SHSE:603709

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Zoy Home Furnishing Co.,Ltd. designs, produces, and sells furniture worldwide. More Details


Snowflake Analysis

Flawless balance sheet unattractive dividend payer.

Share Price & News

How has ZOY Home FurnishingLtd's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 603709 is not significantly more volatile than the rest of CN stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 603709's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

19.3%

603709

-1.0%

CN Consumer Durables

0.5%

CN Market


1 Year Return

-2.9%

603709

37.7%

CN Consumer Durables

25.8%

CN Market

Return vs Industry: 603709 underperformed the CN Consumer Durables industry which returned 37.7% over the past year.

Return vs Market: 603709 underperformed the CN Market which returned 25.8% over the past year.


Shareholder returns

603709IndustryMarket
7 Day19.3%-1.0%0.5%
30 Day6.6%9.1%4.7%
90 Day-9.3%18.0%8.1%
1 Year-2.0%-2.9%40.8%37.7%27.9%25.8%
3 Yearn/a37.7%29.7%21.3%15.3%
5 Yearn/a154.2%131.6%49.4%39.2%

Long-Term Price Volatility Vs. Market

How volatile is ZOY Home FurnishingLtd's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is ZOY Home FurnishingLtd undervalued compared to its fair value and its price relative to the market?

84.16x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 603709 (CN¥23) is trading above our estimate of fair value (CN¥2.39)

Significantly Below Fair Value: 603709 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 603709 is poor value based on its PE Ratio (84.2x) compared to the CN Consumer Durables industry average (31.1x).

PE vs Market: 603709 is poor value based on its PE Ratio (84.2x) compared to the CN market (35.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 603709's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 603709 is good value based on its PB Ratio (2.9x) compared to the CN Consumer Durables industry average (3.1x).


Next Steps

Future Growth

How is ZOY Home FurnishingLtd forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.5%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as ZOY Home FurnishingLtd has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has ZOY Home FurnishingLtd performed over the past 5 years?

-15.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 603709 has a high level of non-cash earnings.

Growing Profit Margin: 603709's current net profit margins (2%) are lower than last year (8%).


Past Earnings Growth Analysis

Earnings Trend: 603709's earnings have declined by 15.3% per year over the past 5 years.

Accelerating Growth: 603709's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 603709 had negative earnings growth (-72.9%) over the past year, making it difficult to compare to the Consumer Durables industry average (6.7%).


Return on Equity

High ROE: 603709's Return on Equity (3.5%) is considered low.


Next Steps

Financial Health

How is ZOY Home FurnishingLtd's financial position?


Financial Position Analysis

Short Term Liabilities: 603709's short term assets (CN¥607.1M) exceed its short term liabilities (CN¥347.5M).

Long Term Liabilities: 603709's short term assets (CN¥607.1M) exceed its long term liabilities (CN¥2.4M).


Debt to Equity History and Analysis

Debt Level: 603709 is debt free.

Reducing Debt: 603709 has no debt compared to 5 years ago when its debt to equity ratio was 3.7%.

Debt Coverage: 603709 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 603709 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is ZOY Home FurnishingLtd current dividend yield, its reliability and sustainability?

1.00%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 603709's dividend (1%) is higher than the bottom 25% of dividend payers in the CN market (0.39%).

High Dividend: 603709's dividend (1%) is low compared to the top 25% of dividend payers in the CN market (1.79%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 603709 has been paying a dividend for less than 10 years.

Growing Dividend: 603709's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (84.2%), 603709's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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


CEO

Yong Cao (43 yo)

no data

Tenure

Mr. Cao Yong serves as the Chairman and General Manager at Zoy Home Furnishing Co., Ltd. Mr. Cao served as the General Manager at Anji Zoy Artwares Co., Ltd. from April 2013 to September 2015, its Chairman...


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

ZOY Home Furnishing Co.,Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ZOY Home Furnishing Co.,Ltd
  • Ticker: 603709
  • Exchange: SHSE
  • Founded: 2001
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: CN¥1.673b
  • Shares outstanding: 80.00m
  • Website: https://www.zoy-living.com

Number of Employees


Location

  • ZOY Home Furnishing Co.,Ltd
  • Tong Pu Industrial Park
  • Anji County
  • Huzhou
  • Zhejiang Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
603709SHSE (Shanghai Stock Exchange)YesDomestic SharesCNCNYFeb 2018

Biography

Zoy Home Furnishing Co.,Ltd. designs, produces, and sells furniture worldwide. It offers motion, power motion, and stationary sofas, as well as accent chairs, push back and lift recliners, and office chair...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/21 09:22
End of Day Share Price2021/01/21 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.