T.S. Lines Limited (2510) AI Stock Analysis

• Market Cap: HK$13.95B
• Dividend Yield: 10.4%
• Average Volume (3M): 3.48M
• Price to Earnings (P/E): 4.9
• Beta (1Y): 0.34
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 908
• Sector: Services
• Sector Strength: N/A
• Industry: Marine Shipping
• EPS (TTM): N/A
• Shares Outstanding: 1,665,031,000
• 10 Day Avg. Volume: 3,364,140
• 30 Day Avg. Volume: 3,476,784
• PEG Ratio: <0.01
• Price to Book (P/B): 0.45
• Price to Sales (P/S): 0.67
• P/FCF Ratio: -14.26
• 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: 66 Neutral
• Price Target: HK$9.00 ▲(11.52% Upside)

The overall stock score of 66 reflects a strong valuation with a low P/E ratio and high dividend yield, making it attractive for value and income investors. Financial performance shows recovery and growth, but negative free cash flow and asset management issues need attention. Technical analysis indicates mixed signals with slight bearish momentum, requiring cautious monitoring.

Positive Factors

Revenue Growth

Significant revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial prospects.

Balance Sheet Health

A high equity ratio and low debt-to-equity ratio reflect financial stability, reducing financial risk and supporting sustainable growth.

Profit Margin Improvement

Improved profit margins demonstrate effective cost management and operational efficiency, contributing to long-term profitability.

Negative Factors

Negative Free Cash Flow

Negative free cash flow suggests cash management issues, potentially impacting the company's ability to invest in growth and manage debt.

Asset Management Issues

Declining assets may indicate inefficiencies in asset utilization, potentially affecting operational performance and growth capacity.

Volatile EBIT Margin

Volatility in EBIT margin suggests inconsistent operational performance, requiring focus on stabilizing costs and revenues for sustained growth.

T.S. Lines Limited Business Overview & Revenue Model

Company Description

T.S. Lines Ltd. engages in the provision of container shipping and related services. It operates a shipping network independently and through arrangements with other carriers including joint services, slot exchange, and slot chartering. The company was founded by Teh Sheng Chen and Chuang Chuang Li Chen on March 2, 2001 and is headquartered in Hong Kong.

How the Company Makes Money

T.S. Lines Limited generates revenue primarily through the transportation of goods in containers across international shipping routes. The company's revenue model is based on freight charges, which are fees paid by customers for shipping their cargo. Key revenue streams include container shipping, logistics services, and port operations. Additionally, the company may engage in long-term contracts with major shipping partners and clients, which provide a stable income source. Factors contributing to its earnings include fluctuating shipping rates, operational efficiency in managing its fleet, and the ability to adapt to market demands and changes in global trade patterns.

T.S. Lines Limited Financial Statement Overview

Summary

T.S. Lines Limited shows positive signs of recovery and growth, particularly in revenue and profit margins. The company maintains a strong balance sheet with low leverage and a high equity ratio, reflecting financial stability. However, the negative free cash flow and asset management suggest areas for improvement. The company should focus on enhancing its cash flow management and monitoring asset utilization to sustain its growth trajectory and financial health.

Income Statement

The company showed a strong revenue growth from 2023 to 2024, with a 53.29% increase, and turned its gross profit from a negative in 2023 to a positive in 2024. The gross profit margin for 2024 was 23.51%, indicating improved cost management. The net profit margin also improved significantly from 2.37% in 2023 to 27.29% in 2024. However, the EBIT margin shows a volatile history and was relatively stable at 25.73% for 2024. This indicates a recovery from previous financial challenges but still requires close monitoring of margins.

Balance Sheet

T.S. Lines Limited maintains a strong equity position with an equity ratio of 85.05% in 2024, indicating financial stability. The debt-to-equity ratio is low at 0.08, suggesting limited leverage and low financial risk. Return on Equity (ROE) for 2024 was robust at 18.53%, showing effective use of equity to generate profits. However, the overall decrease in total assets from 2022 to 2024 suggests potential asset management issues that need attention.

Cash Flow

The free cash flow turned negative in 2024, indicating potential cash management challenges. Operating cash flow to net income ratio was healthy at 1.31 in 2024, showing strong cash generation relative to net income. However, free cash flow to net income ratio was negative, highlighting concerns about capital expenditures impacting cash flow. Overall, while cash flows from operations remain strong, the negative free cash flow indicates areas needing improvement in cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.34B	874.60M	2.44B	1.84B	6.29B
Gross Profit	315.03M	-33.79M	1.09B	931.47M	1.47B
EBITDA	545.61M	225.60M	1.33B	1.21B	1.73B
Net Income	365.91M	20.71M	1.07B	1.08B	1.43B
Balance Sheet
Total Assets	2.32B	2.16B	2.77B	2.25B	5.32B
Cash, Cash Equivalents and Short-Term Investments	422.13M	716.34M	1.32B	868.09M	1.36B
Total Debt	477.07M	878.36M	1.64B	541.95M	1.07B
Total Liabilities	346.49M	388.18M	622.39M	799.14M	2.38B
Stockholders Equity	1.97B	1.77B	2.15B	1.45B	2.95B
Cash Flow
Free Cash Flow	-62.79M	-267.51M	1.14B	691.45M	802.02M
Operating Cash Flow	480.66M	129.00M	1.37B	1.17B	1.51B
Investing Cash Flow	-517.25M	-169.99M	-175.88M	-471.28M	-706.14M
Financing Cash Flow	-256.93M	-562.87M	-744.77M	-1.20M	-107.34M

T.S. Lines Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.07
• 50DMA: Positive
• 100DMA: Negative
• 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:2510, the sentiment is Positive. The current price of 8.07 is below the 20-day moving average (MA) of 8.28, below the 50-day MA of 8.37, and above the 200-day MA of 8.01, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 52.14 is Neutral, neither overbought nor oversold. The STOCH value of 68.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2510.

T.S. Lines Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1919	79 Outperform	HK$241.11B	3.89	16.39%	12.48%	30.56%	108.49%
0316	78 Outperform	HK$79.31B	3.77	21.38%	12.81%	28.91%	150.66%
2343	77 Outperform	HK$13.06B	17.09	5.53%	2.88%	-4.94%	22.86%
1138	74 Outperform	HK$81.09B	16.16	8.93%	4.76%	4.90%	6.33%
1308	72 Outperform	HK$70.79B	6.82	58.05%	9.80%	37.68%	127.44%
2510	66 Neutral	HK$13.95B	4.89	―	10.40%	―	―
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

T.S. Lines Limited Corporate Events

T.S. Lines Limited Reports Stable Revenue and Shipping Volumes for Nine Months Ending September 2025

T.S. Lines Limited has announced its unaudited operational updates for the nine months ending September 30, 2025, revealing stable revenue and shipping volumes compared to the same period in 2024. This stability in financial performance suggests a steady operational footing for the company, which may reassure shareholders and potential investors about the company’s consistent market presence.

The most recent analyst rating on (HK:2510) stock is a Hold with a HK$9.00 price target. To see the full list of analyst forecasts on T.S. Lines Limited stock, see the HK:2510 Stock Forecast page.