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EDHLEverbright Digital Holding Limited Ordinary Shares
$4.20$105M
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Everbright Digital Holding Limited Ordinary Shares (EDHL) Financial Ratios

Latest Ratios: P/E Ratio 293.7x · EV/EBITDA 173.5x · ROE 22.1%. (2022–2024 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

EDHL Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2024FY 2023FY 2022
Market Cap$105M———
Enterprise Value$105M———
P/E Ratio →293.71———
P/S Ratio38.02———
P/B Ratio53.45———
P/FCF————
P/OCF————

P/E links to full P/E history page with 30-year chart

EDHL EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2024FY 2023FY 2022
EV / Revenue————
EV / EBITDA173.53———
EV / EBIT202.78———
EV / FCF————

EDHL Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2024FY 2023FY 2022
Gross Margin58.9%58.9%55.1%69.7%
Operating Margin18.7%18.7%38.3%57.9%
Net Profit Margin13.7%13.7%32.8%51.5%

Return on Capital

MetricTTMFY 2024FY 2023FY 2022
ROE22.1%22.1%105.0%100.1%
ROA17.1%17.1%78.9%79.7%
ROIC28.8%28.8%115.3%84.8%
ROCE29.3%29.3%117.0%105.4%

EDHL Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2024FY 2023FY 2022
Debt / Equity——0.03—
Debt / EBITDA——0.04—
Net Debt / Equity—-0.19-0.26-0.00
Net Debt / EBITDA-0.65-0.65-0.31-0.00
Debt / FCF——-0.89—
Interest Coverage————

Net cash position: cash ($389651) exceeds total debt ($0)

EDHL Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2024FY 2023FY 2022
Current Ratio4.644.643.424.48
Quick Ratio4.644.643.424.48
Cash Ratio0.800.800.960.02
Asset Turnover—1.061.551.55
Inventory Turnover————
Days Sales Outstanding—248.31132.92157.17

EDHL Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2024FY 2023FY 2022
Dividend Yield————
Payout Ratio————

Total Shareholder Return Metrics

MetricTTMFY 2024FY 2023FY 2022
Earnings Yield0.3%———
FCF Yield————
Buyback Yield0.0%———
Total Shareholder Yield0.0%———
Shares Outstanding—$27M$27M$27M

Key Metrics

Growth RegimeContracting
ProfitabilityModerate
Balance SheetVulnerable
Cash FlowDeteriorating
Top Statement Risk

Client concentration and liquidity

Premium Multiples Defy Growth Contraction

According to current market data, EDHL trades at a P/E of 293.71 and a P/S of 38.02, which appears significantly detached from the company's reported 2.25% revenue contraction and suggests that investors may be pricing in speculative metaverse growth rather than the firm's actual project-based financial performance.

The valuation multiples appear to reflect a high-growth tech narrative that is not supported by the current revenue trajectory or the niche, localized nature of the business. Investors should monitor whether these elevated ratios are sustainable given the lack of forward-looking guidance and the inherent volatility of the Hong Kong real estate marketing cycle.

High Margins Mask Scale Limitations

As reported in financial statements, EDHL maintains a gross margin of 58.91%, which highlights the efficiency of its digital-first delivery model, yet the 18.68% operating margin suggests that high overhead costs in the competitive Hong Kong labor market may limit the firm's true earning power.

While the gross margin is impressive for an agency, the operating margin indicates that the company struggles to achieve meaningful economies of scale. This suggests that profitability is highly sensitive to talent retention costs and the ability to maintain premium pricing for bespoke VR/AR assets.

Minimal Cash Buffer Risks Continuity

Based on recent filings, EDHL's cash and equivalents of $389,651 provide a limited buffer against operational shocks, which warrants further investigation into the firm's ability to sustain its current project-based business model if client payment cycles for real estate developers are further extended or delayed.

The low liquidity position is particularly concerning given the company's reliance on a small, concentrated client base. Any disruption in the timing of project milestones could lead to a liquidity crunch, as the firm lacks the balance sheet depth to absorb prolonged periods of negative cash flow.

Misapplied P/E Ratio Obscures Risk

As noted in institutional research, the P/E ratio is the most commonly misapplied metric for EDHL, as it obscures the volatility of project-based revenue recognition and fails to account for the significant liquidity risks inherent in the firm's reliance on a small circle of institutional clients.

Using P/E to value a micro-cap agency with lumpy, project-based revenue is misleading because it ignores the potential for significant earnings swings based on the timing of contract completions. Analysts should instead focus on cash-based metrics or enterprise value relative to recurring revenue streams to better assess the firm's true operational health.

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Includes 30+ ratios · 3 years · Updated daily

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EDHL — Frequently Asked Questions

Quick answers to the most common questions about buying EDHL stock.

What is Everbright Digital Holding Limited Ordinary Shares's P/E ratio?

Everbright Digital Holding Limited Ordinary Shares's current P/E ratio is 293.7x. This places it at the 50th percentile of its historical range.

What is Everbright Digital Holding Limited Ordinary Shares's EV/EBITDA?

Everbright Digital Holding Limited Ordinary Shares's current EV/EBITDA is 173.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA.

What is Everbright Digital Holding Limited Ordinary Shares's ROE?

Everbright Digital Holding Limited Ordinary Shares's return on equity (ROE) is 22.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 75.7%.

Is EDHL stock overvalued?

Based on historical data, Everbright Digital Holding Limited Ordinary Shares is trading at a P/E of 293.7x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Everbright Digital Holding Limited Ordinary Shares's profit margins?

Everbright Digital Holding Limited Ordinary Shares has 58.9% gross margin and 18.7% operating margin. Operating margin between 10-20% is typical for established companies.