Chuan Holdings Limited (1420) AI Stock Analysis

• Market Cap: HK$168.04M
• Dividend Yield: N/A
• Average Volume (3M): 114.00K
• Price to Earnings (P/E): 3.6
• Beta (1Y): 0.01
• Revenue Growth: 19.15%
• EPS Growth: 106.56%
• Country: HK
• Employees: 608
• Sector: Industrials
• Sector Strength: 84
• Industry: Engineering & Construction
• EPS (TTM): 0.04
• Shares Outstanding: 1,263,427,200
• 10 Day Avg. Volume: 248,000
• 30 Day Avg. Volume: 114,000
• PEG Ratio: 0.03
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.58
• 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: 63 Neutral
• Price Target: HK$0.00 ▼(-100.00%Downside)

Chuan Holdings Limited shows strong financial performance with solid revenue and profit growth. However, technical indicators suggest an overbought condition, indicating potential for a price correction. Valuation metrics reveal a potentially undervalued stock, but cash flow challenges present a risk.

Chuan Holdings Limited Business Overview & Revenue Model

Company Description

Chuan Holdings Limited (1420) is a prominent investment holding company primarily engaged in the provision of earthworks and related services in Singapore. The company operates through two main segments: Earthworks and General Construction, and Waste Management. It is well-regarded for its capabilities in land preparation, land clearing, and the development of construction sites, offering comprehensive solutions to clients in the construction and infrastructure sectors.

How the Company Makes Money

Chuan Holdings Limited generates revenue through its specialized services in the construction industry. The Earthworks and General Construction segment is its primary revenue stream, involving site preparation, land leveling, and excavation services for large-scale construction projects. Additionally, the company operates in the Waste Management sector, which includes waste collection and disposal services. This diversification allows the company to leverage construction and urban development activities in Singapore, contributing significantly to its earnings. Strategic partnerships with real estate developers and construction firms further bolster its revenue by ensuring a steady pipeline of projects.

Chuan Holdings Limited Financial Statement Overview

Summary

Chuan Holdings Limited has demonstrated solid revenue and profit growth, with improved margins indicating operational efficiency. However, the increase in leverage and cash flow challenges suggest caution regarding liquidity management.

Income Statement

Chuan Holdings Limited has demonstrated solid revenue growth, with a significant increase from $120.8M in 2023 to $136.7M in 2024, reflecting a growth rate of approximately 13%. The gross profit margin improved from 7.1% to 8.7%, indicating better cost management. Net profit margin also increased from 2.7% to 6.0%, showcasing enhanced profitability. Both EBIT and EBITDA margins have shown positive trends, reinforcing overall profitability improvements.

Balance Sheet

The company's debt-to-equity ratio increased, indicating heightened leverage, but remains manageable. With a return on equity (ROE) improving to approximately 7.9%, the company shows effective utilization of equity. The equity ratio is strong at around 53.9%, suggesting a stable financial structure with considerable equity financing.

Cash Flow

Chuan Holdings experienced challenges in cash flow, as operating cash flow is zero in 2024 despite positive net income, indicating potential liquidity management issues. Free cash flow was also zero, representing a decline from $16.1M in the previous year. This raises concerns about cash generation and reinvestment capacity.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
143.75M	120.83M	88.61M	85.42M	72.40M
	Gross Profit
18.96M	8.59M	6.20M	4.34M	-4.07M
	EBIT
12.04M	1.46M	-534.00K	-1.50M	-15.60M
	EBITDA
16.31M	11.22M	3.75M	11.52M	975.00K
	Net Income Common Stockholders
8.14M	3.25M	1.72M	1.50M	-8.37M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
33.65M	31.81M	26.90M	34.43M	50.42M
	Total Assets
191.50M	121.69M	110.53M	111.84M	122.11M
	Total Debt
52.10M	8.74M	7.15M	11.43M	18.94M
	Net Debt
20.69M	-21.37M	-16.29M	-20.09M	-27.30M
	Total Liabilities
88.35M	29.60M	21.75M	25.33M	37.29M
	Stockholders Equity
103.15M	92.09M	88.78M	86.51M	84.82M
Cash Flow		Free Cash Flow
25.65M	16.11M	-520.00K	1.55M	3.06M
	Operating Cash Flow
28.78M	22.47M	1.14M	5.62M	4.07M
	Investing Cash Flow
-43.04M	-11.03M	-3.29M	-15.07M	2.88M
	Financing Cash Flow
15.45M	-4.64M	-5.92M	-5.89M	-3.42M

Chuan Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1420, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.11, and above the 200-day MA of 0.10, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 70.61 is Negative, neither overbought nor oversold. The STOCH value of 76.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1420.

Chuan Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2663	72 Outperform	HK$178.22M	3.77	17.39%	50.00%	23.89%	26.19%
2017	71 Outperform	HK$173.18M	5.85	2.78%	―	-8.97%	-12.59%
Sector *	66 Neutral	$4.44B	12.08	5.34%	5.82%	4.17%	-11.81%
1420	63 Neutral	HK$168.04M	3.65	8.41%	―	19.15%	106.56%
1459	54 Neutral	HK$173.34M	31.86	0.31%	6.15%	-20.04%	-58.20%
1757	53 Neutral	HK$175.20M	97.33	2.07%	―	-34.92%	―
1707	51 Neutral	HK$184.80M	―	-9.34%	―	-40.18%	3.09%

Chuan Holdings Limited Corporate Events

Chuan Holdings Limited AGM Resolutions Unanimously Approved

Chuan Holdings Limited, a company incorporated in the Cayman Islands, announced the successful passing of all resolutions during its Annual General Meeting held on May 30, 2025. These resolutions included the adoption of the audited financial statements for the year ending December 31, 2024, the re-election of several directors, the authorization of director remunerations, the re-appointment of Ernst & Young LLP as auditors, and the granting of buy-back and issue mandates to the directors. The unanimous approval of these resolutions by shareholders, with no votes against, signifies strong support for the company’s current management and strategic direction.

Chuan Holdings Limited Announces 2025 AGM and Key Resolutions

Chuan Holdings Limited has announced its upcoming Annual General Meeting (AGM) scheduled for May 30, 2025, in Singapore. Key agenda items include the adoption of financial statements for 2024, re-election of directors, and re-appointment of Ernst & Young LLP as auditors. Additionally, the company seeks approval for a share buyback plan, allowing the purchase of up to 10% of its issued shares, which could impact its market positioning and shareholder value.

Chuan Holdings Limited Reports Robust Financial Performance in 2024

Chuan Holdings Limited reported a strong financial performance for the year ended December 31, 2024, driven by strategic initiatives and a resurgence in construction activity in Singapore. The company achieved a significant revenue increase of 19%, reaching approximately S$143.8 million, with its earthworks and ancillary services segment playing a major role. Additionally, Chuan Holdings ventured into the property investment sector, contributing to its diversified revenue streams.