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WT Group Holdings Limited (HK:8422)
:8422
Hong Kong Market
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WT Group Holdings Limited (8422) AI Stock Analysis

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HK:8422

WT Group Holdings Limited

(8422)

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Neutral 48 (OpenAI - 5.2)
Rating:48Neutral
Price Target:
HK$0.11
▲(14.00% Upside)
Action:Reiterated
Date:06/26/26
The score is held back primarily by weak and volatile operating performance and consistently negative recent cash flow, which raise execution and cash-conversion risk. These concerns are only partly offset by a conservatively financed balance sheet with minimal leverage. Technical indicators are neutral-to-slightly constructive, while valuation is constrained by losses (negative P/E) and no provided dividend yield.
Positive Factors
Conservative balance sheet
WT Group's very low leverage materially limits refinancing and solvency risk, giving management flexibility to absorb short-term operating shocks and time to execute turnaround actions. For a project-driven construction firm this conservatism supports continuity of operations and preserves optionality over the next several quarters.
Negative Factors
Recent negative operating cash flow
Two consecutive years of negative operating and free cash flow signal weak cash conversion and potential working-capital strain. For an engineering and construction firm, sustained cash outflows constrain project funding, increase reliance on external financing or equity, and heighten execution risk over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
WT Group's very low leverage materially limits refinancing and solvency risk, giving management flexibility to absorb short-term operating shocks and time to execute turnaround actions. For a project-driven construction firm this conservatism supports continuity of operations and preserves optionality over the next several quarters.
Read all positive factors

WT Group Holdings Limited (8422) vs. iShares MSCI Hong Kong ETF (EWH)

WT Group Holdings Limited Business Overview & Revenue Model

Company Description
WT Group Holdings Limited, an investment holding entity, offers a range of specialized and general construction services across Hong Kong. Its specialized operations encompass foundational construction, site preparation, demolition work, and groun...
How the Company Makes Money
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WT Group Holdings Limited Financial Statement Overview

Summary
Balance sheet strength is a key positive with very low leverage and a solid equity cushion, limiting refinancing risk. However, operating results are unstable: 2025 swung to a sizeable loss with a sharp gross margin collapse, and revenue declined. Cash generation is the largest weakness, with negative operating and free cash flow in both 2024 and 2025, including poor cash conversion in a year that showed accounting profits.
Income Statement
34
Negative
Balance Sheet
78
Positive
Cash Flow
28
Negative
BreakdownJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue34.83M31.30M37.42M65.33M33.83M
Gross Profit2.92M11.43M-3.11M8.21M2.12M
EBITDA-5.93M4.07M-22.72M-8.18M-5.66M
Net Income-6.09M3.75M-23.20M-8.95M-7.40M
Balance Sheet
Total Assets39.08M46.16M42.54M69.63M65.50M
Cash, Cash Equivalents and Short-Term Investments24.19M28.62M33.29M31.46M51.55M
Total Debt332.00K107.00K332.00K1.05M679.00K
Total Liabilities4.88M5.87M5.99M9.88M8.05M
Stockholders Equity34.20M40.29M36.55M59.75M57.45M
Cash Flow
Free Cash Flow-4.91M-4.90M3.12M-26.16M12.05M
Operating Cash Flow-4.91M-4.90M3.49M-24.49M12.08M
Investing Cash Flow51.00K125.00K-235.00K-1.68M62.00K
Financing Cash Flow-233.00K-237.00K-670.00K7.43M-691.00K

WT Group Holdings Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.10
Price Trends
50DMA
0.12
Negative
100DMA
0.11
Positive
200DMA
0.09
Positive
Market Momentum
MACD
<0.01
Positive
RSI
46.10
Neutral
STOCH
24.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8422, the sentiment is Negative. The current price of 0.1 is below the 20-day moving average (MA) of 0.13, below the 50-day MA of 0.12, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.10 is Neutral, neither overbought nor oversold. The STOCH value of 24.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8422.

WT Group Holdings Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
HK$96.60M1.7610.95%10.17%-5.20%420.03%
67
Neutral
HK$106.68M46.524.27%25.00%126.51%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
48
Neutral
HK$43.20M-2.28-17.68%-14.15%-435.96%
42
Neutral
HK$38.69M-3.26-17.44%-36.27%-4.08%
38
Underperform
HK$17.35M-0.239.17%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:8422
WT Group Holdings Limited
0.12
0.06
96.72%
HK:3822
Sam Woo Construction Group Ltd.
1.15
0.61
112.96%
HK:6189
Guangdong Adway Construction (Group) Holdings Co., Ltd. Class H
0.07
-0.04
-37.93%
HK:8411
K W Nelson Interior Design and Contracting Group Limited
0.11
0.05
72.58%
HK:8445
Noble Engineering Group Holdings Limited
0.14
0.01
8.53%
HK:2433
Zhongtian Construction (Hunan) Group Limited
0.06
-0.12
-67.24%
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.Date of analysis: Jun 26, 2026