Lap Kei Engineering (Holdings) Limited (1690) AI Stock Analysis

Lap Kei Engineering (Holdings) Limited

(HKEX:1690)

Select Model

Rating:75Outperform

Price Target:HKD 0.15▲(3.57% Upside)

Action:reiterated

Date:10/27/26

The score is primarily supported by improving financial performance and a conservative, debt-free balance sheet. Attractive valuation further strengthens the profile, while softer short-term technical momentum and the company’s historically cyclical, volatile results limit the overall score.

Positive Factors

Debt-free balance sheetAn effectively debt-free balance sheet reduces refinancing and interest-cost pressure, giving Lap Kei greater resilience if project activity weakens. It also preserves financial flexibility to support working capital, maintain operations, or pursue opportunities without substantial leverage constraints.

Negative Factors

Volatile revenue trajectoryRevenue volatility makes the current rebound less predictable and complicates capacity planning, earnings forecasting, and consistent resource allocation. A project-driven business can experience uneven results when contract timing or project mix changes, limiting confidence that recent growth will persist.

Lap Kei Engineering (Holdings) Limited (1690) vs. iShares MSCI Hong Kong ETF (EWH)

Market Cap: HKD 202.33M
Dividend Yield: 21.43%
Average Volume (3M): 409.78K
Price to Earnings (P/E): 6.6
Beta (1Y): 0.30
Revenue Growth: -39.08%
EPS Growth: 1675.00%
Country: Hong Kong
Employees: 116
Sector: Industrials
Sector Strength: 63
Industry: Engineering & Construction

Lap Kei Engineering (Holdings) Limited Business Overview & Revenue Model

Company Description

Lap Kei Engineering (Holdings) Limited, a Hong Kong-based investment holding firm, primarily focuses on the installation and design of building services infrastructure and related undertakings. The company's operations are categorized into two princi...

How the Company Makes Money

null

Lap Kei Engineering (Holdings) Limited Financial Statement Overview

Summary

Improving revenue, margins, profitability, and cash conversion are supported by a debt-free, low-leverage balance sheet. The score is moderated by historically volatile revenue, earnings, and cash flow.

Income Statement

81Very Positive

Balance Sheet

87Very Positive

Cash Flow

73Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	397.40M	280.76M	415.33M	323.31M	401.92M	261.38M
Gross Profit	62.83M	36.44M	23.06M	26.59M	25.72M	27.21M
EBITDA	34.16M	16.97M	5.28M	11.61M	10.83M	9.69M
Net Income	30.81M	15.69M	2.07M	7.42M	10.91M	10.71M
Balance Sheet
Total Assets	210.65M	271.33M	359.08M	296.94M	294.84M	218.17M
Cash, Cash Equivalents and Short-Term Investments	75.56M	74.16M	58.72M	45.76M	17.47M	46.88M
Total Debt	0	0	624.00K	0	10.00M	0
Total Liabilities	84.42M	121.46M	208.91M	144.48M	148.69M	83.51M
Stockholders Equity	126.23M	149.86M	150.17M	152.46M	146.16M	134.66M
Cash Flow
Free Cash Flow	33.38M	24.52M	13.02M	36.43M	-39.04M	-26.48M
Operating Cash Flow	37.63M	28.76M	18.73M	39.21M	-36.47M	-22.08M
Investing Cash Flow	-643.00K	-2.64M	-1.32M	-388.00K	-2.57M	-1.21M
Financing Cash Flow	-29.29M	-15.96M	-4.44M	-10.54M	9.63M	11.89M

Lap Kei Engineering (Holdings) Limited Technical Analysis

Technical Analysis SentimentPositive

Last Price0.14

Price Trends

50DMA0.14Positive

100DMA0.13Positive

200DMA0.11Positive

Market Momentum

MACD-0.00Positive

RSI52.23Neutral

STOCH75.00Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1690, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.14, and above the 200-day MA of 0.11, indicating a bullish trend. The MACD of -0.00 indicates Positive momentum. The RSI at 52.23 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:1690.

Lap Kei Engineering (Holdings) Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

HK:1690 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HK:1690	75Outperform	HKD 202.33M	6.60	22.32%	21.43%	-39.08%	1675.00%
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
HK:1793	57Neutral	HKD 1.84B	192.86	3.44%	0.52%	0.44%	27.96%
HK:1413	46Neutral	HKD 102.34M	-1.15	-26.71%	―	-51.29%	43.87%
HK:1447	38Underperform	HKD 224.00M	9.52	6.28%	3.57%	-5.52%	-3.29%

* Industrials Sector Average

Performance Comparison

HK:1690 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
HK:1690	Lap Kei Engineering (Holdings) Limited	0.14	0.08	129.51%
HK:1408	Macau E&M Holding Limited	0.39	0.15	65.95%
HK:1413	Kwong Luen Engineering Holdings Limited	0.21	-0.20	-48.77%
HK:1447	SFK Construction Holdings Ltd.	0.56	0.10	21.21%
HK:1615	AB Builders Group Limited	0.41	0.19	82.02%
HK:1793	Wecon Holdings Ltd.	2.29	2.12	1226.59%

Lap Kei Engineering (Holdings) Limited Corporate Events

Lap Kei Engineering Swings to Stronger Interim Profit Despite Revenue Drop

Aug 28, 2026

Lap Kei Engineering (Holdings) Limited has reported its unaudited interim results for the six months ended 30 June 2026, showing a decline in revenue to HK$118.6 million from HK$134.5 million a year earlier. Despite lower turnover, the group’s...

Lap Kei Engineering Declares Interim Dividend for First Half of 2026

Aug 28, 2026

Lap Kei Engineering (Holdings) Limited has declared an interim ordinary cash dividend of HKD 0.01 per share for the six months ended 30 June 2026, for the financial year ending 31 December 2026. The dividend will be paid in Hong Kong dollars on 9 Oct...

Lap Kei Engineering Signals Sharp Interim Profit Increase on Lower Costs

Aug 26, 2026

Lap Kei Engineering (Holdings) Limited has issued a positive profit alert, indicating that it expects net profit for the six months ended 30 June 2026 to range between HK$5.0 million and HK$5.5 million, sharply higher than the HK$0.5 million recorded...

Lap Kei Engineering Schedules Board Meeting on 2026 Interim Results and Dividend Plan

Aug 17, 2026

Lap Kei Engineering (Holdings) Limited has scheduled a board meeting for 28 August 2026 to review and approve the unaudited consolidated interim results for the six months ended 30 June 2026. The board will also consider publication of the interim re...

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 27, 2026

Lap Kei Engineering (Holdings) Limited AI Stock Analysis