AEON Stores (Hong Kong) Co., Ltd. (984) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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AEON Stores (Hong Kong) Co., Ltd.

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Maoye International Holdings Ltd.

Shirble Department Store Holdings (China) Ltd.

Why is AEON Stores (Hong Kong) Co., Ltd. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of -4.08% and Operating profit at -180.21% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -1.87

Flat results in Dec 25

OPERATING CASH FLOW(Y) Lowest at HKD 1,241.05 MM
NET SALES(Q) Lowest at HKD 3,864.44 MM
CASH AND EQV(HY) Lowest at HKD 621.49 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -27.03%, its profits have fallen by -37.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -27.03% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is AEON Stores (Hong Kong) Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

AEON Stores (Hong Kong) Co., Ltd.

-27.03%

-0.65

62.71%

Hang Seng Hong Kong

8.76%

0.45

19.63%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.08%

EBIT Growth (5y)

-180.21%

EBIT to Interest (avg)

-1.87

Debt to EBITDA (avg)

Net Debt to Equity (avg)

0.17

Sales to Capital Employed (avg)

-17.64

Tax Ratio

0.65%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

-0.14

EV to EBIT

0.01

EV to EBITDA

-0.01

EV to Capital Employed

0.00

EV to Sales

-0.00

PEG Ratio

Dividend Yield

ROCE (Latest)

63.95%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

6What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -8.79% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 182.34 times

NET PROFIT(Q)

Highest at HKD -106.8 MM

EPS(Q)

Highest at HKD -0.41

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at HKD 1,241.05 MM

NET SALES(Q)

Lowest at HKD 3,864.44 MM

CASH AND EQV(HY)

Lowest at HKD 621.49 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 8.92 times

Here's what is working for AEON Stores (Hong Kong) Co., Ltd.

Net Profit

Highest at HKD -106.8 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (HKD MM)

EPS

Highest at HKD -0.41

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (HKD)

Debtors Turnover Ratio

Highest at 182.34 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -8.79% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for AEON Stores (Hong Kong) Co., Ltd.

Operating Cash Flow

Lowest at HKD 1,241.05 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Net Sales

Lowest at HKD 3,864.44 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Cash and Eqv

Lowest at HKD 621.49 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 8.92 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio