Man Wah Holdings (MAWHY) AI Stock Analysis

• Market Cap: $2.35B
• Dividend Yield: 5.48%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.48
• Revenue Growth: -6.17%
• EPS Growth: -10.00%
• Country: US
• Employees: 27,246
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.76
• Shares Outstanding: 193,904,160
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -0.85
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 1.06
• P/FCF Ratio: 7.83
• Enterprise Value/Market Cap: 8.40
• Enterprise Value/Revenue: 1.19
• Enterprise Value/Gross Profit: 2.90
• Enterprise Value/Ebitda: 5.81
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 81 Outperform
• Price Target: $14.50 ▲(16.56% Upside)

Man Wah Holdings receives a strong overall score driven by its robust financial performance and attractive valuation. The company's solid profitability, efficient cash flow management, and low P/E ratio contribute significantly to its appeal. While technical indicators suggest positive momentum, caution is advised due to overbought signals. The absence of recent earnings call data and corporate events does not detract from the company's fundamental strengths.

Positive Factors

Cash Flow Management

Strong cash flow management indicates the company's ability to generate cash efficiently, supporting reinvestment and financial stability over time.

Balance Sheet Health

A strong balance sheet with moderate leverage enhances financial flexibility and resilience, supporting long-term strategic initiatives.

Profitability

Stable profitability with strong margins supports sustainable business operations and the potential for reinvestment in growth opportunities.

Negative Factors

Revenue Growth Decline

A decline in revenue growth can limit expansion opportunities and market share, potentially impacting long-term competitiveness.

Negative EPS Growth

Negative EPS growth suggests declining profitability, which may affect investor confidence and the company's ability to fund future growth.

Revenue Growth Trend

A negative revenue growth trend indicates potential challenges in market demand or competitive positioning, affecting long-term growth prospects.

Man Wah Holdings Business Overview & Revenue Model

Company Description

Man Wah Holdings Limited, an investment holding company, engages in the manufacture, wholesale, trading, and distribution of sofas and ancillary products in the People's Republic of China, North America, Europe, and internationally. The company operates through Sofa and Ancillary Products, Other Products, Other Business, and Home Group Business segments. It offers mattresses, smart furniture spare parts, and metal mechanism for recliners. The company is also involved in the production and sale of chairs and other products to high-speed railways, cinema chains, and other commercial customers; advertising and marketing of home furnishing products; property investment business; operation, leasing, and management of furniture malls; manufacturing and trading of bedding products, other furniture, and furniture components, as well as foam products; and research and production of smart drive machines and electric regulators. In addition, it offers property management and development services; offshore sales, business consultancy, and back-office support services; business management, advertising, and design services; and marketing, logistics, and warehousing services. The company also operates hotel; and sells residential properties. As of March 31, 2022, it had a total of 5,968 brand stores in China. The company was founded in 1992 and is based in Fo Tan, Hong Kong. Man Wah Holdings Limited is a subsidiary of Man Wah Investments Limited.

How the Company Makes Money

Man Wah Holdings generates revenue primarily through the sale of its upholstered furniture products, which are distributed through various channels including retail stores, online platforms, and wholesale arrangements with furniture distributors. The company's revenue model includes direct sales to consumers as well as bulk orders from retailers. Key revenue streams include the sales of reclining sofas, sectionals, and other customized furniture solutions. Significant partnerships with retailers and distributors, both in domestic and international markets, enhance its reach and sales potential. Additionally, Man Wah benefits from economies of scale in manufacturing, allowing it to optimize production costs and improve profit margins.

Man Wah Holdings Financial Statement Overview

Summary

Man Wah Holdings demonstrates solid financial health, with strong profitability and efficient cash flow management. Despite challenges in revenue growth, the company maintains healthy margins and leverage ratios, underscoring its resilience. The balance sheet is robust, and cash flow performance is particularly strong, providing a solid foundation for future growth and stability.

Income Statement

Man Wah Holdings has demonstrated stable profitability with a gross profit margin of approximately 40.5% and a net profit margin of 12.2% in the most recent year. Despite a decline in total revenue from the previous year, the company maintains strong margins. The EBIT margin stands at 16.7%, and the EBITDA margin is robust at 19.9%. However, the revenue growth rate shows a negative trend, indicating potential challenges in sales expansion.

Balance Sheet

The company exhibits a sound financial position with a debt-to-equity ratio of 0.34, indicating moderate leverage. The return on equity is a commendable 16.2%, reflecting effective use of shareholder capital. The equity ratio is strong at 63.5%, highlighting a healthy balance between debt and equity. While the balance sheet is strong, continued attention to managing liabilities is advised.

Cash Flow

Man Wah Holdings' cash flow performance is impressive, with a free cash flow growth rate of 131.6% in the most recent year, driven by strong operating cash flow. The operating cash flow to net income ratio is 1.61, showing efficient cash generation relative to earnings. The free cash flow to net income ratio is also strong at 1.11, indicating good cash flow management. Overall, the cash flow position is robust.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.61B	16.90B	18.41B	17.35B	21.50B	16.43B
Gross Profit	6.80B	6.84B	7.25B	6.68B	7.89B	5.93B
EBITDA	3.40B	3.36B	3.64B	3.20B	3.58B	2.95B
Net Income	2.06B	2.06B	2.30B	1.91B	2.25B	1.92B
Balance Sheet
Total Assets	20.99B	20.02B	19.81B	19.64B	20.52B	17.44B
Cash, Cash Equivalents and Short-Term Investments	3.95B	4.08B	3.52B	4.08B	3.22B	3.67B
Total Debt	4.12B	4.39B	4.33B	4.40B	4.61B	3.64B
Total Liabilities	6.33B	6.37B	6.73B	7.11B	7.77B	6.03B
Stockholders Equity	13.65B	12.71B	12.08B	11.56B	11.71B	10.74B
Cash Flow
Free Cash Flow	536.78M	2.28B	985.45M	2.50B	363.28M	492.23M
Operating Cash Flow	1.68B	3.32B	2.55B	4.06B	2.32B	1.92B
Investing Cash Flow	-1.07B	-1.55B	-1.54B	-1.66B	-1.10B	-2.72B
Financing Cash Flow	-765.00M	-1.50B	-1.28B	-1.33B	-844.19M	1.11B

Man Wah Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MAWHY, the sentiment is Positive. The current price of 12.44 is above the 20-day moving average (MA) of 12.13, above the 50-day MA of 11.99, and above the 200-day MA of 11.29, indicating a bullish trend. The MACD of 0.11 indicates Negative momentum. The RSI at 55.26 is Neutral, neither overbought nor oversold. The STOCH value of 52.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MAWHY.

Man Wah Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAWHY	81 Outperform	$2.35B	8.85	15.62%	5.48%	-6.17%	-10.00%
LZB	77 Outperform	$1.54B	17.18	8.82%	2.39%	1.78%	-25.36%
ETD	70 Outperform	$588.06M	13.44	9.21%	7.86%	-4.26%	―
AMWD	67 Neutral	$899.79M	15.22	6.82%	―	-10.71%	-37.03%
LEG	63 Neutral	$1.65B	7.59	26.20%	1.84%	-6.03%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MLKN	61 Neutral	$1.40B	-54.03	-1.95%	4.16%	4.34%	-141.36%