Kowloon Development Company Limited
Kowloon Development Company Limited Fundamental Analysis
Kowloon Development Company Limited (0034.HK) shows weak financial fundamentals with a PE ratio of 45.09, profit margin of 2.52%, and ROE of 0.75%. The company generates $5.2B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 24.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 0034.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak0034.HK struggles to generate sufficient returns from assets.
Valuation Score
Weak0034.HK trades at a premium to fair value.
Growth Score
Moderate0034.HK shows steady but slowing expansion.
Financial Health Score
Moderate0034.HK shows balanced financial health with some risks.
Profitability Score
Moderate0034.HK maintains healthy but balanced margins.
Key Financial Metrics
Is 0034.HK Expensive or Cheap?
P/E Ratio
0034.HK trades at 45.09 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 0034.HK's PEG of 16.25 indicates potential overvaluation.
Price to Book
The market values Kowloon Development Company Limited at 0.34 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -38.60 times EBITDA. This is generally considered low.
How Well Does 0034.HK Make Money?
Net Profit Margin
For every $100 in sales, Kowloon Development Company Limited keeps $2.52 as profit after all expenses.
Operating Margin
Core operations generate 27.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.75 in profit for every $100 of shareholder equity.
ROA
Kowloon Development Company Limited generates $0.31 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kowloon Development Company Limited produces operating cash flow of $1.11B, showing steady but balanced cash generation.
Free Cash Flow
Kowloon Development Company Limited generates strong free cash flow of $678.53M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.52 in free cash annually.
FCF Yield
0034.HK converts 11.56% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
45.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
16.25
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.34
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.13
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.63
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.007
vs 25 benchmark
ROA
Return on assets percentage
0.003
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How 0034.HK Stacks Against Its Sector Peers
| Metric | 0034.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 45.09 | 22.38 | Worse (Expensive) |
| ROE | 0.75% | 721.00% | Weak |
| Net Margin | 2.52% | -37440.00% (disorted) | Weak |
| Debt/Equity | 1.18 | -20.85 (disorted) | Distorted |
| Current Ratio | 1.63 | 1953.62 | Neutral |
| ROA | 0.31% | -1450.00% (disorted) | Weak |
0034.HK outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kowloon Development Company Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT
EPS CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT
FCF CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT