SZSE:002007

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Hualan Biological Engineering

Executive Summary

Hualan Biological Engineering Inc., a biopharmaceutical company, researches, develops, produces, and commercializes plasma products, viral vaccines, bacterial vaccines, and recombinant proteins and other biologics in the People’s Republic of China.


Snowflake Analysis

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Hualan Biological Engineering's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 002007's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.3%

2007

5.7%

CN Biotechs

2.9%

CN Market


1 Year Return

106.3%

2007

79.6%

CN Biotechs

16.6%

CN Market

Return vs Industry: 002007 exceeded the CN Biotechs industry which returned 73.3% over the past year.

Return vs Market: 002007 exceeded the CN Market which returned 14.8% over the past year.


Shareholder returns

2007IndustryMarket
7 Day3.3%5.7%2.9%
30 Day6.3%15.1%4.3%
90 Day20.7%15.3%-3.2%
1 Year109.4%106.3%80.8%79.6%18.5%16.6%
3 Year127.2%119.4%100.3%96.6%3.0%-1.4%
5 Year104.1%96.2%-3.7%-5.6%-39.4%-42.8%

Price Volatility Vs. Market

How volatile is Hualan Biological Engineering's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Hualan Biological Engineering undervalued compared to its fair value and its price relative to the market?

59.26x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 002007 (CN¥41.3) is trading above our estimate of fair value (CN¥25.73)

Significantly Below Fair Value: 002007 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 002007 is good value based on its PE Ratio (59.3x) compared to the Biotechs industry average (69.1x).

PE vs Market: 002007 is poor value based on its PE Ratio (59.3x) compared to the CN market (37.6x).


Price to Earnings Growth Ratio

PEG Ratio: 002007 is poor value based on its PEG Ratio (3.5x)


Price to Book Ratio

PB vs Industry: 002007 is overvalued based on its PB Ratio (11.1x) compared to the CN Biotechs industry average (6.4x).


Next Steps

Future Growth

How is Hualan Biological Engineering forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

16.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 002007's forecast earnings growth (16.7% per year) is above the savings rate (3.3%).

Earnings vs Market: 002007's earnings (16.7% per year) are forecast to grow slower than the CN market (23.2% per year).

High Growth Earnings: 002007's earnings are forecast to grow, but not significantly.

Revenue vs Market: 002007's revenue (16.5% per year) is forecast to grow slower than the CN market (16.6% per year).

High Growth Revenue: 002007's revenue (16.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 002007's Return on Equity is forecast to be high in 3 years time (21.2%)


Next Steps

Past Performance

How has Hualan Biological Engineering performed over the past 5 years?

18.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 002007 has high quality earnings.

Growing Profit Margin: 002007's current net profit margins (34.5%) are lower than last year (35.6%).


Past Earnings Growth Analysis

Earnings Trend: 002007's earnings have grown by 18.4% per year over the past 5 years.

Accelerating Growth: 002007's earnings growth over the past year (6.7%) is below its 5-year average (18.4% per year).

Earnings vs Industry: 002007 earnings growth over the past year (6.7%) exceeded the Biotechs industry -2.9%.


Return on Equity

High ROE: 002007's Return on Equity (19.1%) is considered low.


Next Steps

Financial Health

How is Hualan Biological Engineering's financial position?


Financial Position Analysis

Short Term Liabilities: 002007's short term assets (CN¥5.8B) exceed its short term liabilities (CN¥661.3M).

Long Term Liabilities: 002007's short term assets (CN¥5.8B) exceed its long term liabilities (CN¥4.8M).


Debt to Equity History and Analysis

Debt Level: 002007's debt to equity ratio (0.7%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 002007's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 002007's debt is well covered by operating cash flow (2541.1%).

Interest Coverage: 002007 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Hualan Biological Engineering's current dividend yield, its reliability and sustainability?

0.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 002007's dividend (0.75%) is higher than the bottom 25% of dividend payers in the CN market (0.42%).

High Dividend: 002007's dividend (0.75%) is low compared to the top 25% of dividend payers in the CN market (1.9%).


Stability and Growth of Payments

Stable Dividend: 002007's dividend payments have been volatile in the past 10 years.

Growing Dividend: 002007's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (44.2%), 002007's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 002007's dividends in 3 years are forecast to be well covered by earnings (42.2% payout ratio).


Next Steps

Management

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

CN¥800k

CEO Compensation


CEO

Kang An

7.17yrs

Tenure

CN¥800,000

Compensation

Mr. Kang An serves as the Chairman of the Board of Directors of Hualan Biological Engineering Inc. and has been its General Manager since April 24, 2013. 


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

Hualan Biological Engineering Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hualan Biological Engineering Inc.
  • Ticker: 2007
  • Exchange: SZSE
  • Founded: 1992
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CN¥75.346b
  • Shares outstanding: 1.82b
  • Website: https://www.hualanbio.com

Number of Employees


Location

  • Hualan Biological Engineering Inc.
  • Jia No. 1, Hualan Avenue
  • Xinxiang
  • Henan Province
  • 453003
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2007SZSE (Shenzhen Stock Exchange)YesDomestic SharesCNCNYJun 2004
2007XSEC (Shenzhen Stock Exchange - Shenzhen-Hong Kong Stock Connect)YesDomestic SharesCNCNYJun 2004

Biography

Hualan Biological Engineering Inc., a biopharmaceutical company, researches, develops, produces, and commercializes plasma products, viral vaccines, bacterial vaccines, and recombinant proteins and other biologics in the People’s Republic of China. Its plasma products comprise surgical lyophilized fibrin sealant, human coagulation factor VIII, human albumin, human fibrinogen, human hepatitis B immunoglobulin, human tetanus immunoglobulin, human prothrombin complex, human immunoglobulin, human thrombin lyophilized for external use, human rabies immunoglobulin, and human immunoglobulin (PH4) for intravenous injection. The company’s vaccines consist of meningococcal polysaccharide vaccine, inactivated influenza vaccine, recombinant hepatitis B vaccine, influenza A vaccine, and H7N9 inactivated influenza vaccine. It also offers gene products. Hualan Biological Engineering Inc. has strategic alliance with the Chinese Academy of Sciences. The company was founded in 1992 and is based in Xinxiang, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/04 14:34
End of Day Share Price2020/06/04 00:00
Earnings2020/03/31
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.