Man Shun Group (Holdings) Ltd. (1746) AI Stock Analysis

• Market Cap: HK$360.00M
• Dividend Yield: N/A
• Average Volume (3M): 3.87M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.03
• Revenue Growth: -14.18%
• EPS Growth: -1085.71%
• Country: HK
• Employees: 71
• Sector: Industrials
• Sector Strength: 88
• Industry: Engineering & Construction
• EPS (TTM): >-0.01
• Shares Outstanding: 1,000,000,000
• 10 Day Avg. Volume: 3,249,200
• 30 Day Avg. Volume: 3,866,533
• PEG Ratio: 0.21
• Price to Book (P/B): 2.12
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -37.83
• 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: 44 Neutral
• Price Target: HK$0.50 ▲(35.14%Upside)

The overall stock score is primarily influenced by the company's declining financial performance, characterized by negative profit margins and cash flow issues. The technical analysis suggests a bearish trend, while the valuation metrics highlight a lack of earnings support. These factors collectively result in a low stock score, indicating significant risks.

Man Shun Group (Holdings) Ltd. Business Overview & Revenue Model

Company Description

Man Shun Group (Holdings) Ltd. (1746) is a Hong Kong-based company engaged in the construction and engineering industry. The company specializes in the provision of electrical and mechanical engineering services, primarily focusing on the installation of electrical and mechanical systems in buildings and infrastructure projects. Their services include electrical systems installation, air-conditioning and ventilation systems installation, fire services systems installation, and plumbing and drainage systems installation.

How the Company Makes Money

Man Shun Group (Holdings) Ltd. generates revenue through contracts for their engineering services in the construction sector. The company's primary revenue streams come from providing electrical and mechanical installation services for various types of buildings, including residential, commercial, industrial, and institutional buildings. They earn money by securing contracts for these services, either as a main contractor or subcontractor, depending on the project requirements. The company may also engage in collaborative projects or partnerships with other construction firms to expand their service offerings and project portfolio. The demand for construction and engineering services in the region, as well as their ability to maintain strong client relationships and secure repeat business, are significant factors contributing to their earnings.

Man Shun Group (Holdings) Ltd. Financial Statement Overview

Summary

Man Shun Group exhibits worrying financial trends. Revenue and profitability are declining, with negative profit margins and cash flow issues. Despite the company's strong equity position and low leverage, the negative return on equity and zero operating cash flow pose significant risks.

Income Statement

The company shows a declining revenue trend with a negative revenue growth rate from 2023 to 2024. Gross profit margin has decreased from 12.55% in 2023 to 10.19% in 2024, indicating reduced profitability. The net profit margin shifted from a positive 0.44% in 2023 to a negative -5.23% in 2024, showing a significant deterioration in net income. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 88.61% in 2024. The debt-to-equity ratio is low at 0.007, indicating low leverage. However, the return on equity has turned negative at -5.67%, primarily due to negative net income, which raises concerns about the company's ability to generate returns for shareholders.

Cash Flow

Cash flow analysis reveals significant challenges, with operating cash flow dropping to zero in 2024 from a positive $21.6M in 2023. There is no free cash flow growth, and both operating cash flow to net income and free cash flow to net income ratios are undefined due to zero cash flow, indicating cash generation issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	131.26M	152.95M	125.09M	121.67M	127.59M
Gross Profit	13.38M	19.21M	18.71M	20.96M	10.27M
EBITDA	-14.22M	2.89M	2.35M	-293.00K	-6.70M
Net Income	-6.86M	680.00K	238.00K	-2.23M	-8.46M
Balance Sheet
Total Assets	136.50M	172.71M	164.37M	171.50M	168.38M
Cash, Cash Equivalents and Short-Term Investments	66.81M	88.37M	68.43M	90.05M	96.86M
Total Debt	854.00K	1.51M	1.29M	2.01M	3.10M
Total Liabilities	15.53M	20.89M	13.22M	20.59M	15.25M
Stockholders Equity	120.97M	151.83M	151.15M	150.91M	153.13M
Cash Flow
Free Cash Flow	-386.00K	21.42M	-19.72M	-4.95M	-1.25M
Operating Cash Flow	193.00K	21.61M	-19.17M	-4.87M	-870.00K
Investing Cash Flow	1.94M	6.13M	34.82M	19.92M	-55.38M
Financing Cash Flow	-25.48M	-1.51M	-1.90M	-1.87M	-1.62M

Man Shun Group (Holdings) Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.37
• 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:1746, the sentiment is Neutral. The current price of 0.37 is above the 20-day moving average (MA) of 0.31, below the 50-day MA of 0.37, and below the 200-day MA of 0.37, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.68 is Neutral, neither overbought nor oversold. The STOCH value of 49.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1746.

Man Shun Group (Holdings) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8188	77 Outperform	HK$448.25M	5.36	57.03%	8.42%	48.34%	40.71%
6063	72 Outperform	HK$336.00M	105.00	2.51%	―	36.77%	―
0406	61 Neutral	HK$337.30M	6.72	-6.86%	6.49%	22.80%	-18.34%
Sector *	58 Neutral	HK$13.96B	4.77	-2.71%	5.86%	3.74%	-52.98%
8305	49 Neutral	HK$315.00M	―	-6.91%	―	4.61%	89.62%
1746	44 Neutral	HK$360.00M	―	-5.03%	―	-14.18%	-1085.71%

Man Shun Group (Holdings) Ltd. Corporate Events

Man Shun Group Announces Lapse of MOU Without Impact on Operations

Man Shun Group (Holdings) Limited, a company incorporated in the Cayman Islands, announced the lapse of a Memorandum of Understanding (MOU) related to a possible transaction that could have led to a change in control of the company. The MOU lapsed on June 30, 2025, as no formal agreement was reached between the involved parties. The company stated that this development will not have a material adverse impact on its financial and operational position.

Man Shun Group Forms Nomination Committee to Enhance Board Governance

Man Shun Group (Holdings) Limited has established a Nomination Committee to oversee the nomination process for its Board of Directors. This Committee is tasked with formulating nomination policies, assessing board composition and diversity, and recommending candidates for directorships, ensuring alignment with the company’s corporate strategy and governance standards.

Man Shun Group Secures Shareholder Approval for Key Resolutions at AGM

Man Shun Group (Holdings) Limited has successfully passed all proposed resolutions at its Annual General Meeting held on June 5, 2025. The resolutions included the re-election of directors, re-appointment of auditors, and granting mandates to the board for share allotment and repurchase, reflecting strong shareholder support and strategic direction for the company.

Man Shun Group Provides Update on Potential Change of Control Transaction

Man Shun Group (Holdings) Limited has announced an update regarding a potential transaction that could lead to a change in control of the company. The potential purchaser and its advisors are conducting due diligence, and while discussions are ongoing, no formal agreement has been reached. The company will continue to provide monthly updates on the transaction’s progress as required by the Takeovers Code.