Hong Fok Corporation Limited (H30) AI Stock Analysis

• Market Cap: S$625.07M
• Dividend Yield: 1.26%
• Average Volume (3M): 571.99K
• Price to Earnings (P/E): 19.0
• Beta (1Y): 0.90
• Revenue Growth: 1.94%
• EPS Growth: -69.89%
• Country: SG
• Employees: 84
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): <0.01
• Shares Outstanding: 870,612,100
• 10 Day Avg. Volume: 512,580
• 30 Day Avg. Volume: 571,993
• PEG Ratio: -0.30
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 5.04
• P/FCF Ratio: 10.88
• 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: 62 Neutral
• Price Target: S$1.00 ▲(26.58% Upside)

The overall stock score of 62 reflects a stable financial position with strong gross profit margins and effective cost management. However, challenges in revenue generation and profitability, along with moderate valuation and technical indicators suggesting potential overbought conditions, weigh on the score.

Positive Factors

Gross Profit Margins

A strong gross profit margin indicates efficient cost management, which can support long-term profitability and competitive advantage in the real estate sector.

Balance Sheet Health

A stable balance sheet with low leverage enhances financial flexibility, allowing the company to invest in growth opportunities and withstand economic fluctuations.

Cash Flow Management

Improved cash generation capabilities suggest effective cash flow management, enabling the company to fund operations and investments without relying heavily on external financing.

Negative Factors

Declining Revenue

Significant revenue decline indicates potential challenges in market conditions or competitiveness, which can impact long-term growth and profitability.

Net Profit Margin Decrease

A sharp decline in net profit margin suggests difficulties in maintaining profitability, potentially due to increased costs or reduced pricing power.

Return on Equity Decline

Reduced efficiency in generating returns for shareholders may signal operational inefficiencies or challenges in capital allocation, affecting investor confidence.

Hong Fok Corporation Limited Business Overview & Revenue Model

Company Description

Hong Fok Corporation Limited (H30) is a Singapore-based company primarily engaged in real estate development, investment, and management. Established in 1961, the company operates across various segments of the property sector, including residential, commercial, and hotel developments. Hong Fok is known for its flagship properties, which include notable commercial and mixed-use developments that contribute to its robust portfolio.

How the Company Makes Money

Hong Fok Corporation generates revenue primarily through the development and sale of residential properties, as well as through leasing commercial spaces within its portfolio. The company earns rental income from its investment properties, which include office buildings and retail spaces. Additionally, it may derive income from hotel operations within its property holdings. Key revenue streams include property sales, rental income, and possibly management fees from properties managed on behalf of third parties. Strategic partnerships and joint ventures with other real estate developers or investors can further enhance its market presence and revenue potential.

Hong Fok Corporation Limited Financial Statement Overview

Summary

Hong Fok Corporation Limited demonstrates a stable financial position with strong gross profit margins and effective cost management. However, declining revenue and net profit margins highlight potential challenges in revenue generation and profitability. The balance sheet remains solid with low leverage, while cash flow metrics show positive trends, indicating good cash management.

Income Statement

The company's income statement shows a mixed performance. While the gross profit margin is strong at approximately 79.9% for 2024, indicating efficient cost management, the net profit margin has significantly decreased from 79.6% in 2023 to 22.8% in 2024, suggesting challenges in maintaining profitability. Revenue has declined over the years, with a notable drop of 46.4% in 2024, indicating potential issues in revenue generation or market conditions.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio of 0.28 in 2024, showing prudent leverage management. The return on equity has decreased to 1.03% in 2024 from 3.85% in 2023, indicating reduced efficiency in generating returns for shareholders. The equity ratio remains healthy, suggesting a strong capital structure.

Cash Flow

Cash flow analysis indicates a positive trend with a 3.3% growth in free cash flow in 2024, showing improved cash generation capabilities. The operating cash flow to net income ratio is strong at 7.81, suggesting robust cash flow relative to net income. However, the free cash flow to net income ratio has slightly decreased, indicating potential challenges in converting income into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	107.56M	104.32M	110.60M	153.92M	90.50M	80.40M
Gross Profit	107.56M	83.35M	78.44M	98.47M	57.67M	57.13M
EBITDA	0.00	37.23M	136.63M	265.47M	67.58M	29.84M
Net Income	25.54M	23.74M	88.07M	220.10M	38.91M	-8.70M
Balance Sheet
Total Assets	3.65B	3.65B	3.67B	3.58B	3.47B	3.42B
Cash, Cash Equivalents and Short-Term Investments	52.08M	45.08M	80.19M	51.71M	69.94M	67.71M
Total Debt	695.09M	659.58M	712.88M	700.94M	766.09M	786.02M
Total Liabilities	751.24M	719.72M	771.50M	761.37M	850.13M	848.17M
Stockholders Equity	2.30B	2.32B	2.29B	2.21B	2.00B	1.97B
Cash Flow
Free Cash Flow	53.99M	48.38M	53.57M	101.00M	48.65M	25.70M
Operating Cash Flow	53.99M	50.07M	54.51M	101.51M	49.33M	26.32M
Investing Cash Flow	-30.38M	6.69M	6.22M	7.61M	-1.25M	7.34M
Financing Cash Flow	-71.38M	-89.00M	-28.74M	-125.09M	-41.57M	-32.15M

Hong Fok Corporation Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.79
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:H30, the sentiment is Positive. The current price of 0.79 is above the 20-day moving average (MA) of 0.77, above the 50-day MA of 0.78, and above the 200-day MA of 0.77, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 55.13 is Neutral, neither overbought nor oversold. The STOCH value of 65.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:H30.

Hong Fok Corporation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
O10	71 Outperform	€598.95M	9.89	4.51%	3.23%	-2.21%	-20.80%
5IC	69 Neutral	S$194.48M	16.67	3.68%	2.20%	118.91%	50.78%
E3B	66 Neutral	S$666.45M	25.00	4.06%	11.77%	5.49%	-86.00%
BTE	66 Neutral	S$330.06M	24.30	―	8.57%	0.62%	22.60%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
H30	62 Neutral	S$625.07M	18.97	1.11%	1.26%	1.94%	-69.89%
5JK	58 Neutral	S$254.10M	23.18	1.53%	0.47%	21.91%	82.03%