Chen Hsong Holdings (0057) AI Stock Analysis

• Market Cap: $1.10B
• Dividend Yield: 6.56%
• Average Volume (3M): 307.07K
• Price to Earnings (P/E): 7.1
• Beta (1Y): 0.35
• Revenue Growth: 29.12%
• EPS Growth: 53.10%
• Country: HK
• Employees: 2,500
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.14
• Shares Outstanding: 630,531,560
• 10 Day Avg. Volume: 120,600
• 30 Day Avg. Volume: 307,068
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.28
• Enterprise Value/Revenue: 0.14
• Enterprise Value/Gross Profit: 0.61
• Enterprise Value/Ebitda: 1.98
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: HK$2.00 ▲(11.11% Upside)

Chen Hsong Holdings' overall stock score is driven by its strong valuation metrics, including a low P/E ratio and high dividend yield, which make it attractive for value and income investors. However, the company's cash flow challenges and neutral technical indicators suggest caution. Improving cash flow efficiency will be crucial for sustaining long-term growth.

Chen Hsong Holdings Business Overview & Revenue Model

Company Description

Chen Hsong Holdings (0057) is a leading manufacturer of injection molding machines and related industrial equipment, primarily serving the plastic processing industry. Established in Hong Kong, the company operates globally, offering advanced technology solutions in the production of plastic components across various sectors, including automotive, consumer goods, and electronics. Chen Hsong's core products include a range of injection molding machines, automated systems, and peripheral equipment designed to enhance production efficiency and precision.

How the Company Makes Money

Chen Hsong Holdings generates revenue primarily through the sale of its injection molding machines and associated equipment. The company has a diversified revenue model that includes direct sales to manufacturers and distributors, along with after-sales services such as maintenance, spare parts, and technical support, which provide recurring income. Additionally, Chen Hsong engages in strategic partnerships with other firms in the manufacturing and technology sectors to enhance its product offerings and market reach. The demand for their machines is influenced by trends in plastic manufacturing, technological advancements, and the overall health of the global economy, which can affect their sales volumes and pricing strategies.

Chen Hsong Holdings Financial Statement Overview

Summary

Chen Hsong Holdings shows strong revenue growth and a stable financial structure with low leverage. However, challenges in cash flow management could impact its ability to fund operations and growth initiatives. Improving cash flow efficiency and maintaining profitability are crucial for sustaining long-term growth.

Income Statement

Chen Hsong Holdings has shown a strong revenue growth rate of 17.09% in the latest period, indicating a positive trajectory in sales. The gross profit margin is stable at around 23.5%, which is consistent with industry norms. However, the net profit margin of 5.95% suggests room for improvement in cost management or pricing strategies. The EBIT and EBITDA margins are healthy, reflecting efficient operational management.

Balance Sheet

The company maintains a very low debt-to-equity ratio of 0.0057, indicating strong financial stability and low leverage risk. The return on equity (ROE) is modest at 5.01%, suggesting moderate profitability relative to shareholder equity. The equity ratio is robust, highlighting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

The cash flow statement reveals challenges with negative operating and free cash flows, indicating potential liquidity issues. The free cash flow to net income ratio is high at 1.72, which could suggest that the company is investing heavily in growth or capital expenditures. However, the negative free cash flow growth rate of -210.51% is a concern and requires attention to improve cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.22B	2.59B	2.01B	2.31B	2.73B	2.36B
Gross Profit	507.46M	609.75M	476.98M	548.05M	647.27M	633.01M
EBITDA	156.34M	249.74M	183.35M	221.43M	296.00M	323.92M
Net Income	115.51M	154.39M	100.85M	130.29M	213.31M	203.02M
Balance Sheet
Total Assets	4.34B	4.36B	4.14B	4.15B	4.43B	4.38B
Cash, Cash Equivalents and Short-Term Investments	1.01B	528.18M	825.78M	669.15M	696.31M	1.20B
Total Debt	15.31M	17.54M	17.34M	19.93M	27.72M	70.73M
Total Liabilities	1.23B	1.27B	1.07B	1.08B	1.20B	1.37B
Stockholders Equity	3.09B	3.08B	3.06B	3.05B	3.21B	3.00B
Cash Flow
Free Cash Flow	154.28M	-170.49M	265.09M	85.94M	-390.33M	200.74M
Operating Cash Flow	217.07M	-98.87M	323.04M	149.87M	-259.76M	241.78M
Investing Cash Flow	-112.12M	-116.41M	-64.55M	-14.94M	-128.76M	-40.33M
Financing Cash Flow	-54.17M	-59.10M	-68.11M	-123.48M	-151.90M	-94.61M

Chen Hsong Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.80
• 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:0057, the sentiment is Positive. The current price of 1.8 is above the 20-day moving average (MA) of 1.78, above the 50-day MA of 1.78, and above the 200-day MA of 1.49, indicating a bullish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 54.58 is Neutral, neither overbought nor oversold. The STOCH value of 60.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0057.

Chen Hsong Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1882	―	$34.09B	9.61	15.98%	3.44%	16.15%	17.32%
1133	―	HK$29.85B	12.34	15.06%	1.93%	34.78%	98.79%
0057	―	$1.10B	7.11	5.04%	6.56%	29.12%	53.10%
2722	―	€6.30B	10.14	7.29%	2.66%	11.18%	46.57%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
0558	―	HK$5.20B	15.32	18.09%	2.03%	-0.21%	-27.21%
0187	―	HK$6.06B	1,388.10	-0.45%	―	3.13%	80.99%

Chen Hsong Holdings Corporate Events

Chen Hsong Holdings Appoints New Company Secretary

Chen Hsong Holdings Limited has announced the appointment of Ms. Chung Man Cheng as the new Company Secretary, Authorized Representative, and Process Agent, effective from September 11, 2025. Ms. Cheng brings extensive experience in corporate governance and compliance, which is expected to strengthen the company’s operational efficiency and adherence to regulatory requirements.

The most recent analyst rating on (HK:0057) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Chen Hsong Holdings stock, see the HK:0057 Stock Forecast page.

Chen Hsong Holdings Faces Compliance Challenge After Key Executive’s Passing

Chen Hsong Holdings Limited has announced the passing of Mr. Chi Ngai Chan, who served as the company secretary, authorized representative, and process agent. His death leaves the company in non-compliance with certain Hong Kong Stock Exchange listing rules due to the vacancies in these roles. The board is actively seeking a suitable candidate to fill these positions to restore compliance.

The most recent analyst rating on (HK:0057) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Chen Hsong Holdings stock, see the HK:0057 Stock Forecast page.

Chen Hsong Holdings Passes Key Resolutions at AGM

Chen Hsong Holdings Limited announced that all proposed resolutions were passed at its Annual General Meeting held on August 28, 2025. Key resolutions included the approval of audited financial statements, the re-election of directors, the appointment of auditors, and granting mandates for share repurchase and issuance. These decisions are expected to strengthen the company’s governance and financial strategies, potentially impacting its market position and shareholder value positively.

The most recent analyst rating on (HK:0057) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Chen Hsong Holdings stock, see the HK:0057 Stock Forecast page.

Chen Hsong Holdings Secures Shareholder Approval for Key Resolutions

Chen Hsong Holdings Limited announced that all proposed resolutions were passed at their Special General Meeting held on August 28, 2025. The resolutions included the adoption of the 2025 Share Option Scheme and the 2025 Share Award Scheme, both receiving significant shareholder approval. This development indicates strong shareholder support for the company’s strategic initiatives, potentially enhancing its operational flexibility and aligning employee incentives with company performance.

The most recent analyst rating on (HK:0057) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Chen Hsong Holdings stock, see the HK:0057 Stock Forecast page.

Chen Hsong Holdings Updates Board of Directors and Committees

Chen Hsong Holdings Limited announced the updated list of its Board of Directors and their roles following the annual general meeting held on August 28, 2025. This restructuring of the board and committees is likely to influence the company’s governance and strategic direction, potentially impacting stakeholders and the company’s market positioning.

The most recent analyst rating on (HK:0057) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Chen Hsong Holdings stock, see the HK:0057 Stock Forecast page.