Asia Grocery Distribution Limited (8413) AI Stock Analysis

Asia Grocery Distribution Limited

(HKEX:8413)

Select Model

Rating:57Neutral

Price Target:HKD 0.07▲(19.64% Upside)

Action:reiterated

Date:09/18/26

The overall score of 57 reflects a company with a fortress-like balance sheet but significant operational challenges. The primary support comes from financial stability, driven by very low debt. However, this is heavily offset by deteriorating financial performance, including a recent revenue decline and margin compression, which raises concerns about future profitability. The stock also appears overvalued on a P/E basis with no dividend, and technical trends are weak, contributing to a below-average outlook.

Positive Factors

Low leverageConservative leverage and stable equity of approximately HK$97–104M reduce financial risk and preserve flexibility. This gives the company greater capacity to manage operating volatility, fund working-capital needs, and withstand weaker trading conditions without excessive debt pressure.

Negative Factors

Revenue contractionThe 2026 revenue decline interrupts the company’s preceding growth trend and raises concern about near-term demand, customer retention, or distribution volume. Persistent top-line contraction would reduce operating leverage and make it harder to improve already-thin profitability.

Asia Grocery Distribution Limited (8413) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 65.07M
Dividend Yield: ―
Average Volume (3M): 1.10M
Price to Earnings (P/E): 23.3
Beta (1Y): 0.26
Revenue Growth: -6.80%
EPS Growth: 77.78%
Country: Hong Kong
Employees: 64
Sector: Consumer Defensive
Sector Strength: 62
Industry: Food Distribution

Asia Grocery Distribution Limited Business Overview & Revenue Model

Company Description

Operating as an investment holding company, Asia Grocery Distribution Limited is a key player in the sourcing and distribution of food and beverage items throughout Hong Kong. Its comprehensive product portfolio includes staple commodities like rice,...

Asia Grocery Distribution Limited Financial Statement Overview

Summary

Financial performance is mixed. The balance sheet is a major strength with a score of 85, reflecting very low leverage and strong financial flexibility. However, the income statement is weak (score 48) due to declining revenue and margin compression, while cash flow is moderate (score 65) with positive but weakening generation. The overall financial health is moderate, heavily supported by solvency.

Income Statement

48Neutral

Balance Sheet

85Very Positive

Cash Flow

65Positive

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	286.66M	281.99M	302.54M	292.48M	286.24M	241.37M
Gross Profit	65.99M	56.35M	71.41M	66.11M	66.81M	58.33M
EBITDA	9.76M	5.45M	10.83M	10.63M	4.51M	6.62M
Net Income	1.29M	1.81M	1.06M	1.86M	-4.41M	-2.14M
Balance Sheet
Total Assets	131.63M	131.63M	125.13M	132.30M	135.60M	123.16M
Cash, Cash Equivalents and Short-Term Investments	69.43M	70.04M	60.87M	47.03M	34.98M	29.80M
Total Debt	9.67M	9.67M	4.76M	13.62M	19.79M	8.47M
Total Liabilities	29.89M	29.89M	25.20M	33.43M	38.60M	21.75M
Stockholders Equity	101.74M	101.74M	99.93M	98.87M	97.01M	101.42M
Cash Flow
Free Cash Flow	15.75M	15.30M	21.58M	19.01M	10.74M	-4.79M
Operating Cash Flow	17.44M	16.32M	23.94M	19.51M	14.05M	-2.52M
Investing Cash Flow	-411.00K	-948.00K	-2.78M	-419.00K	-3.70M	-1.78M
Financing Cash Flow	-6.88M	-6.78M	-7.36M	-7.05M	-5.17M	-4.34M

Asia Grocery Distribution Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price0.06

Price Trends

50DMA0.06Negative

100DMA0.05Positive

200DMA0.10Negative

Market Momentum

MACD-0.00Positive

RSI49.27Neutral

STOCH88.89Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8413, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.10, indicating a bearish trend. The MACD of -0.00 indicates Positive momentum. The RSI at 49.27 is Neutral, neither overbought nor oversold. The STOCH value of 88.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8413.

Asia Grocery Distribution Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

HK:8413 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:0831	67Neutral	HKD 297.52M	8.17	5.61%	10.53%	1.35%	38.28%
HK:2360	65Neutral	HKD 1.64B	7.49	40.50%	17.68%	1.19%	-12.34%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
HK:3999	59Neutral	HKD 563.98M	14.36	1.54%	―	4.12%	―
HK:8413	57Neutral	HKD 65.07M	23.33	2.88%	―	-6.80%	77.78%
HK:2119	45Neutral	HKD 320.73M	7.71	7.70%	7.12%	7.32%	-12.97%

* Consumer Defensive Sector Average

Performance Comparison

HK:8413 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:8413	Asia Grocery Distribution Limited	0.06	-0.06	-50.88%
HK:0831	Convenience Retail Asia Limited	0.38	0.09	30.58%
HK:3999	Dachan Food (Asia) Limited	0.56	-0.06	-10.48%
HK:2119	Tsit Wing International Holdings Limited	0.45	-0.08	-15.08%
HK:2360	Best Mart 360 Holdings Ltd.	1.64	-0.20	-10.87%
HK:2625	Jiangsu Horizon Chain Supermarket Company Limited Class H	0.75	-2.58	-77.48%

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 18, 2026

Asia Grocery Distribution Limited AI Stock Analysis