Man Wah Holdings (1999) AI Stock Analysis

• Market Cap: $17.49B
• Dividend Yield: 5.64%
• Average Volume (3M): 5.49M
• Price to Earnings (P/E): 8.5
• Beta (1Y): 1.30
• Revenue Growth: -8.19%
• EPS Growth: -9.98%
• Country: HK
• Employees: 27,246
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.24
• Shares Outstanding: 3,878,083,300
• 10 Day Avg. Volume: 5,835,650
• 30 Day Avg. Volume: 5,486,657
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 1.01
• Enterprise Value/Gross Profit: 2.57
• Enterprise Value/Ebitda: 5.13
• 1Y Price Target: $4.97
• Price Target Upside: 3.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: HK$5.50 ▲(14.58% Upside)

Man Wah Holdings receives a solid overall score due to its stable financial performance, positive technical indicators, and attractive valuation. The company's strong profitability margins and conservative leverage approach are key strengths, while the low P/E ratio and high dividend yield enhance its appeal. However, the recent decline in revenue and potential overbought condition are areas to monitor.

Man Wah Holdings Business Overview & Revenue Model

Company Description

Man Wah Holdings (1999) is a leading manufacturer and retailer of upholstered furniture, specializing primarily in sofa production. Headquartered in Hong Kong, the company operates in the home furnishings sector, providing a wide range of products including fabric and leather sofas, recliners, and sofa beds. Man Wah Holdings is known for its innovative designs and commitment to quality, catering to both domestic and international markets.

How the Company Makes Money

Man Wah Holdings generates revenue through the production and sale of upholstered furniture, with its primary revenue streams coming from the wholesale distribution of its products to retailers and direct sales through its own retail outlets. The company benefits from economies of scale due to its large manufacturing capabilities, allowing it to produce furniture at competitive prices. Additionally, Man Wah has established partnerships with various international retailers, expanding its market reach and enhancing brand visibility. The company's consistent focus on product development and design innovation also plays a crucial role in attracting consumers and maintaining a competitive edge in the furniture market.

Man Wah Holdings Financial Statement Overview

Summary

Man Wah Holdings demonstrates a stable financial position with strong profitability margins and a conservative approach to leverage. The company maintains efficiency in its operations and a robust balance sheet, although the recent decline in revenue is a concern.

Income Statement

Man Wah Holdings has shown fluctuating revenue trends with a recent decline in total revenue for the year ending March 2025. The gross profit margin remains healthy at approximately 40.5%, indicating effective cost management. However, the net profit margin decreased slightly from previous years, and revenue growth has been negative, which could be concerning. Overall, the company maintains solid profitability with room for improvement in revenue growth.

Balance Sheet

The company's balance sheet is strong, with a debt-to-equity ratio of approximately 0.35, indicating a conservative approach to leverage. The equity ratio is robust at around 63.5%, suggesting financial stability. Return on equity, while positive, has seen a slight decline, reflecting the decrease in net income. Overall, Man Wah Holdings maintains a solid balance sheet with a good equity base and manageable debt levels.

Cash Flow

The cash flow position is stable, with a significant increase in free cash flow due to reduced capital expenditures. The operating cash flow to net income ratio remains strong, indicating efficient cash generation from operations. However, there has been variability in free cash flow growth, reflecting fluctuations in capital expenditures. Overall, the cash flow situation is positive, with a strong focus on operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.41B	16.90B	18.41B	17.35B	21.50B	16.43B
Gross Profit	7.25B	6.84B	7.25B	6.68B	7.89B	5.93B
EBITDA	3.63B	3.36B	3.64B	3.00B	3.57B	2.68B
Net Income	1.96B	2.06B	2.30B	1.91B	2.25B	1.92B
Balance Sheet
Total Assets	19.81B	20.02B	19.81B	19.64B	20.52B	17.44B
Cash, Cash Equivalents and Short-Term Investments	3.52B	4.08B	3.52B	4.09B	3.22B	3.68B
Total Debt	4.33B	4.39B	4.33B	4.40B	4.61B	3.64B
Total Liabilities	6.73B	6.37B	6.73B	7.11B	7.77B	6.03B
Stockholders Equity	12.08B	12.71B	12.08B	11.56B	11.71B	10.74B
Cash Flow
Free Cash Flow	1.32B	2.28B	985.45M	2.50B	363.28M	655.85M
Operating Cash Flow	2.55B	3.32B	2.55B	4.06B	2.32B	1.92B
Investing Cash Flow	-1.54B	-1.55B	-1.54B	-1.59B	-995.57M	-2.73B
Financing Cash Flow	-1.29B	-1.50B	-1.28B	-1.41B	-956.19M	1.11B

Man Wah Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.80
• 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:1999, the sentiment is Positive. The current price of 4.8 is above the 20-day moving average (MA) of 4.54, above the 50-day MA of 4.60, and above the 200-day MA of 4.38, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 60.95 is Neutral, neither overbought nor oversold. The STOCH value of 80.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1999.

Man Wah Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1999	―	$17.49B	8.48	16.66%	5.64%	-8.19%	-9.98%
1418	―	HK$409.50M	4.06	10.72%	7.96%	-1.05%	-2.97%
Sector *	―	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
0396	―	HK$84.85M	5.17	20.69%	9.52%	-13.44%	―
1575	―	HK$164.43M	―	―	―	-50.43%	79.67%
2127	―	HK$76.58M	―	―	―	-72.73%	-764.81%
1198	―	HK$384.59M	―	-36.67%	―	―	―

Man Wah Holdings Corporate Events

Man Wah Holdings to Review Interim Results and Dividend Declaration

Man Wah Holdings Limited has announced a board meeting scheduled for November 14, 2025, to review and approve the unaudited interim results for the half year ending September 30, 2025. The meeting will also consider the declaration of an interim dividend and address other business matters, potentially impacting the company’s financial strategies and shareholder returns.

The most recent analyst rating on (HK:1999) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Man Wah Holdings stock, see the HK:1999 Stock Forecast page.

Man Wah Holdings Appoints New Auditor to Enhance Cost-Effectiveness

Man Wah Holdings Limited announced a change in its auditor, with PricewaterhouseCoopers resigning due to a disagreement over audit remuneration. Ernst & Young has been appointed as the new auditor, a decision made to enhance cost-effectiveness while maintaining audit quality. The transition is not expected to impact the company’s annual audit for the year ending March 2026.

The most recent analyst rating on (HK:1999) stock is a Buy with a HK$9.00 price target. To see the full list of analyst forecasts on Man Wah Holdings stock, see the HK:1999 Stock Forecast page.