Modern Living Investments Holdings Limited (8426) AI Stock Analysis

• Market Cap: HK$216.00M
• Dividend Yield: 10.37%
• Average Volume (3M): 29.00K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.09
• Revenue Growth: 13.42%
• EPS Growth: -4.50%
• Country: HK
• Employees: 1,588
• Sector: Real Estate
• Sector Strength: 64
• Industry: Real Estate - Services
• EPS (TTM): N/A
• Shares Outstanding: 800,000,000
• 10 Day Avg. Volume: 48,000
• 30 Day Avg. Volume: 29,000
• PEG Ratio: -0.98
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.33
• 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$0.50
• Price Target Upside: 85.19% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: HK$0.50 ▲(85.19%Upside)

Modern Living Investments Holdings Limited shows strong financial fundamentals with effective cost management and low leverage, which are significant strengths. The valuation is appealing due to a reasonable P/E ratio and high dividend yield. However, technical analysis indicates possible overbought conditions. Challenges in cash flow generation remain a concern, highlighting areas for improvement.

Modern Living Investments Holdings Limited Business Overview & Revenue Model

Company Description

Modern Living Investments Holdings Limited (8426) is a company headquartered in Hong Kong, primarily engaged in the provision of property management services. The company operates within the property services sector, offering a range of services including security, cleaning, and general facility management. With a focus on residential, commercial, and industrial properties, Modern Living Investments Holdings Limited aims to enhance the living and working environments of its clients through comprehensive and tailored property management solutions.

How the Company Makes Money

Modern Living Investments Holdings Limited generates revenue through its property management services offered to residential, commercial, and industrial clients. The company earns money by entering into service contracts with property owners or occupants, charging fees for the various services provided such as security, cleaning, and maintenance. These contracts can be long-term, providing a stable and recurring revenue stream. Additionally, the company may engage in partnerships or collaborations with other service providers or suppliers to enhance its service offerings, potentially contributing to its earnings. The business model relies heavily on maintaining high service standards to ensure contract renewals and client retention, which are crucial for sustained revenue growth.

Modern Living Investments Holdings Limited Financial Statement Overview

Summary

Modern Living Investments Holdings Limited demonstrates solid financial health with strong equity positions and effective cost management, evidenced by high gross margins. However, challenges in cash flow generation and lower net margins indicate areas for operational improvement. The company shows promising revenue growth and low leverage, suggesting stability and potential for future expansion in the Real Estate Services sector.

Income Statement

The company has shown a robust Gross Profit Margin of 98.5% for the latest year, indicating efficient cost management. However, its Net Profit Margin is relatively lower at 4.5%, suggesting higher operational costs. Revenue grew by 13.4% from the previous year, reflecting positive sales momentum. EBIT and EBITDA margins are moderate at 4% and 3.8%, respectively, indicating operational efficiency but room for improvement in operational leverage.

Balance Sheet

The company maintains a strong balance sheet with a Debt-to-Equity Ratio of 0.009, indicating minimal leverage and financial risk. The Return on Equity is solid at 11%, showing effective use of equity to generate profits. The Equity Ratio stands at 70%, reflecting a healthy proportion of equity financing and low reliance on debt.

Cash Flow

The cash flow situation presents a mixed picture. While the company had zero Operating Cash Flow and Free Cash Flow in the latest year, indicating possible liquidity challenges, historical data shows positive Free Cash Flow Growth Rate of -99.8% from the previous year, which highlights significant variability. The absence of Operating and Free Cash Flow to Net Income ratios points to areas needing improvement in cash generation.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	379.11M	334.24M	405.99M	479.76M	459.42M
Gross Profit	375.54M	32.50M	34.53M	50.09M	458.47M
EBITDA	21.84M	22.32M	25.50M	32.38M	24.53M
Net Income	16.96M	17.77M	21.18M	25.46M	19.44M
Balance Sheet
Total Assets	220.11M	209.53M	201.98M	209.29M	190.34M
Cash, Cash Equivalents and Short-Term Investments	94.60M	71.96M	73.52M	47.68M	29.79M
Total Debt	1.39M	2.27M	6.96M	3.20M	6.54M
Total Liabilities	66.11M	53.35M	51.69M	64.55M	57.66M
Stockholders Equity	154.00M	156.18M	150.29M	144.74M	132.68M
Cash Flow
Free Cash Flow	35.18M	18.40M	41.40M	32.94M	7.28M
Operating Cash Flow	40.61M	18.70M	41.96M	33.43M	9.44M
Investing Cash Flow	-10.58M	962.00K	-54.65M	-5.42M	7.58M
Financing Cash Flow	-17.18M	-18.00M	-14.38M	-15.80M	-2.68M

Modern Living Investments Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.27
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8426, the sentiment is Positive. The current price of 0.27 is above the 20-day moving average (MA) of 0.25, above the 50-day MA of 0.24, and below the 200-day MA of 0.27, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 87.73 is Negative, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:8426.

Modern Living Investments Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1538	81 Outperform	HK$329.00M	3.41	8.86%	20.61%	2.04%	8.36%
1895	74 Outperform	HK$290.59M	3.00	15.54%	35.11%	13.95%	185.84%
2376	72 Outperform	HK$422.69M	8.64	8.33%	1.86%	-3.67%	―
8426	71 Outperform	HK$216.00M	12.74	10.94%	10.37%	13.42%	-4.50%
0183	57 Neutral	HK$158.74M	―	-12.61%	―	11.40%	-9.26%
Sector *	54 Neutral	$1.21B	3.69	0.13%	6.81%	-2.13%	-128.06%
2168	51 Neutral	HK$245.03M	15.54	1.67%	―	-5.11%	―