Time Watch Investments Ltd. (2033) AI Stock Analysis

• Market Cap: HK$720.32M
• Dividend Yield: 2.12%
• Average Volume (3M): 186.13K
• Price to Earnings (P/E): 63.6
• Beta (1Y): 0.11
• Revenue Growth: -16.46%
• EPS Growth: -87.89%
• Country: HK
• Employees: 2,800
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): >-0.01
• Shares Outstanding: 2,058,068,000
• 10 Day Avg. Volume: 204,000
• 30 Day Avg. Volume: 186,133
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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$0.50
• Price Target Upside: 42.86% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 49 Neutral
• Price Target: HK$0.50 ▲(42.86% Upside)

Time Watch Investments Ltd. is facing significant challenges in financial performance, particularly in revenue growth and profitability, which is reflected in its stock valuation. Technical indicators suggest neutral momentum. The high P/E ratio implies potential overvaluation, while a reasonable dividend yield provides some investment return.

Time Watch Investments Ltd. Business Overview & Revenue Model

Company Description

Time Watch Investments Ltd. (2033) is a leading global player in the watch manufacturing and retail industry. The company operates across various sectors, including luxury, mid-range, and smart watches. Time Watch Investments Ltd. is renowned for its innovative designs, high-quality craftsmanship, and the integration of cutting-edge technology into its product lines. With a strong presence in both physical retail and online markets, the company caters to a diverse customer base worldwide.

How the Company Makes Money

Time Watch Investments Ltd. generates revenue through multiple streams. The primary source of income is the sale of watches, which includes a wide range of products from luxury mechanical watches to affordable smartwatches. The company also earns significant revenue through its global retail network, comprising both owned stores and authorized dealers. In addition, Time Watch Investments benefits from strategic partnerships with technology firms to enhance its smart watch offerings, as well as collaborations with fashion brands to create exclusive collections. The company also explores licensing agreements and brand collaborations to further expand its market reach and revenue base.

Time Watch Investments Ltd. Financial Statement Overview

Summary

Time Watch Investments Ltd. has a solid balance sheet with low debt and strong cash flow, but faces challenges in revenue growth and profitability, reflected in declining revenues and a modest net profit margin.

Income Statement

The income statement shows a declining revenue trend over recent years, with a revenue decrease from HKD 981.76M in 2023 to HKD 881.04M in 2024. Gross profit margin remains relatively strong at approximately 72.78% for 2024, but the company has struggled with profitability, as indicated by a negative EBIT margin. The net profit margin is modest at 3.82% for 2024, indicating some profitability challenges.

Balance Sheet

The balance sheet is strong with a significant equity base, reflected in an equity ratio of approximately 91.09% in 2024. Debt levels are low, leading to a favorable debt-to-equity ratio of 0.01. The company maintains a solid cash position, which supports financial flexibility and stability.

Cash Flow

The cash flow statement indicates a positive free cash flow growth rate, moving from HKD 33.79M in 2023 to HKD 149.59M in 2024. Operating cash flow is also strong relative to net income, with an operating cash flow to net income ratio of 5.58 in 2024. However, the free cash flow to net income ratio of 4.45 suggests that while cash flow generation is strong, earnings growth needs to be aligned.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	881.04M	981.76M	1.41B	1.92B	1.73B
Gross Profit	641.15M	721.00M	1.02B	1.45B	1.27B
EBITDA	97.51M	108.82M	114.18M	457.01M	281.17M
Net Income	33.64M	37.07M	33.02M	259.10M	140.72M
Balance Sheet
Total Assets	2.54B	2.62B	2.94B	3.08B	2.50B
Cash, Cash Equivalents and Short-Term Investments	1.15B	1.18B	991.49M	1.07B	717.46M
Total Debt	27.46M	32.63M	43.36M	63.97M	29.73M
Total Liabilities	224.71M	232.00M	325.75M	444.00M	302.92M
Stockholders Equity	2.31B	2.39B	2.58B	2.60B	2.17B
Cash Flow
Free Cash Flow	140.54M	33.79M	85.53M	284.99M	207.82M
Operating Cash Flow	178.78M	107.61M	175.50M	427.74M	316.89M
Investing Cash Flow	82.16M	-21.08M	481.84M	-869.11M	140.42M
Financing Cash Flow	-89.55M	-122.08M	-60.71M	-27.69M	-158.22M

Time Watch Investments Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.35
• 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:2033, the sentiment is Positive. The current price of 0.35 is above the 20-day moving average (MA) of 0.34, above the 50-day MA of 0.34, and above the 200-day MA of 0.33, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.10 is Neutral, neither overbought nor oversold. The STOCH value of 26.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2033.

Time Watch Investments Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2683	82 Outperform	HK$314.64M	4.90	23.19%	9.09%	21.82%	125.68%
0210	74 Outperform	$989.30M	8.58		4.00%	―	―
1100	69 Neutral	HK$622.29M	10.90	5.12%	5.52%	3.91%	-51.72%
1023	62 Neutral	HK$500.61M	5.10	-1.08%	11.76%	-4.68%	-112.44%
Sector *	56 Neutral	HK$25.39B	4.88	-2.69%	5.70%	-0.49%	-53.32%
0676	50 Neutral	HK$752.57M	261.76	-1.37%	0.97%	-3.15%	-330.61%
2033	49 Neutral	HK$720.32M	63.64	0.49%	2.12%	-16.46%	-87.89%

Time Watch Investments Ltd. Corporate Events

Time Watch Investments Ltd. Enhances Governance with New Nomination Committee

Time Watch Investments Ltd. has established a Nomination Committee as part of its Board of Directors to enhance governance practices. The committee will consist of at least three members, primarily independent non-executive directors, with a focus on gender diversity. This move is expected to strengthen the company’s leadership structure and ensure a more inclusive decision-making process.