Chinese (SSE) IT Industry Analysis
- 7D-7.5%
- 3M16.4%
- 1Y4.1%
- YTD-0.3%
Over the last 7 days, the IT industry has remained flat, although notably Shanghai New Centurion Network Information Technology gained 30%. As for the the longer term, the industry is up 12% over the past 12 months.
Industry Valuation and Performance
Has the Chinese IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Wed, 26 Jan 2022 | CN„629.6b | CN„317.4b | CN„1.9b | 50.5x |
| Fri, 24 Dec 2021 | CN„582.1b | CN„316.5b | CN„1.7b | 46.4x |
| Sun, 21 Nov 2021 | CN„566.2b | CN„317.3b | CN„1.7b | 49.4x |
| Tue, 19 Oct 2021 | CN„547.1b | CN„307.3b | CN„2.1b | 43.6x |
| Thu, 16 Sep 2021 | CN„554.1b | CN„305.9b | CN„2.0b | 44.3x |
| Sat, 14 Aug 2021 | CN„546.1b | CN„305.7b | CN„2.0b | 43.9x |
| Wed, 09 Jun 2021 | CN„540.1b | CN„288.3b | CN„2.2b | 42.9x |
| Tue, 02 Mar 2021 | CN„561.1b | CN„275.3b | CN„1.7b | 43.4x |
| Fri, 04 Dec 2020 | CN„671.8b | CN„261.1b | CN„2.1b | 70.8x |
| Mon, 07 Sep 2020 | CN„779.7b | CN„252.9b | CN„1.8b | 66.3x |
| Sun, 31 May 2020 | CN„665.5b | CN„248.2b | CN„1.9b | 63.4x |
| Wed, 04 Mar 2020 | CN„687.8b | CN„252.0b | CN„3.1b | 63.5x |
| Sat, 07 Dec 2019 | CN„504.6b | CN„251.3b | -CN„338,491,897.00 | 45.2x |
| Tue, 10 Sep 2019 | CN„497.9b | CN„250.4b | -CN„281,241,850.00 | 47.4x |
| Mon, 03 Jun 2019 | CN„518.5b | CN„245.2b | -CN„1,561,122,094.00 | 48.8x |
| Thu, 07 Mar 2019 | CN„464.4b | CN„228.2b | -CN„2,986,884,220.00 | 54.4x |
43.5x
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 53.3x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: Total earnings for the IT industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 12% per year. This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the Chinese IT industry?
| IT Consulting | -7.10% | |
| Internet Services and Infrastructure | -8.11% | |
| Data Processing Services | -8.94% | |
Industry PE: Investors are most optimistic about the IT Consulting industry, which is trading close to its 3-year average PE ratio of 56.5x. This is likely because analysts are expecting annual earnings growth of 40%, which is higher than its past year's earnings growth of 15% per year. Meanwhile, investors are most pessimistic about the Data Processing Services industry, which is trading below its 3-year average of 52.7x.
Forecasted Growth: Analysts are most optimistic on the IT Consulting industry, expecting annual earnings growth of 40% over the next 5 years. This is better than it's past earnings growth rate of 15% per year. Meanwhile, the Data Processing Services industry is expected to see its earnings grow by 16% 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 | |
|---|---|---|---|---|---|
| 605398 Shanghai New Centurion Network Information Technology | CN„59.77 | 43.0% +CN„1.1b | -24.6% | PE39.5x | |
| 948 Yunnan Nantian Electronics InformationLtd | CN„17.62 | 14.9% +CN„872.9m | 94.3% | PE53.4x | |
| 603869 ENC Digital Technology | CN„12.08 | 16.2% +CN„836.2m | 7.6% | PE30.3x | |
| 300678 Chengdu Information Technology of Chinese Academy of SciencesLtd | CN„26.50 | 10.2% +CN„462.8m | 37.7% | PE168.7x | |
| 603138 Beijing Vastdata Technology | CN„28.48 | 4.6% +CN„354.1m | 122.0% | PE352.1x |