Johnson Electric Holdings (0179) AI Stock Analysis

• Market Cap: $20.18B
• Dividend Yield: 1.56%
• Average Volume (3M): 9.22M
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.74
• Revenue Growth: -2.37%
• EPS Growth: 6.48%
• Country: HK
• Employees: 30,000
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Auto - Parts
• EPS (TTM): 1.13
• Shares Outstanding: 934,412,050
• 10 Day Avg. Volume: 9,490,112
• 30 Day Avg. Volume: 9,222,844
• PEG Ratio: 1.04
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.99
• Enterprise Value/Market Cap: 0.06
• Enterprise Value/Revenue: 0.08
• Enterprise Value/Gross Profit: 1.38
• Enterprise Value/Ebitda: 0.58
• 1Y Price Target: $21.98
• Price Target Upside: 0.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: ―

Johnson Electric Holdings' strong financial performance is a major positive, contributing to a substantial portion of the stock score. The company demonstrates solid profitability, growth, and cash flow generation. Technical analysis shows mixed signals, with short-term bearishness but longer-term support. Valuation metrics indicate potential undervaluation with an attractive dividend yield, making the stock appealing for income-focused investors. While there are no recent earnings call insights or significant corporate events, the overall outlook is positive but requires monitoring of technical signals and liabilities.

Johnson Electric Holdings Business Overview & Revenue Model

Company Description

Johnson Electric Holdings Limited, an investment holding company sells motion products, control systems, and flexible interconnects worldwide. The company offers motion products, including solenoids, piezo motors and subsystems, starters, blowers, gearboxes, automotive actuators, haptic motion products, and piezo stages, as well as brushless EC, DC, AC, stepper, and gear motors; pumps and valves; and flex circuits, flat flexible cables, security circuits, microelectronics, and electromagnetic interference shielded flexible circuits. It also provides switches and relays comprising microswitches, TIPPMATIC auto power-off products, manually operated switches, panel mounted switches, automotive switches and subsystems, and smart meter relays; and powder metal components. The company offers its products to a range of industries, including automotive, building automation and security, business machines, defense and aerospace, food and beverage, home technologies, HVAC, industrial equipment, medical devices, personal care, power equipment, and power tools. Johnson Electric Holdings Limited was founded in 1959 and is headquartered in Sha Tin, Hong Kong.

How the Company Makes Money

Johnson Electric makes money primarily through the manufacturing and sale of motion systems, subsystems, and components. The company's revenue streams are diversified across several sectors, with a significant portion coming from the automotive industry, where it supplies components for applications such as engine management, body and chassis, and powertrain systems. In the industrial and medical sectors, Johnson Electric provides specialized solutions that cater to the unique requirements of these industries. The company benefits from long-term partnerships with leading global manufacturers and invests in research and development to maintain its competitive edge, ensuring a steady flow of income through innovation and technological advancement.

Johnson Electric Holdings Financial Statement Overview

Summary

Johnson Electric Holdings displays strong financial health with robust profitability, growth, and cash flow generation. The income statement highlights effective cost management and growth, while the balance sheet remains stable with low leverage. Cash flows are excellent, underscoring strong cash generation capabilities. The company is well-positioned for future growth but should monitor liabilities to maintain financial stability.

Income Statement

The income statement reflects strong profitability and growth. Gross profit margin improved to 22.3%, and net profit margin increased to 6.0%, indicating effective cost management and higher profitability. Revenue grew by 4.6% from the previous year, demonstrating solid growth. EBIT and EBITDA margins also showed improvement, reaching 7.5% and 15.1%, respectively.

Balance Sheet

The balance sheet is stable with a healthy debt-to-equity ratio of 0.25, showcasing low financial leverage. Return on equity improved to 9.0%, indicating effective use of shareholders' equity. The equity ratio is strong at 60.4%, reflecting a robust capital structure. However, slight increases in total liabilities could pose a risk if not managed properly.

Cash Flow

Cash flow statements are strong, with a significant free cash flow growth rate of 92.2% and an operating cash flow to net income ratio of 2.54, indicating strong cash generation relative to net income. The free cash flow to net income ratio is also favorable at 1.73, suggesting efficient cash management.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
3.73B	3.81B	3.65B	3.45B	3.16B	3.07B
	Gross Profit
859.19M	850.72M	715.91M	701.91M	723.29M	672.26M
	EBIT
291.72M	285.32M	180.11M	134.91M	264.02M	206.19M
	EBITDA
540.85M	577.59M	425.01M	386.05M	491.77M	-206.95M
	Net Income Common Stockholders
238.69M	229.23M	157.81M	146.35M	212.03M	-493.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
699.17M	827.87M	428.07M	359.51M	544.25M	386.47M
	Total Assets
4.09B	4.22B	4.10B	4.34B	4.02B	3.46B
	Total Debt
424.70M	634.64M	567.42M	618.33M	474.73M	475.65M
	Net Debt
-262.96M	-115.21M	158.76M	272.93M	-64.73M	91.28M
	Total Liabilities
1.41B	1.62B	1.61B	1.84B	1.71B	1.56B
	Stockholders Equity
2.63B	2.55B	2.45B	2.42B	2.22B	1.83B
Cash Flow		Free Cash Flow
320.63M	395.73M	205.93M	-132.85M	170.81M	263.71M
	Operating Cash Flow
515.48M	581.88M	432.49M	183.59M	434.38M	545.79M
	Investing Cash Flow
-156.48M	-225.41M	-240.80M	-351.20M	-264.63M	-168.73M
	Financing Cash Flow
-122.31M	-5.87M	-110.37M	-23.95M	-37.15M	-320.83M

Johnson Electric Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.85
• 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:0179, the sentiment is Positive. The current price of 21.85 is above the 20-day moving average (MA) of 20.12, above the 50-day MA of 16.40, and above the 200-day MA of 12.90, indicating a bullish trend. The MACD of 1.78 indicates Positive momentum. The RSI at 66.07 is Neutral, neither overbought nor oversold. The STOCH value of 64.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0179.

Johnson Electric Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0179	75 Outperform	$20.18B	9.83	10.07%	1.56%	-2.37%	6.48%
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
MNTHF		$2.91B	7.38	11.97%	0.37%	―	―
NTXVF		$1.81B	25.52	3.13%	0.47%	―	―
W4K1		€1.01B	19.02	9.28%	1.49%	―	―
0564	83 Outperform	HK$32.71B	6.90	18.67%	5.57%	-0.25%	16.01%
1571	73 Outperform	HK$3.77B	6.07	16.20%	5.32%	1.42%	-8.76%

Johnson Electric Holdings Corporate Events

Johnson Electric Explores New Growth Opportunities in Robotics

Johnson Electric Holdings Limited has observed a rise in its share price and trading volume, amid media reports and market speculation about its activities in the humanoid robot components sector. The company is exploring strategic opportunities in robotics and other emerging sectors, leveraging its expertise to develop and supply component prototypes for humanoid robots. Although these initiatives are in early stages and no binding agreements have been made, the company is considering potential business collaborations to support growth.