Top Wealth Group Holding Limited Ordinary Shares Fundamental Analysis (NASDAQ: TWG)
Top Wealth Group Holding Limited Ordinary Shares Fundamental Analysis (NASDAQ: TWG)
Top Wealth Group Holding Limited Ordinary Shares (NASDAQ: TWG) shows strong financial fundamentals with a PE ratio of 2.23, profit margin of 32.31%, and ROE of 5.96%. The company generates $0.0B in annual revenue with strong year-over-year growth of 92.30%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 70.9/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze TWG's fundamental strength across five key dimensions:
Efficiency Score
WeakTWG struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTWG trades at attractive valuation levels.
Growth Score
ModerateTWG shows steady but slowing expansion.
Financial Health Score
ExcellentTWG maintains a strong and stable balance sheet.
Profitability Score
WeakTWG struggles to sustain strong margins.
Key Financial Metrics
Is TWG Expensive or Cheap?
P/E Ratio
TWG trades at 2.23 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TWG's PEG of -0.20 indicates potential undervaluation.
Price to Book
The market values Top Wealth Group Holding Limited Ordinary Shares at 0.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.58 times EBITDA. This is generally considered low.
How Well Does TWG Make Money?
Net Profit Margin
For every $100 in sales, Top Wealth Group Holding Limited Ordinary Shares keeps $32.31 as profit after all expenses.
Operating Margin
Core operations generate 32.31 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.96 in profit for every $100 of shareholder equity.
ROA
Top Wealth Group Holding Limited Ordinary Shares generates $3.80 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Top Wealth Group Holding Limited Ordinary Shares generates limited operating cash flow of $-35.64K, signaling weaker underlying cash strength.
Free Cash Flow
Top Wealth Group Holding Limited Ordinary Shares generates weak or negative free cash flow of $-35.64K, restricting financial flexibility.
FCF Per Share
Each share generates $-0.05 in free cash annually.
FCF Yield
TWG converts -4.43% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
2.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.18
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.002
vs 25 benchmark
Current Ratio
Current assets to current liabilities
17.44
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How TWG Stacks Against Its Sector Peers
| Metric | TWG Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 2.23 | 20.69 | Better (Cheaper) |
| ROE | 5.96% | 666.00% | Weak |
| Net Margin | 32.31% | -2392.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.83 | Strong (Low Leverage) |
| Current Ratio | 17.44 | 2.26 | Strong Liquidity |
| ROA | 3.80% | 314.00% | Weak |
TWG outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Top Wealth Group Holding Limited Ordinary Shares's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
18948.22%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
11973.37%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
-611.96%
Industry Style: Defensive, Dividend, Low Volatility
Declining