Winox Holdings Limited (6838) AI Stock Analysis

• Market Cap: HK$174.00M
• Dividend Yield: 13.79%
• Average Volume (3M): 129.72K
• Price to Earnings (P/E): 4.8
• Beta (1Y): 0.05
• Revenue Growth: -12.01%
• EPS Growth: -131.92%
• Country: HK
• Employees: 2,455
• Sector: Consumer Cyclical
• Sector Strength: 68
• Industry: Luxury Goods
• EPS (TTM): -0.05
• Shares Outstanding: 600,000,000
• 10 Day Avg. Volume: 311,320
• 30 Day Avg. Volume: 129,720
• PEG Ratio: 0.06
• Price to Book (P/B): 0.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.65
• 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

• Rating: 50 Neutral
• Price Target: HK$0.50 ▲(72.41%Upside)

Winox Holdings Limited's overall stock score is primarily impacted by its financial performance challenges, with declining revenue and profitability. Technical analysis and valuation factors offer some mixed insights, with short-term positive momentum and an attractive dividend yield, but longer-term technical and valuation concerns persist.

Winox Holdings Limited Business Overview & Revenue Model

Company Description

Winox Holdings Limited (6838) is a Hong Kong-based company engaged in the design, manufacture, and sale of stainless steel products. The company specializes in producing watch bracelets, mobile phone cases, and other fashion accessories, primarily serving the luxury and high-end fashion markets. Winox Holdings Limited prides itself on its high-quality craftsmanship and innovative design capabilities, catering to a global clientele seeking premium stainless steel products.

How the Company Makes Money

Winox Holdings Limited generates revenue through the sale of its stainless steel products, including watch bracelets, mobile phone cases, and fashion accessories. The company's primary revenue stream comes from manufacturing these products for luxury brands and high-end fashion retailers, who rely on Winox's expertise in design and production. Additionally, Winox benefits from strategic partnerships with leading brands in the watch and fashion industries, which help secure long-term contracts and enhance its market position. The company's earnings are also supported by its focus on maintaining high production standards and its ability to offer customized solutions to meet the specific needs of its clients.

Winox Holdings Limited Financial Statement Overview

Summary

Winox Holdings Limited faces significant financial challenges with declining revenues and profitability, impacting its income statement and cash flow. While the balance sheet remains strong due to low leverage, the negative return on equity and cash flow concerns highlight operational inefficiencies and potential liquidity risks.

Income Statement

Winox Holdings Limited has faced a decline in revenue, with a significant drop from 2022 to 2024. The gross profit margin decreased from 27.6% in 2022 to 16.1% in 2024. The company experienced negative EBIT and net profit margins in 2024, indicating operational challenges and financial losses.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 80.6% in 2024, indicating financial stability. The debt-to-equity ratio is low at 0.075, reflecting prudent leverage. However, the return on equity has turned negative due to net losses, posing a risk to long-term profitability.

Cash Flow

The cash flow situation is concerning as operating and free cash flows are zero in 2024, following a year of strong free cash flow generation in 2023. This decline indicates potential liquidity issues and challenges in converting revenue into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	681.68M	774.73M	1.15B	1.39B	1.19B
Gross Profit	109.44M	224.29M	305.58M	297.10M	247.34M
EBITDA	22.40M	120.74M	139.31M	132.86M	127.17M
Net Income	-20.33M	63.73M	112.40M	94.42M	96.08M
Balance Sheet
Total Assets	1.17B	1.19B	1.32B	1.61B	1.23B
Cash, Cash Equivalents and Short-Term Investments	222.25M	317.16M	270.79M	207.00M	174.64M
Total Debt	71.09M	55.36M	122.42M	267.87M	75.72M
Total Liabilities	227.01M	184.10M	304.11M	608.99M	334.01M
Stockholders Equity	942.74M	1.01B	1.01B	1.00B	899.85M
Cash Flow
Free Cash Flow	-35.21M	156.45M	238.49M	-131.02M	74.94M
Operating Cash Flow	-5.08M	214.76M	311.34M	-19.40M	174.08M
Investing Cash Flow	-107.33M	-144.06M	-76.29M	-111.78M	-99.44M
Financing Cash Flow	-1.90M	-113.28M	-156.83M	160.33M	-40.82M

Winox Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.29
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6838, the sentiment is Positive. The current price of 0.29 is above the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.26, and below the 200-day MA of 0.34, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 66.53 is Neutral, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6838.

Winox Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0590	78 Outperform	$12.62B	11.48	8.44%	9.03%	-4.33%	-19.79%
0887	74 Outperform	$3.56B	12.93	4.99%	2.42%	8.44%	-14.06%
0398	72 Outperform	$1.64B	8.17	11.32%	17.25%	-7.42%	-17.86%
Sector *	57 Neutral	HK$25.55B	4.08	-2.03%	5.79%	-0.31%	-67.64%
6838	50 Neutral	HK$174.00M	4.81	-2.08%	13.79%	-12.01%	-131.92%
1856	43 Neutral	HK$446.72M	35.26	-35.55%	―	-39.83%	-351.13%
0256	43 Neutral	HK$1.87B	62.16	-6.53%	―	-8.30%	-661.54%

Winox Holdings Limited Corporate Events

Winox Holdings Limited Announces Relocation of Hong Kong Office

Winox Holdings Limited has announced a change in the address of its head office and principal place of business in Hong Kong, effective from June 1, 2025. This relocation to Sunray Industrial Centre in Kowloon signifies a strategic move that could impact the company’s operational logistics and stakeholder interactions.

Winox Holdings Limited Announces Board Composition and Roles

Winox Holdings Limited has announced the composition of its Board of Directors, highlighting the roles and functions of each member within the company’s committees. This announcement provides clarity on the governance structure, which may impact the company’s strategic direction and stakeholder confidence.

Winox Holdings Updates Nomination Committee Terms

Winox Holdings Limited has announced amendments to the terms of reference for its Nomination Committee, which is responsible for overseeing the appointment and re-appointment of directors. The changes, effective from May 2025, emphasize compliance with the Hong Kong Stock Exchange’s Listing Rules, ensuring transparency and regular re-election of directors. This move is likely to enhance the company’s governance practices, potentially impacting its market perception and stakeholder confidence positively.

Winox Holdings Announces Unanimous Approval of AGM Resolutions

Winox Holdings Limited, listed on the Hong Kong Stock Exchange, announced the results of its Annual General Meeting held on May 26, 2025. All proposed resolutions, including the re-election of directors and the re-appointment of Deloitte Touche Tohmatsu as auditors, were passed with unanimous support. The company’s decision to maintain its current board and auditor reflects stability in its governance structure, potentially reassuring stakeholders about its operational continuity and strategic direction.