Henderson Land (HLDCY) AI Stock Analysis

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Henderson Land

(OTC:HLDCY)

68Neutral

Henderson Land's overall stock score is driven by strong cash flow generation and low leverage, balanced by concerns over revenue decline and modest return on equity. The stock's valuation is appealing due to a high dividend yield, but technical analysis points to potential downward pressure. Improving revenue growth and ROE could significantly enhance the company's performance.

Henderson Land (HLDCY) vs. S&P 500 (SPY)

Market Cap

$15.23B

Dividend Yield6.53%

Average Volume (3M)8.62K

Price to Earnings (P/E)18.9

Beta (1Y)0.37

Revenue Growth-7.35%

EPS Growth-31.76%

CountryUS

Employees9,970

SectorReal Estate

Sector Strength66

IndustryReal Estate - Diversified

Share Statistics

EPS (TTM)0.17

Shares Outstanding4,841,387,000

10 Day Avg. Volume0

30 Day Avg. Volume8,623

Financial Highlights & Ratios

PEG Ratio-0.56

Price to Book (P/B)0.34

Price to Sales (P/S)0.00

P/FCF Ratio9.01

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Henderson Land Business Overview & Revenue Model

Company DescriptionHenderson Land Development Company Limited (HLDCY) is a leading property development and investment conglomerate based in Hong Kong. The company operates across multiple sectors including property development, property investment, project management, and construction. Henderson Land's core products and services include residential, commercial, and industrial properties, as well as hotels. It is also involved in the utility and infrastructure sectors through strategic investments.

How the Company Makes MoneyHenderson Land generates revenue primarily through the sale and leasing of properties. The company's key revenue streams include the development and sale of residential properties, which are major contributors to its income. Additionally, Henderson Land earns significant income from its portfolio of investment properties, which include commercial and industrial spaces that are leased to tenants. The company also benefits from its stakes in utility and infrastructure investments, providing a steady flow of income. Partnerships with construction firms and other real estate developers also play a role in enhancing its project execution capabilities and financial performance.

Henderson Land Financial Statement Overview

Summary

Henderson Land demonstrates a solid financial position with consistent revenue growth and strong profitability margins. The company's balance sheet reflects low leverage and high equity, indicating financial stability. Cash flow metrics show robust cash generation, enhancing overall financial health. However, there is a slight decline in operating efficiency that needs attention.

Income Statement

Positive

The company has shown a consistent increase in revenue over the last few years, with a revenue growth rate of 7.89% in 2023. The gross profit margin is strong at 36.38%, and the net profit margin is healthy at 33.60%. However, there has been a decline in EBIT margin to 22.51% and EBITDA margin to 46.54% in 2023, indicating some pressure on operating efficiency.

Balance Sheet

Positive

Henderson Land has a solid balance sheet with a low debt-to-equity ratio of 0.50, highlighting low leverage. The equity ratio is strong at 60.17%, indicating a stable financial position. The return on equity is commendable at 2.84%, showcasing effective use of equity to generate profits.

Cash Flow

Positive

The company has shown a substantial improvement in free cash flow, with a growth rate of 81.99% in 2023. The operating cash flow to net income ratio stands at 1.56, reflecting efficient conversion of income into cash. The free cash flow to net income ratio is strong at 1.56, indicating robust cash generation relative to income.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
28.73B	27.57B	25.44B	23.89B	25.42B	24.37B
	Gross Profit
9.27B	10.03B	10.26B	12.44B	15.71B	12.99B
	EBIT
6.29B	6.21B	6.57B	9.30B	12.66B	9.72B
	EBITDA
6.81B	12.83B	7.11B	9.80B	13.09B	10.10B
	Net Income Common Stockholders
6.48B	9.26B	9.24B	13.20B	10.19B	16.99B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
9.92B	22.11B	11.74B	11.34B	6.13B	10.93B
	Total Assets
230.31B	542.55B	529.79B	550.30B	461.09B	455.25B
	Total Debt
41.64B	161.69B	150.09B	159.48B	96.29B	94.54B
	Net Debt
31.72B	140.07B	140.26B	150.99B	90.71B	84.80B
	Total Liabilities
65.89B	198.45B	184.64B	198.13B	128.90B	129.85B
	Stockholders Equity
159.04B	326.54B	327.95B	335.02B	327.61B	320.85B
Cash Flow		Free Cash Flow
12.00B	14.46B	7.95B	-54.16B	4.51B	3.17B
	Operating Cash Flow
16.80B	14.46B	11.13B	685.00M	7.07B	6.74B
	Investing Cash Flow
-1.96B	16.00M	12.15B	-50.04B	-974.00M	-3.82B
	Financing Cash Flow
-16.78B	-5.42B	-21.30B	52.05B	-10.75B	-5.87B

Henderson Land Technical Analysis

Technical Analysis Sentiment

Positive

Last Price3.14

Price Trends

50DMA

2.84

Positive

100DMA

2.85

Positive

200DMA

2.98

Positive

Market Momentum

MACD

0.06

Negative

RSI

78.16

Negative

STOCH

95.80

Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HLDCY, the sentiment is Positive. The current price of 3.14 is above the 20-day moving average (MA) of 2.82, above the 50-day MA of 2.84, and above the 200-day MA of 2.98, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 78.16 is Negative, neither overbought nor oversold. The STOCH value of 95.80 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HLDCY.

Henderson Land Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMH	77 Outperform	$14.18B	35.54	5.81%	2.82%	6.90%	9.99%
KIM	71 Outperform	$14.59B	28.20	5.19%	4.54%	12.55%	45.10%
DOC	69 Neutral	$12.82B	44.23	3.26%	6.87%	23.65%	12.82%
HLDCY	68 Neutral	$15.23B	18.86	1.94%	6.53%	-7.35%	-31.76%
ELS	68 Neutral	$12.74B	34.02	22.87%	3.06%	0.69%	5.67%
WPC	67 Neutral	$13.36B	31.47	5.02%	5.76%	-5.89%	-26.36%
Sector *	60 Neutral	$2.83B	10.92	0.21%	8543.15%	5.98%	-17.76%

* Real Estate Sector Average

Performance Comparison

HLDCY

Henderson Land

3.14

0.16

5.37%

ELS

Equity Lifestyle

62.60

2.10

3.47%

DOC

Healthpeak Properties

17.25

-1.63

-8.63%

KIM

Kimco Realty

21.46

3.09

16.82%

WPC

W. P. Carey Inc.

60.02

4.15

7.43%

AMH

American Homes

37.68

2.65

7.56%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.