These 4 Measures Indicate That Geely Automobile Holdings (HKG:175) Is Using Debt Safely
Apr 23
Hong Kong (HSI) Auto Industry Analysis
UpdatedApr 24, 2024
DataAggregated Company Financials
Companies13
- 7D-2.1%
- 3M5.7%
- 1Y-9.0%
- YTD-3.1%
Over the last 7 days, the Auto industry has dropped 4.0%, driven by a pullback from BYD of 3.8%. Overall the industry is down 8.5% in 12 months. Earnings are forecast to grow by 17% annually.
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 |
|---|---|---|---|---|---|---|
| Wed, 24 Apr 2024 | HK$1.1t | HK$1.6t | HK$56.0b | 14.1x | 20.1x | 0.7x |
| Fri, 22 Mar 2024 | HK$1.2t | HK$1.5t | HK$67.1b | 12.6x | 17.7x | 0.8x |
| Sun, 18 Feb 2024 | HK$1.0t | HK$1.5t | HK$67.0b | 11.7x | 15.5x | 0.7x |
| Tue, 16 Jan 2024 | HK$1.1t | HK$1.5t | HK$65.1b | 14.1x | 16.9x | 0.7x |
| Thu, 14 Dec 2023 | HK$1.1t | HK$1.5t | HK$64.9b | 14.8x | 17.4x | 0.8x |
| Sat, 11 Nov 2023 | HK$1.3t | HK$1.5t | HK$63.8b | 16.2x | 19.8x | 0.9x |
| Mon, 09 Oct 2023 | HK$1.2t | HK$1.4t | HK$58.4b | 16.3x | 21.2x | 0.9x |
| Wed, 06 Sep 2023 | HK$1.3t | HK$1.4t | HK$58.5b | 17.2x | 22.3x | 0.9x |
| Fri, 04 Aug 2023 | HK$1.4t | HK$1.3t | HK$62.0b | 12x | 23.1x | 1.1x |
| Sun, 02 Jul 2023 | HK$1.3t | HK$1.3t | HK$61.5b | 10.3x | 21.6x | 1x |
| Tue, 30 May 2023 | HK$1.3t | HK$1.3t | HK$62.7b | 9x | 20x | 0.9x |
| Thu, 27 Apr 2023 | HK$1.3t | HK$1.3t | HK$62.2b | 7.9x | 21.5x | 1x |
| Sat, 25 Mar 2023 | HK$1.3t | HK$1.2t | HK$54.5b | 8.2x | 24.3x | 1.1x |
| Mon, 20 Feb 2023 | HK$1.5t | HK$1.2t | HK$53.4b | 10.4x | 27.3x | 1.3x |
| Wed, 18 Jan 2023 | HK$1.4t | HK$1.2t | HK$55.9b | 7.8x | 25.8x | 1.2x |
| Fri, 16 Dec 2022 | HK$1.4t | HK$1.1t | HK$54.0b | 8.2x | 26x | 1.2x |
| Sun, 13 Nov 2022 | HK$1.3t | HK$1.1t | HK$54.0b | 7.4x | 24.8x | 1.2x |
| Tue, 11 Oct 2022 | HK$1.3t | HK$1.0t | HK$45.1b | 7.2x | 27.8x | 1.2x |
| Thu, 08 Sep 2022 | HK$1.4t | HK$1.0t | HK$45.3b | 11.1x | 31.9x | 1.4x |
| Sat, 06 Aug 2022 | HK$1.7t | HK$1.0t | HK$45.8b | 11.5x | 37.4x | 1.7x |
| Mon, 04 Jul 2022 | HK$1.8t | HK$1.0t | HK$46.1b | 13.8x | 39.4x | 1.8x |
| Wed, 01 Jun 2022 | HK$1.6t | HK$1.0t | HK$46.0b | 13.1x | 35.7x | 1.6x |
| Fri, 29 Apr 2022 | HK$1.3t | HK$1.0t | HK$46.3b | 10.6x | 28.1x | 1.3x |
| Sun, 27 Mar 2022 | HK$1.3t | HK$1.0t | HK$52.1b | 10.2x | 25.8x | 1.3x |
| Tue, 22 Feb 2022 | HK$1.6t | HK$1.0t | HK$51.9b | 14.7x | 30.6x | 1.6x |
| Thu, 20 Jan 2022 | HK$1.7t | HK$1.0t | HK$51.6b | 17.6x | 33.5x | 1.7x |
| Sat, 18 Dec 2021 | HK$1.9t | HK$1.0t | HK$51.6b | 19x | 37.2x | 1.9x |
| Mon, 15 Nov 2021 | HK$2.1t | HK$1.0t | HK$51.4b | 19.3x | 41.6x | 2.1x |
| Wed, 13 Oct 2021 | HK$1.9t | HK$1.0t | HK$54.5b | 17.6x | 34x | 1.8x |
| Fri, 10 Sep 2021 | HK$2.0t | HK$1.0t | HK$54.4b | 23.9x | 36.8x | 2x |
| Sun, 08 Aug 2021 | HK$2.1t | HK$1.0t | HK$62.6b | 15.3x | 33.5x | 2.1x |
| Sat, 01 May 2021 | HK$1.3t | HK$957.1b | HK$59.6b | 12.1x | 21.9x | 1.4x |
Price to Earnings Ratio
21.9x
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 20.5x which is lower than its 3-year average PE of 26.8x.
- The 3-year average PS ratio of 1.3x is higher than the industry's current PS ratio of 0.74x.
Past Earnings Growth
- The earnings for companies in the Auto industry have declined 2.0% per year over the last three years.
- Meanwhile revenues for these companies have grown 18% 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 Hong Kong Consumer Discretionary industry?
| HK Market | 2.33% | |
| Consumer Discretionary | 2.70% | |
| Auto | -2.07% | |
| Motorcycle Manufacturers | 0.81% | |
| Automobile Manufacturers | -2.19% | |
Industry PE
- Investors are most optimistic about the Automobile Manufacturers industry even though it's trading below its 3-year average PE ratio of 27.0x.
- Analysts are expecting annual earnings growth of 16.5%, which is higher than its past year's earnings decline of 7.1% per year.
- Investors are most pessimistic about the Motorcycle Manufacturers industry, which is trading below its 3-year average of 24.1x.
Forecasted Growth
- Analysts are most optimistic on the Motorcycle Manufacturers industry, expecting annual earnings growth of 17% over the next 5 years.
- However this is lower than its past earnings growth rate of 23% per year.
- In contrast, the Automobile Manufacturers industry is expected to see its earnings grow by 17% 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 | |
|---|---|---|---|---|---|
| 1585 Yadea Group Holdings | HK$14.54 | 13.6% +HK$5.2b | -18.8% | PE15.3x | |
| 1114 Brilliance China Automotive Holdings | HK$7.44 | 5.5% +HK$2.0b | 125.5% | PE4.5x | |
| 175 Geely Automobile Holdings | HK$9.10 | 2.1% +HK$1.9b | -6.7% | PE16.4x | |
| 2333 Great Wall Motor | HK$11.22 | 1.6% +HK$1.5b | 20.4% | PE12.6x | |
| 489 Dongfeng Motor Group | HK$2.97 | 6.5% +HK$1.5b | -17.7% | PS0.2x |
