SEHK:1657Luxury
SG Group Holdings (SEHK:1657) Stock Carries Premium Valuation Despite Deeper Losses
SG Group Holdings finished today at HK$50.25, a flat headline price that hides a sharp sentiment split. On one side, traders are paying almost 10x sales for a luxury stock that is still loss making. On the other, the latest full year numbers show revenue around HK$166.2m but an ongoing net loss and no clear earnings turnaround in the trailing figures.
The central issue today is valuation strain. The stock trades well above an estimated cash flow value of HK$15.65, even as losses persist. That...