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Nov 24
Hong Kong (HSI) Auto Industry Analysis
UpdatedNov 27, 2022
DataAggregated Company Financials
Companies12
- 7D-5.9%
- 3M-32.4%
- 1Y-53.0%
- YTD-44.7%
Over the last 7 days, the Auto industry has dropped 5.9%, driven by a pullback from BYD of 6.7%. However, the industry is down 53% over the past year. As for the next few years, earnings are expected to grow by 22% per annum.
Industry Valuation and Performance
Has the Hong Kong Auto Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 27 Nov 2022 | HK$1.2t | HK$1.1t | HK$52.7b | 7.5x | 23.3x | 1.1x |
| Tue, 25 Oct 2022 | HK$1.3t | HK$1.0t | HK$45.6b | 6.4x | 28x | 1.3x |
| Thu, 22 Sep 2022 | HK$1.4t | HK$1.0t | HK$44.7b | 10.6x | 30.7x | 1.4x |
| Sat, 20 Aug 2022 | HK$1.7t | HK$1.0t | HK$44.6b | 10.6x | 37.1x | 1.6x |
| Mon, 18 Jul 2022 | HK$1.8t | HK$1.0t | HK$45.8b | 11.9x | 38.7x | 1.7x |
| Wed, 15 Jun 2022 | HK$1.8t | HK$1.0t | HK$45.4b | 14.2x | 40.5x | 1.8x |
| Fri, 13 May 2022 | HK$1.3t | HK$1.0t | HK$45.7b | 10.2x | 29.5x | 1.3x |
| Sun, 10 Apr 2022 | HK$1.4t | HK$1.0t | HK$46.9b | 11.3x | 29.9x | 1.3x |
| Tue, 08 Mar 2022 | HK$1.4t | HK$1.0t | HK$52.1b | 10.7x | 26.2x | 1.3x |
| Thu, 03 Feb 2022 | HK$1.5t | HK$1.0t | HK$51.6b | 15.3x | 29.8x | 1.5x |
| Sat, 01 Jan 2022 | HK$1.8t | HK$1.0t | HK$51.5b | 18.3x | 35.7x | 1.8x |
| Mon, 29 Nov 2021 | HK$2.1t | HK$1.0t | HK$51.4b | 18.8x | 40.4x | 2.1x |
| Wed, 27 Oct 2021 | HK$2.2t | HK$1.0t | HK$55.1b | 19.3x | 40.2x | 2.2x |
| Fri, 24 Sep 2021 | HK$1.8t | HK$1.0t | HK$54.5b | 17.6x | 33.3x | 1.8x |
| Sun, 22 Aug 2021 | HK$2.0t | HK$1.0t | HK$62.6b | 16.3x | 31.6x | 2x |
| Fri, 09 Jul 2021 | HK$1.7t | HK$1.0t | HK$62.6b | 14x | 27.7x | 1.7x |
| Thu, 01 Apr 2021 | HK$1.3t | HK$957.1b | HK$59.6b | 11.1x | 21.6x | 1.3x |
| Sun, 03 Jan 2021 | HK$1.5t | HK$864.9b | HK$49.2b | 19.9x | 31.5x | 1.8x |
| Wed, 07 Oct 2020 | HK$903.5b | HK$784.7b | HK$44.9b | 16.2x | 20.1x | 1.2x |
| Tue, 30 Jun 2020 | HK$593.8b | HK$716.5b | HK$37.8b | 14.7x | 15.7x | 0.8x |
| Fri, 03 Apr 2020 | HK$554.1b | HK$698.4b | HK$39.1b | 12.5x | 14.2x | 0.8x |
| Mon, 06 Jan 2020 | HK$624.3b | HK$759.5b | HK$50.7b | 12.2x | 12.3x | 0.8x |
Price to Earnings Ratio
12x
Current Industry PE
- Investors are pessimistic on the Hong Kong Auto 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 23.3x which is lower than its 3-year average PE of 26.2x.
- The 3-year average PS ratio of 1.4x is higher than the industry's current PS ratio of 1.1x.
Past Earnings Growth
- The earnings for companies in the Auto industry have remained mostly flat over the last three years.
- Meanwhile revenues for these companies have grown 14% 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 and as a result, profits have held steady.
Industry Trends
Which industries have driven the changes within the Hong Kong Consumer Discretionary industry?
| HK Market | -0.24% | |
| Consumer Discretionary | -8.27% | |
| Auto | -5.92% | |
| Motorcycle Manufacturers | -2.26% | |
| Automobile Manufacturers | -6.03% | |
Industry PE
- Investors are most optimistic about the Automobile Manufacturers industry even though it's trading below its 3-year average PE ratio of 26.2x.
- Analysts are expecting annual earnings growth of 21.5%, which is higher than its past year's earnings growth of 0.3% per year.
- Investors are most pessimistic about the Motorcycle Manufacturers industry, which is trading below its 3-year average of 29.3x.
Forecasted Growth
- Analysts are most optimistic on the Motorcycle Manufacturers industry, expecting annual earnings growth of 25% over the next 5 years.
- However this is lower than its past earnings growth rate of 46% per year.
- In contrast, the Automobile Manufacturers industry is expected to see its earnings grow by 22% 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 | |
|---|---|---|---|---|---|
| 9863 Zhejiang Leapmotor Technology | HK$20.00 | 3.7% +HK$822.7m | n/a | PS1.9x | |
| 1114 Brilliance China Automotive Holdings | HK$4.41 | 2.6% +HK$555.0m | n/a | PE3.9x | |
| 1122 Qingling Motors | HK$0.97 | 3.2% +HK$74.5m | -40.9% | PE10.2x |