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Wong's Kong King International (Holdings) Limited (HK:0532)
:0532
Hong Kong Market

Wong's Kong King International (Holdings) Limited (0532) AI Stock Analysis

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HK

Wong's Kong King International (Holdings) Limited

(0532)

Rating:42Neutral
Price Target:
Wong's Kong King International is struggling with significant financial challenges, including declining revenues and negative earnings, which are major concerns. The technical analysis suggests a persistent downtrend with weak market momentum. Valuation metrics are unfavorable, with a negative P/E ratio and no dividend yield, further lowering the investment appeal. The stock's current position highlights the need for strategic improvements to address financial instability and market performance.

Wong's Kong King International (Holdings) Limited (0532) vs. iShares MSCI Hong Kong ETF (EWH)

Wong's Kong King International (Holdings) Limited Business Overview & Revenue Model

Company DescriptionWong's Kong King International (Holdings) Limited, an investment holding company, trades in and distributes chemicals, materials, and equipment for use in the manufacture of printed circuit boards and electronic products. It operates in two segments, Trading and Manufacturing. The company is involved in trading and distributing plastic and industrial products, semiconductor equipment, electronics components, printed circuit boards, and other related products; trading, distributing, and installing turnkey production facilities; and provision of designing, producing, testing, distributing, and return/repairing services for electronics components. It also manufactures and sells electrical and electronic products for original equipment manufacturers, as well as produces film and plastic products. In addition, the company provides marketing, engineering, travel ticketing, and maintenance and after-sales services. It operates in North America, Europe, Hong Kong, Mainland China, Taiwan, and internationally. Wong's Kong King International (Holdings) Limited was founded in 1975 and is headquartered in Kowloon Bay, Hong Kong.
How the Company Makes MoneyWong's Kong King International (Holdings) Limited generates revenue through its EMS operations, offering end-to-end solutions from product design to manufacturing and distribution. The company makes money by serving as a contract manufacturer for original equipment manufacturers (OEMs), leveraging its expertise and infrastructure to provide cost-effective and efficient production capabilities. Key revenue streams include service contracts, design and engineering fees, and the production and sale of electronic components and finished products. Partnerships with leading technology firms and a diverse clientele contribute significantly to its earnings, as does its strategic presence in major manufacturing hubs.

Wong's Kong King International (Holdings) Limited Financial Statement Overview

Summary
Wong's Kong King International is facing financial headwinds, characterized by declining revenues and profitability. The company's balance sheet remains relatively stable, but increased leverage and negative earnings raise red flags. Cash flow difficulties further stress the financial position, suggesting the need for strategic realignment to improve financial health.
Income Statement
45
Neutral
The company's revenue has been on a declining trend over recent years, with a significant drop from 2020 to 2024. The gross profit margin has decreased, indicating a squeeze in profitability. Net income has turned negative, leading to weak net profit margins. However, EBITDA margin shows some resilience, albeit still negative, suggesting challenges in operational efficiency.
Balance Sheet
55
Neutral
The balance sheet reflects a stable equity base, but the debt-to-equity ratio has increased, presenting potential leverage concerns. Return on equity has turned unfavorable due to negative net income. The equity ratio remains stable, indicating a balanced asset financing structure.
Cash Flow
35
Negative
The cash flow position is concerning, with operating cash flow turning negative in recent periods. Free cash flow shows volatility and lacks consistency, impacting financial flexibility. The lack of positive cash flow metrics highlights potential liquidity risks.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
3.45B3.65B4.61B5.41B4.72B
Gross Profit
761.36M177.81M1.07B1.09B999.50M
EBIT
-117.70M-11.79M144.78M127.64M142.47M
EBITDA
-74.48M44.06M222.76M206.42M221.59M
Net Income Common Stockholders
-190.16M-132.78M112.72M96.78M101.19M
Balance SheetCash, Cash Equivalents and Short-Term Investments
572.52M561.76M748.13M713.93M637.75M
Total Assets
2.91B3.15B3.72B3.75B3.29B
Total Debt
639.01M664.42M923.39M613.45M406.20M
Net Debt
171.57M177.19M250.62M-68.87M-191.79M
Total Liabilities
1.42B1.48B1.86B1.89B1.49B
Stockholders Equity
1.40B1.58B1.75B1.76B1.71B
Cash FlowFree Cash Flow
0.00217.03M-171.40M-21.99M432.94M
Operating Cash Flow
0.00245.24M-149.66M22.86M485.16M
Investing Cash Flow
0.00-3.60M-48.07M-26.16M-30.89M
Financing Cash Flow
0.00-410.30M241.50M91.45M-316.18M

Wong's Kong King International (Holdings) Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.24
Price Trends
50DMA
0.22
Positive
100DMA
0.24
Positive
200DMA
0.30
Negative
Market Momentum
MACD
<0.01
Negative
RSI
52.27
Neutral
STOCH
48.35
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0532, the sentiment is Neutral. The current price of 0.24 is above the 20-day moving average (MA) of 0.24, above the 50-day MA of 0.22, and below the 200-day MA of 0.30, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.27 is Neutral, neither overbought nor oversold. The STOCH value of 48.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:0532.

Wong's Kong King International (Holdings) Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$11.89B9.95-7.22%4.98%7.31%-8.91%
42
Neutral
HK$181.01M-12.76%-5.65%-43.21%
$63.29B34.5427.96%2.54%
$3.27B12.535.52%8.95%
$8.72B23.9711.45%0.83%
$8.27B15.6926.55%2.46%
66
Neutral
HK$22.64B24.3725.73%168.87%150.80%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0532
Wong's Kong King International (Holdings) Limited
0.24
-0.21
-46.67%
HKXCF
Hong Kong Exchanges & Clearing
49.65
17.70
55.40%
SHZNF
Shenzhen Expressway Co
0.86
-0.14
-14.00%
SNPTF
Sunny Optical Technology (Group) Co
7.82
1.56
24.92%
TCYMF
Tingyi (Cayman Islands) Holding
1.44
0.27
23.08%
HK:1415
Cowell e Holdings Inc.
26.25
3.25
14.13%

Wong's Kong King International (Holdings) Limited Corporate Events

Wong’s Kong King Announces 2025 AGM with Key Resolutions
Apr 29, 2025

Wong’s Kong King International (Holdings) Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 26, 2025, in Hong Kong. The meeting will cover several key agenda items including the consideration of the audited financial statements for the year ending December 31, 2024, the re-election of directors, and the re-appointment of auditors. Additionally, a special resolution will be discussed to authorize the directors to issue additional shares, subject to specific conditions, which could impact the company’s capital structure and shareholder value.

Wong’s Kong King International Adjusts Book Closure Dates for AGM
Apr 24, 2025

Wong’s Kong King International (Holdings) Limited has announced a change in the book closure period for determining shareholders eligible to attend and vote at the upcoming annual general meeting. The new book closure dates are set from June 23 to June 26, 2025, replacing the previously announced dates. This adjustment ensures shareholders have the correct information for participating in the meeting, while all other details from the previous announcement remain unchanged.

Wong’s Kong King Subsidiary Reports Significant Revenue Growth
Apr 10, 2025

Taiwan Kong King Company Limited, a subsidiary of Wong’s Kong King International, reported a significant increase in sales revenue for March 2025, with a 390.95% rise compared to the same month last year. This surge is attributed to increased sales of machinery and equipment, reflecting positively on the company’s operational performance and market positioning.

Wong’s Kong King International Reports Increased Losses in 2024
Mar 27, 2025

Wong’s Kong King International (Holdings) Limited reported its annual financial results for the year ended December 31, 2024, showing a decline in revenue from HK$3,652,218,000 in 2023 to HK$3,446,033,000 in 2024. The company experienced a significant increase in its net loss, which rose to HK$177,985,000 from HK$108,756,000 the previous year. This financial performance reflects challenges in managing costs and maintaining profitability, impacting the company’s operations and potentially affecting its stakeholders.

Wong’s Kong King International Announces Board Composition
Mar 19, 2025

Wong’s Kong King International (Holdings) Limited, a company incorporated in Bermuda, has announced the composition of its Board of Directors and their roles. The Board consists of both executive and independent non-executive directors, with key figures including Wong Senta as Chairman and Wong Ava as Deputy Chairman and CEO. The company also detailed the membership of its three Board committees: Audit, Remuneration, and Nomination. This announcement provides stakeholders with clarity on the leadership structure and governance of the company, which could impact its strategic direction and operational oversight.

Wong’s Kong King Announces Director Resignation
Mar 19, 2025

Wong’s Kong King International (Holdings) Limited announced the resignation of Mr. Tse Hin Lin Arnold as an independent non-executive director due to personal health issues, effective March 19, 2025. The company expressed gratitude for Mr. Tse’s contributions and confirmed there are no disagreements or claims against the company related to his departure, ensuring a smooth transition for stakeholders.

Wong’s Kong King International Announces Board Meeting for Year-End Results
Mar 17, 2025

Wong’s Kong King International (Holdings) Limited has announced that its board of directors will convene on March 27, 2025, to approve the company’s final results for the year ending December 31, 2024, and to consider the declaration of a final dividend. This meeting is crucial for stakeholders as it will determine the financial performance of the company and potential returns in the form of dividends, impacting investor confidence and market positioning.

Wong’s Kong King Reports Decline in Taiwan Subsidiary’s 2024 Profits
Mar 13, 2025

Wong’s Kong King International (Holdings) Limited announced a significant decrease in the financial performance of its subsidiary, Taiwan Kong King Company Limited (TKK), for the year ended 31 December 2024. TKK reported a 47.36% decline in profit after tax compared to the previous year, with total assets amounting to NT$1,611,926,000. This downturn in financial results may impact the company’s market positioning and investor confidence.

Wong’s Kong King Reports Significant Revenue Growth in February 2025
Mar 10, 2025

Wong’s Kong King International (Holdings) Limited announced a significant increase in sales revenue for February 2025, with a 676.15% rise compared to the same month last year, primarily driven by increased sales of machinery and equipment. This substantial growth reflects the company’s strengthened market position and could have positive implications for its stakeholders, showcasing its ability to capitalize on market demands effectively.

Wong’s Kong King Issues Profit Warning Amid Global Challenges
Feb 27, 2025

Wong’s Kong King International (Holdings) Limited has issued a profit warning, expecting a significant increase in net loss for 2024 compared to 2023. The loss is attributed to underperformance in its Taiwanese subsidiary, inefficiencies in its Mexican manufacturing facility, and challenges from global economic conditions and high interest rates.

Wong’s Kong King Reports Significant Revenue Decline in January
Feb 10, 2025

Wong’s Kong King International (Holdings) Limited has issued an overseas regulatory announcement detailing the financial performance of its subsidiary, Taiwan Kong King Company Limited. The report reveals a significant decline in sales revenue for January 2025, showing a 41.72% decrease compared to the same period last year, attributed to changes after adopting IFRSs. This drop in revenue reflects a challenging market environment, potentially impacting the company’s financial stability and stakeholder confidence.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.