Chinese (SSE) IT Industry Analysis
UpdatedFeb 03, 2023
DataAggregated Company Financials
Companies94
- 7D3.9%
- 3M9.3%
- 1Y-2.1%
- YTD8.9%
Last week, the IT industry hasn't moved much but Wonders Information is up 3.0% in that time. Unfortunately though, the industry is down 5.1% over the past 12 months. As for the next few years, earnings are expected to grow by 38% per annum.
Industry Valuation and Performance
Has the Chinese IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 03 Feb 2023 | CN¥637.4b | CN¥350.4b | CN¥3.2b | 54.2x | 197.6x | 1.8x |
| Sun, 01 Jan 2023 | CN¥548.2b | CN¥351.4b | CN¥3.2b | 43.7x | 170.3x | 1.6x |
| Tue, 29 Nov 2022 | CN¥573.4b | CN¥352.2b | CN¥3.3b | 44.9x | 171.3x | 1.6x |
| Thu, 27 Oct 2022 | CN¥549.8b | CN¥351.7b | CN¥4.2b | 42.9x | 129.6x | 1.6x |
| Sat, 24 Sep 2022 | CN¥474.0b | CN¥349.4b | CN¥4.2b | 39.6x | 113.5x | 1.4x |
| Mon, 22 Aug 2022 | CN¥542.3b | CN¥355.0b | CN¥4.9b | 44.1x | 111.8x | 1.5x |
| Wed, 20 Jul 2022 | CN¥499.1b | CN¥352.9b | CN¥5.1b | 40.5x | 97.8x | 1.4x |
| Fri, 17 Jun 2022 | CN¥508.7b | CN¥351.5b | CN¥5.0b | 42.1x | 101.4x | 1.4x |
| Sun, 15 May 2022 | CN¥462.4b | CN¥333.7b | CN¥4.2b | 40.2x | 110.3x | 1.4x |
| Tue, 12 Apr 2022 | CN¥520.2b | CN¥328.6b | CN¥494.6m | 41.4x | 1051.7x | 1.6x |
| Thu, 10 Mar 2022 | CN¥603.6b | CN¥318.3b | CN¥1.8b | 47.7x | 343.7x | 1.9x |
| Sat, 05 Feb 2022 | CN¥580.1b | CN¥317.1b | CN¥1.9b | 45.3x | 312.5x | 1.8x |
| Mon, 03 Jan 2022 | CN¥596.2b | CN¥316.5b | CN¥1.7b | 47.5x | 356.6x | 1.9x |
| Wed, 01 Dec 2021 | CN¥582.4b | CN¥317.3b | CN¥1.7b | 50.2x | 340.6x | 1.8x |
| Fri, 29 Oct 2021 | CN¥515.2b | CN¥314.1b | CN¥2.0b | 41.9x | 258.9x | 1.6x |
| Sun, 26 Sep 2021 | CN¥554.5b | CN¥306.1b | CN¥2.0b | 42.3x | 272.2x | 1.8x |
| Tue, 24 Aug 2021 | CN¥548.5b | CN¥305.7b | CN¥2.0b | 43.5x | 274.9x | 1.8x |
| Wed, 30 Jun 2021 | CN¥563.1b | CN¥305.7b | CN¥2.0b | 46.2x | 282.2x | 1.8x |
| Sat, 03 Apr 2021 | CN¥547.9b | CN¥288.3b | CN¥2.2b | 39.7x | 253.9x | 1.9x |
| Tue, 05 Jan 2021 | CN¥596.7b | CN¥274.7b | CN¥1.5b | 50.2x | 385.9x | 2.2x |
| Fri, 09 Oct 2020 | CN¥735.7b | CN¥261.1b | CN¥2.1b | 70x | 345.8x | 2.8x |
| Thu, 02 Jul 2020 | CN¥723.2b | CN¥252.0b | CN¥1.7b | 64.5x | 426.5x | 2.9x |
| Sun, 05 Apr 2020 | CN¥628.8b | CN¥245.9b | CN¥1.6b | 65.9x | 383x | 2.6x |
Price to Earnings Ratio
205.9x
Current Industry PE
- Investors are pessimistic on the Chinese IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 187x which is lower than its 3-year average PE of 285x.
- The 3-year average PS ratio of 2.0x is higher than the industry's current PS ratio of 1.8x.
Past Earnings Growth
- The earnings for companies in the IT industry have grown 2.4% per year over the last three years.
- Revenues for these companies have grown 12% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Chinese Tech industry?
| CN Market | 1.47% | |
| Tech | 2.27% | |
| IT | 3.94% | |
| Data Processing Services | 7.77% | |
| IT Consulting | 4.11% | |
| Internet Services and Infrastructure | 2.50% | |
Industry PE
- Investors are most optimistic about the IT Consulting industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings growth of 45.5%, which is higher than its past year's earnings growth of 0.5% per year.
- Investors are most pessimistic about the Data Processing Services industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 6.8x.
Forecasted Growth
- Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 46% over the next 5 years.
- This is better than its past earnings growth rate of 0.5% per year.
- In contrast, the Internet Services and Infrastructure industry is expected to see its earnings grow by 21% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 300168 Wonders Information | CN¥9.83 | 6.2% +CN¥3.2b | -16.5% | PS4.4x | |
| 301316 Hydsoft Technology | CN¥28.46 | 31.6% +CN¥2.7b | n/a | PE121.5x | |
| 688787 Beijing Haitian Ruisheng Science Technology | CN¥116.30 | 71.0% +CN¥2.1b | 69.0% | PE202.5x | |
| 300044 Shenzhen Sunwin Intelligent | CN¥5.51 | 74.9% +CN¥1.8b | 84.3% | PS7.3x | |
| 2368 Taiji Computer | CN¥41.98 | 7.7% +CN¥1.8b | 74.1% | PE61.4x |