Brief Commentary On Time Watch Investments Limited's (HKG:2033) Fundamentals
Building up an investment case requires looking at a stock holistically. Today I've chosen to put the spotlight on Time Watch Investments Limited (HKG:2033) due to its excellent fundamentals in more than one area. 2033 is a company that has been able to sustain great financial health, trading at an attractive share price. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on Time Watch Investments here.
Excellent balance sheet and good value
2033 is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that 2033 manages its cash and cost levels well, which is an important determinant of the company’s health. 2033 appears to have made good use of debt, producing operating cash levels of 2.06x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated. 2033's share price is trading at below its true value, meaning that the market sentiment for the stock is currently bearish. According to my intrinsic value of the stock, which is driven by analyst consensus forecast of 2033's earnings, investors now have the opportunity to buy into the stock to reap capital gains. Compared to the rest of the consumer durables industry, 2033 is also trading below its peers, relative to earnings generated. This further reaffirms that 2033 is potentially undervalued.
Next Steps:
For Time Watch Investments, there are three pertinent factors you should look at:
Future Outlook: What are well-informed industry analysts predicting for 2033’s future growth? Take a look at our free research report of analyst consensus for 2033’s outlook.
Historical Performance: What has 2033's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of 2033? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
