Chinese (SSE) Software Industry Analysis
UpdatedDec 03, 2022
DataAggregated Company Financials
Companies135
- 7D3.0%
- 3M11.0%
- 1Y-19.4%
- YTD-20.2%
Over the last 7 days, the Software industry has risen 3.0%, and Beijing E-Hualu Information Technology contributed the most with a gain of 26%. In the past year, the industry is down 19%. As for the next few years, earnings are expected to grow by 38% per annum.
Industry Valuation and Performance
Has the Chinese Software Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 03 Dec 2022 | CN¥1.7t | CN¥296.2b | CN¥7.2b | 71.7x | 233.5x | 5.7x |
| Mon, 31 Oct 2022 | CN¥1.6t | CN¥295.6b | CN¥7.2b | 64.7x | 222.3x | 5.4x |
| Wed, 28 Sep 2022 | CN¥1.4t | CN¥293.2b | CN¥10.4b | 53.7x | 135x | 4.8x |
| Fri, 26 Aug 2022 | CN¥1.4t | CN¥293.8b | CN¥12.2b | 51.5x | 119x | 4.9x |
| Sun, 24 Jul 2022 | CN¥1.4t | CN¥292.2b | CN¥12.7b | 51.9x | 113.1x | 4.9x |
| Tue, 21 Jun 2022 | CN¥1.5t | CN¥291.5b | CN¥12.5b | 52.3x | 116.3x | 5x |
| Thu, 19 May 2022 | CN¥1.3t | CN¥290.3b | CN¥13.1b | 48.9x | 99.4x | 4.5x |
| Sat, 16 Apr 2022 | CN¥1.4t | CN¥307.8b | CN¥8.4b | 39.9x | 166.3x | 4.5x |
| Mon, 14 Mar 2022 | CN¥1.6t | CN¥288.1b | CN¥15.5b | 47.7x | 103.9x | 5.6x |
| Wed, 09 Feb 2022 | CN¥1.8t | CN¥279.2b | CN¥15.2b | 53x | 117.1x | 6.4x |
| Fri, 07 Jan 2022 | CN¥1.9t | CN¥274.5b | CN¥15.2b | n/a | 125x | 6.9x |
| Sun, 05 Dec 2021 | CN¥1.8t | CN¥270.8b | CN¥14.6b | 52.3x | 125.5x | 6.7x |
| Tue, 02 Nov 2021 | CN¥1.8t | CN¥267.7b | CN¥15.2b | 47x | 115.1x | 6.5x |
| Thu, 30 Sep 2021 | CN¥1.7t | CN¥263.0b | CN¥15.6b | 47.8x | 109.2x | 6.5x |
| Sat, 28 Aug 2021 | CN¥1.8t | CN¥262.7b | CN¥15.6b | 52.9x | 113.8x | 6.8x |
| Sun, 04 Jul 2021 | CN¥1.9t | CN¥262.0b | CN¥15.5b | 52x | 122.2x | 7.2x |
| Wed, 07 Apr 2021 | CN¥1.7t | CN¥250.7b | CN¥17.2b | 45.5x | 97.5x | 6.7x |
| Sat, 09 Jan 2021 | CN¥1.9t | CN¥241.8b | CN¥14.1b | 56.4x | 131.6x | 7.7x |
| Fri, 02 Oct 2020 | CN¥1.8t | CN¥233.2b | CN¥11.1b | 68.3x | 164.9x | 7.9x |
| Mon, 06 Jul 2020 | CN¥1.8t | CN¥227.4b | CN¥11.8b | 73.7x | 153.4x | 7.9x |
| Thu, 09 Apr 2020 | CN¥1.4t | CN¥224.3b | CN¥13.6b | 69.3x | 102.9x | 6.2x |
| Wed, 01 Jan 2020 | CN¥1.3t | CN¥230.3b | CN¥18.0b | 60.6x | 74.5x | 5.8x |
Price to Earnings Ratio
54.2x
Current Industry PE
- Investors are optimistic on the Chinese Software industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 233x which is higher than its 3-year average PE of 127x.
- The 3-year average PS ratio of 6.6x is higher than the industry's current PS ratio of 5.7x.
Past Earnings Growth
- The earnings for companies in the Software industry have declined 32% per year over the last three years.
- Meanwhile revenues for these companies have grown 12% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Chinese Tech industry?
| CN Market | 2.50% | |
| Tech | 1.62% | |
| Software | 2.97% | |
| Systems Software | 3.79% | |
| Application Software | 2.69% | |
Industry PE
- Investors are most optimistic about the Application Software industry, which is trading close to its 3-year average PE ratio of 137x.
- Analysts are expecting annual earnings growth of 35.7%, which is higher than its past year's earnings decline of 11.0% per year.
Forecasted Growth
- Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 44% over the next 5 years.
- This is better than its past earnings decline of 38% per year.
- In contrast, the Application Software industry is expected to see its earnings grow by 36% 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 | |
|---|---|---|---|---|---|
| 300212 Beijing E-Hualu Information Technology | CN¥25.80 | 26.2% +CN¥3.6b | -17.0% | PS9.9x | |
| 2410 Glodon | CN¥54.99 | 5.4% +CN¥3.3b | -13.1% | PE79x | |
| 300682 Longshine Technology Group | CN¥27.58 | 11.8% +CN¥3.1b | -26.0% | PE30.6x | |
| 2153 Beijing Shiji Information Technology | CN¥14.93 | 9.7% +CN¥2.8b | -21.7% | PS10.9x | |
| 300454 Sangfor Technologies | CN¥116.13 | 5.0% +CN¥2.3b | -40.7% | PS6.7x |