Optimistic Investors Push HG Semiconductor Limited (HKG:6908) Shares Up 26% But Growth Is Lacking
Jun 21
Hong Kong (HSI) Semiconductors Industry Analysis
UpdatedJun 26, 2024
DataAggregated Company Financials
Companies22
- 7D-8.6%
- 3M-1.7%
- 1Y-28.3%
- YTD-4.0%
Over the last 7 days, the Semiconductors industry has dropped 8.6%, driven by Semiconductor Manufacturing International declining 7.8%. In contrast, HG Semiconductor has gained 14%. The industry has fallen 28% in the last year. As for the next few years, earnings are expected to grow by 18% per annum.
Industry Valuation and Performance
Has the Hong Kong Semiconductors Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 26 Jun 2024 | HK$430.9b | HK$190.0b | HK$19.2b | 11.8x | 22.4x | 2.3x |
| Fri, 24 May 2024 | HK$435.1b | HK$190.0b | HK$19.2b | 11.9x | 22.6x | 2.3x |
| Sun, 21 Apr 2024 | HK$410.4b | HK$189.7b | HK$21.4b | 11x | 19.1x | 2.2x |
| Tue, 19 Mar 2024 | HK$481.5b | HK$189.4b | HK$22.7b | 13.4x | 21.2x | 2.5x |
| Thu, 15 Feb 2024 | HK$388.0b | HK$195.9b | HK$36.0b | 10.3x | 10.8x | 2x |
| Sat, 13 Jan 2024 | HK$438.2b | HK$197.2b | HK$37.3b | 10.5x | 11.7x | 2.2x |
| Mon, 11 Dec 2023 | HK$455.4b | HK$196.6b | HK$37.2b | 10.1x | 12.2x | 2.3x |
| Wed, 08 Nov 2023 | HK$511.2b | HK$198.2b | HK$40.6b | 11.2x | 12.6x | 2.6x |
| Fri, 06 Oct 2023 | HK$489.0b | HK$196.9b | HK$40.9b | 11x | 12x | 2.5x |
| Sun, 03 Sep 2023 | HK$512.0b | HK$197.7b | HK$41.1b | 11.9x | 12.5x | 2.6x |
| Tue, 01 Aug 2023 | HK$536.6b | HK$189.4b | HK$44.2b | 9.9x | 12.1x | 2.8x |
| Thu, 29 Jun 2023 | HK$549.9b | HK$190.4b | HK$44.7b | 10.5x | 12.3x | 2.9x |
| Sat, 27 May 2023 | HK$533.8b | HK$192.2b | HK$45.2b | 10.1x | 11.8x | 2.8x |
| Mon, 24 Apr 2023 | HK$610.2b | HK$196.1b | HK$46.6b | 11.3x | 13.1x | 3.1x |
| Wed, 22 Mar 2023 | HK$564.8b | HK$182.2b | HK$40.0b | 9.7x | 14.1x | 3.1x |
| Fri, 17 Feb 2023 | HK$538.4b | HK$181.3b | HK$40.5b | 8.5x | 13.3x | 3x |
| Sun, 15 Jan 2023 | HK$541.9b | HK$181.9b | HK$40.7b | 8x | 13.3x | 3x |
| Tue, 13 Dec 2022 | HK$519.8b | HK$179.0b | HK$40.0b | 7x | 13x | 2.9x |
| Thu, 10 Nov 2022 | HK$524.9b | HK$172.9b | HK$38.6b | 6.1x | 13.6x | 3x |
| Sat, 08 Oct 2022 | HK$504.7b | HK$173.5b | HK$39.1b | 7.2x | 12.9x | 2.9x |
| Mon, 05 Sep 2022 | HK$486.1b | HK$175.2b | HK$39.5b | 8.4x | 12.3x | 2.8x |
| Wed, 03 Aug 2022 | HK$521.9b | HK$158.6b | HK$34.9b | 10.5x | 15x | 3.3x |
| Fri, 01 Jul 2022 | HK$579.2b | HK$165.0b | HK$36.3b | 13.8x | 16x | 3.5x |
| Sun, 29 May 2022 | HK$548.9b | HK$165.1b | HK$36.3b | 9.9x | 15.1x | 3.3x |
| Tue, 26 Apr 2022 | HK$482.4b | HK$156.5b | HK$34.1b | 10.6x | 14.2x | 3.1x |
| Thu, 24 Mar 2022 | HK$586.7b | HK$143.7b | HK$21.8b | 17.3x | 26.9x | 4.1x |
| Sat, 19 Feb 2022 | HK$599.2b | HK$140.8b | HK$22.7b | 17.5x | 26.4x | 4.3x |
| Mon, 17 Jan 2022 | HK$597.1b | HK$138.6b | HK$22.3b | 16.9x | 26.8x | 4.3x |
| Wed, 15 Dec 2021 | HK$629.9b | HK$138.6b | HK$22.4b | 20.2x | 28.2x | 4.5x |
| Fri, 12 Nov 2021 | HK$649.9b | HK$134.2b | HK$21.6b | 19x | 30.1x | 4.8x |
| Sun, 10 Oct 2021 | HK$541.3b | HK$110.3b | HK$21.9b | 21.8x | 24.7x | 4.9x |
| Tue, 07 Sep 2021 | HK$627.8b | HK$110.2b | HK$21.9b | 25x | 28.7x | 5.7x |
| Thu, 05 Aug 2021 | HK$733.7b | HK$127.5b | HK$14.3b | 26.5x | 51.3x | 5.8x |
Price to Earnings Ratio
42.9x
Current Industry PE
- Investors are optimistic on the Hong Kong Semiconductor industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 22.4x which is higher than its 3-year average PE of 18.5x.
- The 3-year average PS ratio of 3.3x is higher than the industry's current PS ratio of 2.3x.
Past Earnings Growth
- The earnings for companies in the Semiconductor industry have grown 10% per year over the last three years.
- Revenues for these companies have grown 14% 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 Tech industry?
| HK Market | 1.01% | |
| Tech | -3.05% | |
| Semiconductors | -8.57% | |
| Semiconductors | -8.32% | |
| Semiconductor Equipment | -9.00% | |
Industry PE
- Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 19.4x.
- Analysts are expecting annual earnings growth of 14.5%, which is higher than its past year's earnings decline of 39.2% per year.
- Investors are most pessimistic about the Semiconductor Equipment industry, which is trading below its 3-year average of 48.2x.
Forecasted Growth
- Analysts are most optimistic on the Semiconductor Equipment industry, expecting annual earnings growth of 22% over the next 5 years.
- This is better than its past earnings decline of 35% per year.
- In contrast, the Semiconductors 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 | |
|---|---|---|---|---|---|
| 522 ASMPT | HK$97.75 | 0.2% +HK$62.2m | 29.6% | PE70.2x | |
| 6908 HG Semiconductor | HK$0.48 | 16.9% +HK$52.6m | -70.8% | PS3.8x | |
| 1679 Risecomm Group Holdings | HK$0.48 | 6.7% +HK$7.7m | -21.3% | PS1.2x | |
| 8490 Niche-Tech Semiconductor Materials | HK$0.17 | 4.4% +HK$4.9m | -4.0% | PE229.6x | |
| 724 Ruixin International Holdings | HK$0.12 | 13.3% +HK$1.2m | -25.6% | PS0.1x |
