Wuling Motors Holdings Limited (0305) AI Stock Analysis

• Market Cap: HK$1.43B
• Dividend Yield: 1.15%
• Average Volume (3M): 1.98M
• Price to Earnings (P/E): 26.2
• Beta (1Y): 1.62
• Revenue Growth: -25.59%
• EPS Growth: 116.88%
• Country: HK
• Employees: 7,804
• Sector: Consumer Cyclical
• Sector Strength: 74
• Industry: Auto - Parts
• EPS (TTM): 0.02
• Shares Outstanding: 3,298,161,400
• 10 Day Avg. Volume: 1,517,570
• 30 Day Avg. Volume: 1,982,023
• PEG Ratio: 0.22
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.40
• 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: 44 Neutral
• Price Target: ―

Wuling Motors Holdings Limited presents a challenging investment case due to its weak financial performance characterized by declining revenues and unstable profit margins. High leverage adds financial risk, and negative cash flows further exacerbate liquidity concerns. The technical indicators suggest bearish momentum, and valuation metrics imply a potential overvaluation. These factors collectively result in a low overall stock score, highlighting significant risks and the need for strategic improvement.

Wuling Motors Holdings Limited Business Overview & Revenue Model

Company Description

Wuling Motors Holdings Limited (0305) is a prominent player in the automotive industry, primarily engaged in the manufacturing and distribution of vehicles and automotive components. The company operates in several sectors, including the production of passenger cars, commercial vehicles, and automotive parts and accessories. With a focus on innovation and quality, Wuling Motors aims to cater to a diverse range of consumer needs across domestic and international markets.

How the Company Makes Money

Wuling Motors Holdings Limited generates revenue through multiple streams, primarily from the sale of vehicles, including passenger and commercial vehicles. The company capitalizes on its robust manufacturing capabilities and extensive distribution network to reach a broad customer base. In addition to vehicle sales, Wuling Motors earns revenue from the production and sale of automotive components and accessories. Partnerships and joint ventures, particularly in emerging markets, also play a significant role in driving the company's growth and profitability. Furthermore, Wuling Motors continuously invests in research and development to enhance its product offerings and maintain competitive advantage in the industry.

Wuling Motors Holdings Limited Financial Statement Overview

Summary

Wuling Motors Holdings Limited faces significant financial challenges. Declining revenues and unstable profit margins indicate operational weaknesses. High debt levels raise financial risk, though equity stability provides some cushion. Persistent negative cash flows highlight ongoing liquidity issues. Strategic improvements are needed for sustainable growth and stability.

Income Statement

Wuling Motors Holdings Limited has experienced declining revenue over the past few years, with a significant drop from 2020 to 2024. The Gross Profit Margin has shown resilience, averaging around 10-12%, but Net Profit Margins are unstable, indicating weak cost control or pricing power. EBIT and EBITDA margins suggest operational challenges, as EBIT is particularly low or negative in some years.

Balance Sheet

The company exhibits a high level of leverage, with a Debt-to-Equity ratio exceeding industry norms, indicating potential financial risk. However, Stockholders' Equity has been relatively stable, and the Equity Ratio shows a decent proportion of equity in the asset base. Return on Equity is low, reflecting poor profitability relative to shareholder investment.

Cash Flow

Operating Cash Flow has been negative for several years, highlighting cash management issues. Free Cash Flow is also negative, affecting the company's ability to self-finance operations and growth. The ratio of cash flow to net income varies, indicating inconsistent cash generation from operations.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
7.95B	10.48B	12.60B	14.41B	15.38B
	Gross Profit
860.10M	1.04B	908.49M	1.09B	1.21B
	EBIT
223.11M	63.65M	-34.27M	-110.39M	59.37M
	EBITDA
404.68M	423.40M	347.24M	220.44M	337.60M
	Net Income Common Stockholders
50.62M	23.48M	22.61M	-24.15M	-33.40M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.16B	2.62B	1.97B	1.84B	946.58M
	Total Assets
13.77B	15.05B	15.55B	15.02B	15.40B
	Total Debt
5.48B	2.37B	2.34B	1.57B	1.50B
	Net Debt
2.32B	-248.71M	362.69M	-266.46M	552.91M
	Total Liabilities
10.73B	12.10B	12.67B	12.19B	12.91B
	Stockholders Equity
1.97B	1.93B	1.91B	1.88B	1.47B
Cash Flow		Free Cash Flow
0.00	-6.25B	-9.08B	-7.16B	-8.37B
	Operating Cash Flow
0.00	-5.98B	-8.76B	-6.78B	-8.00B
	Investing Cash Flow
0.00	-91.29M	-556.84M	-187.50M	-219.56M
	Financing Cash Flow
0.00	6.72B	9.46B	7.85B	8.33B

Wuling Motors Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.44
• 50DMA: Negative
• 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 HK:0305, the sentiment is Positive. The current price of 0.44 is above the 20-day moving average (MA) of 0.43, below the 50-day MA of 0.46, and above the 200-day MA of 0.44, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.89 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0305.

Wuling Motors Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1211	72 Outperform	$1.38T	27.98	23.91%	0.73%	33.89%	45.52%
2333	70 Neutral	$188.98B	8.89	14.58%	2.62%	5.32%	10.61%
Sector *	62 Neutral	$6.84B	11.22	2.83%	3.95%	2.65%	-21.93%
1114	61 Neutral	$16.65B	4.95	8.00%	―	-3.96%	-60.66%
2238	54 Neutral	HK$72.23B	32.76	-0.98%	4.94%	-18.42%	-82.40%
0305	44 Neutral	HK$1.43B	26.20	2.60%	1.15%	-25.59%	116.88%

Wuling Motors Holdings Limited Corporate Events

Wuling Motors Announces Key Resolutions for 2025 AGM

Wuling Motors Holdings Limited has announced its Annual General Meeting scheduled for June 12, 2025, in Hong Kong. Key agenda items include the adoption of financial statements for 2024, declaration of a final dividend, re-election of directors, re-appointment of KPMG as auditors, and resolutions on share repurchase and issuance. These decisions are pivotal for the company’s governance and financial strategy, potentially impacting shareholder value and market perception.

Wuling Motors Enters Vehicle Export Agreement with Guangxi Automobile

Wuling Motors Holdings Limited has entered into a Vehicles Export Purchase Framework Agreement with Guangxi Automobile, setting an annual cap of RMB14,025,000 for transactions until the end of 2025. This agreement, classified as a continuing connected transaction, is subject to certain reporting and review requirements under Hong Kong’s Listing Rules, reflecting its strategic importance in enhancing Wuling’s market operations and stakeholder relations.

Wuling Motors Reports Increased Profit Despite Revenue Decline in 2024

Wuling Motors Holdings Limited reported its financial results for the year ended December 31, 2024, showing a significant decline in revenue by 24.2% compared to the previous year. Despite the drop in revenue, the company achieved a notable increase in profit for the year, with a 60.2% rise, and a 115.6% increase in profit attributable to the owners of the company. This improvement in profitability, despite lower revenue, suggests effective cost management and operational efficiencies, which could positively impact the company’s market positioning and stakeholder confidence.

Wuling Motors to Announce Annual Results and Consider Dividend

Wuling Motors Holdings Limited has announced that its board of directors will convene on March 25, 2025, to approve the company’s annual results for the year ending December 31, 2024. The meeting will also consider the declaration of a final dividend. This announcement is significant as it could impact the company’s financial outlook and shareholder returns, reflecting its operational performance and strategic decisions.

Wuling Motors Reports 50% Surge in 2024 Net Profit

Wuling Motors Holdings Limited has announced a significant increase in net profit for the year ended December 31, 2024, with a 50% rise to approximately RMB 104 million compared to the previous year. This improvement is attributed to compensation rebates related to electric vehicle components, cost control measures, increased government grants, and reduced losses from associates, despite a decline in total revenue due to unfavorable market conditions.

Wuling Motors Appoints New CEO Amid Leadership Change

Wuling Motors Holdings Limited announced the resignation of Mr. Song Wei as CEO, effective February 18, 2025, due to a management redesignation at Guangxi Automobile Holdings Limited. He will be succeeded by Mr. Yang Jie, who brings extensive experience in sales, marketing, and corporate management in the automobile industry. Mr. Yang’s appointment is expected to strengthen the company’s market positioning and operations, given his background with SAIC-GM-Wuling and Guangxi Automobile Group.