Shanxi Changcheng Microlight Equipment Co. Ltd. Class H (8286) AI Stock Analysis

• Market Cap: HK$39.84M
• Dividend Yield: N/A
• Average Volume (3M): 23.50K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.36
• Revenue Growth: 21.29%
• EPS Growth: -91.90%
• Country: HK
• Employees: 295
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): -0.01
• Shares Outstanding: 110,000,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 23,500
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.12
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 23.78
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 44 Neutral
• Price Target: HK$0.00 ▼(-100.00% Downside)

The overall stock score is primarily driven by the company's weak financial performance, characterized by high leverage and negative equity, which poses significant risks. While the stock shows positive technical momentum, the overbought condition may limit further gains. Additionally, the negative P/E ratio highlights overvaluation concerns given the lack of profitability.

Shanxi Changcheng Microlight Equipment Co. Ltd. Class H Business Overview & Revenue Model

Company Description

Shanxi Changcheng Microlight Equipment Co. Ltd. Class H (8286) is a China-based company primarily engaged in the manufacturing and distribution of optical instruments and equipment. The company specializes in producing a wide range of optical products, including microscopes, telescopes, and other precision optical devices, serving both domestic and international markets. Shanxi Changcheng is known for its commitment to integrating advanced technology with innovative design to meet the diverse needs of its clientele across various sectors, including scientific research, education, and industry.

How the Company Makes Money

Shanxi Changcheng Microlight Equipment Co. Ltd. generates revenue primarily through the sale of its optical instruments and devices. The company taps into multiple revenue streams by catering to different sectors such as educational institutions, research labs, and industrial clients. It sells both standard products and customized solutions, allowing it to meet specific client requirements and enhance its market appeal. Additionally, the company might engage in strategic partnerships and collaborations with other firms or research institutions to expand its market reach and develop new products, although specific partnerships are not detailed. Export sales also contribute significantly to its revenue, as it serves international markets in addition to the domestic Chinese market.

Shanxi Changcheng Microlight Equipment Co. Ltd. Class H Financial Statement Overview

Summary

The company faces significant financial challenges with declining revenues and persistent losses impacting profitability. The balance sheet shows high leverage and negative equity, raising concerns about financial stability. Despite some improvement in cash flow, the overall financial position is weak.

Income Statement

The company has experienced a significant decline in revenue over the past year, with a revenue decrease from 26.7 million to 17.1 million. Gross profit margins have also decreased, indicating challenges in maintaining profitability. The net profit margin is negative, reflecting ongoing losses, and both EBIT and EBITDA margins are negative, highlighting operational inefficiencies.

Balance Sheet

The balance sheet reveals high leverage, with a negative stockholders' equity indicating more liabilities than assets. The debt-to-equity ratio is not calculable due to negative equity, and the equity ratio is negative, suggesting financial instability. The company is heavily reliant on debt financing, which poses a risk.

Cash Flow

The cash flow statement shows some improvement in free cash flow, turning positive in the latest period. However, the operating cash flow to net income ratio is low due to negative net income, and the free cash flow to net income ratio is not favorable. While there is some positive cash flow from operations, overall cash flow stability remains a concern.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.14M	26.72M	15.54M	18.42M	8.06M
Gross Profit	6.43M	12.38M	5.96M	3.32M	-662.00K
EBITDA	-18.48M	3.64M	20.11M	-14.66M	-11.97M
Net Income	-33.62M	-10.38M	7.21M	-40.39M	-27.91M
Balance Sheet
Total Assets	162.87M	171.67M	150.65M	148.50M	173.75M
Cash, Cash Equivalents and Short-Term Investments	292.00K	277.00K	405.00K	399.00K	1.22M
Total Debt	70.77M	70.79M	68.60M	116.37M	90.09M
Total Liabilities	304.80M	279.97M	248.57M	262.93M	247.72M
Stockholders Equity	-141.72M	-108.19M	-97.80M	-114.30M	-73.92M
Cash Flow
Free Cash Flow	732.00K	-1.75M	-403.00K	502.00K	-2.11M
Operating Cash Flow	891.00K	-1.25M	-362.00K	511.00K	20.86M
Investing Cash Flow	-231.00K	5.33M	283.00K	382.00K	-23.35M
Financing Cash Flow	-645.00K	-4.21M	85.00K	-1.71M	3.56M

Shanxi Changcheng Microlight Equipment Co. Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.13
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8286, the sentiment is Positive. The current price of 0.13 is below the 20-day moving average (MA) of 0.13, below the 50-day MA of 0.14, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.88 is Neutral, neither overbought nor oversold. The STOCH value of 60.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8286.

Shanxi Changcheng Microlight Equipment Co. Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8092	68 Neutral	HK$35.17M	17.27	10.68%	5.26%	-0.15%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
8043	60 Neutral	HK$72.40M	22.18	5.29%	―	9.71%	―
1087	55 Neutral	HK$263.85M	―	-17.08%	―	-7.93%	45.04%
0248	50 Neutral	HK$48.57M	―	-11.64%	―	-51.47%	-22.16%
8245	45 Neutral	HK$46.41M	―	-888.47%	―	-36.76%	-549.68%
8286	44 Neutral	HK$39.84M	―	―	―	21.29%	-91.90%