Taka Jewellery Holdings Ltd. (42L) AI Stock Analysis

• Market Cap: S$66.01M
• Dividend Yield: 1.52%
• Average Volume (3M): 47.76K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 0.30
• Revenue Growth: 10.00%
• EPS Growth: 42.07%
• Country: SG
• Employees: 159
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Luxury Goods
• EPS (TTM): 0.02
• Shares Outstanding: 565,506,000
• 10 Day Avg. Volume: 69,210
• 30 Day Avg. Volume: 47,763
• PEG Ratio: N/A
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 35.07
• 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: 71 Outperform
• Price Target: S$0.00 ▼(-100.00%Downside)

The most significant factor is the company's strong valuation, with a low P/E ratio and decent dividend yield, indicating potential undervaluation. Financial performance is stable with strong profitability and a manageable debt profile. Technical analysis reflects a positive price trend, although momentum is weak, suggesting cautious optimism.

Taka Jewellery Holdings Ltd. Business Overview & Revenue Model

Company Description

Taka Jewellery Holdings Limited, an investment holding company, engages in the design, manufacture, wholesale, and retail sale of jewelry in Singapore, the United States, Europe, rest of Asia, Africa, and Australia. The company operates through three segments: Exhibitions, Retail, and Financial Services. It retails and trades in pre-owned jewelry under the Top Cash brand. The company is also involved in the retail of secondhand jewelry; secured lending and pawnbroking business; and operation as a gold bullion broker and trader. It operates jewelry outlets under the Taka Jewellery brand; and pawnshops, as well as offers contemporary line of jewelry under Voi brand. The company was formerly known as TLV Holdings Limited. Taka Jewellery Holdings Limited was founded in 1997 is headquartered in Singapore.

How the Company Makes Money

Taka Jewellery Holdings Ltd. generates revenue primarily through the sale of its jewellery products. The company operates a network of retail stores and an online platform, enabling it to reach a wide audience. The revenue model is centered around direct-to-consumer sales, with a focus on both fine and fashion jewellery segments. Additionally, Taka Jewellery may engage in partnerships with other brands or retailers to expand its market reach. Factors contributing to its earnings include seasonal promotions, product launches, and collaborations with designers or influencers to enhance brand visibility and attract customers.

Taka Jewellery Holdings Ltd. Financial Statement Overview

Summary

Taka Jewellery Holdings demonstrates strong revenue growth and profitability margins, supported by a solid equity base and manageable debt levels. While cash flow generation has improved, further enhancement is needed to ensure robust cash management. Overall, the financial health of the company appears stable with positive growth trends.

Income Statement

Taka Jewellery Holdings has shown consistent revenue growth, with a 1% increase from the previous year. The company maintains a healthy gross profit margin of approximately 29%, and the net profit margin improved to 7.03% in 2024, indicating strong profitability. EBIT and EBITDA margins have also strengthened, with EBIT margin at 9.83% and EBITDA margin at 13.12%, reflecting efficient operational management.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.44, which is manageable. The return on equity (ROE) has improved to 7.95%, showcasing efficient utilization of equity to generate profits. The equity ratio stands at a healthy 61.12%, indicating a strong equity base relative to total assets.

Cash Flow

The cash flow statement reveals challenges in cash generation, with a positive free cash flow of $1.88 million, rebounding from a deficit the previous year. The operating cash flow to net income ratio is low, suggesting room for improvement in converting profits into cash. However, free cash flow has shown growth due to reduced capital expenditures.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	144.77M	146.76M	145.89M	104.27M	96.83M	91.30M
Gross Profit	41.36M	42.65M	42.30M	27.42M	21.94M	23.73M
EBITDA	16.55M	19.25M	16.89M	12.98M	9.71M	5.97M
Net Income	8.12M	10.32M	9.00M	5.88M	2.42M	-380.80K
Balance Sheet
Total Assets	204.84M	212.34M	194.16M	170.83M	163.20M	185.78M
Cash, Cash Equivalents and Short-Term Investments	14.46M	9.89M	11.01M	11.23M	15.24M	13.68M
Total Debt	58.19M	56.53M	48.93M	37.68M	36.86M	52.56M
Total Liabilities	79.99M	82.55M	74.66M	60.29M	58.55M	83.52M
Stockholders Equity	124.86M	129.80M	119.49M	110.51M	104.61M	102.22M
Cash Flow
Free Cash Flow	-3.58M	1.88M	-7.56M	2.01M	17.77M	913.00K
Operating Cash Flow	-2.43M	2.77M	-4.84M	2.31M	17.88M	2.38M
Investing Cash Flow	-537.00K	-888.00K	-1.52M	-367.00K	-88.00K	-1.53M
Financing Cash Flow	5.14M	-416.00K	6.17M	-6.01M	-16.10M	1.39M

Taka Jewellery Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.12
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:42L, the sentiment is Positive. The current price of 0.12 is above the 20-day moving average (MA) of 0.11, above the 50-day MA of 0.10, and above the 200-day MA of 0.09, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 82.61 is Negative, neither overbought nor oversold. The STOCH value of 111.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:42L.

Taka Jewellery Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
42L	71 Outperform	S$66.01M	5.73	8.85%	1.52%	10.00%	42.07%
Sector *	63 Neutral	$16.67B	10.98	-6.97%	2.95%	1.72%	-24.21%
5SO		S$74.29M	4.70	15.43%	10.48%	―	―
5WJ		S$247.66M	6.48	23.13%	2.50%	―	―
AGS	78 Outperform	S$1.32B	9.36	15.30%	4.08%	2.94%	-12.31%
C41		S$541.44M	8.51	15.37%	4.89%	―	―
T6I	67 Neutral	S$561.06M	6.13	17.71%	4.50%	37.80%	38.89%