Willas-Array Electronics (Holdings) Limited
Willas-Array Electronics (Holdings) Limited Fundamental Analysis
Willas-Array Electronics (Holdings) Limited (0854.HK) shows weak financial fundamentals with a PE ratio of 26.09, profit margin of 0.93%, and ROE of 3.71%. The company generates $0.7B in annual revenue with weak year-over-year growth of -10.85%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 14.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 0854.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak0854.HK struggles to generate sufficient returns from assets.
Valuation Score
Moderate0854.HK shows balanced valuation metrics.
Growth Score
Moderate0854.HK shows steady but slowing expansion.
Financial Health Score
Moderate0854.HK shows balanced financial health with some risks.
Profitability Score
Weak0854.HK struggles to sustain strong margins.
Key Financial Metrics
Is 0854.HK Expensive or Cheap?
P/E Ratio
0854.HK trades at 26.09 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 0854.HK's PEG of 0.33 indicates potential undervaluation.
Price to Book
The market values Willas-Array Electronics (Holdings) Limited at 0.86 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -5.85 times EBITDA. This is generally considered low.
How Well Does 0854.HK Make Money?
Net Profit Margin
For every $100 in sales, Willas-Array Electronics (Holdings) Limited keeps $0.93 as profit after all expenses.
Operating Margin
Core operations generate 2.13 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.71 in profit for every $100 of shareholder equity.
ROA
Willas-Array Electronics (Holdings) Limited generates $1.23 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Willas-Array Electronics (Holdings) Limited produces operating cash flow of $131.91M, showing steady but balanced cash generation.
Free Cash Flow
Willas-Array Electronics (Holdings) Limited generates strong free cash flow of $131.66M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.78 in free cash annually.
FCF Yield
0854.HK converts 1.91% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
26.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.33
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.86
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.10
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.16
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.35
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How 0854.HK Stacks Against Its Sector Peers
| Metric | 0854.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 26.09 | 33.94 | Better (Cheaper) |
| ROE | 3.71% | 1002.00% | Weak |
| Net Margin | 0.93% | -48086.00% (disorted) | Weak |
| Debt/Equity | 1.16 | 0.44 | Weak (High Leverage) |
| Current Ratio | 1.35 | 5.74 | Neutral |
| ROA | 1.23% | -288351.00% (disorted) | Weak |
0854.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 Willas-Array Electronics (Holdings) Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-27.29%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
-15.02%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
-128.66%
Industry Style: Growth, Innovation, High Beta
Declining