Kin Shing Holdings Ltd. (1630) AI Stock Analysis

• Market Cap: HK$58.50M
• Dividend Yield: N/A
• Average Volume (3M): 389.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.60
• Revenue Growth: 36.72%
• EPS Growth: -389.06%
• Country: HK
• Employees: 1,578
• Sector: Industrials
• Sector Strength: 91
• Industry: Engineering & Construction
• EPS (TTM): -0.01
• Shares Outstanding: 1,500,000,000
• 10 Day Avg. Volume: 393,600
• 30 Day Avg. Volume: 389,600
• PEG Ratio: -0.05
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.17
• 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: 49 Neutral
• Price Target: ―

While Kin Shing Holdings Ltd. demonstrates strong revenue growth, significant profitability and cash flow issues present substantial risks. The technical analysis suggests potential momentum, yet caution is advised given overbought indicators. Valuation metrics highlight ongoing challenges with a negative P/E ratio and no dividend yield. Overall, the stock requires careful consideration due to these financial and technical factors.

Kin Shing Holdings Ltd. Business Overview & Revenue Model

Company Description

Kin Shing Holdings Ltd. (1630) is a Hong Kong-based company primarily engaged in providing formwork works services. Its operations are centered around the construction industry, focusing on the design, supply, and installation of formwork for both public and private sector projects. The company is known for its expertise in delivering efficient and high-quality formwork solutions that cater to a wide range of construction needs.

How the Company Makes Money

Kin Shing Holdings Ltd. generates revenue primarily through contracts for formwork services within the construction sector. The company earns money by providing comprehensive formwork solutions, which include planning, designing, and implementing formwork systems for construction projects. Revenue is typically derived from project-based contracts, where the company is paid for its services upon completion of various stages of formwork installation. Significant partnerships with construction firms and governmental bodies often play a crucial role in securing large-scale projects, contributing to the company's earnings. Additionally, Kin Shing Holdings Ltd. may benefit from long-term client relationships and repeat business, which help stabilize its revenue streams over time.

Kin Shing Holdings Ltd. Financial Statement Overview

Summary

Kin Shing Holdings Ltd. shows robust revenue growth but faces profitability and cash flow management challenges. The company's low leverage is a positive aspect, but declining equity and net losses pose risks. The overall financial health reflects growth potential tempered by operational and cash flow issues, requiring strategic improvements for better financial stability.

Income Statement

Kin Shing Holdings Ltd. has experienced significant revenue growth, from HK$434.65M in 2020 to HK$1.24B in 2024, indicating strong top-line performance. However, the company struggles with profitability, evidenced by a consistent net loss over the past years and a negative EBIT margin for 2024, reflecting operational challenges. Gross profit margins remain low, showing limited cost control efficiency.

Balance Sheet

The balance sheet is relatively stable, with a low debt-to-equity ratio of 0.02 in 2024, indicating conservative leverage. However, the stockholders' equity has decreased, reflecting potential erosion in intrinsic company value. The equity ratio has declined, but remains moderately healthy at ~25.3% for 2024, suggesting acceptable asset financing by equity.

Cash Flow

Cash flow generation is mixed, with positive operating cash flow in recent years, but a declining trend in free cash flow, which fell significantly from HK$48.28M in 2023 to HK$15.79M in 2024. The operating cash flow to net income ratio is favorable, suggesting decent cash earnings quality, but the declining free cash flow indicates potential cash management and investment issues.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	1.13B	1.24B	474.77M	600.86M	523.95M	434.65M
Gross Profit	23.09M	31.62M	15.27M	8.54M	4.28M	12.61M
EBITDA	-30.89M	-27.57M	30.29M	9.21M	22.05M	-1.74M
Net Income	-27.80M	-43.81M	11.89M	-12.50M	2.63M	-10.83M
Balance Sheet
Total Assets	381.04M	483.88M	425.96M	379.28M	391.13M	366.56M
Cash, Cash Equivalents and Short-Term Investments	169.20M	236.13M	155.62M	72.29M	56.30M	54.58M
Total Debt	151.12M	2.62M	3.32M	4.67M	1.74M	3.52M
Total Liabilities	249.28M	361.58M	259.85M	225.05M	224.41M	202.47M
Stockholders Equity	131.75M	122.30M	166.11M	154.22M	166.72M	164.09M
Cash Flow
Free Cash Flow	-42.56M	15.79M	48.28M	-47.65M	2.05M	34.82M
Operating Cash Flow	-30.37M	27.98M	57.26M	-42.90M	24.44M	44.51M
Investing Cash Flow	2.62M	-5.93M	-40.88M	-4.47M	-21.57M	-9.50M
Financing Cash Flow	-5.10M	-3.19M	-2.35M	-2.83M	-3.77M	-29.17M

Kin Shing Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 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:1630, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.15 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:1630.

Kin Shing Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0817	63 Neutral	HK$17.96B	23.62	1.81%	17.71%	-19.50%	―
1193	59 Neutral	HK$45.93B	11.24	9.94%	6.91%	1.39%	-21.74%
Sector *	58 Neutral	HK$14.16B	4.43	-3.01%	7.13%	3.67%	-54.16%
1028	56 Neutral	HK$454.86M	8.69	3.77%	―	-11.44%	111.76%
1630	49 Neutral	HK$58.50M	―	-8.05%	―	36.72%	-389.06%