Ocean Star Technology Group Limited (8297) AI Stock Analysis

Ocean Star Technology Group Limited

(HKEX:8297)

Select Model

Rating:42Neutral

Price Target:HKD 0.03▲(8.33% Upside)

Action:reiterated

Date:10/29/26

The score is held down primarily by weak financial quality (continued losses, shrinking revenue, and negative equity) and bearish price/indicator trends (below all key moving averages and negative MACD). A 2026 rebound to positive operating and free cash flow provides partial support, but the improvement needs to prove sustainable.

Positive Factors

Cash Flow RecoveryThe return to positive operating and free cash flow improves internal funding capacity and indicates that cash burn was better controlled in 2026. If maintained, this recovery could support operations and reduce reliance on external financing, although volatility means consistency still needs to be demonstrated.

Negative Factors

Revenue ContractionRepeated revenue contraction points to ongoing demand or scale pressure and weakens the company’s ability to absorb fixed operating costs. Unless sales stabilize, the high gross margin may not translate into profitability, limiting the durability of the recent improvement in losses.

Ocean Star Technology Group Limited (8297) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 32.60M
Dividend Yield: ―
Average Volume (3M): 11.58M
Price to Earnings (P/E): -5.7
Beta (1Y): 0.70
Revenue Growth: -8.57%
EPS Growth: 84.64%
Country: Hong Kong
Employees: 43
Sector: Consumer Cyclical
Sector Strength: 61
Industry: Apparel - Manufacturers

Ocean Star Technology Group Limited Business Overview & Revenue Model

Company Description

Ocean Star Technology Group Limited functions as an investment holding company, with its primary activities centered on the design, production, and retail of intimate apparel. Its product portfolio features brassieres, body-shaping undergarments, and...

Ocean Star Technology Group Limited Financial Statement Overview

Summary

Overall fundamentals are weak: revenue is shrinking (~-23% in 2026) and the company remains loss-making (~-19% net margin) with negative shareholders’ equity, which heightens financial risk. Offsetting this, 2026 showed a notable rebound to positive operating cash flow (~5.7m) and free cash flow (~5.4m), and losses narrowed versus 2024–2025, but durability is uncertain given prior cash-flow volatility.

Income Statement

24Negative

Balance Sheet

18Very Negative

Cash Flow

46Neutral

Financial statement breakdown
Breakdown	TTM	Sep 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	27.00M	27.00M	29.53M	41.17M	44.69M	46.59M
Gross Profit	10.54M	21.03M	23.69M	27.17M	26.57M	34.54M
EBITDA	-1.28M	-3.54M	-21.16M	-14.30M	-12.39M	-6.03M
Net Income	-5.25M	-5.25M	-30.02M	-27.16M	-34.72M	-18.80M
Balance Sheet
Total Assets	36.25M	36.25M	41.21M	59.38M	93.39M	95.49M
Cash, Cash Equivalents and Short-Term Investments	3.73M	3.73M	2.50M	5.74M	28.77M	24.78M
Total Debt	3.17M	3.17M	4.67M	5.73M	16.37M	16.81M
Total Liabilities	67.62M	67.62M	67.07M	68.45M	80.18M	88.89M
Stockholders Equity	-31.37M	-31.37M	-25.86M	-9.07M	13.21M	6.60M
Cash Flow
Free Cash Flow	2.67M	5.36M	-12.49M	-14.52M	-22.91M	-25.07M
Operating Cash Flow	2.85M	5.73M	-12.41M	-14.41M	-19.01M	-23.07M
Investing Cash Flow	-174.50K	-366.00K	233.00K	-90.00K	-5.85M	-2.21M
Financing Cash Flow	-2.10M	-4.20M	7.15M	-5.65M	27.38M	43.46M

Ocean Star Technology Group Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price0.02

Price Trends

50DMA0.04Negative

100DMA0.04Negative

200DMA0.04Negative

Market Momentum

MACD-0.01Positive

RSI39.28Neutral

STOCH50.44Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8297, the sentiment is Negative. The current price of 0.02 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 39.28 is Neutral, neither overbought nor oversold. The STOCH value of 50.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8297.

Ocean Star Technology Group Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

HK:8297 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:2232	80Outperform	HKD 21.97B	11.88	14.47%	5.52%	4.21%	9.77%
HK:2313	62Neutral	HKD 57.57B	10.77	12.10%	5.43%	1.86%	-27.58%
Sector *	61Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
HK:0311	50Neutral	HKD 341.26M	4.04	6.65%	7.61%	0.41%	―
HK:0321	46Neutral	HKD 1.06B	6.58	3.28%	13.07%	-7.87%	38.45%
HK:3322	44Neutral	HKD 244.04M	-1.80	-10.95%	―	-16.20%	-324.90%
HK:8297	42Neutral	HKD 32.60M	-5.67	18.33%	―	-8.57%	84.64%

* Consumer Cyclical Sector Average

Performance Comparison

HK:8297 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:8297	Ocean Star Technology Group Limited	0.02	-0.02	-46.15%
HK:2313	Shenzhou International Group Holdings	38.30	-25.23	-39.71%
HK:0321	Texwa Holdings	0.77	0.07	9.29%
HK:0311	Luen Thai Holdings Limited	0.33	0.11	49.32%
HK:3322	Win Hanverky Holdings Limited	0.19	-0.01	-5.00%
HK:2232	Crystal International Group Limited	7.70	1.26	19.64%

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 29, 2026

Ocean Star Technology Group Limited AI Stock Analysis