Nameson Holdings Ltd. (1982) AI Stock Analysis

• Market Cap: HK$2.01B
• Dividend Yield: 12.84%
• Average Volume (3M): 1.08M
• Price to Earnings (P/E): 5.9
• Beta (1Y): 0.19
• Revenue Growth: -0.61%
• EPS Growth: -5.36%
• Country: HK
• Employees: 16,300
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.02
• Shares Outstanding: 2,279,392,000
• 10 Day Avg. Volume: 1,322,700
• 30 Day Avg. Volume: 1,082,100
• PEG Ratio: -0.89
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -58.73
• 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: HK$1.00
• Price Target Upside: 13.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: HK$1.00 ▲(13.64% Upside)

The stock's strong valuation, with a low P/E ratio and high dividend yield, is a significant positive factor. Technical indicators show positive momentum, supporting a favorable outlook. However, financial performance concerns, particularly in cash flow and revenue growth, pose risks that need addressing.

Nameson Holdings Ltd. Business Overview & Revenue Model

Company Description

Nameson Holdings Limited, an investment holding company, designs, manufactures, and sells knitwear products. The company offers women's wear and men's wear products; and other products, such as cashmere yarns, knitted uppers for footwear, children's wear, scarfs, hats, and gloves. It provides its products to apparel brands in Japan, North America, Europe, Mainland China, and internationally. The company was founded in 1990 and is headquartered in Tai Po, Hong Kong. Nameson Holdings Limited is a subsidiary of Nameson Investments Limited.

How the Company Makes Money

Nameson Holdings Ltd. generates revenue through multiple streams, including software licensing fees, service contracts for technology solutions, rental income from managed properties, and sales from retail operations. The company has established significant partnerships with technology firms and real estate developers, allowing it to leverage synergies and expand its market reach. Additionally, Nameson Holdings benefits from a diversified portfolio that mitigates risks and enhances earnings stability, contributing to overall profitability.

Nameson Holdings Ltd. Financial Statement Overview

Summary

Nameson Holdings Ltd. shows stable gross margins and a reasonable debt-to-equity ratio. However, declining revenue growth, profitability margins, and negative free cash flow indicate potential liquidity constraints and financial instability.

Income Statement

Nameson Holdings Ltd. has shown a mixed performance in its income statement. The gross profit margin has been relatively stable, indicating consistent cost management. However, the net profit margin has decreased slightly, reflecting some pressure on profitability. Revenue growth has been negative in recent years, which is a concern for future earnings potential. The EBIT and EBITDA margins have also seen a slight decline, suggesting challenges in maintaining operational efficiency.

Balance Sheet

The balance sheet of Nameson Holdings Ltd. shows a moderate debt-to-equity ratio, which has improved over the years, indicating better leverage management. The return on equity is healthy, reflecting efficient use of shareholder funds. However, the equity ratio suggests that a significant portion of the company's assets is financed by debt, which could pose risks if market conditions worsen.

Cash Flow

The cash flow statement reveals some challenges for Nameson Holdings Ltd. The free cash flow has been negative recently, indicating potential liquidity issues. The operating cash flow to net income ratio is low, suggesting that the company might struggle to convert its earnings into cash. The free cash flow to net income ratio has also been negative, highlighting potential difficulties in sustaining operations without external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.44B	4.35B	4.38B	4.60B	4.04B	3.85B
Gross Profit	829.73M	781.82M	774.24M	726.63M	686.34M	681.23M
EBITDA	655.90M	698.47M	723.08M	482.55M	568.24M	586.51M
Net Income	370.74M	342.33M	361.67M	134.84M	263.30M	313.68M
Balance Sheet
Total Assets	4.83B	4.78B	4.45B	4.43B	4.81B	4.66B
Cash, Cash Equivalents and Short-Term Investments	569.03M	430.82M	717.40M	717.03M	610.72M	793.20M
Total Debt	1.04B	1.10B	974.36M	1.10B	1.32B	1.52B
Total Liabilities	2.04B	2.14B	1.85B	1.95B	2.21B	2.24B
Stockholders Equity	2.53B	2.37B	2.38B	2.28B	2.41B	2.24B
Cash Flow
Free Cash Flow	8.54M	-32.60M	366.69M	527.68M	96.39M	573.74M
Operating Cash Flow	305.85M	222.94M	582.95M	603.34M	246.64M	852.20M
Investing Cash Flow	-236.55M	-238.31M	-145.06M	-6.79M	-91.11M	-215.64M
Financing Cash Flow	-622.11M	-272.11M	-435.92M	-487.04M	-339.68M	-566.66M

Nameson Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1982, the sentiment is Positive. The current price of 0.88 is above the 20-day moving average (MA) of 0.82, above the 50-day MA of 0.80, and above the 200-day MA of 0.79, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 67.23 is Neutral, neither overbought nor oversold. The STOCH value of 81.21 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1982.

Nameson Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1982	72 Outperform	HK$2.01B	5.86	14.40%	12.84%	-0.61%	-5.36%
Sector *	56 Neutral	HK$25.64B	4.99	-2.69%	5.51%	-0.50%	-53.30%
PTEXF	―	$270.30M	10.45	5.75%	―	―	―
TXWHF	―	$150.07M	9.12	2.43%	―	―	―
2368	72 Outperform	HK$2.30B	10.37	13.04%	7.50%	17.99%	-20.83%
2199	68 Neutral	HK$2.22B	12.05	5.63%	1.38%	11.73%	28.38%

Nameson Holdings Ltd. Corporate Events

Nameson Holdings Proposes Governance Modernization

Nameson Holdings Ltd. has proposed amendments to its Articles of Association to incorporate a paperless listing regime, enable online participation and electronic voting at general meetings, and introduce a new treasury shares regime. These changes aim to modernize the company’s governance structure and require shareholder approval at the upcoming annual general meeting.

Nameson Holdings Ltd. Enhances Governance with New Nomination Committee

Nameson Holdings Ltd. has established a Nomination Committee to enhance its governance structure. The committee, comprising mainly independent non-executive directors, is tasked with reviewing the board’s composition and making recommendations to align with the company’s corporate strategy. This move is aimed at ensuring diversity and effective governance, potentially impacting the company’s decision-making processes and stakeholder engagement.

Nameson Holdings Reports Slight Revenue Dip and Profit Decline for FY2025

Nameson Holdings Ltd. announced its annual results for the year ended March 31, 2025, reporting a slight decrease in revenue by 0.6% to HK$4,352.1 million. The company’s net profit also saw a decline of 6.6% to HK$355.4 million, attributed to factors such as impairment losses and derivative financial instrument losses. Despite these challenges, the gross profit margin improved slightly to 18.0%, reflecting some operational efficiencies. The announcement highlights the company’s resilience in maintaining profitability amidst market fluctuations, although the reduced adjusted net profit margin indicates ongoing financial pressures.

Nameson Holdings to Review Year-End Financial Results and Dividend

Nameson Holdings Limited has announced that its board of directors will convene on June 20, 2025, to review and approve the company’s final financial results for the fiscal year ending March 31, 2025. This meeting will also consider the recommendation of a potential dividend, which could have implications for shareholders and stakeholders regarding the company’s financial health and future prospects.