Ngai Hing Hong Co. Ltd. (1047) AI Stock Analysis

Ngai Hing Hong Co. Ltd.

(HKEX:1047)

Select Model

Rating:43Neutral

Price Target:HKD 0.32▼(-5.00% Downside)

Action:reiterated

Date:10/28/26

The score is primarily constrained by fragile financial performance, especially negative cash flow, weak margins, higher leverage, and low returns on equity. Technical indicators provide only modest support, while the high P/E ratio limits the valuation score.

Positive Factors

Revenue RecoveryRevenue recovery over three consecutive years indicates that the business has moved beyond the severe 2023 downturn and is rebuilding its top line. Continued growth provides a broader base for operating leverage, reinvestment, and potential earnings improvement if profitability stabilizes.

Negative Factors

Volatile Cash ConversionNegative operating and free cash flow in 2026 weakens the quality of reported recovery because accounting improvement is not translating consistently into cash. Recurring negative operating cash flow in 2022, 2024, and 2026 also makes internal funding and cash planning less dependable.

Ngai Hing Hong Co. Ltd. (1047) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 123.68M
Dividend Yield: ―
Average Volume (3M): 229.65K
Price to Earnings (P/E): 49.3
Beta (1Y): 0.35
Revenue Growth: 10.47%
EPS Growth: 666.67%
Country: Hong Kong
Employees: 649
Sector: Basic Materials
Sector Strength: 61
Industry: Chemicals - Specialty

Ngai Hing Hong Co. Ltd. Business Overview & Revenue Model

Company Description

Ngai Hing Hong Company Limited functions as an investment holding enterprise, primarily focused on the manufacture and distribution of a wide array of plastic-related products. These include raw plastic materials, pigments, colorants, compounded plas...

Ngai Hing Hong Co. Ltd. Financial Statement Overview

Summary

Revenue growth and a return to profitability are offset by very low margins, increased leverage, minimal return on equity, and materially negative operating and free cash flow.

Income Statement

48Neutral

Balance Sheet

46Neutral

Cash Flow

25Negative

Financial statement breakdown
Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	1.49B	1.49B	1.35B	1.28B	1.18B	1.74B
Gross Profit	239.56M	239.56M	218.49M	199.26M	147.70M	303.13M
EBITDA	61.41M	58.55M	51.64M	39.37M	-11.66M	121.81M
Net Income	2.54M	2.54M	339.00K	-18.04M	-52.01M	56.60M
Balance Sheet
Total Assets	1.24B	1.24B	1.07B	1.02B	991.27M	1.23B
Cash, Cash Equivalents and Short-Term Investments	293.27M	293.27M	193.16M	104.23M	150.64M	178.93M
Total Debt	549.62M	549.62M	408.80M	392.29M	348.85M	406.04M
Total Liabilities	682.75M	682.75M	540.55M	497.59M	454.76M	568.61M
Stockholders Equity	524.58M	524.58M	495.25M	497.13M	511.35M	625.26M
Cash Flow
Free Cash Flow	-74.43M	-74.43M	72.00M	-56.63M	73.75M	-58.89M
Operating Cash Flow	-48.64M	-48.64M	89.58M	-45.36M	83.52M	-40.86M
Investing Cash Flow	-23.87M	-23.87M	-6.41M	-17.71M	-9.58M	-18.03M
Financing Cash Flow	126.39M	126.39M	6.29M	16.67M	-91.07M	31.31M

Ngai Hing Hong Co. Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price0.34

Price Trends

50DMA0.34Positive

100DMA0.35Negative

200DMA0.34Negative

Market Momentum

MACD-0.00Negative

RSI57.12Neutral

STOCH75.00Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1047, the sentiment is Positive. The current price of 0.34 is above the 20-day moving average (MA) of 0.33, above the 50-day MA of 0.34, and below the 200-day MA of 0.34, indicating a neutral trend. The MACD of -0.00 indicates Negative momentum. The RSI at 57.12 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1047.

Ngai Hing Hong Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

HK:1047 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:9936	63Neutral	HKD 3.57B	10.44	15.32%	1.53%	51.59%	71.49%
HK:0408	62Neutral	HKD 1.46B	6.82	5.15%	7.72%	6.66%	65.39%
Sector *	61Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HK:2502	51Neutral	HKD 852.91M	18.34	2.33%	―	-4.75%	―
HK:3318	50Neutral	HKD 3.12B	-2.50	-51.09%	―	11.19%	-3035.78%
HK:0301	43Neutral	HKD 3.58B	-191.93	-8.09%	―	3.15%	50.74%
HK:1047	43Neutral	HKD 125.53M	49.27	0.49%	―	10.47%	666.67%

* Basic Materials Sector Average

Performance Comparison

HK:1047 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:1047	Ngai Hing Hong Co. Ltd.	0.34	-0.02	-5.56%
HK:0408	Yip's Chemical Holdings	2.59	0.71	37.84%
HK:3318	China Boton Group Co., Ltd.	2.88	1.13	64.86%
HK:9936	Ximei Resources Holding Ltd.	8.62	1.65	23.62%
HK:0301	SANVO Fine Chemicals Group Limited	7.60	6.35	508.00%
HK:2502	Henan Jinyuan Hydrogenated Chemicals Co., Ltd. Class H	0.51	0.13	34.21%

Ngai Hing Hong Co. Ltd. Corporate Events

Ngai Hing Hong Sets AGM to Approve Accounts, Board Changes and Share Mandates

Oct 21, 2026

Ngai Hing Hong Company Limited has called its annual general meeting for 19 November 2026 in Hong Kong, where shareholders will vote on the approval of the audited financial statements for the year ended 30 June 2026 and the re-election of three reti...

Ngai Hing Hong Posts Higher Revenue and Comprehensive Income in FY2026

Sep 29, 2026

Ngai Hing Hong Company Limited reported a rise in revenue to HK$1.49 billion for the year ended 30 June 2026, up from HK$1.35 billion a year earlier, with gross profit improving to HK$239.6 million. Operating profit increased to HK$33.9 million despi...

Ngai Hing Hong Sets Board Meeting to Approve Annual Results and Consider Dividend

Sep 15, 2026

Ngai Hing Hong Company Limited has scheduled a board meeting in Hong Kong on 29 September 2026 to review and approve its annual results for the financial year ended 30 June 2026. At the same meeting, the board will also consider declaring a final div...

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: Oct 28, 2026

Ngai Hing Hong Co. Ltd. AI Stock Analysis