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Hong Kong (HSI) Telecom Sector Analysis

UpdatedMar 18, 2024
DataAggregated Company Financials
Companies139
  • 7D1.5%
  • 3M-2.1%
  • 1Y-11.5%
  • YTD-0.8%

Over the last 7 days, the Telecom industry has risen 1.5%, driven by gains from Tencent Holdings of 5.1%. In contrast, the industry has lost 11% in the last 12 months. Looking forward, earnings are forecast to grow by 9.9% annually.

Sector Valuation and Performance

Has the Hong Kong Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 19 Mar 2024HK$5.6tHK$3.2tHK$426.8b12.5x13.1x1.8x
Thu, 15 Feb 2024HK$5.6tHK$3.2tHK$426.5b12.8x13.1x1.8x
Sat, 13 Jan 2024HK$5.5tHK$3.2tHK$424.7b12.7x13x1.7x
Mon, 11 Dec 2023HK$5.7tHK$3.2tHK$424.0b12.8x13.3x1.8x
Wed, 08 Nov 2023HK$5.7tHK$3.1tHK$409.5b10.9x13.9x1.8x
Fri, 06 Oct 2023HK$5.9tHK$3.1tHK$408.3b12.4x14.4x1.9x
Sun, 03 Sep 2023HK$6.1tHK$3.1tHK$409.5b11.6x14.8x1.9x
Tue, 01 Aug 2023HK$6.4tHK$3.1tHK$388.6b13.1x16.5x2.1x
Thu, 29 Jun 2023HK$6.2tHK$3.1tHK$384.8b14.5x16.1x2x
Sat, 27 May 2023HK$6.0tHK$3.1tHK$395.5b13.7x15.3x1.9x
Mon, 24 Apr 2023HK$6.4tHK$3.2tHK$396.8b14.1x16.3x2x
Wed, 22 Mar 2023HK$6.3tHK$3.1tHK$384.8b11.1x16.3x2x
Fri, 17 Feb 2023HK$6.5tHK$3.1tHK$389.5b11.7x16.7x2.1x
Sun, 15 Jan 2023HK$6.2tHK$3.2tHK$396.6b13x15.7x2x
Tue, 13 Dec 2022HK$5.5tHK$3.0tHK$380.0b10.3x14.5x1.8x
Thu, 10 Nov 2022HK$4.3tHK$2.9tHK$371.0b10.1x11.7x1.5x
Sat, 08 Oct 2022HK$4.8tHK$3.0tHK$375.0b11.3x12.9x1.6x
Mon, 05 Sep 2022HK$5.6tHK$3.0tHK$386.6b10.2x14.4x1.8x
Wed, 03 Aug 2022HK$5.3tHK$3.0tHK$401.5b9.1x13.1x1.7x
Fri, 01 Jul 2022HK$5.9tHK$3.1tHK$404.4b10.2x14.6x1.9x
Sun, 29 May 2022HK$5.7tHK$3.1tHK$404.9b10.3x14.1x1.9x
Tue, 26 Apr 2022HK$5.5tHK$3.2tHK$384.1b10.2x14.4x1.8x
Thu, 24 Mar 2022HK$6.3tHK$3.1tHK$327.1b9.8x19.3x2x
Sat, 19 Feb 2022HK$7.3tHK$3.1tHK$323.1b10.4x22.5x2.3x
Mon, 17 Jan 2022HK$7.2tHK$3.1tHK$321.8b10.3x22.3x2.3x
Wed, 15 Dec 2021HK$6.9tHK$3.1tHK$322.2b9.8x21.3x2.2x
Fri, 12 Nov 2021HK$7.2tHK$3.1tHK$293.4b10.7x24.4x2.3x
Sun, 10 Oct 2021HK$7.1tHK$3.0tHK$284.4b11.3x25.1x2.4x
Tue, 07 Sep 2021HK$7.6tHK$2.9tHK$281.3b12.7x26.9x2.6x
Thu, 05 Aug 2021HK$6.6tHK$2.9tHK$281.4b11.4x23.4x2.2x
Sun, 09 May 2021HK$9.2tHK$2.8tHK$218.7b13.7x42.1x3.3x
Price to Earnings Ratio

41.4x


Total Market Cap: HK$9.0tTotal Earnings: HK$218.7bTotal Revenue: HK$2.8tTotal Market Cap vs Earnings and Revenue0%0%0%
Hong Kong Telecom Sector Price to Earnings3Y Average 19.2x202220232024
Current Industry PE
  • Investors are pessimistic on the Hong Kong Communication Services industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 13.1x which is lower than its 3-year average PE of 19.2x.
  • The 3-year average PS ratio of 2.1x is higher than the industry's current PS ratio of 1.8x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 25% per year over the last three years.
  • Revenues for these companies have grown 4.5% 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 Market1.55%
Telecom1.50%
Media6.77%
Interactive Media and Services5.34%
Entertainment0.99%
Wireless Telecom-2.21%
Telecom Services and Carriers-3.58%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio of 12.1x.
    • Analysts are expecting annual earnings growth of 48.8%, which is higher than its past year's earnings decline of 20.1% per year.
  • Investors are most pessimistic about the Wireless Telecom industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 8.6x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 49% over the next 5 years.
  • This is better than its past earnings decline of 20% per year.
  • In contrast, the Wireless Telecom industry is expected to see its earnings grow by 5.8% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
700 Tencent HoldingsHK$289.804.0%
+HK$104.1b
-13.4%PE12.8x
1024 Kuaishou TechnologyHK$52.859.1%
+HK$19.1b
-0.3%PE170.3x
772 China LiteratureHK$27.359.2%
+HK$2.4b
-21.5%PE34.1x
1357 MeituHK$3.6116.1%
+HK$2.2b
43.8%PE39.3x
136 China Ruyi HoldingsHK$1.7311.6%
+HK$2.1b
-13.5%PE48.6x
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