Analogue Holdings Limited (1977) AI Stock Analysis

• Market Cap: HK$1.16B
• Dividend Yield: 4.82%
• Average Volume (3M): 146.49K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.32
• Revenue Growth: 5.17%
• EPS Growth: -45.87%
• Country: HK
• Employees: 3,149
• Sector: Industrials
• Sector Strength: 90
• Industry: Engineering & Construction
• EPS (TTM): 0.10
• Shares Outstanding: 1,400,000,000
• 10 Day Avg. Volume: 111,300
• 30 Day Avg. Volume: 146,493
• PEG Ratio: 0.21
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.28
• 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: 75 Outperform
• Price Target: HK$1.00 ▲(20.48%Upside)

The stock's overall score is driven primarily by its strong financial performance, particularly in terms of revenue growth and balance sheet strength. Valuation metrics further enhance its appeal with a low P/E ratio and high dividend yield. The technical analysis supports a positive short-term trend, while liquidity challenges reflected in the cash flow statement are a key risk factor.

Analogue Holdings Limited Business Overview & Revenue Model

Company Description

Analogue Holdings Limited, founded in 1977, is a prominent engineering service provider operating primarily in Hong Kong. The company specializes in providing electrical, mechanical, and building services to a diverse range of sectors including commercial buildings, residential complexes, and public infrastructure. With a strong focus on sustainability and innovation, Analogue Holdings Limited offers solutions that encompass project design, management, installation, and maintenance services.

How the Company Makes Money

Analogue Holdings Limited generates revenue through its comprehensive suite of engineering services, which include electrical and mechanical installations, building services, and maintenance. The company earns money by securing contracts for projects in both private and public sectors, where they provide end-to-end solutions from design to implementation. Key revenue streams include recurring income from long-term maintenance contracts and new project installations. Additionally, partnerships with construction firms and government bodies play a significant role in acquiring large-scale projects, contributing to its revenue growth. The company's focus on energy-efficient and sustainable solutions also attracts clients looking for modern, eco-friendly engineering services.

Analogue Holdings Limited Financial Statement Overview

Summary

The company exhibits strong revenue growth and operational efficiency, with a robust balance sheet characterized by low leverage and a strong equity base. However, the absence of free cash flow in 2024 indicates potential liquidity management issues that could affect future investments.

Income Statement

The company has shown a steady revenue growth trend with a notable increase from HK$6.13 billion in 2023 to HK$6.45 billion in 2024. Gross profit margin stands at 15.5%, indicating efficient cost management. However, the net profit margin decreased to 2.1% from 4.1% the previous year, reflecting challenges in managing operational costs. EBIT and EBITDA margins are stable, showcasing operational efficiency.

Balance Sheet

The balance sheet is robust with a debt-to-equity ratio of 0.28, indicating low financial leverage. Return on Equity (ROE) is at 6.2%, which is moderate. The equity ratio of 42.2% suggests a strong equity base. Overall, the company maintains a strong liquidity position with substantial cash reserves.

Cash Flow

The cash flow statement shows zero free cash flow in 2024, which is concerning compared to the positive cash flow in previous years. The operating cash flow to net income ratio and free cash flow to net income ratio are not available for the current period due to zero operating cash flow, indicating potential liquidity management issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.45B	6.13B	6.47B	5.35B	5.13B
Gross Profit	1.00B	833.29M	1.01B	878.37M	909.13M
EBITDA	228.83M	353.01M	383.62M	450.84M	415.12M
Net Income	135.26M	251.50M	114.56M	314.30M	301.35M
Balance Sheet
Total Assets	5.20B	5.14B	4.81B	4.45B	3.87B
Cash, Cash Equivalents and Short-Term Investments	1.04B	924.84M	1.00B	819.93M	1.13B
Total Debt	608.22M	366.29M	362.35M	369.91M	70.90M
Total Liabilities	3.00B	3.01B	2.75B	2.32B	1.90B
Stockholders Equity	2.19B	2.13B	2.06B	2.13B	1.97B
Cash Flow
Free Cash Flow	-9.26M	57.03M	426.81M	189.82M	419.64M
Operating Cash Flow	146.07M	177.55M	453.35M	241.73M	435.61M
Investing Cash Flow	-150.00M	-41.46M	-14.85M	-645.02M	-89.50M
Financing Cash Flow	143.05M	-203.75M	-245.48M	81.46M	-130.28M

Analogue Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.83
• 50DMA: Positive
• 100DMA: Positive
• 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:1977, the sentiment is Positive. The current price of 0.83 is above the 20-day moving average (MA) of 0.80, above the 50-day MA of 0.78, and below the 200-day MA of 0.83, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 61.78 is Neutral, neither overbought nor oversold. The STOCH value of 73.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1977.

Analogue Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1627	80 Outperform	HK$1.46B	6.39	13.63%	6.85%	5.06%	30.15%
1977	75 Outperform	HK$1.16B	8.51	6.26%	4.82%	5.17%	-45.87%
1662	61 Neutral	HK$930.00M	23.46	8.13%	―	46.88%	759.62%
Sector *	58 Neutral	HK$14.11B	4.63	-3.01%	6.76%	3.67%	-54.16%
1683	50 Neutral	HK$1.60B	106.67	-9.39%	―	-35.62%	-481.82%
1499	43 Neutral	HK$3.28B	―	-10.00%	―	37.43%	-3100.00%

Analogue Holdings Limited Corporate Events

Analogue Holdings Limited Successfully Passes All AGM Resolutions

Analogue Holdings Limited announced that all resolutions proposed at its Annual General Meeting held on June 26, 2025, were passed by shareholders. These resolutions included the adoption of financial statements, re-election of directors, and approval of general mandates for share issuance and buyback, indicating strong shareholder support and stability in the company’s governance.

Analogue Holdings Limited Announces Annual General Meeting with Key Resolutions

Analogue Holdings Limited has announced its upcoming annual general meeting scheduled for June 26, 2025, where shareholders will discuss and vote on key resolutions. These include the adoption of the 2024 financial statements, re-election of directors, re-appointment of auditors, and granting the board authority to issue new shares. This meeting is pivotal for the company’s governance and strategic direction, potentially impacting its market operations and shareholder value.