AMTD Digital, Inc. Sponsored ADR (HKD) AI Stock Analysis

273 Followers

AMTD Digital, Inc. Sponsored ADR

(NYSE:HKD)

Select Model

Rating:42Neutral

Price Target:$1.50▲(7.14% Upside)

Action:reiterated

Date:11/07/26

The overall score is very weak, driven primarily by severe operational deterioration and a leveraged balance sheet. Revenue is in steep decline, margins are compressing, and cash flow quality is poor. Technicals reinforce the negative outlook with the stock in a sustained downtrend and deeply oversold. The low P/E ratio is a value trap, distorted by non-operating income.

Positive Factors

Broader operating revenueGrowth in customer-based revenue and hotel operations indicates that the company is extending activity beyond its digital-solutions base. If the acquired gateway-market properties and media assets continue contributing, the broader platform could support more recurring operating revenue and lessen reliance on volatile investment-related gains.

Negative Factors

Sharp revenue contractionRepeated annual revenue declines point to an unstable demand base and make forward earnings less predictable. Even though the company remained profitable in the latest annual report, weakening top-line momentum can reduce operating leverage, limit reinvestment capacity, and make strategic expansion harder to sustain.

AMTD Digital, Inc. Sponsored ADR (HKD) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $692.65M
Dividend Yield: ―
Average Volume (3M): 125.20K
Price to Earnings (P/E): 8.0
Beta (1Y): 1.58
Revenue Growth: 21.86%
EPS Growth: 23.04%
Country: US
Employees: 166
Sector: Technology
Sector Strength: 61
Industry: Software - Application

AMTD Digital, Inc. Sponsored ADR Business Overview & Revenue Model

Company Description

AMTD Digital Inc., through its subsidiaries, provides digital solutions; media and entertainment services; and hotel operations, hospitality, and very important person (VIP) services in China, Hong Kong, Europe, the Americas and Southeast Asia. The c...

AMTD Digital, Inc. Sponsored ADR Financial Statement Overview

Summary

Financial health is weak. Revenue fell 68% YoY and gross margin contracted sharply. While net income is positive, it relies on non-operating gains. The balance sheet is highly leveraged (D/E 1.22) with a shrinking asset base, and operating cash flow covers only 26% of net income.

Income Statement

30Negative

Balance Sheet

25Negative

Cash Flow

25Negative

Financial statement breakdown
Breakdown	TTM	Oct 2025	Oct 2024	Oct 2024	Apr 2023	Apr 2022
Income Statement
Total Revenue	24.75M	59.04M	49.90M	23.45M	33.06M	198.38M
Gross Profit	0	38.77M	43.75M	18.39M	23.19M	15.98M
EBITDA	55.55M	118.48M	31.31M	58.43M	47.79M	224.78M
Net Income	27.62M	54.70M	63.88M	44.44M	42.05M	215.72M
Balance Sheet
Total Assets	955.12M	955.36M	537.31M	502.93M	483.46M	3.22B
Cash, Cash Equivalents and Short-Term Investments	54.34M	54.35M	141.43M	73.69M	162.91M	112.49M
Total Debt	260.44M	324.70M	65.54M	321.68M	119.57M	0
Total Liabilities	351.62M	351.70M	159.25M	344.17M	140.53M	118.19M
Stockholders Equity	265.72M	265.79M	386.83M	18.47M	337.08M	3.08B
Cash Flow
Free Cash Flow	0	14.33M	20.81M	525.38K	15.50M	80.38M
Operating Cash Flow	0	14.39M	20.84M	545.82K	15.50M	80.42M
Investing Cash Flow	0	-31.14M	-38.84M	-9.71M	-119.49M	-385.56M
Financing Cash Flow	0	2.27M	-593.90K	-4.60M	243.46M	0

AMTD Digital, Inc. Sponsored ADR Technical Analysis

Technical Analysis SentimentNegative

Last Price1.40

Price Trends

50DMA1.67Negative

100DMA1.65Negative

200DMA1.65Negative

Market Momentum

MACD-0.08Positive

RSI32.22Neutral

STOCH13.01Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HKD, the sentiment is Negative. The current price of 1.40 is below the 20-day moving average (MA) of 1.61, below the 50-day MA of 1.67, and below the 200-day MA of 1.65, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 32.22 is Neutral, neither overbought nor oversold. The STOCH value of 13.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HKD.

AMTD Digital, Inc. Sponsored ADR Risk Analysis

AMTD Digital, Inc. Sponsored ADR disclosed 82 risk factors in its most recent earnings report. AMTD Digital, Inc. Sponsored ADR reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

3 New Risks

1.Our operating results are subject to seasonal fluctuations.Q3, 2025

2.We may not be able to realize anticipated synergies or strategic benefits from acquired targets, which could prevent us from achieving our business objectives.Q3, 2025

3.Acquired business combination targets may underperform or fail to meet expectations, adversely affecting our business and reputation.Q3, 2025

AMTD Digital, Inc. Sponsored ADR Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

HKD against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SOGP	78Outperform	$45.91M	1.35	52.65%	32.78%	43.87%	1006.66%
YALA	74Outperform	$841.29M	6.06	16.63%	―	-3.75%	-3.09%
SMWB	73Outperform	$707.81M	-31.62	-94.75%	―	10.16%	28.29%
PUBM	68Neutral	$833.54M	-470.56	-0.60%	―	4.30%	83.10%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
HKD	42Neutral	$455.71M	7.98	20.58%	―	21.86%	23.04%
CMCM	38Underperform	$67.52M	-0.03	-19.57%	―	17.64%	32.94%

* Technology Sector Average

Performance Comparison

HKD and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HKD	AMTD Digital, Inc. Sponsored ADR	1.40	-0.12	-7.89%
CMCM	Cheetah Mobile	2.25	-4.43	-66.39%
SOGP	Sound Group Inc. Adr	10.28	-0.62	-5.68%
YALA	Yalla Group Limited	5.47	-1.41	-20.49%
PUBM	Pubmatic Inc	19.02	9.59	101.70%
SMWB	Similarweb Ltd.	7.96	0.61	8.30%

AMTD Digital, Inc. Sponsored ADR Corporate Events

AMTD Digital Transfers Four Premium Hotel Assets to TGE

Nov 6, 2026

AMTD Digital is a France-headquartered digital solutions platform operating in digital media, content and marketing services, investments, hospitality, and VIP services. Its market focus spans global digital solutions and premium lifestyle, hospitali...

AMTD Digital Shifts Fiscal Year End to December 31 to Match AMTD Group

Oct 30, 2026

AMTD Digital Inc., the France-based digital solutions provider listed on the NYSE under ticker HKD, said its board has approved a change in the company’s fiscal year end from October 31 to December 31. The move was announced on October 30, 2026, and...

AMTD Digital Posts Strong Half-Year Assets and Expands Global Hotel Portfolio

Oct 23, 2026

AMTD Digital reported unaudited results on October 23, 2026 for the six months ended April 30, 2026, highlighting a 23.2% increase in total assets to US$1.2 billion and stronger equity of US$630.6 million. Profit for the period came in at US$42.4 mil...

TGE Interim Results: Profit Soars as AMTD-Backed Group Accelerates Global Hospitality and Media Expansion

Sep 30, 2026

During the six months ended June 30, 2026, The Generation Essentials Group, jointly established by AMTD Digital, AMTD Group and AMTD IDEA Group, accelerated its diversification across media, entertainment and hospitality. The company expanded its glo...

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: Nov 07, 2026

AMTD Digital, Inc. Sponsored ADR AI Stock Analysis