Hao Wen Holdings Ltd. (8019) AI Stock Analysis

• Market Cap: HK$96.14M
• Dividend Yield: N/A
• Average Volume (3M): 44.39K
• Price to Earnings (P/E): 15.5
• Beta (1Y): 0.61
• Revenue Growth: -13.23%
• EPS Growth: N/A
• Country: HK
• Employees: 10
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): >-0.01
• Shares Outstanding: 356,072,050
• 10 Day Avg. Volume: 58,930
• 30 Day Avg. Volume: 44,391
• PEG Ratio: 2.55
• Price to Book (P/B): 0.78
• Price to Sales (P/S): 5.89
• P/FCF Ratio: 36.96
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 55 Neutral
• Price Target: HK$0.50 ▲(85.19% Upside)

Hao Wen Holdings Ltd. has a robust balance sheet with low leverage, which is a significant strength. However, declining revenue and persistent net losses weigh heavily on the overall score. The technical indicators suggest a bearish trend, further impacting the stock's attractiveness. The valuation is reasonable, but the lack of a dividend yield and earnings call data limits additional insights.

Hao Wen Holdings Ltd. Business Overview & Revenue Model

Company Description

Hao Wen Holdings Ltd. (8019) is an investment holding company primarily engaged in the provision of financial services, including asset management, securities trading, and advisory services. The company operates in the financial services sector, focusing on leveraging market opportunities to enhance shareholder value. It aims to provide innovative solutions and strategic investments across various asset classes, catering to a diverse clientele that includes individual and institutional investors.

How the Company Makes Money

Hao Wen Holdings Ltd. generates revenue through multiple streams, primarily from fees associated with asset management services, commissions from securities trading, and advisory fees from corporate finance services. The company charges management fees based on the assets under management (AUM) and performance fees tied to investment returns. Additionally, it may earn income from proprietary trading activities and strategic partnerships with financial institutions that enhance its service offerings. Market trends, regulatory changes, and the performance of investment portfolios significantly influence its earnings.

Hao Wen Holdings Ltd. Financial Statement Overview

Summary

Hao Wen Holdings Ltd. faces ongoing challenges with declining revenue and persistent net losses, impacting its profitability and growth potential. The balance sheet is robust with low leverage, providing a cushion against financial volatility. Cash flow management shows improvement, indicating better operational control. However, the company needs to address its revenue decline and profitability issues for sustainable growth.

Income Statement

The income statement reveals a challenging financial situation for Hao Wen Holdings Ltd. with declining revenues and negative net income over the years. The gross profit margin for 2024 is approximately 74.2%, which is strong. However, the net profit margin remains negative due to consistent net losses. Notably, the company's revenue decreased by approximately 15.6% from 2023 to 2024, indicating a downward trend. Additionally, negative EBIT and EBITDA margins further highlight operational inefficiencies.

Balance Sheet

The balance sheet presents a mixed picture with some strengths. The company has a strong equity base with a high equity ratio of about 78.3% in 2024, showcasing financial stability. The debt-to-equity ratio is approximately 0.21, indicating low leverage, which is positive for the company's financial health. However, consistent net losses have been eroding stockholders' equity over the years, which could pose long-term risks.

Cash Flow

Cash flow analysis shows some positive aspects, such as positive operating cash flow and free cash flow for 2024. There is significant improvement in cash flow from operations, turning positive after being negative in 2023. The operating cash flow to net income ratio is negative due to the net loss, yet the company has managed to generate free cash flow despite challenges. The free cash flow growth rate is significant, reflecting improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.68M	38.58M	45.74M	62.41M	65.67M	52.82M
Gross Profit	28.96M	28.63M	33.30M	38.91M	38.19M	34.57M
EBITDA	-1.14M	-2.92M	-3.20M	-46.27M	-2.21M	-19.67M
Net Income	-23.03M	-8.36M	-9.38M	-52.80M	-9.43M	-25.59M
Balance Sheet
Total Assets	380.23M	370.01M	378.67M	360.64M	360.85M	366.90M
Cash, Cash Equivalents and Short-Term Investments	1.81M	61.41M	38.28M	17.41M	29.08M	14.72M
Total Debt	59.59M	60.72M	58.88M	57.48M	48.24M	49.72M
Total Liabilities	93.09M	80.22M	85.94M	65.56M	70.47M	56.55M
Stockholders Equity	287.14M	289.80M	292.73M	295.08M	303.93M	323.73M
Cash Flow
Free Cash Flow	-1.11M	6.15M	-690.00K	-19.92M	14.14M	-2.25M
Operating Cash Flow	-1.11M	6.15M	-690.00K	-19.92M	23.97M	-2.25M
Investing Cash Flow	0.00	75.00K	6.00K	64.00K	-20.71M	-2.64M
Financing Cash Flow	0.00	-5.56M	-995.00K	18.42M	-5.27M	11.73M

Hao Wen Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8019, the sentiment is Negative. The current price of 0.27 is below the 20-day moving average (MA) of 0.28, below the 50-day MA of 0.31, and below the 200-day MA of 0.41, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 43.09 is Neutral, neither overbought nor oversold. The STOCH value of 80.69 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8019.

Hao Wen Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8019	―	HK$96.14M	15.52	2.03%	―	-13.23%	―
8239	―	HK$1.03B	-79.32	-35.17%	―	26.82%	68.75%
0736	―	HK$197.70M	―	-13.78%	―	-19.38%	49.75%
8452	―	HK$98.82M	-11.04	-1.99%	―	135.97%	-271.72%
0379	―	HK$121.49M	-1.62	-21.07%	―	25.64%	-25.07%