At HK$27.40, Is It Time To Put Anhui Conch Cement Company Limited (HKG:914) On Your Watch List?
Dec 08
Hong Kong (HSI) Materials Sector Analysis
UpdatedDec 08, 2022
DataAggregated Company Financials
Companies142
- 7D0.7%
- 3M3.1%
- 1Y-23.4%
- YTD-21.2%
Over the last 7 days, the Materials industry has remained flat, although notably Anhui Conch Cement declined by 3.0%. Unfortunately though, the industry is down 23% over the past 12 months. Looking forward, earnings are forecast to grow by 18% annually.
Sector Valuation and Performance
Has the Hong Kong Materials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 08 Dec 2022 | HK$1.4t | HK$3.5t | HK$169.5b | 6.4x | 8.4x | 0.4x |
| Sat, 05 Nov 2022 | HK$1.2t | HK$3.3t | HK$163.5b | 5.4x | 7.3x | 0.4x |
| Mon, 03 Oct 2022 | HK$1.2t | HK$3.5t | HK$192.0b | 5.6x | 6.3x | 0.3x |
| Wed, 31 Aug 2022 | HK$1.4t | HK$3.6t | HK$204.4b | 5.7x | 6.9x | 0.4x |
| Fri, 29 Jul 2022 | HK$1.4t | HK$3.6t | HK$224.6b | 6x | 6.4x | 0.4x |
| Sun, 26 Jun 2022 | HK$1.5t | HK$3.6t | HK$226.0b | 6x | 6.8x | 0.4x |
| Tue, 24 May 2022 | HK$1.6t | HK$3.6t | HK$225.8b | 6.2x | 7.2x | 0.4x |
| Thu, 21 Apr 2022 | HK$1.8t | HK$3.7t | HK$234.9b | 6.2x | 7.5x | 0.5x |
| Sat, 19 Mar 2022 | HK$1.8t | HK$3.6t | HK$227.0b | 6.7x | 7.7x | 0.5x |
| Mon, 14 Feb 2022 | HK$2.0t | HK$3.5t | HK$232.4b | 7.4x | 8.4x | 0.6x |
| Wed, 12 Jan 2022 | HK$1.9t | HK$3.5t | HK$231.7b | 7.1x | 8.1x | 0.5x |
| Fri, 10 Dec 2021 | HK$1.9t | HK$3.5t | HK$232.7b | 7x | 8.1x | 0.5x |
| Sun, 07 Nov 2021 | HK$1.8t | HK$3.5t | HK$227.8b | 7x | 7.8x | 0.5x |
| Tue, 05 Oct 2021 | HK$2.0t | HK$3.3t | HK$224.8b | 7.6x | 8.8x | 0.6x |
| Thu, 02 Sep 2021 | HK$2.1t | HK$3.3t | HK$220.7b | 8.1x | 9.7x | 0.6x |
| Sat, 31 Jul 2021 | HK$1.9t | HK$3.3t | HK$220.7b | 7.7x | 8.6x | 0.6x |
| Tue, 04 May 2021 | HK$2.0t | HK$3.1t | HK$182.7b | 9x | 10.8x | 0.6x |
| Fri, 05 Feb 2021 | HK$1.7t | HK$2.8t | HK$148.2b | 8.3x | 11.5x | 0.6x |
| Mon, 09 Nov 2020 | HK$1.4t | HK$2.7t | HK$129.7b | 7.9x | 10.9x | 0.5x |
| Sun, 02 Aug 2020 | HK$1.5t | HK$2.5t | HK$110.9b | 9.3x | 13.2x | 0.6x |
| Wed, 06 May 2020 | HK$1.3t | HK$2.5t | HK$116.3b | 8.9x | 11.3x | 0.5x |
| Sat, 08 Feb 2020 | HK$1.3t | HK$2.5t | HK$132.0b | 8.6x | 10x | 0.5x |
Price to Earnings Ratio
11x
Current Industry PE
- Investors are pessimistic on the Hong Kong Materials 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 8.4x which is lower than its 3-year average PE of 9.6x.
- The industry is trading close to its 3-year average PS ratio of 0.53x.
Past Earnings Growth
- The earnings for companies in the Materials industry have grown 8.7% per year over the last three years.
- Revenues for these companies have grown 11% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Hong Kong Materials sector?
| HK Market | 0.29% | |
| Materials | 0.69% | |
| Packaging | 3.60% | |
| Metals and Mining | 1.90% | |
| Paper and Forestry Products | -0.0067% | |
| Chemicals | -0.094% | |
| Basic Materials | -2.21% | |
Industry PE
- Investors are most optimistic about the Packaging industry which is trading above its 3-year average PE ratio of 12.6x.
- Analysts are expecting annual earnings growth of 15.7%, which is higher than its past year's earnings decline of 9.2% per year.
- Investors are most pessimistic about the Basic Materials industry, which is trading close to its 3-year average of 6.5x.
Forecasted Growth
- Analysts are most optimistic on the Chemicals industry, expecting annual earnings growth of 44% over the next 5 years.
- This is better than its past earnings growth rate of 14% per year.
- In contrast, the Basic Materials industry is expected to see its earnings grow by 14% 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 | |
|---|---|---|---|---|---|
| 2899 Zijin Mining Group | HK$10.44 | 3.0% +HK$7.9b | 2.4% | PE11.9x | |
| 486 United Company RUSAL International | HK$4.10 | 9.6% +HK$5.5b | -44.3% | PE2.8x | |
| 2600 Aluminum Corporation of China | HK$3.39 | 3.7% +HK$2.1b | -22.1% | PE12.7x | |
| 1252 China Tianrui Group Cement | HK$7.00 | 8.9% +HK$1.7b | 26.6% | PE20.4x | |
| 1053 Chongqing Iron & Steel | HK$0.88 | 7.3% +HK$535.1m | -35.3% | PS0.2x |
