M-Resources Group Limited (8186) AI Stock Analysis

M-Resources Group Limited

(HKEX:8186)

Select Model

Rating:51Neutral

Price Target:HKD 0.91▲(0.56% Upside)

Action:reiterated

Date:10/30/26

The score is driven primarily by mixed financial quality: improved revenue/profitability and a low-debt balance sheet are offset by persistently negative operating/free cash flow. Technicals add pressure as the stock trades below key moving averages with negative MACD, while valuation is less supportive given the high P/E and no dividend yield provided.

Positive Factors

Conservative leverageVery low debt relative to equity gives the company greater capacity to withstand operating volatility and fund necessary investment without relying heavily on lenders. This conservative leverage profile also limits interest burdens and preserves flexibility for capital allocation over the next several quarters.

Negative Factors

Negative cash conversionPersistent negative operating and free cash flow despite reported profits raises concerns about earnings quality and the company’s ability to convert accounting results into usable funds. Continued cash outflows could constrain self-funded growth, increase reliance on financing, and weaken liquidity if the pattern persists.

M-Resources Group Limited (8186) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 102.48M
Dividend Yield: ―
Average Volume (3M): 127.73K
Price to Earnings (P/E): 37.5
Beta (1Y): 1.05
Revenue Growth: -20.73%
EPS Growth: 34.45%
Country: Hong Kong
Employees: 15
Sector: Basic Materials
Sector Strength: 61
Industry: Paper, Lumber & Forest Products

M-Resources Group Limited Business Overview & Revenue Model

Company Description

M-Resources Group Limited, an investment holding company headquartered in Lai Chi Kok, Hong Kong, conducts a range of operations. These activities involve the sale of plantation and household products, the provision of financial services, and the dis...

How the Company Makes Money

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M-Resources Group Limited Financial Statement Overview

Summary

Earnings and revenue improved recently and the balance sheet is conservatively levered, but cash conversion is a major weakness: operating and free cash flow were negative in both 2024 and 2025 despite reported net income, raising earnings-quality and liquidity risk. Historical volatility and prior periods of negative equity also temper confidence.

Income Statement

56Neutral

Balance Sheet

78Positive

Cash Flow

32Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	37.77M	35.51M	29.16M	26.91M	22.31M	27.09M
Gross Profit	8.41M	6.09M	5.65M	4.88M	2.63M	3.28M
EBITDA	1.74M	1.08M	421.00K	-1.10M	51.28M	-3.94M
Net Income	2.73M	1.69M	189.00K	-1.64M	49.29M	-7.29M
Balance Sheet
Total Assets	31.19M	27.40M	26.46M	27.05M	22.19M	22.30M
Cash, Cash Equivalents and Short-Term Investments	12.85M	5.14M	7.02M	18.17M	4.96M	1.86M
Total Debt	0	33.00K	91.00K	574.00K	126.00K	49.07M
Total Liabilities	6.24M	4.00M	4.75M	5.62M	17.00M	70.26M
Stockholders Equity	24.23M	23.41M	21.72M	21.43M	5.19M	-47.96M
Cash Flow
Free Cash Flow	-4.71M	-2.20M	-10.31M	-3.47M	-57.00K	-4.23M
Operating Cash Flow	-4.71M	-2.20M	-10.31M	-3.47M	-57.00K	-4.04M
Investing Cash Flow	379.00K	379.00K	13.00K	178.00K	-44.00K	-185.00K
Financing Cash Flow	-31.00K	-58.00K	-837.00K	16.50M	3.20M	4.53M

M-Resources Group Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price0.90

Price Trends

50DMA1.02Negative

100DMA0.97Negative

200DMA1.13Negative

Market Momentum

MACD-0.03Positive

RSI33.58Neutral

STOCH44.44Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8186, the sentiment is Negative. The current price of 0.90 is below the 20-day moving average (MA) of 0.94, below the 50-day MA of 1.02, and below the 200-day MA of 1.13, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 33.58 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8186.

M-Resources Group Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

HK:8186 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:2314	73Outperform	HKD 13.49B	5.41	7.88%	6.52%	13.69%	83.56%
Sector *	61Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HK:8186	51Neutral	HKD 102.48M	37.51	11.46%	―	-20.73%	34.45%
HK:2002	49Neutral	HKD 1.86B	11.43	2.76%	2.87%	14.95%	-15.17%
HK:2689	49Neutral	HKD 21.14B	5.03	7.96%	―	22.31%	109.79%
HK:0731	40Underperform	HKD 360.72M	-3.68	-55.61%	―	27.73%	-478.69%
HK:1812	39Underperform	HKD 4.25B	-1.06	-447.20%	―	4.20%	52.87%

* Basic Materials Sector Average

Performance Comparison

HK:8186 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:8186	M-Resources Group Limited	0.90	0.59	190.32%
HK:2314	Lee & Man Paper Manufacturing	3.14	0.52	19.71%
HK:2689	Nine Dragons Paper Holdings Ltd.	4.50	-1.09	-19.55%
HK:1812	Shandong Chenming Paper Holdings Co., Ltd. Class H	0.46	-0.30	-39.47%
HK:2002	China Sunshine Paper Holdings Co. Ltd.	1.75	0.05	2.65%
HK:0731	C&D Newin Paper & Pulp Corporation Limited	0.26	0.05	21.43%

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: Oct 30, 2026

M-Resources Group Limited AI Stock Analysis