Power Assets Holdings Limited
Power Assets Holdings Limited Fundamental Analysis
Power Assets Holdings Limited (0006.HK) shows weak financial fundamentals with a PE ratio of 21.43, profit margin of 8.09%, and ROE of 6.94%. The company generates $0.8B in annual revenue with moderate year-over-year growth of 4.24%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 41.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 0006.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak0006.HK struggles to generate sufficient returns from assets.
Valuation Score
Moderate0006.HK shows balanced valuation metrics.
Growth Score
Weak0006.HK faces weak or negative growth trends.
Financial Health Score
Moderate0006.HK shows balanced financial health with some risks.
Profitability Score
Weak0006.HK struggles to sustain strong margins.
Key Financial Metrics
Is 0006.HK Expensive or Cheap?
P/E Ratio
0006.HK trades at 21.43 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 0006.HK's PEG of 15.48 indicates potential overvaluation.
Price to Book
The market values Power Assets Holdings Limited at 1.47 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 277.89 times EBITDA. This signals the market has high growth expectations.
How Well Does 0006.HK Make Money?
Net Profit Margin
For every $100 in sales, Power Assets Holdings Limited keeps $8.09 as profit after all expenses.
Operating Margin
Core operations generate 61.48 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.94 in profit for every $100 of shareholder equity.
ROA
Power Assets Holdings Limited generates $6.34 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Power Assets Holdings Limited generates strong operating cash flow of $2.89B, reflecting robust business health.
Free Cash Flow
Power Assets Holdings Limited generates strong free cash flow of $2.89B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.35 in free cash annually.
FCF Yield
0006.HK converts 2.16% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
21.43
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
15.48
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.47
vs 25 benchmark
P/S Ratio
Price to sales ratio
173.31
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.60
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.005
vs 25 benchmark
How 0006.HK Stacks Against Its Sector Peers
| Metric | 0006.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 21.43 | 20.35 | Neutral |
| ROE | 6.94% | 922.00% | Weak |
| Net Margin | 808.82% | 765.00% | Neutral |
| Debt/Equity | 0.04 | 1.50 | Strong (Low Leverage) |
| Current Ratio | 0.60 | 1.44 | Weak Liquidity |
| ROA | 6.34% | -5800.00% (disorted) | Weak |
0006.HK outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Power Assets Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
403.27%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
-14.06%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
-33.77%
Industry Style: Defensive, Dividend, Income
Declining