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Ching Lee Holdings Ltd. (3728) AI Stock Analysis

2 Followers
HK:3728

Ching Lee Holdings Ltd.

(HKEX:3728)

Select Model
Rating:51Neutral
Price Target:HKD 0.06â–²(1.67% Upside)
Action:reiterated
Date:10/21/26

The score is constrained primarily by declining revenue and profitability, thin margins, and uneven cash generation. Improving leverage and a low P/E provide support, while technical indicators remain neutral to slightly weak.

Positive Factors
Improving LeverageThe substantial reduction in debt relative to equity improves financial flexibility and lowers balance-sheet pressure. For a cyclical construction business, this provides a stronger base for managing periods of weaker activity, although leverage remains meaningful and still requires disciplined capital management.
Negative Factors
Revenue ContractionThe sharp FY2026 revenue decline signals a meaningful slowdown in business activity or project conversion after several years of growth. Sustained lower revenue would reduce operating scale, weaken overhead absorption, and make recovery in earnings dependent on renewed project wins and execution.

Ching Lee Holdings Ltd. (3728) vs. iShares MSCI Hong Kong ETF (EWH)

-15%-10%-5%0%5%10%15%HK:3728-4.76%EWH+8.17%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
HKD 60.78M
Dividend Yield
―
Average Volume (3M)
519.05K
Price to Earnings (P/E)
5.8
Beta (1Y)
0.46
Revenue Growth
14.45%
EPS Growth
-25.81%
Country
Hong Kong
Employees
146
Sector
Industrials
Sector Strength
63
Industry
Engineering & Construction

Ching Lee Holdings Ltd. Business Overview & Revenue Model

Company Description

Ching Lee Holdings Limited operates primarily as an investment holding firm, providing construction, consulting, and project management services across Hong Kong. Its operational scope includes a variety of building endeavors, specifically foundation...

Ching Lee Holdings Ltd. Financial Statement Overview

Summary

Financial performance is mixed: revenue and profitability declined sharply, margins remain thin, and cash flow is volatile. These weaknesses are partly offset by improving leverage and a return to positive cash generation.

Income Statement

42Neutral

Balance Sheet

55Neutral

Cash Flow

48Neutral
Financial statement breakdown
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue2.23B1.47B1.28B896.69M708.78M908.81M
Gross Profit118.84M70.81M87.05M76.58M71.67M61.33M
EBITDA29.19M17.94M28.43M26.75M23.33M24.06M
Net Income12.05M7.01M9.42M10.69M11.56M11.54M
Balance Sheet
Total Assets625.33M625.33M633.14M580.86M582.41M423.89M
Cash, Cash Equivalents and Short-Term Investments57.41M55.22M50.11M68.01M57.37M83.76M
Total Debt120.82M120.82M133.08M166.16M140.29M93.29M
Total Liabilities481.69M481.69M496.46M453.85M465.86M297.96M
Stockholders Equity143.64M143.64M136.68M127.01M116.55M125.94M
Cash Flow
Free Cash Flow46.55M20.19M38.63M-29.68M-10.99M74.97M
Operating Cash Flow51.70M20.95M40.39M-28.57M-10.62M80.27M
Investing Cash Flow-7.73M-995.00K13.52M717.00K-19.79M-1.47M
Financing Cash Flow-29.59M-14.85M-46.80M13.86M60.16M-76.85M

Ching Lee Holdings Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price0.06

Price Trends

50DMA0.06Negative
100DMA0.06Positive
200DMA0.06Negative

Market Momentum

MACD-0.00Negative
RSI48.10Neutral
STOCH54.76Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3728, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.06, indicating a bearish trend. The MACD of -0.00 indicates Negative momentum. The RSI at 48.10 is Neutral, neither overbought nor oversold. The STOCH value of 54.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:3728.

Ching Lee Holdings Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

HK:3728 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
HK:3822HK:382274OutperformHKD 94.08M1.6710.81%10.71%-5.20%420.03%
HK:8616HK:861667NeutralHKD 87.00M15.823.13%―9.25%―
HK:0240HK:024064NeutralHKD 1.78B3.8615.72%11.85%-12.79%-0.62%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
HK:3728HK:372851NeutralHKD 60.78M5.817.43%―14.45%-25.81%
HK:1459HK:145951NeutralHKD 99.74M-1.13-4.67%―-10.46%-582.88%

* Industrials Sector Average

Performance Comparison

0%50%100%HK:3728HK:0240HK:1459HK:3822HK:8616Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
HK:3728 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
HK:3728Ching Lee Holdings Ltd.0.06-0.00-4.76%
HK:0240Build King Holdings1.430.021.13%
HK:1459Jujiang Construction Group Co., Ltd. Class H0.19-0.10-34.39%
HK:3822Sam Woo Construction Group Ltd.1.120.021.82%
HK:8616Sunray Engineering Group Limited0.090.0474.00%

Ching Lee Holdings Ltd. Corporate Events

Ching Lee Shareholders Ratify Superstructure Contract at Extraordinary Meeting

Sep 10, 2026

Shareholders of Ching Lee Holdings Limited have approved an ordinary resolution at an extraordinary general meeting held on 10 September 2026 in Hong Kong. The resolution, passed by poll with 99.99% of votes in favour, ratifies a Superstructure Lette...

Ching Lee Calls EGM to Approve Key Superstructure Contract

Aug 25, 2026

Ching Lee Holdings Ltd. has called an extraordinary general meeting for 10 September 2026 in Hong Kong to seek shareholder approval of a Superstructure Letter of Award between its subsidiary Ching Lee Engineering Ltd. and Maxfield International Inves...

Ching Lee Shareholders Approve All AGM Resolutions, Renew Capital Mandates

Aug 24, 2026

Ching Lee Holdings Ltd. reported that all resolutions at its 24 August 2026 annual general meeting in Hong Kong were approved by shareholders via poll, with voting representatives holding about 736.7 million shares out of 1.013 billion entitled share...

Ching Lee Delays Circular and Sets EGM Date for Connected Superstructure Deal

Aug 21, 2026

Ching Lee Holdings Limited has announced a delay in sending a shareholder circular related to a connected transaction for the provision of superstructure services, pushing the expected despatch date from on or before 21 August 2026 to on or before 26...

Ching Lee Wins HK$81.5 Million Connected Superstructure Contract

Jul 31, 2026

Ching Lee Engineering, an indirect wholly owned subsidiary of Ching Lee Holdings Ltd., has been conditionally awarded a HK$81.5 million superstructure construction contract by Maxfield International for a specified project. The contract covers 360 da...

Ching Lee Holdings Sets 2026 AGM to Approve Results and Share Issuance Mandate

Jul 24, 2026

Ching Lee Holdings Ltd., a Hong Kong-listed construction and contracting group incorporated in the Cayman Islands, provides building and civil engineering services to clients in the Hong Kong market. The company operates under the oversight of the Ho...

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 21, 2026