HS Huasung Co Ltd
HS Huasung Co Ltd maintains a liquidity position with a current ratio of 1.33 and a price-to-book ratio of 0.3, indicating a relatively low valuation compared to its book value. The company's cash and equivalents amount to 100,514,431,590 KRW, while its long-term debt stands at 183,811,742,250 KRW, resulting in a net cash position that is negative after subtracting total debt. In terms of profitability, the company's return on equity is 6.33%, and its return on assets is 3.72%, which are metrics that reflect its efficiency in generating returns from its equity and assets. The company's operating income is 43,239,443,500 KRW, and its net income is 27,599,263,050 KRW, indicating a healthy profit margin. The company's revenue is distributed across four segments, with the Construction segment focusing on government-funded facility construction, private commercial buildings, and apartments. The Distribution segment is engaged in apartment and real estate sales, while the Civil Engineering segment constructs roads, bridges, tunnels, subways, and water and sewer systems. The Other segment is involved in leasing, facility maintenance, and product supplies. The company's growth trajectory is reflected in its revenue of 659,478,953,750 KRW. Analysts have provided a mean price target of 13,000.00 KRW, with a mean recommendation of 2.00, indicating a neutral stance. The company's capital expenditure is -1,129,122,350 KRW, suggesting a reduction in investment in new projects. The company faces a medium liquidity risk, as indicated by its current ratio and the negative net cash position after subtracting total debt. The dilution risk is assessed as low, with no significant dilution potential reported. The company's recent events include analyst estimates and recommendations, which provide insights into its market perception.
Business. HS Huasung Co Ltd operates in the construction and housing sales businesses, primarily through four segments: Construction, Distribution, Civil Engineering, and Other.
Classification. HS Huasung is classified under the Industrials economic sector, Industrial & Commercial Services business sector, and Construction & Engineering industry with a confidence level of 0.92.
- HS Huasung Co Ltd has a low price-to-book ratio of 0.3, indicating it is undervalued relative to its book value.
- The company's return on equity is 6.33%, suggesting it is generating a moderate return for its shareholders.
- The company's liquidity position is characterized by a current ratio of 1.33, indicating it has sufficient short-term assets to cover its short-term liabilities.
- Analysts have provided a mean price target of 13,000.00 KRW, with a mean recommendation of 2.00, indicating a neutral outlook on the stock.
- # RATIONALES
- {
- "margin_outlook_rationale": "The company's operating margin is expected to remain stable due to consistent revenue and controlled operating expenses.",
- "rd_outlook_rationale": "Research and development is not a significant focus for the company, as it operates primarily in construction and real estate.",
- Net cash is negative after subtracting total debt.