Here's Why Steed Oriental (Holdings) (HKG:8277) Is Weighed Down By Its Debt Load
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Has the Hong Kong Paper and Forestry Products Industry valuation changed over the past few years?
|Mon, 29 Nov 2021||HK$68.3b||HK$107.7b||HK$12.3b||5.4x|
|Wed, 27 Oct 2021||HK$75.7b||HK$107.5b||HK$12.3b||6x|
|Fri, 24 Sep 2021||HK$88.6b||HK$96.9b||HK$10.7b||7.7x|
|Sun, 22 Aug 2021||HK$77.4b||HK$96.1b||HK$10.2b||6.7x|
|Fri, 09 Jul 2021||HK$74.9b||HK$96.1b||HK$10.2b||8.7x|
|Thu, 01 Apr 2021||HK$87.1b||HK$93.9b||HK$9.8b||7.6x|
|Sun, 03 Jan 2021||HK$81.6b||HK$91.8b||HK$9.5b||7.4x|
|Wed, 07 Oct 2020||HK$72.8b||HK$88.0b||HK$8.1b||6.9x|
|Tue, 30 Jun 2020||HK$54.6b||HK$84.3b||HK$6.7b||6.5x|
|Fri, 03 Apr 2020||HK$57.3b||HK$86.0b||HK$6.8b||7.5x|
|Mon, 06 Jan 2020||HK$67.8b||HK$89.4b||HK$7.0b||8x|
|Thu, 10 Oct 2019||HK$53.4b||HK$89.8b||HK$7.2b||7.7x|
|Wed, 03 Jul 2019||HK$61.0b||HK$93.6b||HK$7.8b||8.3x|
|Sat, 06 Apr 2019||HK$69.8b||HK$98.9b||HK$9.7b||16.3x|
|Tue, 08 Jan 2019||HK$68.5b||HK$100.4b||HK$11.3b||15.6x|
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 9.1x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for companies in the Forestry industry have remained mostly flat over the last three years, while revenues for these companies have grown 3.6% 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.
Which industries have driven the changes within the Hong Kong Paper and Forestry Products industry?
Industry PE: Investors are most optimistic about the Forestry Products industry even though it's trading below its 3-year average PE ratio of 13.2x. It looks like they are confident that earnings will grow faster in the future than they have historically. Meanwhile, investors are most pessimistic about the Paper Products industry, which is trading below its 3-year average of 7.0x.
Forecasted Growth: Analysts are most optimistic on the Paper Products industry, expecting annual earnings growth of 7.8% over the next 5 years. However this is lower than its past earnings growth rate of 56% per year.
Steed Oriental (Holdings)
Hong Wei (Asia) Holdings
Nine Dragons Paper (Holdings)
Lee and Man Paper Manufacturing
Da Sen Holdings Group
Reliance Global Holdings