Dynamic Holdings Limited (0029) AI Stock Analysis

• Market Cap: HK$3.17B
• Dividend Yield: 0.15%
• Average Volume (3M): 311.16K
• Price to Earnings (P/E): 0.5
• Beta (1Y): 0.75
• Revenue Growth: -23.73%
• EPS Growth: -101.00%
• Country: HK
• Employees: 50
• Sector: Consumer Defensive
• Sector Strength: 63
• Industry: Real Estate - Services
• EPS (TTM): -0.23
• Shares Outstanding: 237,703,670
• 10 Day Avg. Volume: 172,850
• 30 Day Avg. Volume: 311,163
• PEG Ratio: -4.97
• Price to Book (P/B): 1.31
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 133.08
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 59 Neutral
• Price Target: HK$14.00 ▲(5.90%Upside)

Dynamic Holdings Limited's stock score is primarily driven by strong financial performance, despite cash flow concerns. Technical analysis suggests limited momentum, and the valuation raises concerns due to a negative P/E ratio. Addressing cash flow issues is key to improving overall financial health.

Dynamic Holdings Limited Business Overview & Revenue Model

Company Description

Dynamic Holdings Limited, an investment holding company, engages in the investment and development of properties in the People's Republic of China and Hong Kong. The company's investment properties portfolio comprises offices, shopping malls, and car parks, as well as residential properties. It is also involved in the provision of nominee, management, financing, and management consultancy services. Dynamic Holdings Limited was founded in 1992 and is based in Causeway Bay, Hong Kong.

How the Company Makes Money

Dynamic Holdings Limited generates revenue primarily through the sale and leasing of properties. The company develops residential, commercial, and industrial properties, which are either sold to generate immediate income or leased to provide a steady stream of rental income. The leasing operations include long-term contracts that ensure a stable revenue flow over time. Additionally, the company may engage in property management services, adding value through maintenance, renovations, and enhancements, which can increase the attractiveness and profitability of its holdings. Partnerships with local construction firms, real estate agents, and financial institutions may also play a role in maximizing the company's market reach and operational efficiency. The combination of property sales and rental income forms the core of Dynamic Holdings Limited's revenue model.

Dynamic Holdings Limited Financial Statement Overview

Summary

Dynamic Holdings Limited shows strong revenue growth and efficient cost management but faces challenges with negative free cash flow and cash conversion, posing risks to financial sustainability.

Income Statement

Dynamic Holdings Limited has shown a substantial increase in total revenue from HK$87.4 million in 2023 to HK$12.7 billion in 2024, indicating significant growth. The gross profit margin is exceptionally high at 99.8%, suggesting efficient cost management. However, the net profit margin at 42.1% is slightly lower due to high operational expenses. The EBIT margin is strong at 99.6%, though the negative EBITDA suggests potential issues in cash generation from operations. Overall, the income statement reflects strong revenue growth and efficient operations, albeit with some cash flow concerns.

Balance Sheet

The balance sheet of Dynamic Holdings Limited is robust, with a debt-to-equity ratio of 0.0008, indicating low leverage and a strong equity base. The equity ratio stands at 48.7%, reflecting balanced asset management. However, the return on equity is relatively modest at 72.8%, which could be improved by more efficient use of equity. The company maintains reasonable liquidity with substantial cash reserves, mitigating potential financial risks.

Cash Flow

Cash flow analysis indicates a concerning trend with negative free cash flow of HK$-41.8 million in 2024, down from positive HK$19.5 million in 2023. The operating cash flow to net income ratio is negative, highlighting challenges in converting net income into cash flow. Despite a high free cash flow to net income ratio in 2023, the recent decline suggests operational cash constraints. This area presents potential risks that need addressing to stabilize cash flow.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
67.05M	66.57M	87.45M	90.17M	91.37M	95.06M
	Gross Profit
53.84M	39.96M	62.47M	65.20M	63.27M	68.60M
	EBIT
35.16M	-2.60M	21.26M	20.36M	18.50M	31.15M
	EBITDA
11.60M	-8.17M	24.01M	23.23M	21.41M	-44.34M
	Net Income Common Stockholders
-53.92M	5.35B	6.63M	31.15M	-14.06M	-28.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
232.84M	422.34M	222.28M	323.11M	339.53M	280.40M
	Total Assets
14.81B	15.08B	2.40B	2.69B	2.77B	2.52B
	Total Debt
0.00	5.65M	1.13M	95.34M	101.46M	100.64M
	Net Debt
-232.84M	-133.78M	-138.21M	-129.39M	-136.52M	-34.69M
	Total Liabilities
7.56B	7.69B	372.15M	509.25M	561.16M	497.92M
	Stockholders Equity
7.20B	7.35B	1.99B	2.13B	2.17B	1.99B
Cash Flow		Free Cash Flow
-25.89M	-41.80M	19.47M	5.34M	45.47M	31.11M
	Operating Cash Flow
-25.89M	-41.19M	19.49M	5.41M	46.29M	31.28M
	Investing Cash Flow
-4.78M	48.49M	5.55M	-2.61M	55.53M	15.12M
	Financing Cash Flow
-4.57M	-4.66M	-96.75M	-9.82M	-8.49M	-13.02M

Dynamic Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0029, the sentiment is Neutral. The current price of 13.22 is below the 20-day moving average (MA) of 13.55, above the 50-day MA of 13.14, and above the 200-day MA of 10.01, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 43.76 is Neutral, neither overbought nor oversold. The STOCH value of 37.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0029.

Dynamic Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$8.92B	15.03	4.68%	6.11%	3.59%	-2.49%
0029	59 Neutral	HK$3.17B	0.55	-0.74%	0.15%	-23.73%	-101.00%
HLDVF		$15.48B	19.20	1.94%	10.46%	―	―
HLPPF		$3.98B	14.01	1.63%	12.34%	―	―
SNLAF		$9.51B	19.36	2.17%	0.24%	―	―
SUHJF		$31.16B	12.44	2.88%	5.10%	―	―
0084	60 Neutral	HK$76.27M	0.18	70.23%	―	-8.35%	―

Dynamic Holdings Limited Corporate Events

Dynamic Holdings Announces Change in Share Registrar

Dynamic Holdings Limited has announced a change in its Hong Kong share registrar and transfer office, effective from May 16, 2025. This operational shift to Tricor Investor Services Limited is expected to streamline the company’s share registration and transfer processes, potentially impacting shareholder interactions and administrative efficiency.