Noble Engineering Group Holdings Limited (8445) AI Stock Analysis

• Market Cap: HK$46.98M
• Dividend Yield: N/A
• Average Volume (3M): 23.00K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.21
• Revenue Growth: -41.79%
• EPS Growth: 19.85%
• Country: HK
• Employees: 51
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -0.01
• Shares Outstanding: 276,380,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 23,000
• PEG Ratio: 0.23
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.15
• P/FCF Ratio: -2.96
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: HK$0.14 ▼(-6.00% Downside)

Noble Engineering Group Holdings Limited's stock score is primarily impacted by its poor financial performance, characterized by declining revenues and negative profitability margins. Technical analysis further indicates bearish momentum, while valuation metrics highlight the company's lack of profitability. These factors collectively contribute to a low overall stock score.

Positive Factors

Low Leverage

Minimal leverage reduces financial risk and provides the company with greater flexibility to manage its operations and invest in growth opportunities.

Sustainable Engineering Focus

The emphasis on sustainable engineering aligns with global trends towards eco-friendly practices, potentially driving future demand and enhancing competitive positioning.

Diverse Revenue Streams

Diverse revenue streams from contracts, consultancy, and maintenance provide a stable income base and reduce dependency on any single market segment.

Negative Factors

Declining Revenue

Consistent revenue decline indicates challenges in market competitiveness and customer retention, potentially impacting long-term growth and profitability.

Negative Profitability Margins

Weak profitability margins reflect operational inefficiencies and cost management issues, hindering the company's ability to generate sustainable profits.

Cash Flow Challenges

Negative cash flow indicates difficulties in funding operations and investments, which may constrain growth and increase financial vulnerability.

Noble Engineering Group Holdings Limited Business Overview & Revenue Model

Company Description

Noble Engineering Group Holdings Limited (8445) is a diversified engineering company that operates primarily in the infrastructure, construction, and environmental sectors. The company specializes in providing innovative engineering solutions, project management, and consultancy services. Through its various subsidiaries, Noble Engineering offers a range of core products and services, including civil engineering, mechanical and electrical engineering, and environmental management, catering to both public and private sector clients across multiple industries.

How the Company Makes Money

Noble Engineering Group Holdings Limited generates revenue through several key streams. Primarily, the company earns money by securing contracts for engineering and construction projects, which can include both fixed-price and time-and-materials contracts. Additionally, the company provides consultancy services that involve project feasibility studies, design services, and project management, which contribute to its revenue. Long-term maintenance and support contracts for completed projects also provide a steady income stream. Significant partnerships with government bodies, private developers, and other engineering firms enhance its project portfolio and revenue potential. Furthermore, the company's focus on sustainable engineering solutions has positioned it to capitalize on growing demand for environmentally friendly construction practices, which also contributes to its overall profitability.

Noble Engineering Group Holdings Limited Financial Statement Overview

Summary

Noble Engineering Group Holdings Limited faces significant financial challenges, with declining revenues, negative profitability margins, and cash flow difficulties. While the company maintains low leverage, its inability to generate positive returns and cash flow raises concerns about its financial health and sustainability in the competitive engineering and construction industry.

Income Statement

The company has experienced declining revenue over the past few years, with a negative revenue growth rate of -11.92% in the most recent year. Profitability metrics such as gross profit margin (0.77%) and net profit margin (-2.91%) are weak, indicating challenges in maintaining cost efficiency and achieving profitability. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio of 0.0019, suggesting minimal leverage and financial risk. However, the return on equity is negative (-12.21%), indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is relatively stable, but overall financial performance is hindered by persistent losses.

Cash Flow

The company has negative operating cash flow and free cash flow, with a significant decline in free cash flow growth (-30.84%). The operating cash flow to net income ratio is negative, indicating cash flow challenges. While the free cash flow to net income ratio is 1.0, this is due to both metrics being negative, highlighting cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	386.66M	325.63M	320.75M	237.21M	275.63M	326.66M
Gross Profit	3.32M	2.50M	1.64M	1.53M	-23.89M	3.69M
EBITDA	-11.59M	-8.81M	-10.97M	-10.45M	-33.97M	-5.60M
Net Income	-12.44M	-9.47M	-11.79M	-11.61M	-36.42M	-8.52M
Balance Sheet
Total Assets	93.84M	93.84M	113.68M	117.09M	110.32M	129.28M
Cash, Cash Equivalents and Short-Term Investments	12.96M	12.96M	35.06M	47.30M	44.52M	42.77M
Total Debt	151.00K	151.00K	353.00K	334.00K	138.00K	271.00K
Total Liabilities	16.24M	16.24M	26.54M	26.18M	18.06M	14.38M
Stockholders Equity	77.60M	77.60M	87.14M	90.91M	92.26M	114.89M
Cash Flow
Free Cash Flow	-16.34M	-16.34M	-20.12M	-7.41M	-11.90M	6.52M
Operating Cash Flow	-16.34M	-16.34M	-18.98M	-7.07M	-11.90M	6.95M
Investing Cash Flow	123.00K	123.00K	-975.00K	-280.00K	7.00K	-378.00K
Financing Cash Flow	-488.00K	-488.00K	7.60M	10.07M	13.64M	4.53M

Noble Engineering Group Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8445, the sentiment is Negative. The current price of 0.15 is below the 20-day moving average (MA) of 0.16, below the 50-day MA of 0.16, and below the 200-day MA of 0.17, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 18.06 is Positive, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8445.

Noble Engineering Group Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3728	68 Neutral	HK$54.70M	6.43	6.32%	―	46.37%	-22.94%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8619	51 Neutral	HK$26.45M	0.44	31.39%	―	-15.18%	94.48%
8616	47 Neutral	HK$50.00M	-3.76	-5.13%	―	8.51%	-217.24%
8423	45 Neutral	HK$39.20M	-3.18	-28.49%	―	-1.68%	-417.79%
8445	38 Underperform	HK$46.98M	-4.96	-11.29%	―	-41.79%	19.85%