FSE Lifestyle Services Ltd. (331) 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

Greatview Aseptic Packaging Co., Ltd.

Tianli International Holdings Ltd.

China New Higher Education Group Ltd.

FSE Lifestyle Services Ltd.

Hangzhou Tigermed Consulting Co., Ltd.

XJ International Holdings Co., Ltd.

China Conch Environment Protection Holdings Ltd.

YH Entertainment Group

Jiangsu Recbio Technology Co., Ltd.

Shimao Services Holdings Ltd.

C-Link Squared Ltd.

Why is FSE Lifestyle Services Ltd. ?

High Management Efficiency with a high ROE of 95.84%

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 57.21

Flat results in Dec 25

OPERATING CASH FLOW(Y) Lowest at HKD 357.72 MM
ROCE(HY) Lowest at 33.87%
DEBTORS TURNOVER RATIO(HY) Lowest at 2.5 times

With ROE of 30.71%, it has a Attractive valuation with a 1.84 Price to Book Value

Over the past year, while the stock has generated a return of -1.27%, its profits have fallen by -12.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -1.27% 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 hold?

Overall Portfolio exposure to FSE Lifestyle Services Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is FSE Lifestyle Services Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

FSE Lifestyle Services Ltd.

-1.27%

-0.47

10.50%

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)

8.49%

EBIT Growth (5y)

-2.96%

EBIT to Interest (avg)

57.21

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.16

Sales to Capital Employed (avg)

7.55

Tax Ratio

15.30%

Dividend Payout Ratio

40.06%

Pledged Shares

Institutional Holding

ROCE (avg)

261.07%

ROE (avg)

95.84%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.84

EV to EBIT

4.40

EV to EBITDA

3.78

EV to Capital Employed

2.11

EV to Sales

0.28

PEG Ratio

Dividend Yield

ROCE (Latest)

48.06%

ROE (Latest)

30.71%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

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

8What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 3,806.46

DIVIDEND PAYOUT RATIO(Y)

Highest at 40.18%

RAW MATERIAL COST(Y)

Fallen by -9.48% (YoY

CASH AND EQV(HY)

Highest at HKD 763.29 MM

OPERATING PROFIT MARGIN(Q)

Highest at 7.75 %

-10What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at HKD 357.72 MM

ROCE(HY)

Lowest at 33.87%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.5 times

DIVIDEND PER SHARE(HY)

Lowest at HKD 2.5

NET SALES(Q)

Lowest at HKD 3,777.06 MM

OPERATING PROFIT(Q)

Lowest at HKD 292.75 MM

Here's what is working for FSE Lifestyle Services Ltd.

Interest Coverage Ratio

Highest at 3,806.46

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit Margin

Highest at 7.75 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at HKD 763.29 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend Payout Ratio

Highest at 40.18%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -9.48% (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 FSE Lifestyle Services Ltd.

Operating Cash Flow

Lowest at HKD 357.72 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)

Debtors Turnover Ratio

Lowest at 2.5 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at HKD 3,777.06 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (HKD MM)

Operating Profit

Lowest at HKD 292.75 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Dividend per share

Lowest at HKD 2.5

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (HKD)