Here's Why Chinese Estates Holdings (HKG:127) Is Weighed Down By Its Debt Load
Jun 25
Hong Kong (HSI) Real Estate Industry Analysis
UpdatedJun 25, 2024
DataAggregated Company Financials
Companies251
- 7D-2.1%
- 3M0.02%
- 1Y-25.8%
- YTD-9.8%
Over the last 7 days, the Real Estate industry has dropped 2.1%, driven by declines in Swire Properties and Sun Hung Kai Properties of 4.5% and 1.6%, respectively. On the other hand Midea Real Estate Holding is actually up 65%. However, the industry is down 26% over the past year. As for the next few years, earnings are expected to grow by 14% 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 |
|---|---|---|---|---|---|---|
| Tue, 25 Jun 2024 | HK$1.9t | HK$4.0t | -HK$68,740,564,987.10 | 7x | -28.1x | 0.5x |
| Thu, 23 May 2024 | HK$2.3t | HK$4.0t | -HK$67,900,914,589.16 | 7.7x | -33.6x | 0.6x |
| Sat, 20 Apr 2024 | HK$1.8t | HK$4.0t | -HK$77,748,834,940.04 | 6.5x | -23.8x | 0.5x |
| Mon, 18 Mar 2024 | HK$2.0t | HK$3.9t | -HK$136,561,555,083.80 | 6.3x | -14.7x | 0.5x |
| Wed, 14 Feb 2024 | HK$1.9t | HK$3.9t | -HK$171,244,930,369.07 | 6x | -11.1x | 0.5x |
| Fri, 12 Jan 2024 | HK$2.1t | HK$4.0t | -HK$180,687,160,547.00 | 7x | -11.7x | 0.5x |
| Sun, 10 Dec 2023 | HK$2.1t | HK$4.0t | -HK$180,007,558,666.00 | 7x | -11.9x | 0.5x |
| Tue, 07 Nov 2023 | HK$2.3t | HK$4.0t | -HK$174,131,608,636.00 | 7.4x | -13.2x | 0.6x |
| Thu, 05 Oct 2023 | HK$2.4t | HK$3.9t | -HK$172,024,544,837.00 | 7.4x | -13.9x | 0.6x |
| Sat, 02 Sep 2023 | HK$2.5t | HK$4.1t | -HK$156,083,446,708.00 | 7.7x | -16.2x | 0.6x |
| Mon, 31 Jul 2023 | HK$2.9t | HK$4.8t | HK$3.5b | 7.8x | 823.1x | 0.6x |
| Wed, 28 Jun 2023 | HK$2.8t | HK$4.8t | HK$2.9b | 7.2x | 968.6x | 0.6x |
| Fri, 26 May 2023 | HK$2.8t | HK$4.9t | HK$927.0m | 7.2x | 3000.3x | 0.6x |
| Sun, 23 Apr 2023 | HK$3.1t | HK$5.0t | HK$19.7b | 7.5x | 156.9x | 0.6x |
| Tue, 21 Mar 2023 | HK$3.1t | HK$5.5t | HK$316.0b | 6x | 9.7x | 0.6x |
| Thu, 16 Feb 2023 | HK$3.3t | HK$5.6t | HK$370.4b | 6.3x | 8.9x | 0.6x |
| Sat, 14 Jan 2023 | HK$3.4t | HK$5.6t | HK$371.8b | 6.2x | 9.2x | 0.6x |
| Mon, 12 Dec 2022 | HK$3.4t | HK$5.5t | HK$366.3b | 6.8x | 9.3x | 0.6x |
| Wed, 09 Nov 2022 | HK$2.6t | HK$5.4t | HK$359.3b | 5.5x | 7.2x | 0.5x |
| Fri, 07 Oct 2022 | HK$3.0t | HK$5.5t | HK$362.3b | 6.1x | 8.3x | 0.6x |
| Sun, 04 Sep 2022 | HK$3.1t | HK$5.6t | HK$378.7b | 6.2x | 8.2x | 0.6x |
| Tue, 02 Aug 2022 | HK$3.2t | HK$5.8t | HK$496.7b | 5.8x | 6.5x | 0.6x |
| Thu, 30 Jun 2022 | HK$3.7t | HK$5.8t | HK$504.0b | 6.5x | 7.3x | 0.6x |
| Sat, 28 May 2022 | HK$3.6t | HK$5.8t | HK$504.6b | 6.5x | 7.1x | 0.6x |
| Mon, 25 Apr 2022 | HK$3.8t | HK$6.0t | HK$518.2b | 6.7x | 7.3x | 0.6x |
| Wed, 23 Mar 2022 | HK$3.8t | HK$6.0t | HK$631.8b | 6.3x | 6.1x | 0.6x |
| Fri, 18 Feb 2022 | HK$4.2t | HK$6.0t | HK$605.4b | 6.6x | 6.9x | 0.7x |
| Sun, 16 Jan 2022 | HK$4.0t | HK$5.9t | HK$599.6b | 6.7x | 6.6x | 0.7x |
| Tue, 14 Dec 2021 | HK$4.0t | HK$5.9t | HK$597.8b | 7x | 6.7x | 0.7x |
| Thu, 11 Nov 2021 | HK$4.2t | HK$5.9t | HK$592.5b | 7.4x | 7x | 0.7x |
| Sat, 09 Oct 2021 | HK$4.3t | HK$5.9t | HK$586.0b | 7.4x | 7.3x | 0.7x |
| Mon, 06 Sep 2021 | HK$4.6t | HK$5.8t | HK$581.6b | 7.8x | 7.8x | 0.8x |
| Wed, 04 Aug 2021 | HK$4.6t | HK$5.8t | HK$577.4b | 7.4x | 8x | 0.8x |
Price to Earnings Ratio
9.1x
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 0.65x.
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 12% per year, which is driving profits down.
Industry Trends
Which industries have driven the changes within the Hong Kong Real Estate industry?
| HK Market | 0.97% | |
| Real Estate | -2.15% | |
| Real Estate | -2.14% | |
| Diversified Real Estate | -1.50% | |
| Real Estate Development | -1.64% | |
| Real Estate Operating Companies | -3.80% | |
| Real Estate Services | -7.36% | |
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 42.5x.
- 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 22% over the next 5 years.
- This is better than its past earnings growth rate of 3.4% per year.
- In contrast, the Real Estate Development industry is expected to see its earnings grow by 10% 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 | |
|---|---|---|---|---|---|
| 3990 Midea Real Estate Holding | HK$6.61 | 65.3% +HK$3.7b | -8.4% | PE9.7x | |
| 4 Wharf (Holdings) | HK$22.80 | 4.3% +HK$2.9b | 24.3% | PE73.7x | |
| 1109 China Resources Land | HK$27.20 | 1.5% +HK$2.9b | -19.4% | PE5.8x | |
| 1113 CK Asset Holdings | HK$29.95 | 2.2% +HK$2.3b | -31.3% | PE6x | |
| 19 Swire Pacific | HK$69.90 | 2.0% +HK$1.8b | 25.3% | PE3.4x |
