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WK Group (Holdings) Limited (2535) AI Stock Analysis
WK Group (Holdings) Limited
(HKEX:2535)
The score is anchored by a strong, low-debt balance sheet that lowers financial risk, but is pulled down by weakening recent profitability (2025 revenue and margin compression), inconsistent cash flow quality, and a clearly bearish technical setup (price below all major moving averages with negative MACD and low RSI). Negative P/E and no dividend data provide little valuation support.
WK Group (Holdings) Limited (2535) vs. iShares MSCI Hong Kong ETF (EWH)
- Market Cap
- HKD 1.16B
- Dividend Yield
- ―
- Average Volume (3M)
- 11.12M
- Price to Earnings (P/E)
- -182.4
- Beta (1Y)
- 0.28
- Revenue Growth
- -31.18%
- EPS Growth
- -121.38%
- Country
- Hong Kong
- Employees
- 132
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Manufacturing - Metal Fabrication
WK Group (Holdings) Limited Business Overview & Revenue Model
Company Description
WK Group (Holdings) Ltd functions as a specialized structural steelwork contractor, providing procurement, manufacturing, and erection services for steel components utilized in construction projects across Hong Kong. Established in 1999, the firm's p...
WK Group (Holdings) Limited Financial Statement Overview
Summary
Overall financials reflect stability but weakening operations: a very strong, low-leverage balance sheet (debt-to-equity ~0.02) supports flexibility, but 2025 saw revenue decline (~11.4%) and margin compression (gross ~13.4% vs ~17.9%; net ~4.6% vs ~7.9%). Cash flow is positive recently but remains volatile with modest cash conversion and uneven free cash flow history.
Income Statement
62PositiveBalance Sheet
84Very PositiveCash Flow
54Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 269.97M | 347.73M | 398.46M | 370.23M | 336.38M | 228.78M |
| Gross Profit | 22.47M | 46.66M | 71.39M | 70.90M | 66.94M | 35.42M |
| EBITDA | 5.19M | 32.39M | 48.09M | 40.12M | 52.28M | 26.59M |
| Net Income | -6.24M | 16.11M | 31.50M | 25.20M | 39.27M | 17.34M |
Balance Sheet | ||||||
| Total Assets | 526.41M | 311.89M | 313.31M | 257.06M | 201.38M | 154.10M |
| Cash, Cash Equivalents and Short-Term Investments | 329.43M | 113.88M | 109.50M | 11.01M | 72.64M | 11.73M |
| Total Debt | 2.73M | 6.37M | 12.75M | 12.89M | 19.18M | 7.32M |
| Total Liabilities | 269.20M | 42.75M | 59.92M | 120.83M | 70.79M | 56.26M |
| Stockholders Equity | 257.31M | 269.14M | 253.38M | 136.23M | 130.59M | 97.84M |
Cash Flow | ||||||
| Free Cash Flow | -8.83M | 14.45M | 7.71M | -24.39M | 78.45M | 9.99M |
| Operating Cash Flow | -5.83M | 19.29M | 24.75M | -22.97M | 78.76M | 11.46M |
| Investing Cash Flow | -2.37M | 444.00K | -31.31M | -4.18M | -6.62M | -1.16M |
| Financing Cash Flow | -7.21M | -10.84M | 97.72M | -32.87M | -15.10M | -13.13M |
WK Group (Holdings) Limited Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2535, the sentiment is Negative. The current price of 0.58 is above the 20-day moving average (MA) of 0.57, below the 50-day MA of 0.65, and below the 200-day MA of 0.69, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 48.68 is Neutral, neither overbought nor oversold. The STOCH value of 85.23 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2535.
WK Group (Holdings) Limited Peers Comparison
Overall Rating
HK:083864Neutral
HK:105058Neutral
HK:025557Neutral- HK:253556Neutral
HK:092948Neutral
HK:082246Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| HK:0838 | 64Neutral | HKD 1.12B | 4.49 | 7.26% | 6.68% | -4.88% | -0.62% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| HK:1050 | 58Neutral | HKD 3.50B | 12.55 | 20.97% | 3.58% | 7.37% | 32.57% |
| HK:0255 | 57Neutral | HKD 881.27M | -29.89 | -1.92% | 14.39% | -17.65% | -538.68% |
| HK:2535 | 56Neutral | HKD 1.16B | -182.40 | -2.37% | ― | -31.18% | -121.38% |
| HK:0929 | 48Neutral | HKD 499.82M | 43.18 | 0.61% | 5.89% | 23.21% | 11.11% |
| HK:0822 | 46Neutral | HKD 259.19M | -6.07 | -3.69% | ― | >-0.01% | 15.55% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| HK:2535 | WK Group (Holdings) Limited | 0.58 | -0.12 | -17.14% | |
| HK:0822 | Ka Shui International Holdings Limited | 0.29 | -0.06 | -17.14% | |
| HK:0838 | Eva Precision Industrial Holdings Limited | 0.65 | -0.50 | -43.62% | |
| HK:0255 | Lung Kee (Bermuda) Holdings Limited | 1.39 | -0.22 | -13.88% | |
| HK:0929 | IPE Group Limited | 0.47 | -0.32 | -39.87% | |
| HK:1050 | Karrie International Holdings Limited | 1.68 | -1.05 | -38.64% |
WK Group (Holdings) Limited Corporate Events
WK Group Clarifies Unused Share Option Capacity in 2025 Annual Report
WK Group (Holdings) Limited has issued a supplemental announcement to its 2025 annual report to clarify details of its share option scheme adopted in February 2024 under Hong Kong listing rules. The company reported that no share options were granted...
WK Group’s Takeover Bid by WellLuck Lapses After Minimal Shareholder Acceptance
WK Group (Holdings) Limited, incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange under stock code 2535, has a significant minority shareholder in WellLuck Limited, an investment entity based in the British Virgin Islands. To...
WK Group Launches Conditional Mandatory Cash Offer Following Composite Document Despatch
WK Group (Holdings) Limited, incorporated in the Cayman Islands and listed in Hong Kong under stock code 2535, sits within the financial and corporate sector as a publicly traded entity. Its shareholding structure and regulatory profile have drawn at...
WK Group Swings to Interim Loss as Revenue Drops 47%
WK Group (Holdings) Limited reported a sharp deterioration in interim performance for the six months ended 30 June 2026, as revenue fell 47% year-on-year to HK$87.8 million and gross profit slumped to HK$1.4 million from HK$25.6 million. The reversal...
WK Group delays composite document for WellLuck cash offer
WK Group (Holdings) Limited and WellLuck Limited have announced a delay in sending shareholders a composite document related to WellLuck’s conditional mandatory general cash offer for all issued shares of WK Group not already owned or agreed to...
WK Group Sets August Board Meeting to Review Interim Results and Possible Dividend
WK Group (Holdings) Limited has scheduled a board meeting for 31 August 2026 to review and approve the unaudited consolidated interim results for the six months ended 30 June 2026. The company also plans to consider a possible interim dividend, a dec...
WK Group appoints independent adviser for takeover-related offer review
WK Group (Holdings) Limited, a Cayman Islands-incorporated company listed in Hong Kong under stock code 2535, is overseen by a board that includes executive, non-executive and independent non-executive directors. The company is presently involved in...
WK Group Faces Mandatory Takeover Offer After 39% Stake Acquisition
WellLuck Limited has acquired 780,000,000 shares of WK Group (Holdings) Limited, representing 39% of the company’s issued share capital, from the vendor for a total cash consideration of HK$70,200,000 at HK$0.09 per share. The transaction was c...
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 23, 2026