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East Nova Holdings Limited

3626.HKHKSE
Industrials
Specialty Business Services
HK$1.71
HK$-0.12(-6.56%)
Hong Kong Market opens in 15h 16m

East Nova Holdings Limited Fundamental Analysis

East Nova Holdings Limited (3626.HK) shows weak financial fundamentals with a PE ratio of 118.56, profit margin of 2.86%, and ROE of 11.81%. The company generates $0.1B in annual revenue with N/A year-over-year growth of N/A.

Key Strengths

Current Ratio1.77

Areas of Concern

Operating Margin7.78%
PEG Ratio18.57
We analyze 3626.HK's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 49.8/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.

Fundamental Health Score

D
49.8/100

We analyze 3626.HK's fundamental strength across five key dimensions:

Efficiency Score

Weak

3626.HK struggles to generate sufficient returns from assets.

ROA > 10%
5.87%

Valuation Score

Weak

3626.HK trades at a premium to fair value.

PE < 25
118.56
PEG Ratio < 2
18.57

Growth Score

Moderate

3626.HK shows steady but slowing expansion.

Revenue Growth > 5%
N/A
EPS Growth > 10%
N/A

Financial Health Score

Excellent

3626.HK maintains a strong and stable balance sheet.

Debt/Equity < 1
0.31
Current Ratio > 1
1.77

Profitability Score

Weak

3626.HK struggles to sustain strong margins.

ROE > 15%
11.81%
Net Margin ≥ 15%
2.86%
Positive Free Cash Flow
Yes

Key Financial Metrics

Is 3626.HK Expensive or Cheap?

P/E Ratio

3626.HK trades at 118.56 times earnings. This suggests a premium valuation.

118.56

PEG Ratio

When adjusting for growth, 3626.HK's PEG of 18.57 indicates potential overvaluation.

18.57

Price to Book

The market values East Nova Holdings Limited at 13.58 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.

13.58

EV/EBITDA

Enterprise value stands at 35.01 times EBITDA. This signals the market has high growth expectations.

35.01

How Well Does 3626.HK Make Money?

Net Profit Margin

For every $100 in sales, East Nova Holdings Limited keeps $2.86 as profit after all expenses.

2.86%

Operating Margin

Core operations generate 7.78 in profit for every $100 in revenue, before interest and taxes.

7.78%

ROE

Management delivers $11.81 in profit for every $100 of shareholder equity.

11.81%

ROA

East Nova Holdings Limited generates $5.87 in profit for every $100 in assets, demonstrating efficient asset deployment.

5.87%

Following the Money - Real Cash Generation

Operating Cash Flow

East Nova Holdings Limited generates limited operating cash flow of $6.74M, signaling weaker underlying cash strength.

$6.74M

Free Cash Flow

East Nova Holdings Limited produces free cash flow of $5.50M, offering steady but limited capital for shareholder returns and expansion.

$5.50M

FCF Per Share

Each share generates $0.03 in free cash annually.

$0.03

FCF Yield

3626.HK converts 1.69% of its market value into free cash.

1.69%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

118.56

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

18.57

vs 25 benchmark

P/B Ratio

Price to book value ratio

13.58

vs 25 benchmark

P/S Ratio

Price to sales ratio

3.39

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.31

vs 25 benchmark

Current Ratio

Current assets to current liabilities

1.77

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.12

vs 25 benchmark

ROA

Return on assets percentage

0.06

vs 25 benchmark

ROCE

Return on capital employed

0.27

vs 25 benchmark

How 3626.HK Stacks Against Its Sector Peers

Metric3626.HK ValueSector AveragePerformance
P/E Ratio118.5626.34 Worse (Expensive)
ROE11.81%1277.00% Weak
Net Margin2.86%-41677.00% (disorted) Weak
Debt/Equity0.310.71 Strong (Low Leverage)
Current Ratio1.7710.10 Neutral
ROA5.87%-1507984.00% (disorted) Weak

3626.HK outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews East Nova Holdings 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: Cyclical, Value, Infrastructure

EPS CAGR

N/A

Industry Style: Cyclical, Value, Infrastructure

FCF CAGR

N/A

Industry Style: Cyclical, Value, Infrastructure

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