Chervon Holdings Limited (HK:2285)
:2285
Top Page
Chervon Holdings Limited
(2285)
Select Model
Select Model
Rating:60Neutral
Price Target:
HK$17.00
▼(-13.00% Downside)
Action:DowngradedDate:03/27/26
The score is supported by improving cash flow and manageable leverage, plus a moderate P/E and very high dividend yield. Offsetting these positives, technical indicators are weak (price below major moving averages and negative MACD), and fundamentals still show meaningful revenue and earnings volatility.
Positive Factors
Improved cash generation
Sustained conversion of profit into cash (material FCF improvement and +58.9% FCF YoY in 2025) strengthens funding for capex, working capital and dividends. Durable cash generation reduces reliance on external financing and supports reinvestment and strategic flexibility over the medium term.
Negative Factors
Revenue volatility
Large swings in top line across recent years reduce predictability of margins and capacity utilization. Cyclical revenue undermines long-term planning for production, inventory and R&D, and raises the risk that short-term downturns materially compress profitability and cash flow if demand weakens again.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved cash generation
Sustained conversion of profit into cash (material FCF improvement and +58.9% FCF YoY in 2025) strengthens funding for capex, working capital and dividends. Durable cash generation reduces reliance on external financing and supports reinvestment and strategic flexibility over the medium term.
Read all positive factors
Chervon Holdings Limited (2285) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$8.21B
Dividend Yield8.66%
Average Volume (3M)1.81M
Price to Earnings (P/E)13.1
Beta (1Y)0.92
Revenue Growth28.34%
EPS GrowthN/A
CountryHK
Employees6,481
SectorIndustrials
Sector Strength72
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)-0.71
Shares Outstanding511,053,800
10 Day Avg. Volume1,023,914
30 Day Avg. Volume1,813,067
Financial Highlights & Ratios
PEG Ratio-0.96
Price to Book (P/B)1.26
Price to Sales (P/S)0.79
P/FCF Ratio8.31
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
HK$20.76Price Target Upside6.23% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)0.29
Revenue Forecast (FY)HK$1.89B
Chervon Holdings Limited Business Overview & Revenue Model
Company Description
Chervon Holdings Limited engages in the research, development, manufacture, testing, sale, and after-sale servicing of power tools, outdoor power equipment, and related products North America, Europe, the People's Republic of China, and internatio...
How the Company Makes Money
Chervon makes money primarily by selling power tools and outdoor power equipment, along with related accessories and consumables, through two main approaches: (1) branded sales and (2) OEM/ODM sales for other companies. Under branded sales, it ear...
Chervon Holdings Limited Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
72
Positive
Cash Flow
76
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.63B | 1.77B | 1.37B | 1.99B | 1.76B |
| Gross Profit | 536.68M | 615.68M | 386.70M | 604.17M | 494.32M |
| EBITDA | 139.50M | 199.71M | -2.57M | 244.45M | 184.43M |
| Net Income | 97.74M | 112.47M | -37.12M | 139.44M | 144.49M |
Balance Sheet | |||||
| Total Assets | 1.84B | 1.99B | 1.80B | 1.86B | 2.06B |
| Cash, Cash Equivalents and Short-Term Investments | 398.69M | 328.76M | 296.34M | 486.73M | 703.02M |
| Total Debt | 295.02M | 309.48M | 336.02M | 351.54M | 456.88M |
| Total Liabilities | 825.97M | 955.60M | 835.76M | 916.40M | 1.26B |
| Stockholders Equity | 1.02B | 1.04B | 960.73M | 946.19M | 797.02M |
Cash Flow | |||||
| Free Cash Flow | 154.25M | 93.95M | -261.95M | -49.15M | 77.02M |
| Operating Cash Flow | 227.91M | 167.68M | -173.64M | 23.08M | 158.14M |
| Investing Cash Flow | 4.31M | -70.42M | -57.94M | -116.50M | -58.87M |
| Financing Cash Flow | -182.26M | -60.81M | 61.08M | -104.12M | 399.39M |
Chervon Holdings Limited Technical Analysis
Negative
19.54
Price Trends
22.89
Negative
21.69
Negative
20.74
Negative
Market Momentum
-2.00
Positive
27.19
Positive
8.65
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2285, the sentiment is Negative. The current price of 19.54 is below the 20-day moving average (MA) of 20.45, below the 50-day MA of 22.89, and below the 200-day MA of 20.74, indicating a bearish trend. The MACD of -2.00 indicates Positive momentum. The RSI at 27.19 is Positive, neither overbought nor oversold. The STOCH value of 8.65 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2285.
Chervon Holdings Limited Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | HK$15.12B | 12.66 | 13.39% | 3.23% | 2.87% | 17.03% | |
67 Neutral | HK$46.34B | 12.86 | 15.55% | 1.44% | 34.78% | 98.79% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
60 Neutral | HK$8.21B | 13.12 | 9.65% | 8.66% | 28.34% | ― | |
58 Neutral | HK$8.92B | 7.99 | 8.82% | 2.50% | 11.18% | 46.57% | |
45 Neutral | HK$3.19B | -3.37 | -69.18% | ― | -4.88% | -860.80% | |
41 Neutral | HK$5.95B | -38.12 | -0.41% | ― | 7.11% | 77.53% |
* Industrials Sector Average
HK:2285
Chervon Holdings Limited
16.06
5.42
50.94%
HK:0658
China High Speed Transmission Equipment Group Co
1.95
1.16
146.84%
HK:2722
Chongqing Machinery & Electric Co. Ltd. Class H
2.42
1.66
218.84%
HK:1133
Harbin Electric Co. Ltd. Class H
20.72
17.24
495.57%
HK:0187
Beijing Jingcheng Machinery Electric Co Ltd Class H
4.40
1.06
31.74%
HK:1286
Impro Precision Industries Limited
8.01
5.98
293.61%
Chervon Holdings Limited Corporate Events
Chervon Trustee Buys 600,000 Shares for Employee Award Scheme
Mar 27, 2026
Chervon Holdings Limited has disclosed that the trustee of its share scheme purchased 600,000 company shares on the market on March 27, 2026, at an average price of about HK$17.012 per share. The transaction, totaling roughly HK$10.2 million, incr...
Chervon Trustee Buys 1.2 Million Shares for Employee Incentive Scheme
Mar 26, 2026
Chervon Holdings Limited has disclosed that the trustee of its share scheme purchased 1,200,000 company shares on the market on March 26, 2026, at an average price of about HK$16.134 per share, for a total consideration of approximately HK$19.36 m...
Chervon Cushions 2025 Profit Decline as EGO Battery Platform Extends Market Lead
Mar 25, 2026
Chervon Holdings reported an 8.2% decline in 2025 revenue to US$1.63 billion and a 13.3% drop in profit to US$97.7 million, as customers adopted more cautious procurement amid China‑U.S. tariff tensions, while gross margin narrowed but staye...
Chervon proposes final cash dividend for FY2025
Mar 25, 2026
Chervon Holdings Limited has proposed a final ordinary cash dividend of HKD 0.4469 per share for the financial year ended 31 December 2025, underscoring its intent to return capital to shareholders. Subject to shareholder approval on 18 May 2026, ...
Chervon Sets March 2026 Board Meeting to Approve 2025 Results and Consider Dividend
Mar 13, 2026
Chervon Holdings Limited has scheduled a board meeting for 25 March 2026 to review and approve the final results of the company and its subsidiaries for the financial year ended 31 December 2025. The board will also consider the recommendation of ...
Chervon Appoints New Independent Director to Restore Full Compliance with HKEX Governance Rules
Feb 4, 2026
Chervon Holdings Limited has appointed Dr. Fan Hao as an independent non-executive director, effective 4 February 2026, and named him chairman of the remuneration committee as well as a member of the audit and nomination committees. Dr. Fan brings...
Chervon Holdings Updates Board and Committee Composition
Feb 4, 2026
Chervon Holdings Limited, a Hong Kong-incorporated company listed under stock code 2285, has disclosed the current composition of its board of directors, comprising both executive and independent non-executive members. The company has also detaile...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.