Nameson Holdings Ltd. (1982) AI Stock Analysis

• Market Cap: HK$1.80B
• Dividend Yield: 3.8%
• Average Volume (3M): 1.14M
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.11
• Revenue Growth: 4.95%
• EPS Growth: 94.03%
• Country: HK
• Employees: 16,300
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.02
• Shares Outstanding: 2,279,392,000
• 10 Day Avg. Volume: 752,800
• 30 Day Avg. Volume: 1,137,683
• PEG Ratio: -0.18
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.29
• 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: 68 Neutral
• Price Target: ―

The overall stock score of 68 reflects Nameson Holdings' strong valuation with a low P/E ratio and high dividend yield. Financial performance is stable, with strong profitability despite declining revenue and free cash flow. However, technical indicators suggest potential downward momentum, which could pose short-term risks. The absence of earnings call insights or notable corporate events leaves valuation and financial performance as key factors in the assessment.

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 primarily through its knitwear manufacturing operations. The company earns money by producing and supplying knitwear products to a variety of international clients, including both luxury fashion brands and mainstream retailers. Key revenue streams include contract manufacturing agreements where Nameson produces products according to client specifications. Significant factors contributing to its earnings include its strong manufacturing capabilities, a wide network of clients, and its ability to adapt to changing fashion trends. The company may also benefit from economies of scale due to its extensive production facilities and expertise in the knitwear sector.

Nameson Holdings Ltd. Financial Statement Overview

Summary

Nameson Holdings Ltd. shows strong profitability and operational efficiency, as evidenced by healthy margins and a solid return on equity. The balance sheet reflects moderate leverage and a stable equity position. However, declining revenue growth and decreased free cash flow are areas of concern that could impact future performance if not addressed. Overall, the company maintains a stable financial position with some areas for improvement.

Income Statement

The company demonstrates a solid gross profit margin of 17.68% and a net profit margin of 8.26% for the latest year, indicating effective cost management and profitability. The EBIT margin is 10.68%, and the EBITDA margin is 16.51%, reflecting strong operational performance. However, the revenue growth rate is -4.85% compared to the previous year, signaling a decline in sales which could be a concern if it continues.

Balance Sheet

The company's debt-to-equity ratio is 0.41, showing moderate leverage. The return on equity stands at 15.17%, indicating a decent return for shareholders. The equity ratio is 53.58%, suggesting a healthy balance of equity financing. Despite these strengths, the slight decline in total equity over the past year may need monitoring.

Cash Flow

The free cash flow declined by 30.52% year-over-year, which could impact the company's ability to reinvest or manage debt. The operating cash flow to net income ratio is 1.61, highlighting strong cash generation relative to net income. The free cash flow to net income ratio stands at 1.01, indicating efficient cash generation. However, the decline in free cash flow growth is a potential risk.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	4.44B	4.38B	4.60B	4.04B	3.85B	4.48B
Gross Profit	829.73M	774.24M	726.63M	686.34M	681.23M	659.15M
EBITDA	655.90M	723.08M	482.55M	568.24M	586.51M	471.72M
Net Income	370.74M	361.67M	134.84M	263.30M	313.68M	157.04M
Balance Sheet
Total Assets	4.83B	4.45B	4.43B	4.81B	4.66B	4.83B
Cash, Cash Equivalents and Short-Term Investments	569.03M	717.40M	717.03M	610.72M	793.20M	713.13M
Total Debt	1.04B	974.36M	1.10B	1.32B	1.52B	1.99B
Total Liabilities	2.04B	1.85B	1.95B	2.21B	2.24B	2.73B
Stockholders Equity	2.53B	2.38B	2.28B	2.41B	2.24B	1.97B
Cash Flow
Free Cash Flow	8.54M	366.69M	527.68M	96.39M	573.74M	573.15M
Operating Cash Flow	305.85M	582.95M	603.34M	246.64M	852.20M	881.06M
Investing Cash Flow	-260.04M	-145.06M	-6.79M	-91.11M	-215.64M	-286.71M
Financing Cash Flow	-595.19M	-435.92M	-487.04M	-339.68M	-566.66M	-292.49M

Nameson Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.79
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 0.79 is above the 20-day moving average (MA) of 0.78, above the 50-day MA of 0.78, and above the 200-day MA of 0.77, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 53.50 is Neutral, neither overbought nor oversold. The STOCH value of 68.25 is Neutral, 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	68 Neutral	HK$1.80B	5.26	14.40%	3.80%	4.95%	94.03%
Sector *	64 Neutral	£1.70B	10.46	6.12%	3.13%	0.58%	-32.48%
PTEXF		$241.10M	10.45	5.75%	20.59%	―	―
TXWHF		$140.81M	9.12	2.43%	3.90%	―	―
2368	63 Neutral	HK$2.08B	9.41	13.04%	24.24%	12.67%	-25.28%
2199	56 Neutral	HK$2.46B	13.38	5.63%	1.24%	9.38%	-41.33%

Nameson Holdings Ltd. Corporate Events

Nameson Holdings Appoints New Audit Committee Member

Nameson Holdings Limited has announced the appointment of Ms. Fan Chiu Fun, Fanny GBM, GBS, JP as a member of its audit committee, effective from April 1, 2025. This strategic appointment expands the audit committee to four members, potentially strengthening the company’s governance and oversight capabilities.

Nameson Holdings Ltd. Announces Board Composition and Committee Roles

Nameson Holdings Ltd. has announced the composition of its board of directors, which includes both executive and independent non-executive directors. The release details the roles and functions of each director within the company’s four board committees, highlighting the leadership and governance structure of the organization.

Nameson Holdings Secures Key Agreements with Hebei Yuteng

Nameson Holdings Ltd. has announced two significant agreements involving its subsidiaries and Hebei Yuteng. The first is the 2025 Raw Materials Purchase Agreement, which outlines the purchase of cashmere and other raw materials by Nameson’s subsidiaries from Hebei Yuteng for a year, ensuring competitive pricing. The second is the 2025 Lease Agreement, allowing Nameson’s subsidiary, Nanguan Tech, to lease a factory plant from Hebei Yuteng for cashmere yarn production over three years. These agreements, approved by the board and deemed fair by independent directors, are exempt from certain regulatory requirements, indicating strategic alignment and operational continuity for Nameson Holdings.