Is Now An Opportune Moment To Examine Midea Real Estate Holding Limited (HKG:3990)?
Jul 24
Hong Kong (HSI) Real Estate Industry Analysis
UpdatedJul 26, 2024
DataAggregated Company Financials
Companies247
- 7D-6.0%
- 3M-6.8%
- 1Y-32.3%
- YTD-13.3%
Over the last 7 days, the Real Estate industry has dropped 6.0%, driven by a pullback from China Resources Land of 5.3%. Overall the industry is down 32% in 12 months. As for the next few years, earnings are expected to grow by 13% per annum.
Industry Valuation and Performance
Has the Hong Kong Real Estate Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 27 Jul 2024 | HK$1.8t | HK$3.4t | -HK$18,094,774,226.82 | 6.8x | -101.7x | 0.5x |
| Mon, 24 Jun 2024 | HK$1.9t | HK$4.0t | -HK$68,669,552,751.95 | 6.9x | -28.2x | 0.5x |
| Wed, 22 May 2024 | HK$2.3t | HK$4.0t | -HK$67,965,170,000.23 | 7.6x | -33.5x | 0.6x |
| Fri, 19 Apr 2024 | HK$1.8t | HK$4.0t | -HK$77,748,834,940.04 | 6.5x | -23.8x | 0.5x |
| Sun, 17 Mar 2024 | HK$2.0t | HK$3.9t | -HK$136,561,555,083.80 | 6.3x | -14.7x | 0.5x |
| Tue, 13 Feb 2024 | HK$1.9t | HK$3.9t | -HK$171,244,711,596.50 | 6x | -11.1x | 0.5x |
| Thu, 11 Jan 2024 | HK$2.1t | HK$4.0t | -HK$180,436,095,041.00 | 6.7x | -11.7x | 0.5x |
| Sat, 09 Dec 2023 | HK$2.1t | HK$4.0t | -HK$180,247,409,186.00 | 7x | -11.9x | 0.5x |
| Mon, 06 Nov 2023 | HK$2.3t | HK$3.9t | -HK$172,947,654,814.00 | 7.2x | -13.1x | 0.6x |
| Wed, 04 Oct 2023 | HK$2.4t | HK$3.9t | -HK$172,119,643,225.00 | 7.5x | -13.9x | 0.6x |
| Fri, 01 Sep 2023 | HK$2.5t | HK$4.1t | -HK$158,247,536,244.00 | 7.1x | -16x | 0.6x |
| Sun, 30 Jul 2023 | HK$2.9t | HK$4.8t | HK$3.5b | 7.8x | 823.1x | 0.6x |
| Tue, 27 Jun 2023 | HK$2.7t | HK$4.8t | HK$3.1b | 7x | 872.5x | 0.6x |
| Thu, 25 May 2023 | HK$2.8t | HK$4.9t | HK$927.0m | 7.2x | 3000.3x | 0.6x |
| Sat, 22 Apr 2023 | HK$3.1t | HK$5.0t | HK$19.7b | 7.5x | 157.5x | 0.6x |
| Mon, 20 Mar 2023 | HK$3.1t | HK$5.5t | HK$315.9b | 6x | 9.9x | 0.6x |
| Wed, 15 Feb 2023 | HK$3.4t | HK$5.6t | HK$370.8b | 6.3x | 9.1x | 0.6x |
| Fri, 13 Jan 2023 | HK$3.4t | HK$5.6t | HK$371.1b | 6.5x | 9.2x | 0.6x |
| Sun, 11 Dec 2022 | HK$3.4t | HK$5.5t | HK$366.4b | 6.8x | 9.3x | 0.6x |
| Tue, 08 Nov 2022 | HK$2.6t | HK$5.4t | HK$359.3b | 5.5x | 7.2x | 0.5x |
| Thu, 06 Oct 2022 | HK$3.0t | HK$5.5t | HK$362.3b | 6x | 8.4x | 0.6x |
| Sat, 03 Sep 2022 | HK$3.1t | HK$5.6t | HK$378.4b | 6.2x | 8.2x | 0.6x |
| Mon, 01 Aug 2022 | HK$3.3t | HK$5.8t | HK$496.7b | 5.9x | 6.6x | 0.6x |
| Wed, 29 Jun 2022 | HK$3.7t | HK$5.8t | HK$505.0b | 6.7x | 7.2x | 0.6x |
| Fri, 27 May 2022 | HK$3.6t | HK$5.9t | HK$509.2b | 6.5x | 7x | 0.6x |
| Sun, 24 Apr 2022 | HK$3.8t | HK$6.0t | HK$518.2b | 6.7x | 7.3x | 0.6x |
| Tue, 22 Mar 2022 | HK$3.7t | HK$6.0t | HK$634.5b | 6x | 5.9x | 0.6x |
| Thu, 17 Feb 2022 | HK$4.2t | HK$6.0t | HK$605.2b | 6.5x | 7x | 0.7x |
| Sat, 15 Jan 2022 | HK$4.0t | HK$5.9t | HK$599.2b | 6.7x | 6.6x | 0.7x |
| Mon, 13 Dec 2021 | HK$4.1t | HK$5.9t | HK$597.9b | 6.8x | 6.8x | 0.7x |
| Wed, 10 Nov 2021 | HK$4.0t | HK$5.9t | HK$591.7b | 7.3x | 6.8x | 0.7x |
| Fri, 08 Oct 2021 | HK$4.3t | HK$5.9t | HK$586.3b | 7.5x | 7.4x | 0.7x |
| Sun, 05 Sep 2021 | HK$4.6t | HK$5.8t | HK$577.4b | 7.5x | 8x | 0.8x |
| Tue, 03 Aug 2021 | HK$4.6t | HK$5.8t | HK$577.4b | 7.4x | 8x | 0.8x |
Price to Earnings Ratio
8x
Current Industry PE
- Investors are pessimistic on the Hong Kong Real Estate industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading close to its 3-year average PS ratio of 0.64x.
Past Earnings Growth
- Total earnings for the Real Estate industry have declined over the last three years, with the industry now making a loss overall.
- Revenues have also declined 16% per year, which is driving profits down.
Industry Trends
Which industries have driven the changes within the Hong Kong Real Estate industry?
| HK Market | -3.89% | |
| Real Estate | -5.71% | |
| Real Estate | -5.97% | |
| Diversified Real Estate | -4.00% | |
| Real Estate Services | -5.44% | |
| Real Estate Development | -6.58% | |
| Real Estate Operating Companies | -6.92% | |
Industry PE
- Investors are most optimistic about the Real Estate Services industry even though it's trading below its 3-year average PE ratio of 40.4x.
- Analysts are expecting annual earnings growth of 16.4%, which is higher than its past year's earnings decline of 1.9% per year.
Forecasted Growth
- Analysts are most optimistic on the Real Estate Operating Companies industry, expecting annual earnings growth of 21% over the next 5 years.
- This is better than its past earnings growth rate of 3.5% per year.
- In contrast, the Real Estate Development industry is expected to see its earnings grow by 8.4% 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 | |
|---|---|---|---|---|---|
| 4 Wharf (Holdings) | HK$24.65 | 2.7% +HK$2.0b | 33.7% | PE79.7x | |
| 247 Tsim Sha Tsui Properties | HK$18.42 | 2.3% +HK$890.9m | -15.5% | PE11.5x | |
| 3990 Midea Real Estate Holding | HK$6.94 | 5.0% +HK$473.7m | -2.8% | PE10.1x | |
| 9666 Jinke Smart Services Group | HK$7.18 | 10.6% +HK$373.7m | -42.2% | PS0.8x | |
| 582 Shin Hwa World | HK$0.27 | -14.5% HK$246.0m | -65.6% | PS0.4x |
