Shangri-La Asia (SHALY) AI Stock Analysis

• Market Cap: $2.09B
• Dividend Yield: 3.3%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 16.7
• Beta (1Y): 0.25
• Revenue Growth: 0.32%
• EPS Growth: -15.27%
• Country: US
• Employees: 25,500
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Lodging
• EPS (TTM): 0.32
• Shares Outstanding: 179,276,260
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -1.16
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 8.74
• Enterprise Value/Market Cap: 3.50
• Enterprise Value/Revenue: 3.34
• Enterprise Value/Gross Profit: 6.54
• Enterprise Value/Ebitda: 15.67
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: $12.50 ▲(6.75% Upside)

Shangri-La Asia's overall stock score reflects a positive recovery trajectory with improving financial performance and fair valuation. While technical indicators are neutral, the company's strong cash flow generation supports its financial flexibility. Operational cost pressures and leverage are areas to monitor.

Shangri-La Asia Business Overview & Revenue Model

Company Description

Shangri-La Asia Limited, an investment holding company, develops, owns/leases, operates, and manages hotels and associated properties worldwide. It operates through four segments: Hotel Properties, Hotel Management and Related Services, Investment Properties, and Property Development for Sale. The company develops, owns, and operates office and commercial properties, and serviced apartments/residences; and operates restaurants and amusement parks. It is also involved in the hotel ownership, and property rental and sale business; and property investment, as well as wines trading activities. The company operates hotels under the Shangri-La Hotels and Resorts, Kerry Hotels, JEN by Shangri-La, Traders Hotel, Rasa, Summer Palace, and Shang Palace, as well as CHI, The Spa at Shangri-La brand names. As of December 31, 2021, it had equity interests in 80 operating hotels and 3 hotels under operating lease with 35,154 rooms. Shangri-La Asia Limited was founded in 1971 and is headquartered in Quarry Bay, Hong Kong.

How the Company Makes Money

Shangri-La Asia generates revenue primarily through hotel operations, which include room rentals, food and beverage sales, and ancillary services such as spa treatments and event hosting. The company also earns income from property management services and residential leasing in select locations. Key revenue streams are driven by occupancy rates, average daily rates, and guest spending on additional services. Shangri-La Asia has established significant partnerships with travel agencies, online booking platforms, and loyalty programs to enhance its market reach and customer engagement. Additionally, the company benefits from its strategic locations in major business and tourist hubs, which contribute to steady income streams throughout the year.

Shangri-La Asia Financial Statement Overview

Summary

Shangri-La Asia shows a positive recovery trajectory with improving revenue and profitability post-pandemic. While the income statement reflects growth, operational cost pressures are evident. The balance sheet is stable, though leverage remains a consideration. Cash flow performance is strong, supporting financial flexibility. Overall, the company is on a path to recovery but must manage operational and leverage challenges to sustain growth.

Income Statement

Shangri-La Asia's income statement shows a recovery trajectory with consistent revenue growth from 2020 to 2024, rebounding from the pandemic's impact. In 2024, the gross profit margin was approximately 55.7%, indicating strong cost management. However, the decline in EBITDA margin from 41.2% in 2023 to 28.3% in 2024 suggests increasing operational costs. The net profit margin improved to 7.4% in 2024, reflecting better profitability, but remains below pre-pandemic levels.

Balance Sheet

The balance sheet of Shangri-La Asia reveals a stable but leveraged position. The debt-to-equity ratio was 1.34 in 2024, indicating moderate leverage. The equity ratio stood at 38.4%, showing a solid equity base. However, the return on equity (ROE) was around 3.1% in 2024, suggesting room for improving shareholder returns. The company has increased cash reserves, enhancing liquidity.

Cash Flow

The cash flow statement indicates strong free cash flow generation in 2024 with a significant growth from 2023. The free cash flow to net income ratio of approximately 1.57 highlights effective cash conversion. However, the operating cash flow to net income ratio decreased to 2.22, suggesting potential challenges in cash generation from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.19B	2.19B	2.14B	1.46B	1.24B	1.03B
Gross Profit	1.12B	1.22B	1.17B	686.52M	544.52M	362.24M
EBITDA	466.78M	617.45M	882.06M	129.48M	-43.89M	-134.23M
Net Income	124.68M	161.39M	184.14M	-158.52M	-290.57M	-460.16M
Balance Sheet
Total Assets	14.40B	13.50B	12.86B	12.63B	13.47B	14.01B
Cash, Cash Equivalents and Short-Term Investments	2.68B	1.94B	978.26M	779.88M	802.12M	1.01B
Total Debt	7.80B	6.94B	6.26B	6.18B	6.21B	6.39B
Total Liabilities	8.88B	8.06B	7.39B	7.21B	7.42B	7.69B
Stockholders Equity	5.26B	5.18B	5.22B	5.25B	5.86B	6.06B
Cash Flow
Free Cash Flow	288.65M	254.10M	83.64M	-163.46M	-215.69M	-473.25M
Operating Cash Flow	372.30M	358.99M	238.83M	-91.04M	-144.43M	-362.55M
Investing Cash Flow	-109.98M	149.37M	-157.52M	88.17M	79.76M	-23.36M
Financing Cash Flow	365.32M	660.09M	33.54M	64.04M	-108.25M	366.22M

Shangri-La Asia Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.71
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SHALY, the sentiment is Positive. The current price of 11.71 is above the 20-day moving average (MA) of 11.68, below the 50-day MA of 11.76, and above the 200-day MA of 11.54, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 68.83 is Neutral, neither overbought nor oversold. The STOCH value of 85.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SHALY.

Shangri-La Asia Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HTHT	―	$11.62B	24.05	30.38%	4.59%	4.43%	1.61%
SHALY	―	$2.09B	16.68	2.40%	3.30%	0.32%	-15.27%
HLT	―	$62.24B	38.80	―	0.22%	6.68%	48.03%
H	―	$14.27B	35.26	11.66%	0.40%	0.74%	-54.42%
IHG	―	$18.90B	25.92	―	1.38%	8.89%	23.20%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MAR	―	$73.65B	30.61	―	0.96%	5.12%	-11.48%