Getting In Cheap On TCL Electronics Holdings Limited (HKG:1070) Might Be Difficult
Jul 29
Hong Kong (HSI) Consumer Durables Industry Analysis
UpdatedAug 04, 2024
DataAggregated Company Financials
Companies37
- 7D-1.6%
- 3M-15.4%
- 1Y-21.0%
- YTD-6.9%
Over the last 7 days, the Consumer Durables industry has dropped 1.6%, driven by pullbacks in TCL Electronics Holdings and Chervon Holdings of 5.8% and 7.4%, respectively. Meanwhile, Royale Home Holdings actually outperformed within the industry, gaining 50% in the last week. However, the industry is down 21% over the past year. As for the next few years, earnings are expected to grow by 23% per annum.
Industry Valuation and Performance
Has the Hong Kong Consumer Durables Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 04 Aug 2024 | HK$66.5b | HK$234.2b | HK$5.1b | 7.2x | 13x | 0.3x |
| Tue, 02 Jul 2024 | HK$75.3b | HK$232.9b | HK$5.1b | 7.2x | 14.8x | 0.3x |
| Thu, 30 May 2024 | HK$83.3b | HK$233.2b | HK$5.7b | 7.1x | 14.7x | 0.4x |
| Sat, 27 Apr 2024 | HK$75.7b | HK$232.2b | HK$5.2b | 7.2x | 14.4x | 0.3x |
| Mon, 25 Mar 2024 | HK$67.8b | HK$204.4b | HK$7.8b | 7x | 8.7x | 0.3x |
| Wed, 21 Feb 2024 | HK$62.5b | HK$204.8b | HK$7.8b | 7.5x | 8x | 0.3x |
| Fri, 19 Jan 2024 | HK$66.6b | HK$205.0b | HK$7.8b | 7x | 8.6x | 0.3x |
| Sun, 17 Dec 2023 | HK$68.8b | HK$205.1b | HK$7.8b | 7.1x | 8.8x | 0.3x |
| Tue, 14 Nov 2023 | HK$67.9b | HK$204.9b | HK$7.3b | 7.5x | 9.3x | 0.3x |
| Thu, 12 Oct 2023 | HK$70.7b | HK$246.4b | HK$7.3b | 8.2x | 9.6x | 0.3x |
| Sat, 09 Sep 2023 | HK$74.3b | HK$246.4b | HK$7.3b | 8.3x | 10.1x | 0.3x |
| Mon, 07 Aug 2023 | HK$84.8b | HK$242.4b | HK$7.6b | 8.7x | 11.2x | 0.3x |
| Wed, 05 Jul 2023 | HK$85.8b | HK$257.3b | HK$7.8b | 9.6x | 11x | 0.3x |
| Fri, 02 Jun 2023 | HK$102.2b | HK$259.2b | HK$7.2b | 10x | 14.2x | 0.4x |
| Sun, 30 Apr 2023 | HK$114.9b | HK$265.1b | HK$7.6b | 9.6x | 15.1x | 0.4x |
| Tue, 28 Mar 2023 | HK$113.4b | HK$269.2b | HK$8.9b | 9.2x | 12.7x | 0.4x |
| Thu, 23 Feb 2023 | HK$138.1b | HK$274.3b | HK$10.0b | 7.8x | 13.9x | 0.5x |
| Sat, 21 Jan 2023 | HK$144.1b | HK$275.5b | HK$10.0b | 8.1x | 14.4x | 0.5x |
| Mon, 19 Dec 2022 | HK$125.7b | HK$272.0b | HK$9.9b | 7.7x | 12.7x | 0.5x |
| Wed, 16 Nov 2022 | HK$116.0b | HK$271.1b | HK$10.5b | 6.9x | 11x | 0.4x |
| Fri, 14 Oct 2022 | HK$96.1b | HK$269.4b | HK$10.7b | 6.6x | 9x | 0.4x |
| Sun, 11 Sep 2022 | HK$122.2b | HK$272.3b | HK$10.8b | 8.5x | 11.3x | 0.4x |
| Tue, 09 Aug 2022 | HK$121.0b | HK$276.1b | HK$13.1b | 8.2x | 9.2x | 0.4x |
| Thu, 07 Jul 2022 | HK$134.3b | HK$277.1b | HK$13.2b | 8.3x | 10.2x | 0.5x |
| Sat, 04 Jun 2022 | HK$134.4b | HK$279.8b | HK$13.0b | 8.9x | 10.4x | 0.5x |
| Mon, 02 May 2022 | HK$139.9b | HK$279.0b | HK$13.0b | 8.9x | 10.8x | 0.5x |
| Wed, 30 Mar 2022 | HK$145.5b | HK$279.3b | HK$14.0b | 8.2x | 10.4x | 0.5x |
| Fri, 25 Feb 2022 | HK$164.3b | HK$270.0b | HK$15.6b | 8.1x | 10.5x | 0.6x |
| Sun, 23 Jan 2022 | HK$208.2b | HK$269.3b | HK$15.6b | 8.5x | 13.4x | 0.8x |
| Tue, 21 Dec 2021 | HK$162.6b | HK$256.9b | HK$14.7b | 7.5x | 11.1x | 0.6x |
| Thu, 18 Nov 2021 | HK$201.6b | HK$256.7b | HK$14.7b | 8x | 13.7x | 0.8x |
| Sat, 16 Oct 2021 | HK$177.4b | HK$249.0b | HK$14.1b | 7.8x | 12.6x | 0.7x |
| Mon, 13 Sep 2021 | HK$193.3b | HK$248.6b | HK$14.1b | 8x | 13.7x | 0.8x |
| Wed, 11 Aug 2021 | HK$220.0b | HK$250.0b | HK$11.0b | 7.9x | 20.1x | 0.9x |
Price to Earnings Ratio
20.1x
Current Industry PE
- Investors are optimistic on the Hong Kong Consumer Durables industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 13.0x which is higher than its 3-year average PE of 11.8x.
- The industry is trading close to its 3-year average PS ratio of 0.46x.
Past Earnings Growth
- The earnings for companies in the Consumer Durables industry have declined 22% per year over the last three years,
- Revenues have also declined 2.2% per year.
- This means overall sales from these companies are declining and profits are subsequently falling as well.
Industry Trends
Which industries have driven the changes within the Hong Kong Consumer Discretionary industry?
| HK Market | -0.016% | |
| Consumer Discretionary | -3.39% | |
| Consumer Durables | -1.65% | |
| Home Furnishings | 3.96% | |
| Homebuilding | 1.53% | |
| Housewares and Specialties | 0.50% | |
| Consumer Electronics | -4.42% | |
| Household Appliances | -4.65% | |
Industry PE
- Investors are most optimistic about the Household Appliances industry which is trading above its 3-year average PE ratio of 15.0x.
- Analysts are expecting annual earnings growth of 38.0%, which is higher than its past year's earnings decline of 7.1% per year.
- Investors are most pessimistic about the Housewares and Specialties industry, which is trading close to its 3-year average of 3.2x.
Forecasted Growth
- Analysts are most optimistic on the Household Appliances industry, expecting annual earnings growth of 38% over the next 5 years.
- This is better than its past earnings decline of 7.1% per year.
- In contrast, the Home Furnishings industry is expected to see its earnings grow by 8.6% 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 | |
|---|---|---|---|---|---|
| 1198 Royale Home Holdings | HK$0.49 | 50.0% +HK$428.8m | -67.0% | PS1.4x | |
| 1999 Man Wah Holdings | HK$4.52 | 2.3% +HK$387.8m | -31.9% | PE7.6x | |
| 776 Imperium Technology Group | HK$2.09 | 14.8% +HK$84.0m | -62.7% | PS9x | |
| 1568 Sundart Holdings | HK$0.38 | 7.1% +HK$54.0m | -15.7% | PE2.5x | |
| 2127 Huisen Shares Group | HK$0.10 | 14.9% +HK$47.9m | -33.3% | PE1.6x |
