Valuation Update With 7 Day Price Move • Jun 25
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to CN¥17.41, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 18x in the Leisure industry in China. Total returns to shareholders of 22% over the past three years. New Risk • Jun 09
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 197% Dividend yield: 2.7% 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: Minor Risks Dividend is not well covered by cash flows (197% cash payout ratio). Large one-off items impacting financial results. Declared Dividend • Jun 08
Dividend of CN¥0.50 announced Shareholders will receive a dividend of CN¥0.50. Ex-date: 10th June 2026 Payment date: 10th June 2026 Dividend yield will be 2.7%, which is higher than the industry average of 2.0%. New Risk • May 14
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 44% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. Reported Earnings • Apr 25
First quarter 2026 earnings released: EPS: CN¥0.35 (vs CN¥0.25 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.35 (up from CN¥0.25 in 1Q 2025). Revenue: CN¥442.2m (up 12% from 1Q 2025). Net income: CN¥69.7m (up 59% from 1Q 2025). Profit margin: 16% (up from 11% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.6% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Announcement • Apr 25
Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 15, 2026 Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 15, 2026, at 14:00 China Standard Time. Location: The Company's Meeting Room, Shanghai China Announcement • Mar 31
Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) announces an Equity Buyback for CNY 100 million worth of its shares. Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) announces a share repurchase program. Under the program, the company will repurchase up to CNY 100 million worth of its shares. The shares will be repurchased at CNY 33 per share. The purpose of the program is to maintain the Company’s value and shareholder rights. The program will be funded from company's own funds. The program is valid for 3 months. Announcement • Mar 30
Shanghai Rongtai Health Technology Corporation Limited to Report Q1, 2026 Results on Apr 25, 2026 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q1, 2026 results on Apr 25, 2026 Valuation Update With 7 Day Price Move • Jan 06
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥28.81, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 23x in the Leisure industry in China. Total returns to shareholders of 104% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥19.50 per share. Announcement • Dec 26
Shanghai Rongtai Health Technology Corporation Limited to Report Fiscal Year 2025 Results on Apr 23, 2026 Shanghai Rongtai Health Technology Corporation Limited announced that they will report fiscal year 2025 results on Apr 23, 2026 Buy Or Sell Opportunity • Dec 18
Now 22% overvalued Over the last 90 days, the stock has fallen 36% to CN¥23.71. The fair value is estimated to be CN¥19.36, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 10.0% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 21% in 2 years. Earnings are forecast to grow by 47% in the next 2 years. Announcement • Dec 04
Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) signed a letter of intent to acquire an additional 21% stake in Shanghai Youmo Youyang Health Technology Co., Ltd. from Ningbo Fulljoy Electronic Technology Co., Ltd., Xiamen Emoka Health Science & Technology Co., Ltd., Zeng Biyan, Wang Kun and Wang Jian for CNY 42 million. Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) signed a letter of intent to acquire an additional 21% stake in Shanghai Youmo Youyang Health Technology Co., Ltd. from Ningbo Fulljoy Electronic Technology Co., Ltd., Xiamen Emoka Health Science & Technology Co., Ltd., Zeng Biyan, Wang Kun and Wang Jian for CNY 42 million on December 2, 2025. A cash consideration of CNY 42 million will be paid by Shanghai Rongtai Health Technology Corporation Limited. As part of consideration, CNY 42 million is paid towards common equity of Shanghai Youmo Youyang Health Technology Co., Ltd. Upon completion, Shanghai Rongtai Health Technology Corporation Limited will directly own 39% stake and indirectly own 56.5% stake in Shanghai Youmo Youyang Health Technology Co., Ltd. The transaction will be financed through self-owned funds of CNY 42 million.
As of September 30, 2025, Shanghai Youmo Youyang Health Technology Co., Ltd. reported total assets of CNY 110.94 million and total common equity of CNY 37.63 million. Valuation Update With 7 Day Price Move • Nov 05
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥26.88, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 25x in the Leisure industry in China. Total returns to shareholders of 91% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥19.83 per share. New Risk • Nov 04
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 Share price has been highly volatile over the past 3 months (9.5% average weekly change). Minor Risk Shareholders have been diluted in the past year (16% increase in shares outstanding). Reported Earnings • Oct 30
Third quarter 2025 earnings released: EPS: CN¥0.14 (vs CN¥0.18 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.14 (down from CN¥0.18 in 3Q 2024). Revenue: CN¥337.9m (flat on 3Q 2024). Net income: CN¥25.5m (down 18% from 3Q 2024). Profit margin: 7.5% (down from 9.2% in 3Q 2024). Revenue is forecast to grow 9.6% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 26% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Sep 30
Shanghai Rongtai Health Technology Corporation Limited to Report Q3, 2025 Results on Oct 30, 2025 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q3, 2025 results on Oct 30, 2025 Major Estimate Revision • Sep 10
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from CN¥1.64b to CN¥1.61b. EPS estimate also fell from CN¥1.13 per share to CN¥1.01 per share. Net income forecast to grow 21% next year vs 29% growth forecast for Leisure industry in China. Consensus price target of CN¥28.00 unchanged from last update. Share price fell 10% to CN¥35.29 over the past week. Valuation Update With 7 Day Price Move • Aug 15
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥42.90, the stock trades at a forward P/E ratio of 37x. Average forward P/E is 24x in the Leisure industry in China. Total returns to shareholders of 164% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥23.76 per share. Valuation Update With 7 Day Price Move • Jul 31
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥31.19, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 25x in the Leisure industry in China. Total returns to shareholders of 94% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥23.09 per share. Buy Or Sell Opportunity • Jul 25
Now 29% overvalued after recent price rise Over the last 90 days, the stock has risen 28% to CN¥29.77. The fair value is estimated to be CN¥23.00, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 15% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 16% in 2 years. Earnings are forecast to grow by 36% in the next 2 years. Announcement • Jun 30
Shanghai Rongtai Health Technology Corporation Limited to Report First Half, 2025 Results on Aug 28, 2025 Shanghai Rongtai Health Technology Corporation Limited announced that they will report first half, 2025 results on Aug 28, 2025 Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥25.22, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 22x in the Leisure industry in China. Total returns to shareholders of 49% over the past three years. Declared Dividend • Jun 09
Dividend of CN¥0.35 announced Shareholders will receive a dividend of CN¥0.35. Ex-date: 12th June 2025 Payment date: 12th June 2025 Dividend yield will be 2.8%, which is higher than the industry average of 2.0%. Sustainability & Growth Dividend is covered by earnings (65% earnings payout ratio) but not covered by cash flows (115% cash payout ratio). The dividend has increased by an average of 15% per year over the past 8 years. However, payments have been volatile during that time. EPS is expected to grow by 33% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Valuation Update With 7 Day Price Move • May 12
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥27.06, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 22x in the Leisure industry in China. Total returns to shareholders of 67% over the past three years. Major Estimate Revision • May 07
Consensus revenue estimates fall by 20% The consensus outlook for revenues in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from CN¥2.05b to CN¥1.65b. EPS estimate fell from CN¥1.32 to CN¥1.14 per share. Net income forecast to grow 19% next year vs 28% growth forecast for Leisure industry in China. Consensus price target up from CN¥15.00 to CN¥28.00. Share price rose 4.0% to CN¥23.41 over the past week. Reported Earnings • Apr 24
First quarter 2025 earnings released: EPS: CN¥0.25 (vs CN¥0.36 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.25 (down from CN¥0.36 in 1Q 2024). Revenue: CN¥395.0m (down 1.4% from 1Q 2024). Net income: CN¥43.9m (down 30% from 1Q 2024). Profit margin: 11% (down from 16% in 1Q 2024). The decrease in margin was primarily driven by higher expenses. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Leisure 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 increased by 10% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Apr 24
Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 14, 2025 Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 14, 2025, at 14:00 China Standard Time. Location: The Company's Meeting Room, Shanghai China Valuation Update With 7 Day Price Move • Apr 10
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥19.70, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 16x in the Leisure industry in China. Total returns to shareholders of 16% over the past three years. New Risk • Mar 31
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 8.0% 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 Dividend is not well covered by earnings and cash flows. Payout ratio: 96% Cash payout ratio: 173% Minor Risk Share price has been volatile over the past 3 months (8.0% average weekly change). Announcement • Mar 28
Shanghai Rongtai Health Technology Corporation Limited to Report Q1, 2025 Results on Apr 24, 2025 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q1, 2025 results on Apr 24, 2025 Valuation Update With 7 Day Price Move • Mar 27
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥22.46, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 21x in the Leisure industry in China. Total returns to shareholders of 27% over the past three years. Valuation Update With 7 Day Price Move • Feb 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥16.35, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 18x in the Leisure industry in China. Total loss to shareholders of 22% over the past three years. Announcement • Dec 27
Shanghai Rongtai Health Technology Corporation Limited to Report Fiscal Year 2024 Results on Apr 24, 2025 Shanghai Rongtai Health Technology Corporation Limited announced that they will report fiscal year 2024 results on Apr 24, 2025 New Risk • Nov 04
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 96% Cash payout ratio: 173% Dividend yield: 4.4% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Reported Earnings • Oct 30
Third quarter 2024 earnings released: EPS: CN¥0.18 (vs CN¥0.27 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.18 (down from CN¥0.27 in 3Q 2023). Revenue: CN¥339.4m (down 17% from 3Q 2023). Net income: CN¥31.2m (down 33% from 3Q 2023). Profit margin: 9.2% (down from 12% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has fallen by 14% per year, which means it is performing significantly worse than earnings. Announcement • Sep 30
Shanghai Rongtai Health Technology Corporation Limited to Report Q3, 2024 Results on Oct 30, 2024 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q3, 2024 results on Oct 30, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to CN¥14.70, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 15x in the Leisure industry in China. Total loss to shareholders of 27% over the past three years. Major Estimate Revision • Aug 31
Consensus revenue estimates fall by 12% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥2.07b to CN¥1.81b. EPS estimate fell from CN¥1.33 to CN¥1.20 per share. Net income forecast to grow 7.3% next year vs 42% growth forecast for Leisure industry in China. Consensus price target down from CN¥20.02 to CN¥14.52. Share price fell 3.2% to CN¥12.21 over the past week. Price Target Changed • Aug 29
Price target decreased by 11% to CN¥17.02 Down from CN¥19.11, the current price target is an average from 2 analysts. New target price is 41% above last closing price of CN¥12.05. Stock is down 31% over the past year. The company is forecast to post earnings per share of CN¥1.24 for next year compared to CN¥1.16 last year. Announcement • Jun 28
Shanghai Rongtai Health Technology Corporation Limited to Report First Half, 2024 Results on Aug 28, 2024 Shanghai Rongtai Health Technology Corporation Limited announced that they will report first half, 2024 results on Aug 28, 2024 Valuation Update With 7 Day Price Move • Jun 04
Investor sentiment deteriorates as stock falls 25% After last week's 25% share price decline to CN¥18.15, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 16x in the Leisure industry in China. Total loss to shareholders of 45% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥10.40 per share. Reported Earnings • Apr 27
First quarter 2024 earnings released: EPS: CN¥0.47 (vs CN¥0.28 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.47 (up from CN¥0.28 in 1Q 2023). Revenue: CN¥400.6m (up 3.9% from 1Q 2023). Net income: CN¥62.7m (up 67% from 1Q 2023). Profit margin: 16% (up from 9.7% in 1Q 2023). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has fallen by 13% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Apr 22
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥23.38, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 14x in the Leisure industry in China. Total loss to shareholders of 19% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥33.91 per share. Price Target Changed • Apr 17
Price target increased by 8.5% to CN¥26.03 Up from CN¥24.00, the current price target is an average from 2 analysts. New target price is 8.2% above last closing price of CN¥24.06. Stock is up 2.6% over the past year. The company is forecast to post earnings per share of CN¥1.77 for next year compared to CN¥1.51 last year. Announcement • Apr 16
Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 08, 2024 Shanghai Rongtai Health Technology Corporation Limited, Annual General Meeting, May 08, 2024, at 14:00 China Standard Time. Location: The Company's Meeting Room, Shanghai China Reported Earnings • Apr 16
Full year 2023 earnings: Revenues and EPS in line with analyst expectations Full year 2023 results: EPS: CN¥1.51 (up from CN¥1.23 in FY 2022). Revenue: CN¥1.86b (down 7.5% from FY 2022). Net income: CN¥202.7m (up 23% from FY 2022). Profit margin: 11% (up from 8.2% in FY 2022). The increase in margin was driven by lower expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to grow 14% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has fallen by 14% per year, which means it is performing significantly worse than earnings. Announcement • Mar 29
Shanghai Rongtai Health Technology Corporation Limited to Report Q1, 2024 Results on Apr 26, 2024 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Feb 02
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥17.09, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 12x in the Leisure industry in China. Total loss to shareholders of 33% over the past three years. Announcement • Dec 29
Shanghai Rongtai Health Technology Corporation Limited to Report Fiscal Year 2023 Results on Apr 16, 2024 Shanghai Rongtai Health Technology Corporation Limited announced that they will report fiscal year 2023 results on Apr 16, 2024 Announcement • Nov 03
Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) announces an Equity Buyback for CNY 100 million worth of its shares. Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) announces a share repurchase program. Under the program, the company will repurchase up to CNY 100 million worth of its shares. The program is valid for 12 months. Reported Earnings • Nov 01
Third quarter 2023 earnings released: EPS: CN¥0.35 (vs CN¥0.29 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.35 (up from CN¥0.29 in 3Q 2022). Revenue: CN¥408.2m (down 11% from 3Q 2022). Net income: CN¥46.8m (up 19% from 3Q 2022). Profit margin: 12% (up from 8.5% in 3Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 11% per year whereas the company’s share price has fallen by 14% per year. Announcement • Sep 30
Shanghai Rongtai Health Technology Corporation Limited to Report Q3, 2023 Results on Oct 28, 2023 Shanghai Rongtai Health Technology Corporation Limited announced that they will report Q3, 2023 results on Oct 28, 2023 Reported Earnings • Aug 08
Second quarter 2023 earnings released: EPS: CN¥0.50 (vs CN¥0.21 in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.50 (up from CN¥0.21 in 2Q 2022). Revenue: CN¥504.2m (down 6.0% from 2Q 2022). Net income: CN¥67.4m (up 140% from 2Q 2022). Profit margin: 13% (up from 5.2% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year whereas the company’s share price has fallen by 18% per year. Announcement • Jun 28
Shanghai Rongtai Health Technology Corporation Limited to Report First Half, 2023 Results on Aug 08, 2023 Shanghai Rongtai Health Technology Corporation Limited announced that they will report first half, 2023 results on Aug 08, 2023 Reported Earnings • Apr 08
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: CN¥1.23 (down from CN¥1.75 in FY 2021). Revenue: CN¥2.00b (down 23% from FY 2021). Net income: CN¥164.2m (down 31% from FY 2021). Profit margin: 8.2% (down from 9.0% in FY 2021). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 6.1%. Earnings per share (EPS) also missed analyst estimates by 9.1%. Revenue is forecast to grow 20% p.a. on average during the next 2 years, compared to a 20% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥25.39, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 18x in the Leisure industry in China. Total loss to shareholders of 3.1% over the past three years. Price Target Changed • Nov 16
Price target decreased to CN¥21.99 Down from CN¥32.00, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of CN¥21.71. Stock is down 28% over the past year. The company is forecast to post earnings per share of CN¥1.37 for next year compared to CN¥1.75 last year. Valuation Update With 7 Day Price Move • Nov 11
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥23.63, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 16x in the Leisure industry in China. Total loss to shareholders of 12% over the past three years. Reported Earnings • Oct 28
Third quarter 2022 earnings released: EPS: CN¥0.29 (vs CN¥0.36 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.29 (down from CN¥0.36 in 3Q 2021). Revenue: CN¥460.9m (down 25% from 3Q 2021). Net income: CN¥39.3m (down 19% from 3Q 2021). Profit margin: 8.5% (up from 7.8% in 3Q 2021). The increase in margin was driven by lower expenses. Revenue is forecast to grow 20% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 12% per year whereas the company’s share price has fallen by 13% per year. Reported Earnings • Sep 02
Second quarter 2022 earnings released: EPS: CN¥0.21 (vs CN¥0.53 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.21 (down from CN¥0.53 in 2Q 2021). Revenue: CN¥536.6m (down 26% from 2Q 2021). Net income: CN¥28.0m (down 61% from 2Q 2021). Profit margin: 5.2% (down from 9.9% in 2Q 2021). The decrease in margin was driven by lower revenue. Over the next year, revenue is forecast to grow 35%, compared to a 30% growth forecast for the Leisure industry in China. Over the last 3 years on average, earnings per share has fallen by 8% per year whereas the company’s share price has fallen by 6% per year. Announcement • Jul 07
Shanghai Rongtai Health Technology Corporation Limited Launches Marvel Co-Branded G20 Massage Gun in the United States Shanghai Rongtai Health Technology Corporation Limited (RONGTAI) has recently announced its latest product pre-sale – the G20 Marvel co-branded massage gun series on the crowdfunding platform Indiegogo on June 30, 2022. The massage gun global launch is a milestone for RONGTAI to enter the international market, especially in the US. To enter the American market by collaborating with an American comic giant signifies the brand’s determination to cater to its US consumers. At the same time, it is one step closer to achieving its vision of providing a healthy lifestyle for global consumers. The Marvel co-branded G20 series is currently available in three editions: Spider-Man, Iron Man and Captain America. Integrated with household superhero designs, the professional massager is compact and portable, weighing only 550g. It comes with a ball head, a U-shaped head, a bullet head, and a flat head for various body parts to perform muscle-specific massages. Equipped with a 500mN.m high torque brushless motor, the product operates up to 3,600RPM, which can directly reach deep muscle groups. Furthermore, it is built with noise reduction technology and has a long battery life, among many other features. The RONGTAI G20 series is followed by an exclusive R-Verse lifetime membership. Members can not only enjoy benefits such as a 20% lifetime discount on all RONGTAI products, but the environmentally-conscious brand will also plant a tree in the member’s name to improve the health of Mother Earth. To celebrate the upcoming release of Thor: Love and Thunder in North America on July 8, 2022 with Marvel fans, RONGTAI, an official partner of Marvel, will also release the G20 Thor special edition on the same day. Price Target Changed • Apr 27
Price target decreased to CN¥29.30 Down from CN¥32.00, the current price target is provided by 1 analyst. New target price is 25% above last closing price of CN¥23.39. Stock is down 30% over the past year. The company is forecast to post earnings per share of CN¥2.08 for next year compared to CN¥1.75 last year. Reported Earnings • Apr 27
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: CN¥1.75 (up from CN¥1.42 in FY 2020). Revenue: CN¥2.61b (up 29% from FY 2020). Net income: CN¥236.3m (up 23% from FY 2020). Profit margin: 9.0% (in line with FY 2020). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 2.9%. Over the next year, revenue is forecast to grow 18%, compared to a 29% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has fallen by 10% per year, which means it is performing significantly worse than earnings. Board Change • Apr 27
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 12 experienced directors. No highly experienced directors. 5 independent directors (6 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.36 (vs CN¥0.44 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: CN¥616.6m (up 17% from 3Q 2020). Net income: CN¥48.2m (down 20% from 3Q 2020). Profit margin: 7.8% (down from 12% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 4% per year whereas the company’s share price has fallen by 1% per year. Reported Earnings • Aug 27
Second quarter 2021 earnings released: EPS CN¥0.53 (vs CN¥0.51 in 2Q 2020) The company reported a solid second quarter result with improved earnings and revenues, although profit margins were weaker. Second quarter 2021 results: Revenue: CN¥728.1m (up 32% from 2Q 2020). Net income: CN¥71.7m (up 3.2% from 2Q 2020). Profit margin: 9.9% (down from 13% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has fallen by 17% per year, which means it is performing significantly worse than earnings. Reported Earnings • Apr 25
Full year 2020 earnings released: EPS CN¥1.42 (vs CN¥2.13 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥2.02b (down 13% from FY 2019). Net income: CN¥193.0m (down 35% from FY 2019). Profit margin: 9.6% (down from 13% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has fallen by 22% per year, which means it is significantly lagging earnings. Is New 90 Day High Low • Feb 04
New 90-day low: CN¥26.53 The company is down 19% from its price of CN¥32.88 on 06 November 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Leisure industry, which is down 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥4.16 per share. Is New 90 Day High Low • Jan 11
New 90-day low: CN¥29.06 The company is down 15% from its price of CN¥34.20 on 13 October 2020. The Chinese market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Leisure industry, which is down 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥4.21 per share. Is New 90 Day High Low • Dec 12
New 90-day low: CN¥31.60 The company is down 14% from its price of CN¥36.55 on 11 September 2020. The Chinese market is up 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Leisure industry, which is down 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥4.18 per share. Announcement • Oct 29
Shanghai Rongtai Health Technology Corporation Limited announced a financing transaction Shanghai Rongtai Health Technology Corporation Limited (SHSE:603579) announced a private placement of convertible corporate bonds on October 28, 2020. Analyst Estimate Surprise Post Earnings • Oct 29
Third-quarter earnings released: Revenue misses expectations Third-quarter revenue missed analyst estimates by 5.8% at CN¥526.4m. Revenue is forecast to grow 26% over the next year, compared to a 38% growth forecast for the Leisure industry in China. Reported Earnings • Oct 29
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥246.3m, down 10% from the prior year. Total revenue was CN¥2.09b over the last 12 months, down 3.6% from the prior year. Is New 90 Day High Low • Oct 19
New 90-day low: CN¥31.94 The company is down 8.0% from its price of CN¥34.57 on 21 July 2020. The Chinese market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Leisure industry, which is up 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥2.97 per share. Announcement • Jul 08
Shanghai Rongtai Health Technology Corporation Limited to Report First Half, 2020 Results on Aug 18, 2020 Shanghai Rongtai Health Technology Corporation Limited announced that they will report first half, 2020 results on Aug 18, 2020