Dongfang Electric (HKG:1072) Is Looking To Continue Growing Its Returns On Capital
Nov 09
Hong Kong (HSI) Electrical Industry Analysis
UpdatedDec 05, 2023
DataAggregated Company Financials
Companies32
- 7D-5.5%
- 3M-14.8%
- 1Y-29.3%
- YTD-28.1%
Over the last 7 days, the Electrical industry has dropped 5.5%, driven by declines in Dongfang Electric and Shanghai Electric Group of 7.3% and 5.8%, respectively. In contrast, Bortex Global has gained 48%. Overall the industry is down 29% in 12 months. Looking forward, earnings are forecast to grow by 59% annually.
Industry Valuation and Performance
Has the Hong Kong Electrical Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 05 Dec 2023 | HK$156.9b | HK$341.8b | HK$2.4b | 7.3x | 65.8x | 0.5x |
| Thu, 02 Nov 2023 | HK$149.0b | HK$335.0b | HK$2.5b | 9.1x | 58.6x | 0.4x |
| Sat, 30 Sep 2023 | HK$154.7b | HK$336.3b | HK$1.7b | 9.8x | 91.4x | 0.5x |
| Mon, 28 Aug 2023 | HK$156.6b | HK$327.0b | HK$799.1m | 11.3x | 196x | 0.5x |
| Wed, 26 Jul 2023 | HK$169.6b | HK$330.9b | HK$404.9m | 10.2x | 419x | 0.5x |
| Fri, 23 Jun 2023 | HK$165.9b | HK$329.3b | HK$354.5m | 10.6x | 467.9x | 0.5x |
| Sun, 21 May 2023 | HK$173.3b | HK$335.7b | HK$366.9m | 10.4x | 472.3x | 0.5x |
| Tue, 18 Apr 2023 | HK$182.0b | HK$348.5b | HK$51.2m | 10.9x | 3555.6x | 0.5x |
| Thu, 16 Mar 2023 | HK$186.5b | HK$340.0b | -HK$11,288,781,238.00 | 12.6x | -16.5x | 0.5x |
| Sat, 11 Feb 2023 | HK$185.3b | HK$343.0b | -HK$11,329,626,127.00 | 12.8x | -16.4x | 0.5x |
| Mon, 09 Jan 2023 | HK$179.0b | HK$338.7b | -HK$11,304,128,531.00 | 10.2x | -15.8x | 0.5x |
| Wed, 07 Dec 2022 | HK$174.4b | HK$331.6b | -HK$11,042,665,112.00 | 11.4x | -15.8x | 0.5x |
| Fri, 04 Nov 2022 | HK$243.5b | HK$338.4b | -HK$8,101,024,917.00 | 11.8x | -30.1x | 0.7x |
| Sun, 02 Oct 2022 | HK$233.3b | HK$345.9b | -HK$7,450,167,233.00 | 16.2x | -31.3x | 0.7x |
| Tue, 30 Aug 2022 | HK$264.1b | HK$369.8b | -HK$13,504,751,857.00 | 15x | -19.6x | 0.7x |
| Thu, 28 Jul 2022 | HK$230.7b | HK$374.9b | -HK$12,857,697,470.00 | 12.3x | -17.9x | 0.6x |
| Sat, 25 Jun 2022 | HK$235.5b | HK$392.4b | -HK$13,958,338,276.00 | 12.6x | -16.9x | 0.6x |
| Mon, 23 May 2022 | HK$213.4b | HK$392.5b | -HK$13,932,719,936.00 | 12.2x | -15.3x | 0.5x |
| Wed, 20 Apr 2022 | HK$220.0b | HK$405.8b | -HK$13,687,742,849.00 | 9.9x | -16.1x | 0.5x |
| Fri, 18 Mar 2022 | HK$259.5b | HK$427.5b | HK$5.5b | 5.2x | 47.4x | 0.6x |
| Sun, 13 Feb 2022 | HK$268.3b | HK$425.7b | HK$5.5b | 7.4x | 48.6x | 0.6x |
| Tue, 11 Jan 2022 | HK$295.4b | HK$424.3b | HK$5.5b | 7.2x | 53.5x | 0.7x |
| Thu, 09 Dec 2021 | HK$319.5b | HK$424.8b | HK$5.5b | 6.1x | 57.8x | 0.8x |
| Sat, 06 Nov 2021 | HK$295.0b | HK$421.6b | HK$5.4b | 7.6x | 54.2x | 0.7x |
| Mon, 04 Oct 2021 | HK$281.3b | HK$416.3b | HK$6.0b | 7.4x | 46.6x | 0.7x |
| Wed, 01 Sep 2021 | HK$210.8b | HK$416.3b | HK$5.6b | 7.9x | 37.5x | 0.5x |
| Thu, 08 Jul 2021 | HK$209.2b | HK$416.3b | HK$5.6b | 8.3x | 37.2x | 0.5x |
| Wed, 31 Mar 2021 | HK$221.1b | HK$398.5b | HK$13.6b | 9.6x | 16.3x | 0.6x |
| Sat, 02 Jan 2021 | HK$208.7b | HK$369.8b | HK$12.2b | 13.5x | 17.1x | 0.6x |
Price to Earnings Ratio
17.1x
Current Industry PE
- Investors are pessimistic on the Hong Kong Electrical 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 65.8x which is lower than its 3-year average PE of 117x.
- The industry is trading close to its 3-year average PS ratio of 0.58x.
Past Earnings Growth
- The earnings for companies in the Electrical industry have declined 42% per year over the last three years,
- Revenues have also declined 2.6% 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 Industrials industry?
| HK Market | -3.21% | |
| Industrials | -2.18% | |
| Electrical | -5.52% | |
| Electrical Components | -3.86% | |
| Heavy Electrical Equipment | -5.83% | |
Industry PE
- Investors are most optimistic about the Heavy Electrical Equipment industry even though it's trading below its 3-year average PE ratio of 1kx.
- Analysts are expecting annual earnings growth of 58.8%, which is higher than its past year's earnings decline of 6.2% per year.
- Investors are most pessimistic about the Electrical Components industry, which is trading below its 3-year average of 120x.
Forecasted Growth
- Analysts are most optimistic on the Heavy Electrical Equipment industry, expecting annual earnings growth of 59% over the next 5 years.
- This is better than its past earnings decline of 6.2% per year.
- In contrast, the Heavy Electrical Equipment industry is expected to see its earnings grow by 59% 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 | |
|---|---|---|---|---|---|
| 8118 Bortex Global | HK$0.29 | 47.5% +HK$47.5m | -37.2% | PS3x | |
| 1685 Boer Power Holdings | HK$0.22 | 4.8% +HK$7.7m | -19.6% | PE5.5x | |
| 2188 China Titans Energy Technology Group | HK$0.32 | 1.6% +HK$7.5m | -6.0% | PS1.2x |