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Kwung's Holdings Limited (HK:1925)
:1925
Hong Kong Market

Kwung's Holdings Limited (1925) AI Stock Analysis

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HK:1925

Kwung's Holdings Limited

(1925)

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Outperform 74 (OpenAI - 4o)
Rating:74Outperform
Price Target:
HK$1.50
▲(33.93% Upside)
Kwung's Holdings Limited benefits from strong financial performance and attractive valuation metrics, including a low P/E ratio and high dividend yield. However, technical indicators suggest the stock is currently overbought, which could lead to a short-term price correction. The lack of earnings call data and corporate events limits further insights.
Positive Factors
Revenue Growth
The company's robust revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion.
Profitability
Improved profit margins reflect efficient cost management and pricing power, enhancing the company's ability to generate sustainable profits.
Equity Position
A strong equity base provides financial stability and flexibility, enabling the company to invest in growth opportunities and withstand economic fluctuations.
Negative Factors
Free Cash Flow
Negative free cash flow indicates challenges in cash generation, potentially limiting the company's ability to fund operations and growth without external financing.
Cash Conversion
A low cash conversion ratio suggests difficulties in turning profits into cash, which can impact liquidity and operational flexibility over time.
Debt Levels
Rising debt levels could lead to increased financial risk, affecting the company's ability to manage interest obligations and invest in growth.

Kwung's Holdings Limited (1925) vs. iShares MSCI Hong Kong ETF (EWH)

Kwung's Holdings Limited Business Overview & Revenue Model

Company DescriptionKwung's Holdings Limited, an investment holding company, designs, manufactures, supplies, and trades in home fragrance, decoration, and other products. It offers home fragrance candles and fragrance diffusers; and wax, metal, glass, and aromatherapy products. It also engages in the provision of inspection and testing services; wholesale and retail of household items and handicrafts; and import and export of self-employed or agent goods and technologies. The company sells its products through self-operated stores and online. It operates in France, the United Kingdom, the Netherlands, Germany, Canada, Australia, and the People's Republic of China. The company was incorporated in 2018 and is headquartered in Ningbo, the People's Republic of China. Kwung's Holdings Limited is a subsidiary of King Harmony Limited.
How the Company Makes MoneyKwung's Holdings Limited generates revenue through multiple streams. Primarily, the company earns income from rental properties, which are leased to commercial and residential tenants, providing a stable cash flow. Additionally, the trading segment of the business involves sourcing and selling consumer goods, contributing to its revenue through wholesale and retail channels. Manufacturing operations also add to the revenue by producing goods for both local and international markets. Strategic partnerships with suppliers and retailers enhance its market reach and operational capabilities, while effective asset management and property development initiatives further bolster its earnings potential.

Kwung's Holdings Limited Financial Statement Overview

Summary
Kwung's Holdings Limited shows strong revenue and profit growth with improved margins and a solid equity position. However, negative free cash flow raises liquidity concerns, necessitating a focus on cash generation and debt management.
Income Statement
Kwung's Holdings Limited demonstrated strong revenue growth, with a 24.1% increase from 2023 to 2024. The gross profit margin improved to 22.4%, and the net profit margin increased to 11.8%, indicating enhanced profitability. EBIT and EBITDA margins also showed positive trends, reflecting efficient cost management. Overall, the income statement reflects robust growth and profitability.
Balance Sheet
The company maintains a healthy balance sheet with a debt-to-equity ratio of 0.55, indicating moderate leverage. The equity ratio stands at 52.8%, showcasing a strong equity base. Return on equity improved to 22.4%, reflecting efficient use of equity to generate profits. However, the increase in total debt warrants monitoring for future leverage risks.
Cash Flow
Kwung's Holdings Limited experienced a decline in free cash flow, with a negative free cash flow of -66.5 million in 2024. The operating cash flow to net income ratio is low at 0.04, suggesting challenges in converting profits into cash. Despite this, the company has managed its financing activities effectively, maintaining liquidity.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.02B1.00B806.55M718.67M631.39M472.18M
Gross Profit225.88M224.19M162.13M134.40M121.13M108.15M
EBITDA110.10M108.76M101.75M60.39M62.29M55.53M
Net Income90.26M118.60M60.65M52.60M49.00M40.85M
Balance Sheet
Total Assets1.11B1.00B754.22M662.35M546.49M396.11M
Cash, Cash Equivalents and Short-Term Investments525.93M399.90M284.36M349.78M208.86M170.74M
Total Debt396.70M290.64M117.12M135.20M82.78M5.93M
Total Liabilities552.60M472.54M308.67M234.81M171.71M70.37M
Stockholders Equity552.66M529.95M444.76M426.91M374.21M325.21M
Cash Flow
Free Cash Flow-125.94M-66.46M-9.65M95.77M-46.09M24.79M
Operating Cash Flow-109.47M5.00M75.32M114.45M-32.94M35.89M
Investing Cash Flow195.11M40.42M30.76M-247.78M39.99M-71.24M
Financing Cash Flow47.97M103.35M-70.30M48.67M75.96M82.72M

Kwung's Holdings Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.12
Price Trends
50DMA
1.11
Positive
100DMA
1.07
Positive
200DMA
1.14
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
52.86
Neutral
STOCH
40.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1925, the sentiment is Positive. The current price of 1.12 is above the 20-day moving average (MA) of 1.07, above the 50-day MA of 1.11, and below the 200-day MA of 1.14, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 52.86 is Neutral, neither overbought nor oversold. The STOCH value of 40.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1925.

Kwung's Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
HK$685.11M4.8310.86%10.87%6.86%18.44%
74
Outperform
HK$437.45M4.4817.17%8.33%21.99%11.36%
73
Outperform
HK$284.74M2.4519.34%-3.12%1.92%
66
Neutral
HK$368.85M6.4810.92%11.10%-4.38%
65
Neutral
HK$317.91M10.593.77%10.32%-6.67%-29.55%
64
Neutral
HK$464.51M17.433.32%15.24%-9.26%435.33%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1925
Kwung's Holdings Limited
1.11
-0.08
-6.72%
HK:3828
Ming Fai International Holdings
0.93
0.22
30.99%
HK:1962
Evergreen Products Group Ltd.
0.55
0.06
12.24%
HK:2023
China Ludao Technology Co. Ltd.
0.75
-0.19
-20.21%
HK:2177
UNQ Holdings Limited
2.81
1.69
150.89%
HK:8512
Hyfusin Group Holdings Ltd.
0.33
0.07
25.00%

Kwung's Holdings Limited Corporate Events

Kwung’s Aroma Invests RMB50 Million of Surplus Cash in Multi-Asset Private Equity Fund
Jan 5, 2026

Kwung’s Aroma Holdings Limited has deployed RMB50 million of its surplus cash reserves into a private equity investment fund managed by Jihai Investment Company Limited through its indirectly wholly owned subsidiary Anhui Fenyuan. The fund, Jihai Zhize Panshi Private Equity Investment Fund, will pursue a top‑down asset allocation strategy across a wide range of asset classes including listed securities, bonds, derivatives, and structured products, aiming to enhance returns while managing market risk, with the investment classified as a discloseable transaction under Hong Kong listing rules due to its size relative to the group. The subscription is redeemable after 90 days without cost and carries annual management and other fees, indicating the group’s move to actively manage its liquidity and seek higher-yield opportunities from surplus capital, which could modestly influence its financial returns without altering its core home decoration business.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Fully Exits Private Equity Fund Investment After Securing Gains
Dec 24, 2025

Kwung’s Aroma Holdings’ subsidiary Ningbo Kwung’s has redeemed its remaining interests in the Jihai Zhize Panshi Private Equity Investment Fund, concluding a one‑year investment initially totaling RMB90 million. The final redemption, estimated at RMB30.826 million with an approximate gain of RMB1.384 million including prior distributions, follows two earlier partial redemptions and, when aggregated, constitutes a discloseable transaction under Hong Kong Listing Rules, triggering notification and announcement requirements. Management says the move secures unrealised gains after a period of stable performance and will free capital for other investment and business opportunities, reflecting an active approach to portfolio management while maintaining that the terms are fair, reasonable and in shareholders’ interests.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Secures RMB30M from Fund Redemption to Explore New Investments
Dec 17, 2025

Kwung’s Aroma Holdings Limited announced the partial redemption of its interests in the Jihai Zhize Panshi Private Equity Investment Fund, totaling proceeds of RMB30 million. The redemption, which generated an estimated gain of RMB1.5 million, reflects the company’s strategy to secure unrealized profits and reallocate resources to explore new investment opportunities, aligning with its growth objectives and stakeholder interests.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Holdings Redeems Fund Interests to Optimize Investment Portfolio
Dec 11, 2025

Kwung’s Aroma Holdings Limited announced the redemption of partial interests in the Jihai Zhize Panshi Private Equity Investment Fund, resulting in proceeds of RMB30,000,000. This transaction, classified as discloseable under the Hong Kong Stock Exchange’s listing rules, allows the company to secure unrealized gains and explore new investment opportunities. The redemption aligns with the company’s strategy to periodically review and optimize its investment portfolio for the benefit of its shareholders.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Holdings Clarifies Share Option Scheme Details
Dec 4, 2025

Kwung’s Aroma Holdings Limited issued a supplemental and clarification announcement regarding its annual report for the year ended 31 December 2024. The announcement provided additional information on the share option scheme, clarifying that no payment is required for application or acceptance of the share options, except for a nominal consideration of HK$1. This update aims to rectify a clerical error in a previous announcement, ensuring accurate information for shareholders and potential investors.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Holdings Updates Share Option Scheme Details
Nov 26, 2025

Kwung’s Aroma Holdings Limited has issued a supplemental announcement to its 2024 Annual Report, detailing additional information about its Share Option Scheme. As of the end of 2024, there were 40 million share options available for grant, representing approximately 9.9% of the issued shares. This update does not alter any other information in the Annual Report, ensuring stakeholders that the company’s operational and strategic details remain consistent.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.50 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Holdings Declares Special Dividend
Nov 25, 2025

Kwung’s Aroma Holdings Limited has announced a special cash dividend of HKD 0.05 per share, with the ex-dividend date set for December 8, 2025, and payment scheduled for December 23, 2025. This announcement reflects the company’s decision to distribute additional profits to shareholders, potentially enhancing shareholder value and signaling financial stability.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Holdings Declares Special Dividend
Nov 25, 2025

Kwung’s Aroma Holdings Limited has announced the declaration and payment of a special dividend of HK$0.05 per ordinary share, reflecting the company’s appreciation for shareholder support. The company assures that the dividend payment will not adversely affect its financial position or alter its share capital structure, and it is scheduled to be paid on December 23, 2025, to shareholders on record as of December 11, 2025.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Kwung’s Aroma Expands Production Facilities with New Tenancy Agreements
Oct 31, 2025

Kwung’s Aroma Holdings Limited has announced two tenancy agreements through its subsidiaries Ningbo Kwung’s and Ningbo Fenyuan with Heyi Life Culture to lease properties in Ningbo City, Zhejiang Province, for use as production facilities. These agreements, effective from November 1, 2025, to November 30, 2026, signify an expansion of the company’s operational capacity, potentially enhancing its production capabilities and market presence in the home decoration industry.

The most recent analyst rating on (HK:1925) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Kwung’s Holdings Limited stock, see the HK:1925 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 26, 2025