Kwung's Holdings Ltd. (1925) 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

Ming Fai International Holdings Ltd.

Kwung's Holdings Ltd.

China Boton Group Co., Ltd.

Tian Chang Group Holdings Ltd.

Hyfusin Group Holdings Ltd.

Xinjiang Tianye Water Saving Irrigation System Co., Ltd.

Why is Kwung's Holdings Ltd. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 28.30

The company has declared Positive results for the last 3 consecutive quarters

RAW MATERIAL COST(Y) Fallen by -5.83% (YoY)
CASH AND EQV(HY) Highest at HKD 576.17 MM
DEBTORS TURNOVER RATIO(HY) Highest at 6.79 times

With ROE of 21.83%, it has a Very Attractive valuation with a 0.80 Price to Book Value

Over the past year, while the stock has generated a return of -8.76%, its profits have risen by 127.3% ; the PEG ratio of the company is 0

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Kwung's Holdings Ltd. should be less than 10%
Overall Portfolio exposure to Diversified should be less than 30%

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

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

Is Kwung's Holdings Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Kwung's Holdings Ltd.

-100.0%

0.21

32.92%

Hang Seng Hong Kong

8.25%

0.36

24.71%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

17.54%

EBIT Growth (5y)

16.36%

EBIT to Interest (avg)

28.30

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.22

Sales to Capital Employed (avg)

1.34

Tax Ratio

10.40%

Dividend Payout Ratio

28.35%

Pledged Shares

Institutional Holding

ROCE (avg)

21.07%

ROE (avg)

14.11%

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

0.80

EV to EBIT

3.26

EV to EBITDA

2.60

EV to Capital Employed

0.74

EV to Sales

0.30

PEG Ratio

0.03

Dividend Yield

0.90%

ROCE (Latest)

22.67%

ROE (Latest)

21.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -5.83% (YoY

CASH AND EQV(HY)

Highest at HKD 576.17 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 6.79 times

-15What is not working for the Company

INTEREST(HY)

At HKD 3.39 MM has Grown at 498.55%

OPERATING CASH FLOW(Y)

Lowest at HKD -54.08 MM

INTEREST COVERAGE RATIO(Q)

Lowest at 636.57

OPERATING PROFIT(Q)

Lowest at HKD 21.59 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.64 %

PRE-TAX PROFIT(Q)

Lowest at HKD 24.51 MM

NET PROFIT(Q)

Lowest at HKD 21.08 MM

EPS(Q)

Lowest at HKD 0.06

Here's what is working for Kwung's Holdings Ltd.

Cash and Eqv

Highest at HKD 576.17 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 6.79 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 -5.83% (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 Kwung's Holdings Ltd.

Interest

At HKD 3.39 MM has Grown at 498.55%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (HKD MM)

Interest Coverage Ratio

Lowest at 636.57

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Cash Flow

Lowest at HKD -54.08 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Operating Profit

Lowest at HKD 21.59 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin

Lowest at 5.64 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at HKD 24.51 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Pre-Tax Profit

Fallen at -59.47%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD 21.08 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Net Profit

Fallen at -59.86%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

EPS

Lowest at HKD 0.06

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (HKD)