SHSE:600104

Stock Analysis Report

Executive Summary

SAIC Motor Corporation Limited researches and develops, produces, and sells passenger cars and commercial vehicles in the People’s Republic of China and internationally.


Snowflake Analysis

Undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has SAIC Motor's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 600104 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

7.8%

600104

4.5%

CN Auto

-0.02%

CN Market


1 Year Return

-21.3%

600104

-21.5%

CN Auto

-4.5%

CN Market

Return vs Industry: 600104 matched the CN Auto industry which returned -21.5% over the past year.

Return vs Market: 600104 underperformed the CN Market which returned -4.5% over the past year.


Shareholder returns

600104IndustryMarket
7 Day7.8%4.5%-0.02%
30 Day-12.1%-13.0%-9.2%
90 Day-14.0%-12.7%-3.1%
1 Year-17.2%-21.3%-19.0%-21.5%-2.9%-4.5%
3 Year-5.3%-19.1%-30.9%-38.5%-10.6%-14.2%
5 Year3.4%-21.7%-40.7%-51.5%-18.2%-23.2%

Price Volatility Vs. Market

How volatile is SAIC Motor's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is SAIC Motor undervalued compared to its fair value and its price relative to the market?

2.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 600104 (CN¥20.53) is trading below our estimate of fair value (CN¥21.05)

Significantly Below Fair Value: 600104 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 600104 is good value based on its PE Ratio (8.2x) compared to the Auto industry average (22.5x).

PE vs Market: 600104 is good value based on its PE Ratio (8.2x) compared to the CN market (32.7x).


Price to Earnings Growth Ratio

PEG Ratio: 600104 is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: 600104 is good value based on its PB Ratio (1x) compared to the CN Auto industry average (1.1x).


Next Steps

Future Growth

How is SAIC Motor forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

11.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 600104's forecast earnings growth (11.6% per year) is above the savings rate (3.2%).

Earnings vs Market: 600104's earnings (11.6% per year) are forecast to grow slower than the CN market (21.2% per year).

High Growth Earnings: 600104's earnings are forecast to grow, but not significantly.

Revenue vs Market: 600104's revenue (4.2% per year) is forecast to grow slower than the CN market (15.8% per year).

High Growth Revenue: 600104's revenue (4.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 600104's Return on Equity is forecast to be low in 3 years time (11.5%).


Next Steps

Past Performance

How has SAIC Motor performed over the past 5 years?

4.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 600104 has high quality earnings.

Growing Profit Margin: 600104's current net profit margins (3.6%) are lower than last year (4.1%).


Past Earnings Growth Analysis

Earnings Trend: 600104's earnings have grown by 4.5% per year over the past 5 years.

Accelerating Growth: 600104's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 600104 had negative earnings growth (-22.2%) over the past year, making it difficult to compare to the Auto industry average (3.9%).


Return on Equity

High ROE: 600104's Return on Equity (13%) is considered low.


Next Steps

Financial Health

How is SAIC Motor's financial position?


Financial Position Analysis

Short Term Liabilities: 600104's short term assets (CN¥477.6B) exceed its short term liabilities (CN¥410.4B).

Long Term Liabilities: 600104's short term assets (CN¥477.6B) exceed its long term liabilities (CN¥98.7B).


Debt to Equity History and Analysis

Debt Level: 600104's debt to equity ratio (36%) is considered satisfactory.

Reducing Debt: 600104's debt to equity ratio has increased from 6.6% to 36% over the past 5 years.

Debt Coverage: 600104's debt is well covered by operating cash flow (60.3%).

Interest Coverage: 600104 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 600104 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 600104's debt is covered by short term assets (assets are 4.5x debt).


Next Steps

Dividend

What is SAIC Motor's current dividend yield, its reliability and sustainability?

6.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 600104's dividend (6.14%) is higher than the bottom 25% of dividend payers in the CN market (0.45%).

High Dividend: 600104's dividend (6.14%) is in the top 25% of dividend payers in the CN market (2%)


Stability and Growth of Payments

Stable Dividend: 600104's dividend payments have been volatile in the past 10 years.

Growing Dividend: 600104's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.5%), 600104's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 600104's dividends in 3 years are forecast to be well covered by earnings (42.1% payout ratio).


Next Steps

Management

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

1.2yrs

Average management tenure


CEO

Xiaoqiu Wang (55yo)

1.17s

Tenure

Mr. Xiaoqiu Wang serves as Vice Chairman of the Board at HUAYU Automotive Systems Company Limited. He has been President of SAIC Motor Corporation Limited since 2019 and serves as its Director since 2019 a ...


Leadership Team

NamePositionTenureCompensationOwnership
Yong Wei
VP & Acting CFOno dataCN¥1.89mno data
Xiaoqiu Wang
President & Director1.17yrsno datano data
Xiao Qiong Gu
Head of Accounting Departmentno datano datano data
Tom Lee
Regional Head of Middle East2.67yrsno datano data
Sijie Zu
VP & Chief Engineer1.17yrsno datano data
Xiaodong Chen
Board Secretary1.17yrsno datano data

1.2yrs

Average Tenure

49yo

Average Age

Experienced Management: 600104's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Xiaoqiu Wang
President & Director1.17yrsno datano data
Hong Chen
Chairman of the Board5.75yrsCN¥1.93m0.000070% CN¥167.9k
Ruoshan Li
Independent Director3.83yrsCN¥100.00kno data
Bao Jiang
Employee Representative Supervisor4.75yrsno datano data
Li Xin Zhong
Employee Representative Directorno dataCN¥1.69mno data
Jian Wang
Directorno datano datano data
Xinliang Tao
Independent Director4.75yrsCN¥100.00kno data
Zhu Peili
Employee representative Supervisor3yrsno datano data
Sai Zeng
Independent Directorno dataCN¥58.30kno data
Xiaosu Shen
Chairman of Board of Supervisors1.17yrsno datano data

3.8yrs

Average Tenure

57yo

Average Age

Experienced Board: 600104's board of directors are considered experienced (3.8 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.


Ownership Breakdown

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


Top Shareholders

Company Information

SAIC Motor Corporation Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SAIC Motor Corporation Limited
  • Ticker: 600104
  • Exchange: SHSE
  • Founded:
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Market Cap: CN¥239.861b
  • Shares outstanding: 11.68b
  • Website: https://www.saicmotor.com

Number of Employees


Location

  • SAIC Motor Corporation Limited
  • No. 489 Weihai Road
  • Jing'an District
  • Shanghai
  • 200041
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
600104SHSE (Shanghai Stock Exchange)YesDomestic SharesCNCNYDec 1997
600104XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)YesDomestic SharesCNCNYDec 1997

Biography

SAIC Motor Corporation Limited researches and develops, produces, and sells passenger cars and commercial vehicles in the People’s Republic of China and internationally. It is also involved in the promotion and commercialization of new-energy vehicles and Internet vehicles; implementation of technical research and industrialization exploration, such as intelligent driving; and research and development, production, and sale of spare parts, including power drive systems, chassis systems, interior and exterior decoration systems, and core components of new-energy vehicles, such as battery, electronic drive and power electronics, and intelligent products systems. In addition, the company engages in the auto service and trading business comprising logistics, auto e-commerce, mobility, energy-saving, and recharging services; automobile-related finance, insurance, and investment businesses; international commerce and trade businesses; and industry big data and artificial intelligence fields deployment activities. SAIC Motor Corporation Limited is based in Shanghai, the People’s Republic of China. SAIC Motor Corporation Limited is a subsidiary of Shanghai Automotive Industry Corporation (Group). 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 15:05
End of Day Share Price2020/03/27 00:00
Earnings2019/09/30
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.