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Luk Fook Holdings (International) Limited (HK:0590)
:0590
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Luk Fook Holdings (International) (0590) AI Stock Analysis

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HK:0590

Luk Fook Holdings (International)

(0590)

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Neutral 69 (OpenAI - Gpt-5.6Sol)
Rating:69Neutral
Price Target:
HK$24.00
▲(0.59% Upside)
Action:Reiterated
Date:08/21/26
The score is anchored by improved revenue and margin performance and a still-manageable balance sheet, but is held back materially by the sharp FY2026 reversal to negative operating and free cash flow. Technicals are supportive with the price above key moving averages and positive MACD, while valuation is a clear positive due to the low P/E and solid dividend yield.
Positive Factors
FY2026 revenue and margin acceleration
The combination of renewed revenue growth and substantial gross and EBIT margin expansion indicates stronger operating leverage in the latest year. If maintained, improved profitability can support reinvestment, strengthen the brand’s earnings base, and increase resilience across the retail network over coming quarters.
Negative Factors
Sharp deterioration in cash generation
The reversal from several years of positive free cash flow to negative operating and free cash flow weakens the quality of the latest earnings outcome. It may reflect a working-capital swing or higher cash outlays, and sustained weakness would reduce liquidity discipline and internally funded growth capacity.
Read all positive and negative factors
Positive Factors
Negative Factors
FY2026 revenue and margin acceleration
The combination of renewed revenue growth and substantial gross and EBIT margin expansion indicates stronger operating leverage in the latest year. If maintained, improved profitability can support reinvestment, strengthen the brand’s earnings base, and increase resilience across the retail network over coming quarters.
Read all positive factors

Luk Fook Holdings (International) (0590) vs. iShares MSCI Hong Kong ETF (EWH)

Luk Fook Holdings (International) Business Overview & Revenue Model

Company Description
Luk Fook Holdings (International) Limited functions as an investment holding company, predominantly focused on the jewelry sector. Its operations encompass the complete cycle from sourcing and designing to the wholesale, trademark licensing, and d...
How the Company Makes Money
The company primarily makes money by selling jewellery and related products to consumers and by earning income tied to its franchised store network. Key revenue streams include: (1) Retail sales from self-operated stores: Luk Fook generates revenu...

Luk Fook Holdings (International) Financial Statement Overview

Summary
Income statement momentum improved (FY2026 revenue +16.8% YoY with meaningful margin expansion), and the balance sheet remains reasonably leveraged (debt-to-equity ~0.32) with healthier ROE (~13.6%). However, FY2026 cash flow is a major weakness: operating cash flow slightly negative and free cash flow meaningfully negative after several strong years, raising quality-of-earnings and liquidity discipline concerns.
Income Statement
74
Positive
Balance Sheet
72
Positive
Cash Flow
29
Negative
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue17.21B13.34B15.33B11.98B11.74B
Gross Profit6.31B4.42B4.17B3.23B3.23B
EBITDA3.95B2.04B2.64B1.96B2.14B
Net Income2.05B1.10B1.77B1.28B1.39B
Balance Sheet
Total Assets22.11B17.90B16.85B14.93B16.22B
Cash, Cash Equivalents and Short-Term Investments2.36B1.91B2.00B2.35B3.49B
Total Debt4.75B2.81B2.03B860.20M2.31B
Total Liabilities7.18B4.76B3.99B2.71B4.14B
Stockholders Equity15.01B13.20B12.89B12.22B12.08B
Cash Flow
Free Cash Flow-78.46M777.34M986.53M1.23B283.45M
Operating Cash Flow23.24M919.20M1.66B1.34B738.94M
Investing Cash Flow-5.84M-182.48M-777.34M-64.43M-399.79M
Financing Cash Flow401.30M-805.04M-1.26B-2.31B-460.13M

Luk Fook Holdings (International) Technical Analysis

Technical Analysis Sentiment
Negative
Last Price23.86
Price Trends
50DMA
22.91
Negative
100DMA
22.05
Negative
200DMA
23.94
Negative
Market Momentum
MACD
-0.43
Positive
RSI
38.77
Neutral
STOCH
20.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0590, the sentiment is Negative. The current price of 23.86 is above the 20-day moving average (MA) of 23.19, above the 50-day MA of 22.91, and below the 200-day MA of 23.94, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 38.77 is Neutral, neither overbought nor oversold. The STOCH value of 20.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0590.

Luk Fook Holdings (International) Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
83
Outperform
HK$568.32M5.5411.81%4.84%15.37%15.35%
82
Outperform
HK$2.18B3.729.96%6.92%8.83%109.28%
76
Outperform
HK$9.63B3.2719.31%7.58%16.22%151.59%
69
Neutral
HK$12.67B6.3014.28%7.16%28.96%86.00%
68
Neutral
HK$118.10B13.3533.61%5.46%5.29%53.87%
65
Neutral
HK$5.90B5.2222.49%7.52%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0590
Luk Fook Holdings (International)
21.92
-3.82
-14.85%
HK:0116
Chow Sang Sang Holdings International
14.11
0.75
5.61%
HK:1929
Chow Tai Fook Jewellery Group
12.28
-3.05
-19.90%
HK:0887
Emperor Watch & Jewellery
0.30
0.02
7.66%
HK:0280
King Fook Holdings Limited
0.62
0.12
24.00%
HK:6168
Zhou Liu Fu Jewellery Co., Ltd. Class H
13.43
-34.13
-71.76%

Luk Fook Holdings (International) Corporate Events

Luk Fook Shareholders Back All Resolutions at 2026 AGM
Aug 20, 2026
Shareholders of Luk Fook Holdings (International) Limited approved all ordinary resolutions at the annual general meeting held in Hong Kong on 20 August 2026, with no treasury shares in issue and all eligible shares entitled to vote. The meeting e...
Luk Fook Re-Elects Founder as Chairman and CEO, Citing Mainland Market Focus
Aug 20, 2026
Luk Fook Holdings (International) announced that founder Mr. Wong Wai Sheung has been re-elected as Chairman and will continue to serve concurrently as Chief Executive Officer, following the company’s annual general meeting and subsequent bo...
Luk Fook Outlines Board Composition and Governance Roles
Aug 20, 2026
Luk Fook Holdings (International) Limited has disclosed the composition of its board of directors, detailing executive, non-executive and independent non-executive members along with their roles in key governance committees. The announcement highl...
Luk Fook Sets August 2026 AGM to Approve Results, Dividend and New Share Mandate
Jul 24, 2026
Luk Fook Holdings (International) Limited has convened its next annual general meeting for 20 August 2026 in Hong Kong, where shareholders will review the audited consolidated financial statements and directors’ and auditor’s reports f...
Luk Fook sustains strong growth on surging gold demand in first quarter
Jul 16, 2026
Luk Fook Holdings (International) reported strong first-quarter performance for the financial year ending March 2027, maintaining the growth momentum seen last year despite a high comparison base. Overall retail sales value rose 32% year on year, ...
Luk Fook Sets Profit Record on Gold-Fuelled Jewellery Demand
Jun 25, 2026
Luk Fook Holdings (International) reported record profitability for the year ended 31 March 2026, boosted by strong demand for gold products and effective product differentiation in fixed price jewellery. Revenue jumped 29% to HK$17.21 billion, wi...
Luk Fook Declares HKD 1.02 Final Dividend for FY2026
Jun 25, 2026
Luk Fook Holdings (International) Limited has declared a final ordinary cash dividend of HKD 1.02 per share for the financial year ended 31 March 2026, reinforcing its practice of returning cash to shareholders. The move underlines the company&#82...
Luk Fook Refreshes Board With New Independent Non-Executive Director
Jun 25, 2026
Luk Fook Holdings (International) Limited announced that independent non-executive director Ms. Wong Yu Pok, Marina, JP will retire by rotation at the annual general meeting on 20 August 2026 and will not seek re-election, stepping down from the a...
Luk Fook Flags 80–90% Profit Surge on Gold Price Gains and Product Mix Shift
Jun 10, 2026
Luk Fook Holdings (International) expects its profit for the financial year ended 31 March 2026 to rise by approximately 80% to 90% from a year earlier, based on a preliminary review of unaudited management accounts. The improvement is mainly driv...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 21, 2026