Asia Commercial Holdings Limited (0104) AI Stock Analysis

• Market Cap: HK$165.86M
• Dividend Yield: 15.68%
• Average Volume (3M): 552.45K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.24
• Revenue Growth: -6.93%
• EPS Growth: -53.55%
• Country: HK
• Employees: 106
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Specialty Retail
• EPS (TTM): 0.04
• Shares Outstanding: 747,123,200
• 10 Day Avg. Volume: 273,750
• 30 Day Avg. Volume: 552,451
• PEG Ratio: -0.08
• Price to Book (P/B): 0.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.93
• 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: 72 Outperform
• Price Target: ―

Asia Commercial Holdings Limited scores a 72, reflecting solid financial stability and an attractive valuation. While profitability is under pressure, the company exhibits strong operational efficiency and cash flow management. The technical analysis suggests a neutral to slightly positive trend. The low P/E ratio and high dividend yield further enhance its appeal for value-focused investors.

Asia Commercial Holdings Limited Business Overview & Revenue Model

Company Description

Asia Commercial Holdings Limited, an investment holding company, engages in the retail and wholesale of watches in Hong Kong, the People's Republic of China, and Switzerland. The company operates in two segments, Sale of Watches and Properties Leasing. It is also involved in the assembly and marketing of gold and jewelry watches; property holding, development, investment, and leasing activities; and brand development business. The company operates 6 stores in China. Asia Commercial Holdings Limited was incorporated in 1990 and is based in Wan Chai, Hong Kong.

How the Company Makes Money

Asia Commercial Holdings Limited generates revenue through the sale of luxury jewelry and watches. The company operates retail stores in key locations, which serve as the primary channel for direct sales to consumers. Additionally, the firm may engage in strategic partnerships with renowned luxury brands to enhance its product offerings and leverage brand recognition, thereby attracting more customers. Seasonal promotions, exclusive product launches, and customer loyalty programs may also contribute to its revenue streams. The company's financial performance is influenced by consumer spending trends in the luxury goods sector, as well as its ability to maintain competitive pricing and exclusive product lines.

Asia Commercial Holdings Limited Financial Statement Overview

Summary

Asia Commercial Holdings Limited displays a mixed financial picture. While operational efficiency and cash flow remain strong, profitability has been under pressure. The balance sheet is stable but requires attention due to declining equity. Overall, the company maintains a solid financial base but should focus on improving net profitability to enhance its financial health.

Income Statement

The company has shown a fluctuating revenue trend, with a recent slight decline from 2023 to 2024. The gross profit margin has remained relatively stable, indicating consistent cost management. However, the net profit margin has decreased significantly, suggesting challenges in maintaining profitability. Positive aspects include an improved EBIT margin, reflecting better operational efficiency. Overall, while profitability metrics have shown some weaknesses, the company demonstrates some operational resilience.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, indicating manageable leverage. ROE has decreased, highlighting a drop in profitability relative to equity. The equity ratio shows a healthy proportion of equity in the asset base, providing financial stability. Despite these strengths, the declining trend in equity and assets warrants monitoring for potential risks.

Cash Flow

The cash flow statement reveals strong free cash flow generation, although growth has slowed. The operating cash flow to net income ratio is favorable, indicating efficient conversion of income into cash. Free cash flow to net income ratio suggests the company is generating cash beyond its net income, providing a buffer for investments and debt servicing. The overall cash flow position is robust, supporting the company's financial flexibility.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
705.24M	705.40M	710.59M	784.82M	1.16B	800.05M
	Gross Profit
232.27M	234.37M	228.86M	225.08M	232.14M	198.78M
	EBIT
103.88M	103.17M	108.55M	93.28M	71.44M	-9.94M
	EBITDA
97.24M	105.49M	124.98M	164.98M	138.29M	-48.73M
	Net Income Common Stockholders
31.30M	26.20M	43.65M	83.82M	58.54M	-146.17M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
126.43M	164.96M	194.47M	207.66M	131.17M	69.50M
	Total Assets
736.58M	772.61M	820.98M	869.88M	814.73M	806.78M
	Total Debt
156.14M	205.66M	229.57M	259.10M	260.33M	334.67M
	Net Debt
29.73M	40.72M	35.13M	51.46M	129.67M	265.55M
	Total Liabilities
274.49M	328.09M	360.28M	401.41M	405.99M	465.37M
	Stockholders Equity
462.10M	444.52M	460.71M	468.48M	413.60M	343.48M
Cash Flow		Free Cash Flow
84.53M	67.67M	80.27M	148.00M	129.98M	44.60M
	Operating Cash Flow
84.86M	70.49M	92.15M	167.34M	133.27M	58.69M
	Investing Cash Flow
-7.20M	-9.10M	-22.54M	6.96M	-1.28M	11.80M
	Financing Cash Flow
-67.91M	-82.39M	-67.80M	-103.80M	-71.52M	-68.22M

Asia Commercial Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.22
• 50DMA: Negative
• 100DMA: Negative
• 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:0104, the sentiment is Negative. The current price of 0.22 is below the 20-day moving average (MA) of 0.23, below the 50-day MA of 0.22, and above the 200-day MA of 0.22, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 41.78 is Neutral, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0104.

Asia Commercial Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0104	72 Outperform	HK$165.86M	5.30	6.88%	15.68%	-6.93%	-53.55%
Sector *	63 Neutral	$6.98B	11.41	2.80%	4.24%	2.68%	-24.94%
KWGPF		$139.29M	―	-95.62%	―	―	―
PTEXF		$230.49M	11.75	4.99%	6.97%	―	―
WYNMF		$3.52B	7.90		7.68%	―	―
0331	78 Outperform	HK$2.50B	5.23	49.10%	3.79%	3.11%	-2.34%
3989	54 Neutral	HK$1.03B	4.04	3.58%	―	-11.67%	-19.46%