SHSE:603444

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G-bits Network Technology (Xiamen)

Executive Summary

G-bits Network Technology (Xiamen) Co., Ltd. More Details


Snowflake Analysis

Flawless balance sheet with high growth potential.

Share Price & News

How has G-bits Network Technology (Xiamen)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 603444 is more volatile than 75% of CN stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 603444's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of CN stocks.


Market Performance


7 Day Return

12.4%

603444

-0.2%

CN Entertainment

0.5%

CN Market


1 Year Return

-11.2%

603444

-10.4%

CN Entertainment

23.2%

CN Market

Return vs Industry: 603444 matched the CN Entertainment industry which returned -10.4% over the past year.

Return vs Market: 603444 underperformed the CN Market which returned 23.2% over the past year.


Shareholder returns

603444IndustryMarket
7 Day12.4%-0.2%0.5%
30 Day6.1%-6.2%0.6%
90 Day-8.7%-7.8%3.8%
1 Year-10.1%-11.2%-9.9%-10.4%25.2%23.2%
3 Year145.1%127.5%-31.9%-33.2%30.0%23.6%
5 Yearn/a-46.2%-47.1%47.5%37.4%

Long-Term Price Volatility Vs. Market

How volatile is G-bits Network Technology (Xiamen)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is G-bits Network Technology (Xiamen) undervalued compared to its fair value and its price relative to the market?

2.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 603444 (CN¥367) is trading below our estimate of fair value (CN¥374.75)

Significantly Below Fair Value: 603444 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 603444 is good value based on its PE Ratio (28.2x) compared to the CN Entertainment industry average (33.6x).

PE vs Market: 603444 is good value based on its PE Ratio (28.2x) compared to the CN market (34.9x).


Price to Earnings Growth Ratio

PEG Ratio: 603444 is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 603444 is overvalued based on its PB Ratio (7.4x) compared to the CN Entertainment industry average (2.7x).


Next Steps

Future Growth

How is G-bits Network Technology (Xiamen) forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

21.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 603444's forecast earnings growth (21.4% per year) is above the savings rate (3.3%).

Earnings vs Market: 603444's earnings (21.4% per year) are forecast to grow slower than the CN market (25.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 603444's revenue (21.3% per year) is forecast to grow faster than the CN market (18.4% per year).

High Growth Revenue: 603444's revenue (21.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 603444's Return on Equity is forecast to be high in 3 years time (30.9%)


Next Steps

Past Performance

How has G-bits Network Technology (Xiamen) performed over the past 5 years?

17.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 603444 has high quality earnings.

Growing Profit Margin: 603444's current net profit margins (35%) are lower than last year (43.2%).


Past Earnings Growth Analysis

Earnings Trend: 603444's earnings have grown by 17.9% per year over the past 5 years.

Accelerating Growth: 603444's earnings growth over the past year (5.5%) is below its 5-year average (17.9% per year).

Earnings vs Industry: 603444 earnings growth over the past year (5.5%) underperformed the Entertainment industry 11.8%.


Return on Equity

High ROE: 603444's Return on Equity (30.7%) is considered high.


Next Steps

Financial Health

How is G-bits Network Technology (Xiamen)'s financial position?


Financial Position Analysis

Short Term Liabilities: 603444's short term assets (CN¥2.9B) exceed its short term liabilities (CN¥932.0M).

Long Term Liabilities: 603444's short term assets (CN¥2.9B) exceed its long term liabilities (CN¥162.1M).


Debt to Equity History and Analysis

Debt Level: 603444's debt to equity ratio (1.1%) is considered satisfactory.

Reducing Debt: 603444's debt to equity ratio has reduced from 1.3% to 1.1% over the past 5 years.

Debt Coverage: 603444's debt is well covered by operating cash flow (3488.6%).

Interest Coverage: 603444 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is G-bits Network Technology (Xiamen) current dividend yield, its reliability and sustainability?

1.36%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 603444's dividend (1.36%) is higher than the bottom 25% of dividend payers in the CN market (0.39%).

High Dividend: 603444's dividend (1.36%) is low compared to the top 25% of dividend payers in the CN market (1.77%).


Stability and Growth of Payments

Stable Dividend: 603444 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 603444's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.4%), 603444's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 603444's dividends in 3 years are forecast to be well covered by earnings (47.5% payout ratio).


Next Steps

Management

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

CN¥666k

CEO Compensation


CEO

Hong Lu (43 yo)

2.08yrs

Tenure

CN¥666,100

Compensation

Mr. Lu Hong Yan serves as Chairman of the Board and General Manager at Xiamen Gigabit Network Limited. Mr. Lu serves as an Executive Director of Xiamen Jufeng Software Technology Co., Ltd., Xiamen Leiting ...


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

G-bits Network Technology (Xiamen) Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: G-bits Network Technology (Xiamen) Co., Ltd.
  • Ticker: 603444
  • Exchange: SHSE
  • Founded: 2004
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Market Cap: CN¥26.331b
  • Shares outstanding: 71.86m
  • Website: https://www.g-bits.com

Number of Employees


Location

  • G-bits Network Technology (Xiamen) Co., Ltd.
  • G-bits Mansion No.4
  • Xiamen Software Park
  • Xiamen
  • Fujian Province
  • 361008
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
603444SHSE (Shanghai Stock Exchange)YesDomestic SharesCNCNYJan 2017
603444XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)YesDomestic SharesCNCNYJan 2017

Biography

G-bits Network Technology (Xiamen) Co., Ltd. develops and operates of video games. It offers client, Web, mobile, and VR games. The company was founded in 2004 and is based in Xiamen, China.


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/04 09:04
End of Day Share Price2021/03/04 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.