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Oct 10
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Hong Kong (HSI) Telecom Sector Analysis
UpdatedOct 14, 2024
DataAggregated Company Financials
Companies134
- 7D-5.6%
- 3M6.0%
- 1Y27.6%
- YTD31.8%
Over the last 7 days, the Telecom industry has dropped 5.6%, driven by a pullback from Tencent Holdings of 8.9%. On the other hand Lesi Group is actually up 30%. This takes the industry's 12 month performance to a gain of 28%. Looking forward, earnings are forecast to grow by 11% annually.
Sector Valuation and Performance
Has the Hong Kong Telecom Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 15 Oct 2024 | HK$7.3t | HK$3.3t | HK$406.9b | 11.2x | 18x | 2.2x |
| Thu, 12 Sep 2024 | HK$6.4t | HK$3.3t | HK$405.6b | 10.5x | 15.9x | 1.9x |
| Sat, 10 Aug 2024 | HK$6.4t | HK$3.3t | HK$377.5b | 10.4x | 17.1x | 2x |
| Mon, 08 Jul 2024 | HK$6.7t | HK$3.2t | HK$370.1b | 11.3x | 18.2x | 2.1x |
| Wed, 05 Jun 2024 | HK$6.7t | HK$3.2t | HK$371.0b | 11.6x | 18.1x | 2.1x |
| Fri, 03 May 2024 | HK$6.5t | HK$3.2t | HK$348.0b | 11.4x | 18.5x | 2x |
| Sun, 31 Mar 2024 | HK$5.8t | HK$3.2t | HK$346.8b | 11.7x | 16.8x | 1.8x |
| Tue, 27 Feb 2024 | HK$5.6t | HK$3.2t | HK$425.9b | 12.9x | 13.2x | 1.8x |
| Thu, 25 Jan 2024 | HK$5.5t | HK$3.2t | HK$429.8b | 12.2x | 12.7x | 1.7x |
| Sat, 23 Dec 2023 | HK$5.3t | HK$3.2t | HK$426.7b | 12.8x | 12.4x | 1.7x |
| Mon, 20 Nov 2023 | HK$5.8t | HK$3.2t | HK$408.9b | 12.6x | 14.1x | 1.8x |
| Wed, 18 Oct 2023 | HK$5.8t | HK$3.1t | HK$407.8b | 12.5x | 14.3x | 1.9x |
| Fri, 15 Sep 2023 | HK$6.1t | HK$3.1t | HK$409.0b | 11.1x | 14.8x | 1.9x |
| Sun, 13 Aug 2023 | HK$6.2t | HK$3.1t | HK$391.1b | 12.2x | 16x | 2x |
| Tue, 11 Jul 2023 | HK$6.0t | HK$3.1t | HK$385.1b | 13.7x | 15.6x | 2x |
| Thu, 08 Jun 2023 | HK$6.2t | HK$3.1t | HK$392.3b | 14.6x | 15.8x | 2x |
| Sat, 06 May 2023 | HK$6.4t | HK$3.2t | HK$395.8b | 15.2x | 16.3x | 2x |
| Mon, 03 Apr 2023 | HK$6.7t | HK$3.1t | HK$398.8b | 13x | 16.8x | 2.1x |
| Wed, 01 Mar 2023 | HK$6.1t | HK$3.1t | HK$381.4b | 11.5x | 15.9x | 2x |
| Fri, 27 Jan 2023 | HK$6.6t | HK$3.1t | HK$392.8b | 11.6x | 16.9x | 2.1x |
| Sun, 25 Dec 2022 | HK$5.5t | HK$3.0t | HK$380.8b | 10.4x | 14.5x | 1.8x |
| Tue, 22 Nov 2022 | HK$5.0t | HK$3.0t | HK$369.5b | 10.2x | 13.5x | 1.7x |
| Thu, 20 Oct 2022 | HK$4.5t | HK$2.9t | HK$370.7b | 10.3x | 12.3x | 1.6x |
| Sat, 17 Sep 2022 | HK$5.2t | HK$3.0t | HK$381.8b | 10.4x | 13.5x | 1.7x |
| Mon, 15 Aug 2022 | HK$5.4t | HK$3.1t | HK$415.0b | 9.2x | 13.1x | 1.8x |
| Wed, 13 Jul 2022 | HK$5.7t | HK$3.1t | HK$403.4b | 9.7x | 14.2x | 1.9x |
| Fri, 10 Jun 2022 | HK$6.3t | HK$3.1t | HK$405.6b | 10.6x | 15.5x | 2x |
| Sun, 08 May 2022 | HK$5.7t | HK$3.1t | HK$374.9b | 10.5x | 15.3x | 1.9x |
| Tue, 05 Apr 2022 | HK$6.4t | HK$3.2t | HK$386.8b | 11.6x | 16.5x | 2x |
| Thu, 03 Mar 2022 | HK$6.6t | HK$3.1t | HK$326.4b | 10.4x | 20.4x | 2.1x |
| Sat, 29 Jan 2022 | HK$7.0t | HK$3.1t | HK$321.5b | 10x | 21.9x | 2.3x |
| Mon, 27 Dec 2021 | HK$6.9t | HK$3.1t | HK$321.6b | 10.1x | 21.3x | 2.2x |
| Wed, 24 Nov 2021 | HK$7.2t | HK$3.1t | HK$293.2b | 12.2x | 24.5x | 2.3x |
| Fri, 22 Oct 2021 | HK$7.5t | HK$3.0t | HK$286.7b | 11.2x | 26x | 2.5x |
Price to Earnings Ratio
26x
Current Industry PE
- Investors are optimistic on the Hong Kong Communication Services industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 18.0x which is higher than its 3-year average PE of 16.3x.
- The 3-year average PS ratio of 2.0x is lower than the industry's current PS ratio of 2.2x.
Past Earnings Growth
- The earnings for companies in the Communication Services industry have grown 12% per year over the last three years.
- Revenues for these companies have grown 3.7% 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 Telecom sector?
| HK Market | -6.19% | |
| Telecom | -5.62% | |
| Media | 0.63% | |
| Telecom Services and Carriers | -0.47% | |
| Wireless Telecom | -1.26% | |
| Interactive Media and Services | -8.45% | |
| Entertainment | -8.53% | |
Industry PE
- Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio of 66.2x.
- Analysts are expecting annual earnings growth of 28.4%, which is higher than its past year's earnings growth of 10.1% per year.
Forecasted Growth
- Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 28% over the next 5 years.
- This is better than its past earnings growth rate of 10% per year.
- In contrast, the Wireless Telecom industry is expected to see its earnings grow by 2.9% 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 | |
|---|---|---|---|---|---|
| 2540 Lesi Group | HK$1.70 | 29.8% +HK$195.0m | n/a | PE12.1x | |
| 2422 Rego Interactive | HK$0.57 | 14.0% +HK$105.0m | 42.5% | PE171.9x | |
| 2458 Gala Technology Holding | HK$4.65 | 16.8% +HK$92.5m | 16.3% | PE9.7x | |
| 1640 Ruicheng (China) Media Group | HK$2.49 | 6.9% +HK$89.6m | 479.1% | PS5.6x | |
| 2309 ZO Future Group | HK$2.23 | 4.7% +HK$81.5m | 214.1% | PS6.6x |
