WBAG:CBA

Stock Analysis Report

Brilliance China Automotive Holdings

Executive Summary

Brilliance China Automotive Holdings Limited, an investment holding company, manufactures and sells non-BMW automobiles and automotive components, and provides auto financing services in the People’s Republic of China and internationally.


Snowflake Analysis

Fair value with moderate growth potential.

Share Price & News

How has Brilliance China Automotive Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CBA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.3%

CBA

-1.9%

AT Auto

-1.3%

AT Market


1 Year Return

-2.1%

CBA

-5.6%

AT Auto

3.5%

AT Market

Return vs Industry: CBA exceeded the Austrian Auto industry which returned -5.6% over the past year.

Return vs Market: CBA underperformed the Austrian Market which returned 3.5% over the past year.


Shareholder returns

CBAIndustryMarket
7 Day4.3%-1.9%-1.3%
30 Day6.6%-3.9%0.4%
90 Day-11.5%-9.7%-1.2%
1 Year9.3%-2.1%-0.9%-5.6%7.2%3.5%
3 Yearn/a2.0%-8.7%27.3%15.8%
5 Yearn/a-17.0%-30.2%51.3%30.3%

Price Volatility Vs. Market

How volatile is Brilliance China Automotive Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Brilliance China Automotive Holdings undervalued compared to its fair value and its price relative to the market?

6.07x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CBA (€0.87) is trading above our estimate of fair value (€0.37)

Significantly Below Fair Value: CBA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CBA is good value based on its PE Ratio (6.1x) compared to the Auto industry average (9.8x).

PE vs Market: CBA is good value based on its PE Ratio (6.1x) compared to the Austrian market (14.1x).


Price to Earnings Growth Ratio

PEG Ratio: CBA is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: CBA is overvalued based on its PB Ratio (1x) compared to the XE Auto industry average (0.9x).


Next Steps

Future Growth

How is Brilliance China Automotive Holdings forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

10.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CBA's forecast earnings growth (10.4% per year) is above the savings rate (-0.1%).

Earnings vs Market: CBA's earnings (10.4% per year) are forecast to grow faster than the Austrian market (2.3% per year).

High Growth Earnings: CBA's earnings are forecast to grow, but not significantly.

Revenue vs Market: CBA's revenue (9.3% per year) is forecast to grow faster than the Austrian market (2.7% per year).

High Growth Revenue: CBA's revenue (9.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CBA's Return on Equity is forecast to be low in 3 years time (18.8%).


Next Steps

Past Performance

How has Brilliance China Automotive Holdings performed over the past 5 years?

5.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CBA has a high level of non-cash earnings.

Growing Profit Margin: CBA's current net profit margins are higher than last year .


Past Earnings Growth Analysis

Earnings Trend: CBA's earnings have grown by 5.5% per year over the past 5 years.

Accelerating Growth: CBA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CBA had negative earnings growth (-2.6%) over the past year, making it difficult to compare to the Auto industry average (2.3%).


Return on Equity

High ROE: CBA's Return on Equity (14.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Brilliance China Automotive Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: CBA's short term assets (CN¥15.0B) exceed its short term liabilities (CN¥10.4B).

Long Term Liabilities: CBA's short term assets (CN¥15.0B) exceed its long term liabilities (CN¥206.9M).


Debt to Equity History and Analysis

Debt Level: CBA's debt to equity ratio (13%) is considered satisfactory.

Reducing Debt: CBA's debt to equity ratio has increased from 8.2% to 13% over the past 5 years.

Debt Coverage: CBA's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if CBA's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: CBA has a low level of unsold assets or inventory.

Debt Coverage by Assets: CBA's debt is covered by short term assets (assets are 3.3x debt).


Next Steps

Dividend

What is Brilliance China Automotive Holdings's current dividend yield, its reliability and sustainability?

1.47%

Current Dividend Yield


Dividend Yield vs Market

company1.5%marketbottom25%1.6%markettop25%4.6%industryaverage4.9%forecastin3Years2.1%

Current dividend yield vs market & industry

Notable Dividend: CBA's dividend (1.47%) isn’t notable compared to the bottom 25% of dividend payers in the Austrian market (1.58%).

High Dividend: CBA's dividend (1.47%) is low compared to the top 25% of dividend payers in the Austrian market (4.58%).


Stability and Growth of Payments

Stable Dividend: CBA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CBA has only been paying a dividend for 7 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.2%), CBA's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CBA's dividends in 3 years are forecast to be thoroughly covered by earnings (8.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

9.8yrs

Average management tenure


CEO

Bingzhe Yan (56yo)

0.8yrs

Tenure

0

Mr. Yan Bingzhe has been Executive Director and Chief Executive Officer of Brilliance China Automotive Holdings Limited since April 12, 2019. Mr. Yan has been appointed as a Director of RBJAC and BBA. Mr.  ...


Leadership Team

NamePositionTenureCompensationOwnership
Xiao An Wu
Chairman17.7yrsCN¥8.12m0.12% CN¥5.4m
Zuming Qian
CFO & Executive Director3.4yrsCN¥1.96m0.012% CN¥518.4k
Wei Zhang
Executive Director3.4yrsno datano data
Bingzhe Yan
Executive Director & CEO0.8yrsno datano data
Yu Huang
VP, Chief Accountant & Head of the Financial Department12.8yrsno datano data
Lisa Ng
Executive Vice President0yrsno datano data
Yee Wah Lam
Company Secretary14.7yrsno datano data
Shen Yi
President of Shanghai Shenhua Holdings8.1yrsno datano data
Tongfu Liu
Vice General Manager of Auto Business Unit of Huachen3.9yrsno datano data

9.8yrs

Average Tenure

56yo

Average Age

Experienced Management: CBA's management team is seasoned and experienced (9.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Xiao An Wu
Chairman17.7yrsCN¥8.12m0.12% CN¥5.4m
Zuming Qian
CFO & Executive Director3.4yrsCN¥1.96m0.012% CN¥518.4k
Wei Zhang
Executive Director3.4yrsno datano data
Bingzhe Yan
Executive Director & CEO0.8yrsno datano data
Jian Song
Independent Non-Executive Director15.4yrsCN¥212.00kno data
Bo Jiang
Independent Non Executive Director15.4yrsCN¥212.00kno data
Bingjin Xu
Independent Non-Executive Director16.7yrsCN¥212.00kno data

15.4yrs

Average Tenure

57yo

Average Age

Experienced Board: CBA's board of directors are seasoned and experienced ( 15.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Brilliance China Automotive Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Brilliance China Automotive Holdings Limited
  • Ticker: CBA
  • Exchange: WBAG
  • Founded: 1992
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Market Cap: HK$36.881b
  • Listing Market Cap: HK$4.360b
  • Shares outstanding: 5.05b
  • Website: https://www.brillianceauto.com

Number of Employees


Location

  • Brilliance China Automotive Holdings Limited
  • Chater House
  • Suites 1602-05
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1114SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJul 1999
CBADB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 1999
1114SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJul 1999
1114SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJul 1999
CBAWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJul 1999
BCAU.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDMar 2010

Biography

Brilliance China Automotive Holdings Limited, an investment holding company, manufactures and sells non-BMW automobiles and automotive components, and provides auto financing services in the People’s Republic of China and internationally. The company offers minibuses under the JinBei, Renault, Haise, Grand Haise, and Granse brands, as well as multi-purpose vehicles under the Huasong brand. Its automotive components include moldings, seats, axles, safety and airbag systems, and interior decoration products, as well as engines for minibuses, sedans, sport utility vehicles, light duty trucks, etc. The company also offers sport activity vehicles. Brilliance China Automotive Holdings Limited has strategic partnerships and alliances with BMW, Toyota, Magna, Bosch, Continental, Delphi, TI Automotive, and Johnson Controls. The company was incorporated in 1992 and is headquartered in Central, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 23:39
End of Day Share Price2020/02/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.