Far East Horizon Limited (3360) AI Stock Analysis

• Market Cap: HK$37.00B
• Dividend Yield: 7.5%
• Average Volume (3M): 10.05M
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.56
• Revenue Growth: -2.96%
• EPS Growth: -39.02%
• Country: HK
• Employees: 19,171
• Sector: Financial
• Sector Strength: 78
• Industry: Financial - Credit Services
• EPS (TTM): 0.43
• Shares Outstanding: 4,761,515,000
• 10 Day Avg. Volume: 8,842,051
• 30 Day Avg. Volume: 10,052,833
• PEG Ratio: 0.53
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.14
• 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$7.50
• Price Target Upside: -6.25% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: HK$9.00 ▲(12.50%Upside)

Far East Horizon Limited's overall stock score reflects strong valuation metrics and bullish technical trends, making it an attractive investment. However, financial performance concerns, specifically declining profit margins and high leverage, necessitate caution. The absence of earnings call data means these factors were not considered.

Far East Horizon Limited Business Overview & Revenue Model

Company Description

Far East Horizon Limited (3360) is a leading integrated financial services company based in China. It specializes in providing tailored financial solutions and value-added services to clients across various sectors, including healthcare, infrastructure, shipping, education, and manufacturing. The company is known for its extensive industry knowledge, innovative financing options, and comprehensive service offerings that help businesses achieve sustainable growth.

How the Company Makes Money

Far East Horizon Limited generates revenue primarily through its financial leasing business, which involves leasing a variety of equipment and assets to clients across multiple industries. The company earns income from lease payments and interest on financial leases. Additionally, Far East Horizon offers advisory and consulting services, generating fees for financial consultancy and management solutions. The company's earnings are also bolstered by its strategic partnerships with key sector players, enabling it to expand its market reach and enhance service offerings. Its diversified revenue streams and strong industry presence contribute significantly to its overall financial performance.

Far East Horizon Limited Financial Statement Overview

Summary

Far East Horizon Limited demonstrates growth potential with increasing revenues, yet faces challenges with declining profit margins and high leverage. The company shows improvement in cash flow management, providing financial stability. While operational efficiency remains strong, attention is needed on profitability and leverage to ensure long-term financial health.

Income Statement

Over the years, Far East Horizon Limited has shown a steady increase in total revenue, demonstrating growth potential. However, there's a noticeable decline in gross profit margin from 2023 to 2024 due to reduced gross profit, which may impact profitability. Net profit margin has also decreased significantly from 17.23% in 2023 to 10.32% in 2024, highlighting a reduction in net income. Despite these challenges, the company's EBITDA margin remains strong, showcasing operational efficiency.

Balance Sheet

The company's balance sheet reflects a high debt-to-equity ratio of 5.43, indicating significant leverage which could pose financial risks. The equity ratio, however, shows a slight improvement, suggesting a stable asset base. Return on equity is currently at 7.95%, indicating moderate profitability on shareholders' investments, but this has decreased from previous years, warranting caution.

Cash Flow

Far East Horizon Limited has improved its free cash flow significantly from 2023 to 2024, reflecting better cash management. The operating cash flow to net income ratio is strong, suggesting that the company efficiently converts its net income into cash. The free cash flow to net income ratio also indicates positive cash flow in relation to net income, indicating financial flexibility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	37.75B	36.57B	35.99B	33.64B	29.04B
Gross Profit	15.80B	16.96B	17.86B	17.21B	14.97B
EBITDA	11.30B	12.01B	12.70B	12.35B	9.98B
Net Income	3.89B	6.30B	6.38B	5.90B	5.03B
Balance Sheet
Total Assets	360.39B	351.48B	346.99B	335.88B	299.93B
Cash, Cash Equivalents and Short-Term Investments	34.20B	22.07B	19.67B	19.63B	15.15B
Total Debt	265.91B	256.62B	251.83B	230.81B	206.04B
Total Liabilities	302.91B	293.91B	294.55B	282.83B	254.66B
Stockholders Equity	48.99B	51.67B	48.33B	49.04B	42.60B
Cash Flow
Free Cash Flow	1.55B	1.17B	-11.64B	-25.33B	-31.64B
Operating Cash Flow	9.97B	3.73B	-7.69B	-14.87B	-24.46B
Investing Cash Flow	-3.54B	-2.40B	-1.77B	-9.85B	-10.55B
Financing Cash Flow	-5.60B	1.59B	9.61B	28.52B	42.94B

Far East Horizon Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3360, the sentiment is Positive. The current price of 8 is above the 20-day moving average (MA) of 7.37, above the 50-day MA of 6.72, and above the 200-day MA of 5.80, indicating a bullish trend. The MACD of 0.41 indicates Negative momentum. The RSI at 81.55 is Negative, neither overbought nor oversold. The STOCH value of 92.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3360.

Far East Horizon Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1606	74 Outperform	€21.74B	4.45	11.47%	5.67%	5.08%	6.54%
3360	72 Outperform	HK$37.00B	8.06	7.81%	7.50%	-2.96%	-39.02%
1905	69 Neutral	HK$7.08B	4.69	8.15%	9.79%	-2.26%	-7.00%
1601	68 Neutral	HK$1.16B	3.95	10.90%	7.42%	2.47%	2.27%
Sector *	58 Neutral	HK$91.35B	5.46	-3.21%	5.19%	7.36%	-55.21%

Far East Horizon Limited Corporate Events

Far East Horizon Announces Partial Bond Conversion and Share Issuance

Far East Horizon Limited announced a partial cancellation of its U.S.$300 million 2.50% guaranteed convertible bonds due 2025, as approximately 41.74% of the bonds were converted into shares. This conversion results in the issuance of 187,001,745 shares, representing about 4.30% of the company’s total issued share capital, indicating a strategic move to manage its financial obligations and potentially improve its market positioning.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Updates $4 Billion Securities Programme

Far East Horizon Limited has announced an update to its US$4 billion Medium Term Note and Perpetual Securities Programme, allowing for the issuance of notes and securities in series. This update, facilitated by UBS as the arranger, is designed to provide the company with enhanced flexibility and efficiency in future funding and capital management. The timing and amount of any drawdowns under the updated program will depend on market conditions and the company’s funding needs. The company intends to use the proceeds for working capital and general corporate purposes, with potential on-lending to its subsidiaries in the PRC.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Announces Partial Bond Conversion and Cancellation

Far East Horizon Limited has announced the partial cancellation of their U.S.$300,000,000 2.50% guaranteed convertible bonds due 2025, issued by Universe Trek Limited. From June 14, 2025, an aggregate principal amount of U.S.$42,361,000, representing 14.12% of the initial bonds, was converted into shares and cancelled. This conversion resulted in the issuance of 63,258,275 shares, accounting for 1.46% of the total issued share capital of the guarantor. The remaining outstanding bonds amount to U.S.$202,734,000, which could potentially increase the share capital by 6.97% upon full conversion.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Schedules Board Meeting for Interim Results Review

Far East Horizon Limited has announced a board meeting scheduled for August 1, 2025, to review and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the payment of an interim dividend, highlighting the company’s ongoing financial performance and commitment to shareholder returns.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Announces Partial Bond Conversion and Share Issuance

Far East Horizon Limited has announced a partial cancellation of its U.S.$300 million 2.50% guaranteed convertible bonds due 2025, following conversions amounting to approximately U.S.$20.9 million. This conversion resulted in the issuance of 31,217,730 new shares, representing about 0.72% of the company’s total issued share capital. The remaining outstanding bonds total U.S.$245.1 million, which, if fully converted, could increase the company’s share capital by approximately 8.42%. This move reflects the company’s ongoing financial strategy and its impact on shareholder value and market positioning.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Announces Partial Cancellation of Convertible Bonds

Far East Horizon Limited has announced a partial cancellation of its U.S.$300 million 2.50% guaranteed convertible bonds due 2025, following conversions and redemptions. As of June 6, 2025, U.S.$34 million of the bonds have been redeemed and cancelled, with U.S.$24 million converted into shares, representing 0.82% of the company’s total issued share capital. The remaining U.S.$266 million in bonds could potentially convert into approximately 9.14% of the total share capital, impacting the company’s equity structure and market positioning.

The most recent analyst rating on (HK:3360) stock is a Buy with a HK$8.70 price target. To see the full list of analyst forecasts on Far East Horizon Limited stock, see the HK:3360 Stock Forecast page.

Far East Horizon Expands Southeast Asia Presence with Malaysian Acquisition

Far East Horizon Limited announced that its subsidiary, Horizon Construction Development Limited, has entered into an agreement to acquire an 80% equity interest in Malaysia’s TH Tong Heng Machinery Sdn. Bhd. This strategic acquisition aims to strengthen Horizon Construction Development’s market presence in Southeast Asia by integrating an established sales and distribution network in Malaysia, thereby enhancing its operational capabilities and expanding its customer base. The transaction is expected to create synergies with Horizon Construction Development’s existing operations in Malaysia, benefiting the company’s overall business and its shareholders.

Far East Horizon Adjusts Convertible Bond Conversion Prices Following Dividend Declaration

Far East Horizon Limited has announced adjustments to the conversion prices of its 2020 and 2021 convertible bonds due to the declaration of a final dividend. These adjustments, effective from May 6, 2025, will lower the conversion prices, increasing the number of shares issuable upon full conversion, thereby impacting the company’s share capital structure and potentially its market positioning.