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Hisense Home Appliances Group

Market Cap

CN¥15.8b

Last Updated

2021/04/19 09:05 UTC

Data Sources

Company Financials +

Executive Summary

Hisense Home Appliances Group Co., Ltd. manufactures and sells white household electrical appliances under the Hisense, Kelon, and Ronshen brands in the People’s Republic of China and internationally. More Details


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.

Share Price & News

How has Hisense Home Appliances Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 000921 is not significantly more volatile than the rest of CN stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 000921's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

1.2%

921

-1.7%

CN Consumer Durables

-0.8%

CN Market


1 Year Return

83.0%

921

49.6%

CN Consumer Durables

24.8%

CN Market

Return vs Industry: 000921 exceeded the CN Consumer Durables industry which returned 49.6% over the past year.

Return vs Market: 000921 exceeded the CN Market which returned 24.8% over the past year.


Shareholder returns

921IndustryMarket
7 Day1.2%-1.7%-0.8%
30 Day19.4%0.2%0.9%
90 Day6.4%-8.8%-6.6%
1 Year88.8%83.0%52.9%49.6%26.7%24.8%
3 Year90.7%72.2%48.7%40.2%28.9%22.6%
5 Year169.0%134.2%120.4%101.0%30.2%21.5%

Long-Term Price Volatility Vs. Market

How volatile is Hisense Home Appliances Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Hisense Home Appliances Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 000921 (CN¥17.68) is trading below our estimate of fair value (CN¥382.14)

Significantly Below Fair Value: 000921 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 000921 is good value based on its PE Ratio (15.2x) compared to the CN Consumer Durables industry average (29.1x).

PE vs Market: 000921 is good value based on its PE Ratio (15.2x) compared to the CN market (33.5x).


Price to Earnings Growth Ratio

PEG Ratio: 000921 is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: 000921 is good value based on its PB Ratio (2.5x) compared to the CN Consumer Durables industry average (3.2x).


Future Growth

How is Hisense Home Appliances Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

13.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 000921's forecast earnings growth (13.6% per year) is above the savings rate (3.3%).

Earnings vs Market: 000921's earnings (13.6% per year) are forecast to grow slower than the CN market (22.9% per year).

High Growth Earnings: 000921's earnings are forecast to grow, but not significantly.

Revenue vs Market: 000921's revenue (9% per year) is forecast to grow slower than the CN market (17.7% per year).

High Growth Revenue: 000921's revenue (9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 000921's Return on Equity is forecast to be low in 3 years time (15.7%).


Past Performance

How has Hisense Home Appliances Group performed over the past 5 years?

11.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 000921 has high quality earnings.

Growing Profit Margin: 000921's current net profit margins (3.3%) are lower than last year (4.8%).


Past Earnings Growth Analysis

Earnings Trend: 000921's earnings have grown by 11.7% per year over the past 5 years.

Accelerating Growth: 000921's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 000921 had negative earnings growth (-11.8%) over the past year, making it difficult to compare to the Consumer Durables industry average (7.1%).


Return on Equity

High ROE: 000921's Return on Equity (19.8%) is considered low.


Financial Health

How is Hisense Home Appliances Group's financial position?


Financial Position Analysis

Short Term Liabilities: 000921's short term assets (CN¥30.2B) exceed its short term liabilities (CN¥26.7B).

Long Term Liabilities: 000921's short term assets (CN¥30.2B) exceed its long term liabilities (CN¥685.8M).


Debt to Equity History and Analysis

Debt Level: 000921's debt to equity ratio (0.2%) is considered satisfactory.

Reducing Debt: 000921's debt to equity ratio has reduced from 5.1% to 0.2% over the past 5 years.

Debt Coverage: 000921's debt is well covered by operating cash flow (27070.8%).

Interest Coverage: 000921 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Hisense Home Appliances Group current dividend yield, its reliability and sustainability?

1.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 000921's dividend (1.96%) is higher than the bottom 25% of dividend payers in the CN market (0.44%).

High Dividend: 000921's dividend (1.96%) is in the top 25% of dividend payers in the CN market (1.83%)


Stability and Growth of Payments

Stable Dividend: 000921 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 000921's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (29.9%), 000921's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 000921's dividends in 3 years are forecast to be well covered by earnings (27.9% payout ratio).


Next Steps

Management

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

2.6yrs

Average management tenure


CEO

Yue Bin Duan (39 yo)

1.08yrs

Tenure

Mr. Yue Bin Duan is an Executive Director at Hisense Home Appliances Group Co., Ltd since June 23, 2020. He has been the President at Hisense Home Appliances Group Co., Ltd. since March 5, 2020. Mr. Duan h...


Leadership Team

Experienced Management: 000921's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: 000921's board of directors are considered experienced (4.8 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

Hisense Home Appliances Group Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hisense Home Appliances Group Co., Ltd.
  • Ticker: 921
  • Exchange: SZSE
  • Founded: 1984
  • Industry: Household Appliances
  • Sector: Consumer Durables
  • Market Cap: CN¥15.760b
  • Shares outstanding: 903.14m
  • Website: https://hxjd.hisense.cn

Number of Employees


Location

  • Hisense Home Appliances Group Co., Ltd.
  • No. 8, Ronggang Road
  • Ronggui Street
  • Foshan
  • Guangdong Province
  • 528303
  • China

Listings


Biography

Hisense Home Appliances Group Co., Ltd. manufactures and sells white household electrical appliances under the Hisense, Kelon, and Ronshen brands in the People’s Republic of China and internationally. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 09:05
End of Day Share Price2021/04/19 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.