41.88%
HK:3963	China Rongzhong Financial Holdings Company Limited	0.12	-0.08	-42.00%
HK:0810	China Internet Investment Finance Holdings Ltd.	0.08	-0.03	-28.07%

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 25, 2026

Madison Holdings Group Limited AI Stock Analysis