Boltek Holdings Ltd. (8601) AI Stock Analysis

• Market Cap: HK$200.00M
• Dividend Yield: 5%
• Average Volume (3M): 42.67K
• Price to Earnings (P/E): 7.1
• Beta (1Y): 0.13
• Revenue Growth: 4.57%
• EPS Growth: 8.55%
• Country: HK
• Employees: 473
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.02
• Shares Outstanding: 800,000,000
• 10 Day Avg. Volume: 28,000
• 30 Day Avg. Volume: 42,666
• PEG Ratio: -14.09
• Price to Book (P/B): 1.65
• Price to Sales (P/S): 1.20
• P/FCF Ratio: 13.57
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: HK$0.50 ▲(100.00% Upside)

Boltek Holdings Ltd. presents a strong financial position with robust profitability and cash flow improvements. However, technical indicators suggest a bearish trend, which tempers the overall score. The low P/E ratio and high dividend yield offer potential value, but challenges in income growth and financing activities need attention.

Boltek Holdings Ltd. Business Overview & Revenue Model

Company Description

Boltek Holdings Ltd. (8601) is a diversified investment holding company based in Hong Kong, primarily engaged in sectors such as technology, real estate, and financial services. The company focuses on providing innovative solutions and products that cater to the evolving needs of its clients. Boltek is committed to leveraging its expertise and strategic partnerships to enhance its offerings and expand its market presence.

How the Company Makes Money

Boltek Holdings Ltd. generates revenue through several key streams, including investments in technology startups, development and leasing of real estate properties, and providing financial advisory services. The company's technology division focuses on acquiring stakes in emerging tech firms, enabling it to benefit from their growth and profitability. In real estate, Boltek earns income from rental properties and capital gains from property development projects. Additionally, the financial services segment contributes to earnings by offering consultancy and advisory services to both individual and corporate clients. Strategic partnerships with other firms in these sectors further enhance Boltek's revenue potential, enabling cross-selling of services and access to new markets.

Boltek Holdings Ltd. Financial Statement Overview

Summary

Boltek Holdings Ltd. presents a strong financial position with consistent revenue growth, robust profitability margins, and a solid balance sheet with minimal leverage. The significant improvement in free cash flow further strengthens its financial health. However, challenges in maintaining net income growth and managing financing activities could pose risks if not addressed.

Income Statement

Boltek Holdings Ltd. demonstrates strong revenue growth with a consistent increase over the years, reaching a 9.9% growth from 2023 to 2024. The company maintains healthy profitability metrics, with a gross profit margin of 33.1% and a net profit margin of 15.0% in 2024. EBIT and EBITDA margins are also robust at 18.8% and 20.8%, respectively, indicating efficient operations. However, a slight decline in net income from 2023 to 2024 suggests potential cost pressures.

Balance Sheet

The balance sheet of Boltek Holdings Ltd. is solid, with a low debt-to-equity ratio of 0.04, indicating minimal leverage and financial risk. The equity ratio stands at 80.8%, highlighting a strong equity base relative to total assets. Return on equity is healthy at 20.6%, reflecting efficient use of shareholder funds. However, a decrease in stockholders' equity from 2023 to 2024 suggests potential challenges in asset management or profitability.

Cash Flow

Boltek Holdings Ltd. shows a significant improvement in free cash flow, increasing from $59,000 in 2023 to $16.5 million in 2024, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is 0.63, suggesting effective conversion of income into cash. However, the company faces a high financing cash outflow, which could impact future liquidity if not managed carefully.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	188.41M	187.28M	170.41M	149.29M	129.91M	111.91M
Gross Profit	63.59M	62.08M	60.35M	42.59M	45.44M	45.84M
EBITDA	34.13M	39.01M	38.88M	26.87M	28.72M	31.61M
Net Income	29.45M	28.05M	28.23M	18.47M	20.23M	23.99M
Balance Sheet
Total Assets	175.06M	168.38M	186.14M	220.04M	194.25M	165.78M
Cash, Cash Equivalents and Short-Term Investments	40.71M	36.54M	67.55M	135.99M	121.05M	103.36M
Total Debt	2.98M	4.91M	8.05M	3.81M	5.51M	2.05M
Total Liabilities	25.45M	32.23M	33.04M	28.69M	22.86M	14.62M
Stockholders Equity	149.61M	136.15M	153.10M	191.35M	171.40M	151.16M
Cash Flow
Free Cash Flow	16.84M	16.51M	59.00K	17.64M	20.91M	16.33M
Operating Cash Flow	17.88M	17.55M	2.29M	19.20M	21.61M	18.33M
Investing Cash Flow	827.00K	599.00K	55.24M	-10.38M	-47.19M	-1.37M
Financing Cash Flow	-49.54M	-49.15M	-69.15M	-3.94M	-3.50M	-2.74M

Boltek Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:8601, the sentiment is Negative. The current price of 0.25 is below the 20-day moving average (MA) of 0.25, below the 50-day MA of 0.26, and below the 200-day MA of 0.25, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 42.14 is Neutral, neither overbought nor oversold. The STOCH value of 42.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:8601.

Boltek Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8601	72 Outperform	HK$200.00M	7.07	18.71%	5.00%	4.57%	8.55%
0368	66 Neutral	HK$248.00M	14.83	9.06%	5.39%	6.27%	―
2663	65 Neutral	HK$169.86M	4.85	13.06%	23.73%	0.25%	-22.09%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8023	56 Neutral	HK$170.27M	25.55	6.49%	1.75%	13.13%	-40.69%
8316	44 Neutral	HK$136.33M	―	―	―	-17.12%	-25.58%
8268	43 Neutral	HK$108.00M	―	-29.33%	―	-6.25%	-50.71%