PW Medtech Group Ltd. (1358) AI Stock Analysis

• Market Cap: €2.17B
• Dividend Yield: 5.52%
• Average Volume (3M): 2.90M
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.30
• Revenue Growth: 11.84%
• EPS Growth: -2.22%
• Country: HK
• Employees: 1,415
• Sector: Healthcare
• Sector Strength: 42
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.06
• Shares Outstanding: 1,533,231,100
• 10 Day Avg. Volume: 2,017,970
• 30 Day Avg. Volume: 2,899,282
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• 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: €1.47
• Price Target Upside: 4.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: HK$1.50 ▲(6.38%Upside)

PW Medtech Group Ltd. presents a strong financial position with impressive revenue growth and profitability, but struggles in cash flow management pose a risk. Despite bullish technical indicators, the overbought condition suggests caution. The company's valuation is fair, and the dividend yield is attractive, contributing positively to the score.

PW Medtech Group Ltd. Business Overview & Revenue Model

Company Description

PW Medtech Group Ltd. (1358) is a China-based company primarily engaged in the design, development, manufacture, and distribution of high-quality medical devices. The company's core products include infusion sets, intravenous cannulae, and other related medical consumables. PW Medtech focuses on the medical device sector and aims to provide innovative and reliable healthcare solutions to hospitals and medical institutions across China.

How the Company Makes Money

PW Medtech Group Ltd. generates revenue through the sale of its medical devices, which primarily include infusion sets and intravenous cannulae. These products are essential for various medical procedures and are sold to hospitals, clinics, and other healthcare facilities. The company leverages its extensive distribution network within China to reach a broad customer base. Additionally, PW Medtech may engage in strategic partnerships or collaborations with other medical technology firms to enhance its product offerings and market reach, further contributing to its revenue streams. The company's earnings are influenced by factors such as healthcare industry demand, regulatory approvals, and technological advancements.

PW Medtech Group Ltd. Financial Statement Overview

Summary

PW Medtech Group Ltd. shows strong revenue growth and profitability, with robust balance sheet metrics. However, a significant drop in operating cash flow raises concerns about cash management, which impacts the overall financial performance score.

Income Statement

PW Medtech Group Ltd. demonstrates strong revenue growth, with total revenue increasing from $247 million in 2020 to $768 million in 2024. Gross profit margins have been solid, averaging around 55% over the last few years. The net profit margin is also robust, with a net income of $150 million in 2024. The EBIT and EBITDA margins have been improving, indicating effective cost management. The company has shown resilience with consistent growth, although a slight decrease in EBIT in 2024 needs monitoring.

Balance Sheet

The company's balance sheet is very strong, with a low debt-to-equity ratio due to minimal total debt compared to substantial stockholders' equity. The equity ratio is favorable, reflecting financial stability. The substantial cash reserves, evidenced by significant cash and short-term investments, provide a buffer, enhancing liquidity. The growth in stockholders' equity is a positive indicator, although the increase in liabilities in 2024 should be observed.

Cash Flow

Cash flow management appears to be a challenge, as the operating cash flow dropped to zero in 2024 from $211 million in 2023. Despite this, the company has maintained positive free cash flow historically, signifying potential for recovery. The lack of operating and free cash flow in the most recent period raises concerns about operational efficiency and cash generation capabilities.

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

PW Medtech Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.41
• 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:1358, the sentiment is Positive. The current price of 1.41 is above the 20-day moving average (MA) of 1.40, above the 50-day MA of 1.20, and above the 200-day MA of 1.02, indicating a bullish trend. The MACD of 0.07 indicates Positive momentum. The RSI at 60.30 is Neutral, neither overbought nor oversold. The STOCH value of 32.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1358.

PW Medtech Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9997	83 Outperform	€9.95B	15.70	18.36%	0.39%	7.13%	13.39%
1358	76 Outperform	€2.17B	13.41	3.72%	5.52%	11.84%	-2.22%
1066	76 Outperform	$32.15B	14.40	8.95%	0.61%	-3.09%	0.67%
3600	74 Outperform	€3.98B	9.82	15.04%	4.06%	6.05%	1.32%
1501	69 Neutral	HK$4.40B	19.76	11.24%	1.20%	11.23%	20.39%
6699	63 Neutral	HK$9.90B	207.14	1.33%	0.66%	―	―
Sector *	60 Neutral	HK$17.39B	5.75	-7.44%	3.10%	11.55%	-28.15%

PW Medtech Group Ltd. Corporate Events

PW Medtech Announces Early Loan Repayment

PW Medtech Group Ltd. announced that a borrower has made an early repayment of RMB50 million of a RMB120 million loan, along with the corresponding interests, ahead of the scheduled repayment date. The remaining principal and interests will be repaid according to the existing loan agreements, with all terms and conditions, including security provisions, remaining unchanged.

PW Medtech Group Ltd. Initiates Share Repurchase Plan

PW Medtech Group Ltd. has announced a voluntary share repurchase plan under its existing repurchase mandate, allowing the company to buy back up to 10% of its shares over the next twelve months. This move reflects the company’s confidence in its long-term growth and market performance, aiming to enhance shareholder value while maintaining a solid financial position. The repurchase will be financed from existing cash reserves and will adhere to market conditions and regulatory requirements.

PW Medtech Updates on Sichuan Ruijian Medical’s Listing Suspension

PW Medtech Group Ltd. has announced a voluntary update regarding the subsequent listing of Sichuan Ruijian Medical on the Beijing Stock Exchange. The listing process has been temporarily suspended following a request by Sichuan Ruijian Medical, although it has not been terminated. The suspension is due to ongoing matters related to the listing, and the shares remain suspended from trading on the NEEQs. The company advises shareholders and potential investors to exercise caution, as the listing is subject to market conditions and regulatory approvals.

PW Medtech Group Ltd. Successfully Passes All AGM Resolutions

PW Medtech Group Ltd. announced that all resolutions proposed at their Annual General Meeting on June 10, 2025, were successfully passed. Key resolutions included the adoption of financial statements, declaration of a final dividend, re-election of directors, and granting of mandates for share repurchase and issuance. This successful AGM outcome reflects the company’s stable governance and strategic direction, potentially strengthening its market position and reassuring stakeholders of its operational and financial health.

PW Medtech Subsidiary Reports Strong Q1 Growth

PW Medtech Group Ltd. announced the first quarterly financial results for its subsidiary, Sichuan Ruijian Medical, showing a significant revenue increase of 43.89% compared to the previous year. This growth is attributed to the subsidiary’s expansion in domestic and overseas markets, increased brand awareness, and heightened market competitiveness, indicating a positive impact on the company’s market positioning and stakeholder interests.

Sichuan Ruijian Medical Reports Strong Q1 Growth and Eyes Beijing Stock Exchange Listing

Sichuan Ruijian Medical, a subsidiary of PW Medtech Group Ltd., reported a significant revenue increase of 43.89% in the first quarter of 2025 compared to the previous year, driven by market expansion and increased brand awareness. The company is also progressing towards a public stock issuance and listing on the Beijing Stock Exchange, indicating growth and potential new opportunities for stakeholders.