New Risk • Jul 13
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 0.4% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (30% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Shareholders have been diluted in the past year (16% increase in shares outstanding). Valuation Update With 7 Day Price Move • Jul 08
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥46.70, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 21x in the Electrical industry in China. Total returns to shareholders of 50% over the past three years. Announcement • Jun 30
Dajin Heavy Industry Co.,Ltd. to Report First Half, 2026 Results on Aug 22, 2026 Dajin Heavy Industry Co.,Ltd. announced that they will report first half, 2026 results on Aug 22, 2026 Valuation Update With 7 Day Price Move • Jun 08
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥59.15, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 26x in the Electrical industry in China. Total returns to shareholders of 85% over the past three years. New Risk • Jun 07
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 16% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (30% accrual ratio). Minor Risk Shareholders have been diluted in the past year (16% increase in shares outstanding). Announcement • Jun 05
Dajin Heavy Industry Co.,Ltd. has completed a Follow-on Equity Offering in the amount of HKD 6.640704 billion. Dajin Heavy Industry Co.,Ltd. has completed a Follow-on Equity Offering in the amount of HKD 6.640704 billion.
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 8,696,600
Price\Range: HKD 66.4
Discount Per Security: HKD 0.7968
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 42,217,400
Price\Range: HKD 66.4
Discount Per Security: HKD 0.7968
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 49,096,600
Price\Range: HKD 66.4
Discount Per Security: HKD 0.7968
Transaction Features: New Market Listing; Regulation S; Sponsor Backed Offering Announcement • May 29
Dajin Heavy Industry Co.,Ltd. has filed a Follow-on Equity Offering in the amount of HKD 6.640704 billion. Dajin Heavy Industry Co.,Ltd. has filed a Follow-on Equity Offering in the amount of HKD 6.640704 billion.
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 8,696,600
Price(maximum): HKD 66.4
Discount Per Security: HKD 0.7968
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 42,217,400
Price(maximum): HKD 66.4
Discount Per Security: HKD 0.7968
Security Name: H Shares
Security Type: Common Stock
Securities Offered: 49,096,600
Price(maximum): HKD 66.4
Discount Per Security: HKD 0.7968
Transaction Features: New Market Listing; Regulation S; Sponsor Backed Offering Reported Earnings • Apr 28
First quarter 2026 earnings released: EPS: CN¥0.68 (vs CN¥0.36 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.68 (up from CN¥0.36 in 1Q 2025). Revenue: CN¥1.91b (up 67% from 1Q 2025). Net income: CN¥434.6m (up 88% from 1Q 2025). Profit margin: 23% (up from 20% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 29% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 38% per year whereas the company’s share price has increased by 42% per year. Announcement • Mar 31
Dajin Heavy Industry Co.,Ltd. to Report Q1, 2026 Results on Apr 28, 2026 Dajin Heavy Industry Co.,Ltd. announced that they will report Q1, 2026 results on Apr 28, 2026 Buy Or Sell Opportunity • Mar 17
Now 22% undervalued Over the last 90 days, the stock has risen 29% to CN¥71.72. The fair value is estimated to be CN¥91.88, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 5.0% over the last 3 years. Earnings per share has grown by 29%. For the next 3 years, revenue is forecast to grow by 29% per annum. Earnings are also forecast to grow by 34% per annum over the same time period. New Risk • Mar 15
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.8% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (37% accrual ratio). Minor Risk Share price has been volatile over the past 3 months (7.8% average weekly change). Valuation Update With 7 Day Price Move • Mar 13
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥80.65, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 29x in the Electrical industry in China. Total returns to shareholders of 152% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥91.54 per share. Reported Earnings • Mar 08
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: CN¥1.73 (up from CN¥0.74 in FY 2024). Revenue: CN¥6.17b (up 63% from FY 2024). Net income: CN¥1.10b (up 133% from FY 2024). Profit margin: 18% (up from 13% in FY 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 3.6%. Earnings per share (EPS) also surpassed analyst estimates by 1.8%. Revenue is forecast to grow 28% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Announcement • Mar 05
Dajin Heavy Industry Co.,Ltd., Annual General Meeting, Apr 03, 2026 Dajin Heavy Industry Co.,Ltd., Annual General Meeting, Apr 03, 2026, at 14:30 China Standard Time. Location: No. 155, Xinqiu Avenue, Xinqiu District, Fuxin, Liaoning China Valuation Update With 7 Day Price Move • Jan 20
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥57.26, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 28x in the Electrical industry in China. Total returns to shareholders of 31% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥26.27 per share. Announcement • Dec 31
Dajin Heavy Industry Co.,Ltd. to Report Fiscal Year 2025 Results on Mar 31, 2026 Dajin Heavy Industry Co.,Ltd. announced that they will report fiscal year 2025 results on Mar 31, 2026 Valuation Update With 7 Day Price Move • Dec 04
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥57.72, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 23x in the Electrical industry in China. Total returns to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥27.00 per share. New Risk • Oct 28
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: CN¥0.53 (vs CN¥0.17 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.53 (up from CN¥0.17 in 3Q 2024). Revenue: CN¥1.75b (up 85% from 3Q 2024). Net income: CN¥340.8m (up 215% from 3Q 2024). Profit margin: 19% (up from 11% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 24
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥53.50, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 26x in the Electrical industry in China. Total returns to shareholders of 17% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥89.92 per share. Announcement • Sep 30
Dajin Heavy Industry Co.,Ltd. to Report Q3, 2025 Results on Oct 28, 2025 Dajin Heavy Industry Co.,Ltd. announced that they will report Q3, 2025 results on Oct 28, 2025 Announcement • Sep 16
Dajin Heavy Industry Co.,Ltd. Approves Interim Dividend for 2025 Dajin Heavy Industry Co.,Ltd. held its 3rd Extraordinary General Meeting of 2025 on 12 September 2025, approved interim Cash dividend/10 shares (tax included): CNY0.86000000 for 2025. Valuation Update With 7 Day Price Move • Sep 08
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥39.78, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 24x in the Electrical industry in China. Total loss to shareholders of 16% over the past three years. Major Estimate Revision • Sep 02
Consensus EPS estimates increase by 10% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has improved. 2025 revenue forecast increased from CN¥5.85b to CN¥6.27b. EPS estimate increased from CN¥1.48 to CN¥1.64 per share. Net income forecast to grow 45% next year vs 47% growth forecast for Electrical industry in China. Consensus price target up from CN¥32.44 to CN¥37.19. Share price was steady at CN¥33.36 over the past week. Price Target Changed • Sep 01
Price target increased by 11% to CN¥36.10 Up from CN¥32.44, the current price target is an average from 4 analysts. New target price is 6.1% above last closing price of CN¥34.02. Stock is up 72% over the past year. The company is forecast to post earnings per share of CN¥1.64 for next year compared to CN¥0.74 last year. New Risk • Aug 28
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 24% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (24% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Reported Earnings • Aug 28
Second quarter 2025 earnings released: EPS: CN¥0.50 (vs CN¥0.19 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.50 (up from CN¥0.19 in 2Q 2024). Revenue: CN¥1.70b (up 90% from 2Q 2024). Net income: CN¥315.6m (up 161% from 2Q 2024). Profit margin: 19% (up from 14% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Announcement • Aug 28
Dajin Heavy Industry Co.,Ltd. Proposes Interim Cash Distribution for the Year 2025 Dajin Heavy Industry Co.,Ltd. at its 3rd Extraordinary General Meeting of 2025 to be held on 12 September 2025, proposed Cash dividend (tax included) of CNY 0.86000000 per 10 shares. Announcement • Jul 02
Dajin Heavy Industry Co.,Ltd. to Report First Half, 2025 Results on Aug 27, 2025 Dajin Heavy Industry Co.,Ltd. announced that they will report first half, 2025 results on Aug 27, 2025 Board Change • May 14
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Chairman of the Supervisory Board Qi Yang was the last director to join the board, commencing their role in 2023. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Price Target Changed • Apr 23
Price target increased by 8.0% to CN¥28.74 Up from CN¥26.61, the current price target is an average from 4 analysts. New target price is 5.8% above last closing price of CN¥27.15. Stock is up 43% over the past year. The company is forecast to post earnings per share of CN¥1.41 for next year compared to CN¥0.74 last year. Major Estimate Revision • Apr 18
Consensus revenue estimates decrease by 13%, EPS upgraded The consensus outlook for fiscal year 2025 has been updated. 2025 revenue forecast fell from CN¥6.55b to CN¥5.69b. EPS estimate increased from CN¥1.26 to CN¥1.39 per share. Net income forecast to grow 88% next year vs 40% growth forecast for Electrical industry in China. Consensus price target broadly unchanged at CN¥26.39. Share price rose 19% to CN¥26.99 over the past week. Announcement • Apr 15
Dajin Heavy Industry Co.,Ltd. Proposes Final Cash Dividend for the Year 2024 Dajin Heavy Industry Co.,Ltd. proposed final cash dividend/10 shares (tax included) of CNY 0.80000000 for the year 2024. Announcement • Apr 14
Dajin Heavy Industry Co.,Ltd., Annual General Meeting, May 09, 2025 Dajin Heavy Industry Co.,Ltd., Annual General Meeting, May 09, 2025, at 14:30 China Standard Time. Location: No. 155, Xinqiu Avenue, Xinqiu District, Fuxin, Liaoning China New Risk • Apr 13
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 28% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. This is currently the only risk that has been identified for the company. Reported Earnings • Apr 12
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: CN¥0.74 (up from CN¥0.67 in FY 2023). Revenue: CN¥3.78b (down 13% from FY 2023). Net income: CN¥473.9m (up 12% from FY 2023). Profit margin: 13% (up from 9.8% in FY 2023). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 7.9%. Earnings per share (EPS) also missed analyst estimates by 1.3%. Revenue is forecast to grow 28% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Mar 31
Dajin Heavy Industry Co.,Ltd. to Report Q1, 2025 Results on Apr 22, 2025 Dajin Heavy Industry Co.,Ltd. announced that they will report Q1, 2025 results on Apr 22, 2025 Announcement • Dec 31
Dajin Heavy Industry Co.,Ltd. to Report Fiscal Year 2024 Results on Apr 26, 2025 Dajin Heavy Industry Co.,Ltd. announced that they will report fiscal year 2024 results on Apr 26, 2025 Major Estimate Revision • Nov 15
Consensus revenue estimates decrease by 15%, EPS upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast fell from CN¥4.95b to CN¥4.21b. EPS estimate increased from CN¥0.65 to CN¥0.67 per share. Net income forecast to grow 153% next year vs 45% growth forecast for Electrical industry in China. Consensus price target broadly unchanged at CN¥26.05. Share price fell 6.1% to CN¥21.85 over the past week. Major Estimate Revision • Nov 11
Consensus EPS estimates fall by 22% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥5.01b to CN¥4.95b. EPS estimate also fell from CN¥0.832 per share to CN¥0.65 per share. Net income forecast to grow 153% next year vs 45% growth forecast for Electrical industry in China. Consensus price target of CN¥25.72 unchanged from last update. Share price was steady at CN¥23.57 over the past week. Reported Earnings • Oct 31
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: CN¥0.17 (down from CN¥0.21 in 3Q 2023). Revenue: CN¥950.1m (down 25% from 3Q 2023). Net income: CN¥108.1m (down 20% from 3Q 2023). Profit margin: 11% (in line with 3Q 2023). Revenue missed analyst estimates by 47%. Earnings per share (EPS) also missed analyst estimates by 51%. Revenue is forecast to grow 40% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 23% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Oct 23
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥23.47, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 19x in the Electrical industry in China. Total loss to shareholders of 24% over the past three years. New Risk • Sep 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.1% average weekly change). Announcement • Sep 30
Dajin Heavy Industry Co.,Ltd. to Report Q3, 2024 Results on Oct 31, 2024 Dajin Heavy Industry Co.,Ltd. announced that they will report Q3, 2024 results on Oct 31, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥20.90, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 16x in the Electrical industry in China. Total loss to shareholders of 12% over the past three years. Major Estimate Revision • Sep 05
Consensus revenue estimates fall by 12% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥5.72b to CN¥5.01b. EPS estimate fell from CN¥1.00 to CN¥0.832 per share. Net income forecast to grow 115% next year vs 44% growth forecast for Electrical industry in China. Consensus price target broadly unchanged at CN¥25.72. Share price was steady at CN¥19.91 over the past week. Reported Earnings • Aug 31
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: CN¥0.19 (down from CN¥0.31 in 2Q 2023). Revenue: CN¥893.3m (down 26% from 2Q 2023). Net income: CN¥120.9m (down 39% from 2Q 2023). Profit margin: 14% (down from 16% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 52%. Earnings per share (EPS) also missed analyst estimates by 66%. Revenue is forecast to grow 34% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Announcement • Jun 29
Dajin Heavy Industry Co.,Ltd. to Report First Half, 2024 Results on Aug 30, 2024 Dajin Heavy Industry Co.,Ltd. announced that they will report first half, 2024 results on Aug 30, 2024 Announcement • Apr 29
Dajin Heavy Industry Co.,Ltd., Annual General Meeting, May 24, 2024 Dajin Heavy Industry Co.,Ltd., Annual General Meeting, May 24, 2024, at 14:30 China Standard Time. Location: No. 155, Xinqiu Avenue, Xinqiu District, Fuxin, Liaoning China Reported Earnings • Apr 27
First quarter 2024 earnings released: EPS: CN¥0.08 (vs CN¥0.12 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.08 (down from CN¥0.12 in 1Q 2023). Revenue: CN¥463.0m (down 46% from 1Q 2023). Net income: CN¥53.0m (down 29% from 1Q 2023). Profit margin: 11% (up from 8.7% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 52% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has increased by 36% per year, which means it is well ahead of earnings. Announcement • Mar 30
Dajin Heavy Industry Co.,Ltd. to Report Q1, 2024 Results on Apr 27, 2024 Dajin Heavy Industry Co.,Ltd. announced that they will report Q1, 2024 results on Apr 27, 2024 Valuation Update With 7 Day Price Move • Feb 01
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥18.98, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 14x in the Electrical industry in China. Total returns to shareholders of 167% over the past three years. Announcement • Dec 30
Dajin Heavy Industry Co.,Ltd. to Report Fiscal Year 2023 Results on Apr 27, 2024 Dajin Heavy Industry Co.,Ltd. announced that they will report fiscal year 2023 results on Apr 27, 2024 Reported Earnings • Nov 01
Third quarter 2023 earnings released: EPS: CN¥0.21 (vs CN¥0.28 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.21 (down from CN¥0.28 in 3Q 2022). Revenue: CN¥1.27b (down 11% from 3Q 2022). Net income: CN¥135.3m (down 11% from 3Q 2022). Profit margin: 11% (in line with 3Q 2022). Revenue is forecast to grow 42% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 43% per year, which means it is well ahead of earnings. Reported Earnings • Aug 29
Second quarter 2023 earnings released: EPS: CN¥0.31 (vs CN¥0.20 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.31 (up from CN¥0.20 in 2Q 2022). Revenue: CN¥1.21b (down 10% from 2Q 2022). Net income: CN¥197.9m (up 74% from 2Q 2022). Profit margin: 16% (up from 8.4% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 41% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 44% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 07
Dajin Heavy Industry Co.,Ltd. Announces Implementation of Cash Dividend on A Shares for 2022, Payable on 12 July 2023 Dajin Heavy Industry Co.,Ltd. announced 2022 final profit distribution plan to be implemented (A shares) cash dividend per 10 shares (tax included) of CNY 0.28000000. Record date: 11 July 2023; Ex-date: 12 July 2023; Payment date: 12 July 2023. Announcement • May 23
Dajin Heavy Industry Co.,Ltd. Approves 2022 Profit Distribution Plan Dajin Heavy Industry Co.,Ltd. at its Annual General Meeting of 2022 on 19 May 2023 approved 2022 profit distribution plan. Cash dividend per 10 shares (tax included) is CNY 0.28000000. Valuation Update With 7 Day Price Move • May 11
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥35.63, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 19x in the Electrical industry in China. Total returns to shareholders of 560% over the past three years. Reported Earnings • Apr 30
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: CN¥0.80 (down from CN¥1.04 in FY 2021). Revenue: CN¥5.11b (up 15% from FY 2021). Net income: CN¥450.3m (down 22% from FY 2021). Profit margin: 8.8% (down from 13% in FY 2021). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 7.4%. Earnings per share (EPS) also missed analyst estimates by 18%. Revenue is forecast to grow 44% p.a. on average during the next 2 years, compared to a 24% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has increased by 75% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Feb 01
High number of new and inexperienced directors There are 6 new directors who have joined the board in the last 3 years. The company's board is composed of: 6 new directors. 1 experienced director. 2 highly experienced directors. Chairman of the Board Xin Jin is the most experienced director on the board, commencing their role in 2006. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Announcement • Jan 21
Dajin Heavy Industry Co.,Ltd. Announces Board Elections Dajin Heavy Industry Co.,Ltd. At its EGM held on January 19, 2023 approved election of Tian Mingjun and Liu Aihua as non-independent directors, Cai Meng, Qu Guangjie and Zhang Wei as independent directors and Li Haizhe as supervisors. Board Change • Dec 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 2 highly experienced directors. Independent Director Shengnan Li was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Oct 31
Third quarter 2022 earnings released: EPS: CN¥0.28 (vs CN¥0.41 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.28 (down from CN¥0.41 in 3Q 2021). Revenue: CN¥1.43b (down 5.3% from 3Q 2021). Net income: CN¥152.6m (down 34% from 3Q 2021). Profit margin: 11% (down from 15% in 3Q 2021). Revenue is forecast to grow 38% p.a. on average during the next 3 years, compared to a 26% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has increased by 113% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Oct 14
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥46.99, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 20x in the Electrical industry in China. Total returns to shareholders of 795% over the past three years. Valuation Update With 7 Day Price Move • Sep 15
Investor sentiment deteriorated over the past week After last week's 15% share price decline to CN¥41.79, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 22x in the Electrical industry in China. Total returns to shareholders of 808% over the past three years. Reported Earnings • Aug 29
Second quarter 2022 earnings released: EPS: CN¥0.20 (vs CN¥0.23 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.20 (down from CN¥0.23 in 2Q 2021). Revenue: CN¥1.35b (up 26% from 2Q 2021). Net income: CN¥113.5m (down 12% from 2Q 2021). Profit margin: 8.4% (down from 12% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the next year, revenue is forecast to grow 68%, compared to a 55% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has increased by 127% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jul 15
Investor sentiment improved over the past week After last week's 27% share price gain to CN¥52.36, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 28x in the Electrical industry in China. Total returns to shareholders of 1,169% over the past three years. Announcement • Jul 12
Dajin Heavy Industry Corporation Announces Final Cash Dividend on A Shares for 2021, Payable on 18 July 2022 Dajin Heavy Industry Corporation announced final cash dividend of CNY 0.22000000 per 10 shares on A shares for 2021. Record date: 15 July 2022, Ex-date: 18 July 2022 and Payment date: 18 July 2022. Valuation Update With 7 Day Price Move • Jun 20
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥38.02, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 23x in the Electrical industry in China. Total returns to shareholders of 791% over the past three years. Valuation Update With 7 Day Price Move • May 25
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥30.36, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 18x in the Electrical industry in China. Total returns to shareholders of 602% over the past three years. Announcement • May 20
Dajin Heavy Industry Corporation Approves Cash Dividend for 2021 Dajin Heavy Industry Corporation approved cash dividend of (tax included) CNY 0.22000000 per 10 shares for 2021, at its AGM held on May 18, 2022. Reported Earnings • Apr 28
First quarter 2022 earnings: EPS and revenues miss analyst expectations First quarter 2022 results: EPS: CN¥0.11 (down from CN¥0.14 in 1Q 2021). Revenue: CN¥933.6m (up 55% from 1Q 2021). Net income: CN¥62.3m (down 19% from 1Q 2021). Profit margin: 6.7% (down from 13% in 1Q 2021). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 8.2%. Earnings per share (EPS) also missed analyst estimates by 6.7%. Over the next year, revenue is forecast to grow 93%, compared to a 52% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has increased by 57% per year but the company’s share price has increased by 67% per year, which means it is tracking significantly ahead of earnings growth. Board Change • Apr 27
High number of new and inexperienced directors There are 7 new directors who have joined the board in the last 3 years. The company's board is composed of: 7 new directors. 1 experienced director. No highly experienced directors. Supervisor Xiuli Ji is the most experienced director on the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Valuation Update With 7 Day Price Move • Apr 11
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥26.15, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 21x in the Electrical industry in China. Total returns to shareholders of 437% over the past three years. Valuation Update With 7 Day Price Move • Mar 08
Investor sentiment deteriorated over the past week After last week's 17% share price decline to CN¥35.24, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 24x in the Electrical industry in China. Total returns to shareholders of 640% over the past three years. Valuation Update With 7 Day Price Move • Feb 17
Investor sentiment improved over the past week After last week's 15% share price gain to CN¥46.08, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 27x in the Electrical industry in China. Total returns to shareholders of 1,055% over the past three years. Valuation Update With 7 Day Price Move • Jan 28
Investor sentiment improved over the past week After last week's 24% share price gain to CN¥39.59, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 27x in the Electrical industry in China. Total returns to shareholders of 959% over the past three years. Valuation Update With 7 Day Price Move • Jan 05
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CN¥35.27, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 31x in the Electrical industry in China. Total returns to shareholders of 843% over the past three years.