Time Watch Investments Ltd. (2033) AI Stock Analysis

• Market Cap: HK$689.45M
• Dividend Yield: 2.09%
• Average Volume (3M): 52.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.14
• Revenue Growth: -21.75%
• EPS Growth: -152.15%
• Country: HK
• Employees: 2,800
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): >-0.01
• Shares Outstanding: 2,058,068,000
• 10 Day Avg. Volume: 35,200
• 30 Day Avg. Volume: 52,533
• PEG Ratio: 0.25
• Price to Book (P/B): 0.30
• Price to Sales (P/S): 0.97
• P/FCF Ratio: 9.33
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: HK$0.34 ▲(0.59% Upside)

The overall stock score is primarily influenced by financial performance challenges, including declining revenues and profitability issues. Technical analysis shows some positive momentum, but the valuation remains unattractive due to negative earnings. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Strong Balance Sheet

A strong balance sheet with minimal leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic downturns.

High Gross Profit Margin

A high gross profit margin indicates efficient production and pricing strategies, which can support long-term profitability and competitive positioning in the luxury goods market.

Diverse Revenue Streams

Diverse revenue streams reduce dependency on a single market segment, providing resilience against sector-specific downturns and enhancing growth potential across different areas.

Negative Factors

Declining Revenue

Declining revenue indicates potential challenges in market demand or competitive pressures, which could impact the company's ability to sustain operations and invest in future growth.

Negative Profitability

Operating at a loss can strain financial resources and limit the ability to invest in strategic initiatives, potentially affecting long-term competitiveness and shareholder value.

Decline in Free Cash Flow Growth

A decline in free cash flow growth suggests reduced financial flexibility, which can hinder the company's ability to fund new projects, pay down debt, or return capital to shareholders.

Time Watch Investments Ltd. Business Overview & Revenue Model

Company Description

Time Watch Investments Ltd. is a diversified investment firm established in 2033, specializing in the acquisition and management of luxury watch brands and related assets. The company operates primarily in the luxury goods sector, focusing on high-end timepieces, investment-grade collectibles, and innovative watch technologies. Time Watch Investments Ltd. also offers consultancy services to emerging watch brands, helping them navigate market trends and optimize production processes.

How the Company Makes Money

Time Watch Investments Ltd. generates revenue through multiple streams, including the sale of luxury watches from its owned brands, commission-based earnings from consultancy services provided to emerging watch brands, and capital gains from the appreciation of collectible timepieces held in its investment portfolio. The company also engages in strategic partnerships with established retailers and e-commerce platforms, enhancing its distribution capabilities and increasing brand visibility. Additional revenue is derived from hosting exclusive watch exhibitions and events, where limited-edition pieces are showcased and sold directly to collectors and enthusiasts.

Time Watch Investments Ltd. Financial Statement Overview

Summary

Time Watch Investments Ltd. faces challenges with declining revenues and profitability, as evidenced by negative margins and revenue growth. The balance sheet remains robust with low leverage, but the negative return on equity highlights profitability issues. Cash flow management shows some strengths, but the decline in free cash flow growth is a concern. Overall, the company needs to address its revenue and profitability challenges to improve its financial health.

Income Statement

Time Watch Investments Ltd. has experienced a significant decline in revenue over the past few years, with a negative revenue growth rate of -12.95% in the latest year. The company is currently operating at a loss, as indicated by negative EBIT and net profit margins. The gross profit margin remains relatively strong at 71.67%, but the overall profitability is hindered by high operating expenses.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.017, indicating minimal leverage. However, the return on equity is negative, reflecting the company's current unprofitability. The equity ratio is healthy, suggesting a stable financial structure.

Cash Flow

Operating cash flow remains positive, but there has been a decline in free cash flow growth, which decreased by 36.30% in the latest year. The operating cash flow to net income ratio is below 1, indicating that cash generation is not fully covering net losses. The free cash flow to net income ratio is relatively strong at 0.70, showing some resilience in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	689.43M	689.43M	881.04M	981.76M	1.41B	1.92B
Gross Profit	477.80M	494.15M	641.15M	721.00M	1.02B	1.45B
EBITDA	-35.88M	-35.88M	97.51M	108.82M	114.18M	457.01M
Net Income	-17.54M	-17.54M	33.64M	37.07M	33.02M	259.10M
Balance Sheet
Total Assets	2.47B	2.47B	2.54B	2.62B	2.94B	3.08B
Cash, Cash Equivalents and Short-Term Investments	1.18B	1.18B	1.15B	1.16B	970.41M	1.05B
Total Debt	38.91M	38.91M	27.46M	31.49M	41.17M	63.97M
Total Liabilities	209.33M	209.33M	224.71M	232.00M	325.75M	444.00M
Stockholders Equity	2.26B	2.26B	2.31B	2.39B	2.58B	2.60B
Cash Flow
Free Cash Flow	36.80M	71.70M	140.54M	33.79M	85.53M	284.99M
Operating Cash Flow	56.50M	102.27M	178.78M	107.61M	175.50M	427.74M
Investing Cash Flow	-118.69M	-75.09M	82.16M	-21.08M	481.84M	-869.11M
Financing Cash Flow	-39.66M	-24.88M	-89.55M	-122.08M	-60.71M	-27.69M

Time Watch Investments Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.34
• 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 0.34 is above the 20-day moving average (MA) of 0.33, above the 50-day MA of 0.33, and above the 200-day MA of 0.33, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 60.25 is Neutral, neither overbought nor oversold. The STOCH value of 78.33 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	73 Outperform	HK$474.01M	5.54	28.87%	5.45%	31.25%	147.52%
0210	70 Outperform	HK$811.23M	6.53	15.44%	4.60%	―	―
1023	62 Neutral	HK$510.23M	-2.86	-10.55%	11.54%	-1.38%	-275.02%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
1100	57 Neutral	HK$549.33M	6.72	7.16%	6.35%	23.17%	-7.30%
2033	54 Neutral	HK$689.45M	-39.41	-0.77%	2.09%	-21.75%	-152.15%
0676	47 Neutral	HK$723.34M	-64.71	-1.85%	1.01%	-33.72%	-550.00%

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.