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Huazhong In-Vehicle Holdings Company Limited (HK:6830)
:6830
Hong Kong Market

Huazhong In-Vehicle Holdings Company Limited (6830) AI Stock Analysis

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HK

Huazhong In-Vehicle Holdings Company Limited

(6830)

Rating:50Neutral
Price Target:
The primary concern is the company's financial performance, with declining revenue and weak cash flow generation, which is a major risk. However, technical indicators show short-term upward momentum, and the stock appears undervalued based on its P/E ratio. These factors provide some positive aspects, balancing the overall score.

Huazhong In-Vehicle Holdings Company Limited (6830) vs. iShares MSCI Hong Kong ETF (EWH)

Huazhong In-Vehicle Holdings Company Limited Business Overview & Revenue Model

Company DescriptionHuazhong In-Vehicle Holdings Company Limited, an investment holding company, manufactures and sells automobile body parts in Mainland China and internationally. It offers internal, external structural, and decorative automobile parts covering front/rear bumpers, frontend carriers, dashboards, ABCD-pillars, air inlet grilles, and rocker panels; automobile precision moulds and tooling products; air conditioning unit casings and liquid tanks; and other non-automobile products, such as top cowl covers for engine of motorboat and office chair parts. The company also designs, consults, manufactures, and sells plastic and automotive parts; imports and exports various products and technologies; processes and sells and process plastic and latex products, and spare and accessory parts; and develops in-vehicle systems and equipment. It serves automakers and automobile body parts manufacturers, as well as suppliers for automakers. The company was formerly known as Huazhong Holdings Company Limited and changed its name to Huazhong In-Vehicle Holdings Company Limited in January 2015. The company was founded in 1993 and is headquartered in Xiangshan, China. Huazhong In-Vehicle Holdings Company Limited is a subsidiary of Huayou Holdings Company Limited.
How the Company Makes MoneyHuazhong In-Vehicle Holdings Company Limited generates revenue primarily through the sale of its automotive components to vehicle manufacturers. The company's key revenue streams include contracts with leading automotive brands and suppliers, which rely on Huazhong's expertise in producing high-quality, durable components for various vehicle models. The company may also engage in partnerships and collaborations with automotive industry players to expand its market reach and improve its product offerings. Additionally, Huazhong's focus on research and development helps it maintain a competitive edge and potentially secure more lucrative contracts, further boosting its earnings.

Huazhong In-Vehicle Holdings Company Limited Financial Statement Overview

Summary
Huazhong In-Vehicle Holdings faces operational and financial challenges, with declining revenue and profitability, coupled with weak cash flow generation. The balance sheet shows moderate leverage, but the lack of cash flow is a critical concern.
Income Statement
45
Neutral
The company displays declining revenue with a slight contraction in the latest year. Gross profit margin remains stable, but the net profit margin is low, and there is a significant drop in EBIT, indicating operational challenges. The negative EBIT margin for the latest year is concerning.
Balance Sheet
50
Neutral
The debt-to-equity ratio has improved slightly but remains relatively high, indicating financial leverage. Equity ratio shows moderate equity levels. The return on equity has decreased, reflecting lower profitability on shareholders' investments.
Cash Flow
30
Negative
The absence of free cash flow and operating cash flow in the latest year is a red flag. The company appears to be struggling with cash generation, which could impact its ability to fund operations and growth.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
1.85B1.85B1.92B1.89B2.00B
Gross Profit
505.04M500.92M466.92M426.90M485.06M
EBIT
-94.09M29.59M47.72M21.64M97.66M
EBITDA
129.45M211.22M180.91M130.49M203.85M
Net Income Common Stockholders
41.91M38.55M108.30M50.67M107.57M
Balance SheetCash, Cash Equivalents and Short-Term Investments
181.14M112.22M114.84M61.68M94.43M
Total Assets
3.78B3.41B3.25B3.31B3.25B
Total Debt
614.21M611.38M606.56M719.66M721.65M
Net Debt
453.07M499.16M491.71M657.99M627.22M
Total Liabilities
2.22B1.85B1.82B2.07B2.06B
Stockholders Equity
1.39B1.39B1.28B1.18B1.14B
Cash FlowFree Cash Flow
0.00-9.78M98.43M-11.82M7.97M
Operating Cash Flow
0.00190.91M152.25M148.63M217.46M
Investing Cash Flow
0.00-174.88M13.63M-113.59M-146.15M
Financing Cash Flow
0.00-19.28M-113.22M-67.80M-165.13M

Huazhong In-Vehicle Holdings Company Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.24
Price Trends
50DMA
0.23
Negative
100DMA
0.22
Positive
200DMA
0.34
Negative
Market Momentum
MACD
<0.01
Positive
RSI
44.82
Neutral
STOCH
60.26
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6830, the sentiment is Negative. The current price of 0.24 is above the 20-day moving average (MA) of 0.23, above the 50-day MA of 0.23, and below the 200-day MA of 0.34, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 44.82 is Neutral, neither overbought nor oversold. The STOCH value of 60.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6830.

Huazhong In-Vehicle Holdings Company Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$6.76B11.072.80%6.34%2.68%-24.87%
50
Neutral
HK$426.38M9.383.02%1.27%-2.00%7.08%
$511.47M19.141.44%7.51%
$1.73B25.523.13%0.47%
$5.84B11.109.62%2.65%
DEOWH
62
Neutral
HK$143.03M7.5417.42%110.17%6.09%-5.26%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:6830
Huazhong In-Vehicle Holdings Company Limited
0.23
-2.00
-89.69%
CYYHF
China Yongda Automobiles Services
0.27
0.08
42.11%
NTXVF
Nexteer Automotive Group
0.63
0.16
34.04%
ZHUZF
Zhuzhou CRRC Times Electric Co
3.92
0.22
5.95%
DE:OWH
Oi Wah Pawnshop Credit Holdings Ltd.
HK:6083
World-Link Logistics (Asia) Holding Ltd
0.28
0.04
16.67%

Huazhong In-Vehicle Holdings Company Limited Corporate Events

Huazhong In-Vehicle Holdings Schedules 2025 AGM with Key Resolutions
Apr 28, 2025

Huazhong In-Vehicle Holdings Company Limited has announced its upcoming annual general meeting scheduled for June 3, 2025, in Ningbo City, China. Key agenda items include the approval of financial statements, declaration of a final dividend, re-election of directors, and re-appointment of auditors. Additionally, a resolution will be considered to grant the directors a mandate to issue additional shares, potentially impacting the company’s capital structure and shareholder value.

Huazhong In-Vehicle Holdings Forms Nomination Committee to Strengthen Governance
Apr 15, 2025

Huazhong In-Vehicle Holdings Company Limited has established a Nomination Committee to enhance its corporate governance. The committee, formed by a resolution of the Board, will consist of at least three members, primarily independent non-executive directors, and will ensure gender diversity. The committee is tasked with reviewing the board’s structure and composition annually, assisting in maintaining a board skills matrix, and recommending changes to align with the company’s corporate strategy.

Huazhong In-Vehicle Holdings Reports Increased Profit Amid Slight Revenue Dip
Mar 28, 2025

Huazhong In-Vehicle Holdings Company Limited announced its annual results for the year ended December 31, 2024, reporting a slight revenue decrease of 0.2% to approximately RMB1.8 billion. Despite this, the company saw an 8.7% increase in profit attributable to owners, reaching approximately RMB41.9 million. The gross profit margin also improved slightly to 27.3%. The Board recommended a final dividend of RMB0.2826 cent per share, reflecting a positive outlook for shareholders.

Huazhong In-Vehicle Declares Final Dividend for 2024
Mar 28, 2025

Huazhong In-Vehicle Holdings Company Limited has announced a final cash dividend of RMB 0.002826 per share for the financial year ending December 31, 2024. The dividend, payable in Hong Kong dollars, reflects the company’s commitment to returning value to shareholders and may enhance its attractiveness to investors. The ex-dividend date is set for June 9, 2025, with payment scheduled for July 11, 2025.

Huazhong In-Vehicle Holdings Schedules Board Meeting for Annual Results
Mar 18, 2025

Huazhong In-Vehicle Holdings Company Limited has announced an upcoming board meeting scheduled for March 28, 2025. The meeting will address the approval of the company’s annual results for the year ending December 31, 2024, and discuss the potential recommendation of a final dividend, which could impact shareholder returns and reflect the company’s financial health.

Huazhong In-Vehicle Expands Equity Stake in Subsidiary
Feb 20, 2025

Huazhong In-Vehicle Holdings Company Limited has executed a Share Purchase Agreement to acquire a 15% equity interest in one of its non-wholly-owned subsidiaries, increasing its total ownership to 80%. This acquisition, valued at EUR4.5 million, aims to consolidate the company’s control over the subsidiary, potentially enhancing its operational capabilities and market positioning within the automotive sector.

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.