FIT Hon Teng Limited Fundamental Analysis (HKSE: 6088.HK)
FIT Hon Teng Limited Fundamental Analysis (HKSE: 6088.HK)
FIT Hon Teng Limited (HKSE: 6088.HK) shows moderate financial fundamentals with a PE ratio of 28.25, profit margin of 3.13%, and ROE of 6.00%. The company generates $5.2B in annual revenue with strong year-over-year growth of 12.39%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 37.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 6088.HK's fundamental strength across five key dimensions:
Efficiency Score
Weak6088.HK struggles to generate sufficient returns from assets.
Valuation Score
Weak6088.HK trades at a premium to fair value.
Growth Score
Moderate6088.HK shows steady but slowing expansion.
Financial Health Score
Excellent6088.HK maintains a strong and stable balance sheet.
Profitability Score
Weak6088.HK struggles to sustain strong margins.
Key Financial Metrics
Is 6088.HK Expensive or Cheap?
P/E Ratio
6088.HK trades at 28.25 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, 6088.HK's PEG of 36.63 indicates potential overvaluation.
Price to Book
The market values FIT Hon Teng Limited at 1.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.23 times EBITDA. This is generally considered low.
How Well Does 6088.HK Make Money?
Net Profit Margin
For every $100 in sales, FIT Hon Teng Limited keeps $3.13 as profit after all expenses.
Operating Margin
Core operations generate 4.99 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.00 in profit for every $100 of shareholder equity.
ROA
FIT Hon Teng Limited generates $2.54 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
FIT Hon Teng Limited generates limited operating cash flow of $119.24M, signaling weaker underlying cash strength.
Free Cash Flow
FIT Hon Teng Limited generates weak or negative free cash flow of $-9.92M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.00 in free cash annually.
FCF Yield
6088.HK converts -0.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
28.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
36.63
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.87
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.11
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How 6088.HK Stacks Against Its Sector Peers
| Metric | 6088.HK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 28.25 | 35.21 | Better (Cheaper) |
| ROE | 6.00% | 747.00% | Weak |
| Net Margin | 3.13% | -3061.00% (disorted) | Weak |
| Debt/Equity | 0.87 | 0.66 | Weak (High Leverage) |
| Current Ratio | 1.11 | 6.21 | Neutral |
| ROA | 2.54% | 174.00% | Weak |
6088.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 FIT Hon Teng Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
9.07%
Industry Style: Growth, Innovation, High Beta
GrowingEPS CAGR
245.34%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
75.91%
Industry Style: Growth, Innovation, High Beta
High Growth