AV Concept Holdings Limited (0595) AI Stock Analysis

• Market Cap: HK$381.64M
• Dividend Yield: 7.14%
• Average Volume (3M): 268.73K
• Price to Earnings (P/E): 7.1
• Beta (1Y): 0.46
• Revenue Growth: 20.90%
• EPS Growth: -50.79%
• Country: HK
• Employees: 140
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Technology Distributors
• EPS (TTM): >-0.01
• Shares Outstanding: 908,663,270
• 10 Day Avg. Volume: 263,600
• 30 Day Avg. Volume: 268,733
• 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: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$0.50
• Price Target Upside: 19.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 62 Neutral
• Price Target: HK$0.50 ▲(19.05% Upside)

The overall stock score of 62 reflects a combination of moderate financial performance challenges and attractive valuation metrics. The company's low P/E ratio and high dividend yield are significant positives, suggesting potential undervaluation and income opportunities. However, operational inefficiencies and cash flow volatility present risks that need to be addressed to improve financial health.

AV Concept Holdings Limited Business Overview & Revenue Model

Company Description

AV Concept Holdings Limited, an investment holding company, markets and distributes electronic components in Hong Kong, Singapore, Taiwan, and Indonesia. It operates through four segments: Semiconductor Distribution, Consumer Product and Product Sourcing Business, Venture Capital, and Others. The Semiconductor Distribution segment sells and distributes electronic components. The Consumer Product and Product Sourcing Business segment engages in the design, development, and sale of consumer products; and provision of product sourcing services. The Venture Capital segment invests in listed/unlisted equity and debt investments, as well as in managed funds, convertible bonds, and listed bonds. The Others segment engages in the internet social media business. The company also offers online advertising services. AV Concept Holdings Limited was founded in 1980 and is headquartered in Kowloon Bay, Hong Kong.

How the Company Makes Money

AV Concept Holdings generates revenue through multiple streams, primarily from the sale of audio-visual and telecommunications equipment, as well as providing installation and maintenance services for these systems. The company has established partnerships with leading technology manufacturers, allowing it to offer a wide range of products that are in demand across various industries. Additionally, AV Concept Holdings benefits from recurring revenue through service contracts and long-term maintenance agreements, which provide a stable income source. The company's focus on innovation and adapting to market trends also plays a crucial role in attracting new clients and retaining existing ones, further contributing to its overall earnings.

AV Concept Holdings Limited Financial Statement Overview

Summary

AV Concept Holdings Limited shows strong revenue growth but faces profitability and cash flow challenges. The balance sheet remains strong with low leverage and high equity, providing stability.

Income Statement

The company shows significant improvement in revenue growth with a 49.15% increase from 2023 to 2024. However, it has struggled with profitability, as indicated by negative EBIT margins despite a positive net profit margin of 11.09% for 2024. The gross profit margin is relatively low at 3.69%, indicating tight margins in operations.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.02, indicating minimal leverage. The equity ratio of 91.31% highlights a solid equity base relative to total assets. Return on equity is healthy at 6.39%, showing effective utilization of equity to generate profits.

Cash Flow

The cash flow statement reveals challenges with negative free cash flow growth and operating cash flow of -33.88 million. The operating cash flow to net income ratio is negative, suggesting poor cash conversion from reported profits, raising concerns about liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.21B	1.19B	984.29M	660.01M	1.04B	1.24B
Gross Profit	35.68M	13.17M	36.33M	4.28M	37.75M	54.96M
EBITDA	-73.83M	59.35M	115.19M	-75.18M	-29.10M	-35.65M
Net Income	133.84M	53.71M	109.16M	40.72M	231.02M	269.79M
Balance Sheet
Total Assets	1.94B	1.90B	1.87B	1.75B	1.75B	1.59B
Cash, Cash Equivalents and Short-Term Investments	99.77M	61.86M	80.85M	133.32M	180.61M	172.48M
Total Debt	71.93M	32.01M	36.24M	20.10M	7.62M	1.65M
Total Liabilities	190.96M	165.53M	162.61M	140.25M	123.43M	161.61M
Stockholders Equity	1.75B	1.73B	1.71B	1.60B	1.61B	1.41B
Cash Flow
Free Cash Flow	39.28M	17.11M	-34.61M	-16.27M	45.93M	159.42M
Operating Cash Flow	40.02M	18.45M	-33.88M	-6.71M	46.70M	159.61M
Investing Cash Flow	-848.00K	-34.00K	-14.81M	10.76M	-20.74M	-2.25M
Financing Cash Flow	-1.25M	-35.79M	4.50M	-33.54M	-30.88M	-137.04M

AV Concept Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.42
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0595, the sentiment is Positive. The current price of 0.42 is above the 20-day moving average (MA) of 0.41, above the 50-day MA of 0.40, and below the 200-day MA of 0.43, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.58 is Neutral, neither overbought nor oversold. The STOCH value of 71.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0595.

AV Concept Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0595	62 Neutral	HK$381.64M	7.11	3.12%	7.14%	20.90%	-50.79%
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%
0529	―	HK$500.34M	3.67	3.94%	0.85%	―	―
1362	62 Neutral	HK$102.20M	42.94	1.44%	3.95%	4.82%	-71.76%
1213	56 Neutral	HK$84.00M	―	-10.42%	1.88%	-15.64%	-140.98%
6036	48 Neutral	HK$478.42M	70.63	2.38%	―	20.64%	―
1632	34 Underperform	HK$142.04M	8.49		―	―	―