Wah Sun Handbags International Holdings Ltd. (2683) AI Stock Analysis

• Market Cap: HK$330.99M
• Dividend Yield: 7.52%
• Average Volume (3M): 490.27K
• Price to Earnings (P/E): 5.1
• Beta (1Y): 0.35
• Revenue Growth: 21.82%
• EPS Growth: 125.68%
• Country: HK
• Employees: 4,483
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): 0.09
• Shares Outstanding: 408,625,980
• 10 Day Avg. Volume: 276,000
• 30 Day Avg. Volume: 490,266
• 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: 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 81 Outperform
• Price Target: HK$1.00 ▲(14.94% Upside)

Wah Sun Handbags International Holdings Ltd. scores highly due to its strong financial performance and attractive valuation. The company's robust revenue and profit growth, stable financial structure, and effective cash management are significant strengths. Additionally, the stock's low P/E ratio and high dividend yield make it an appealing investment. Positive technical indicators further support the stock's potential, although no additional insights from earnings calls or corporate events were available.

Wah Sun Handbags International Holdings Ltd. Business Overview & Revenue Model

Company Description

Wah Sun Handbags International Holdings Ltd. (2683) is a prominent player in the fashion accessories sector, specializing in the design, manufacturing, and distribution of high-quality handbags and fashion accessories. The company operates primarily in the Asia-Pacific region and serves a diverse clientele, including both wholesale and retail markets. With a focus on innovation and craftsmanship, Wah Sun Handbags offers a wide range of products that cater to various consumer tastes and trends, positioning itself as a key contributor in the competitive fashion landscape.

How the Company Makes Money

Wah Sun Handbags generates revenue primarily through the sale of its handbags and fashion accessories to wholesalers and retailers. The company's revenue model is based on bulk orders and contracts with large retail chains, which provide a steady income stream. Additionally, Wah Sun may engage in direct-to-consumer sales through online platforms, enhancing its market reach. Key revenue streams include international sales, particularly in markets like North America and Europe, as well as strategic partnerships with fashion brands that may involve co-branding initiatives or exclusive collections. The company also benefits from economies of scale due to large production volumes, allowing it to maintain competitive pricing while maximizing profit margins.

Wah Sun Handbags International Holdings Ltd. Financial Statement Overview

Summary

Wah Sun Handbags International Holdings Ltd. exhibits strong financial performance with impressive revenue and profit growth. The income statement shows significant improvements in profitability metrics, while the balance sheet reflects a stable financial structure with low leverage. The cash flow statement underscores robust cash generation capabilities, positioning the company well for future growth.

Income Statement

Wah Sun Handbags International Holdings Ltd. has demonstrated strong revenue growth of 18.27% in the latest year, with improving profitability metrics. The gross profit margin increased to 22.04%, and the net profit margin rose to 8.88%, indicating enhanced operational efficiency. The EBIT and EBITDA margins also show positive trends, reflecting effective cost management. Overall, the income statement reflects a robust financial performance with significant growth and profitability improvements.

Balance Sheet

The balance sheet of Wah Sun Handbags shows a healthy financial position with a low debt-to-equity ratio of 0.06, indicating conservative leverage. The return on equity is strong at 21.79%, showcasing efficient use of equity to generate profits. The equity ratio stands at a solid level, reflecting a stable capital structure. However, the company should maintain vigilance on asset management to ensure continued financial stability.

Cash Flow

Cash flow analysis reveals a remarkable free cash flow growth rate of 203.28%, highlighting significant improvements in cash generation. The operating cash flow to net income ratio is 0.79, indicating strong cash conversion from earnings. The free cash flow to net income ratio of 0.92 further supports the company's ability to generate cash relative to its net income. Overall, the cash flow statement reflects a strong liquidity position and effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	612.22M	724.10M	594.41M	446.52M	617.59M	403.84M
Gross Profit	117.97M	159.58M	105.00M	67.55M	127.63M	67.21M
EBITDA	47.70M	97.06M	46.80M	22.92M	63.56M	20.58M
Net Income	34.58M	64.27M	28.50M	8.49M	39.54M	5.56M
Balance Sheet
Total Assets	423.93M	420.87M	371.31M	382.38M	416.99M	374.15M
Cash, Cash Equivalents and Short-Term Investments	156.32M	188.85M	142.68M	103.04M	116.55M	110.72M
Total Debt	20.92M	18.71M	21.54M	23.83M	22.50M	24.38M
Total Liabilities	152.23M	127.34M	115.92M	137.82M	157.88M	138.16M
Stockholders Equity	274.12M	294.94M	259.33M	247.21M	259.27M	235.99M
Cash Flow
Free Cash Flow	26.78M	81.21M	60.87M	14.97M	25.13M	38.82M
Operating Cash Flow	32.78M	88.06M	63.76M	22.20M	37.32M	39.95M
Investing Cash Flow	-5.05M	-3.75M	-621.00K	-6.54M	-12.11M	-988.00K
Financing Cash Flow	-39.66M	-35.83M	-24.14M	-26.61M	-20.38M	-15.52M

Wah Sun Handbags International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.87
• 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:2683, the sentiment is Positive. The current price of 0.87 is above the 20-day moving average (MA) of 0.84, above the 50-day MA of 0.80, and above the 200-day MA of 0.63, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 62.51 is Neutral, neither overbought nor oversold. The STOCH value of 87.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2683.

Wah Sun Handbags International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2683	81 Outperform	HK$330.99M	5.15	23.19%	7.52%	21.82%	125.68%
1023	62 Neutral	HK$481.35M	5.10	-10.55%	12.12%	-1.38%	-275.02%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
1058	50 Neutral	HK$269.01M	―	-134.59%	―	-8.05%	33.37%
0738	46 Neutral	HK$165.18M	―	-18.39%	―	-27.74%	-321.58%
1842	45 Neutral	HK$66.00M	―	-5.68%	―	6.38%	-275.00%
8285	44 Neutral	HK$19.04M	―	―	―	-48.40%	66.36%

Wah Sun Handbags International Holdings Ltd. Corporate Events

Wah Sun Handbags Announces Nomination Committee Changes

Wah Sun Handbags International Holdings Ltd. announced changes in its Nomination Committee, effective from September 19, 2025. These changes include the departure of Mr. Ma Hing Ming and the appointment of Ms. Ma Lan Chu as a committee member. This restructuring aligns with the updated Listing Rules and Corporate Governance Code, aiming to enhance board diversity and corporate governance practices.

The most recent analyst rating on (HK:2683) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Wah Sun Handbags International Holdings Ltd. stock, see the HK:2683 Stock Forecast page.

Wah Sun Handbags Announces Board and Committee Composition

Wah Sun Handbags International Holdings Ltd. has announced the composition of its board of directors and the various committees within the board. This announcement highlights the leadership structure and governance framework of the company, which is crucial for stakeholders to understand the company’s strategic direction and management oversight.

The most recent analyst rating on (HK:2683) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Wah Sun Handbags International Holdings Ltd. stock, see the HK:2683 Stock Forecast page.

Wah Sun Handbags Secures Shareholder Approval for Key Resolutions at AGM

Wah Sun Handbags International Holdings Ltd. announced that all resolutions proposed at their annual general meeting on September 1, 2025, were approved by shareholders. This includes the approval of financial statements, dividend payments, re-election of directors, and the appointment of auditors. The successful passing of these resolutions indicates strong shareholder support and positions the company for continued stability and growth in its operations.

The most recent analyst rating on (HK:2683) stock is a Buy with a HK$1.00 price target. To see the full list of analyst forecasts on Wah Sun Handbags International Holdings Ltd. stock, see the HK:2683 Stock Forecast page.