Declared Dividend • May 18
Dividend increased to CN¥0.07 Dividend of CN¥0.07 is 17% higher than last year. Ex-date: 20th May 2026 Payment date: 20th May 2026 Dividend yield will be 1.4%, which is lower than the industry average of 2.2%. Sustainability & Growth Dividend is not covered by earnings (102% earnings payout ratio). However, it is well covered by cash flows (5% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to grow by 13% to bring the payout ratio under control. EPS is expected to grow by 41% over the next year, which is sufficient to bring the dividend into a sustainable range. New Risk • Apr 25
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 47% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (47% net debt to equity). Dividend is not well covered by earnings (102% payout ratio). Large one-off items impacting financial results. Reported Earnings • Apr 25
First quarter 2026 earnings released: EPS: CN¥0.13 (vs CN¥0.13 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.13 (down from CN¥0.13 in 1Q 2025). Revenue: CN¥3.17b (down 2.9% from 1Q 2025). Net income: CN¥148.1m (down 1.9% from 1Q 2025). Profit margin: 4.7% (up from 4.6% in 1Q 2025). Revenue is forecast to grow 4.4% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has only fallen by 4% per year, which means it has not declined as severely as earnings. Announcement • Mar 31
Rainbow Digital Commercial Co., Ltd. to Report Q1, 2026 Results on Apr 25, 2026 Rainbow Digital Commercial Co., Ltd. announced that they will report Q1, 2026 results on Apr 25, 2026 Reported Earnings • Mar 17
Full year 2025 earnings: EPS and revenues miss analyst expectations Full year 2025 results: EPS: CN¥0.071 (up from CN¥0.066 in FY 2024). Revenue: CN¥11.6b (down 1.9% from FY 2024). Net income: CN¥83.2m (up 8.4% from FY 2024). Profit margin: 0.7% (in line with FY 2024). Revenue missed analyst estimates by 3.1%. Earnings per share (EPS) also missed analyst estimates by 35%. Revenue is forecast to grow 3.6% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Mar 14
Rainbow Digital Commercial Co., Ltd. Proposes Final Cash Dividend for the Year 2025 Rainbow Digital Commercial Co., Ltd. proposed final cash dividend of CNY 0.70000000 per 10 shares (tax included) for the year 2025. Announcement • Mar 12
Rainbow Digital Commercial Co., Ltd., Annual General Meeting, Apr 09, 2026 Rainbow Digital Commercial Co., Ltd., Annual General Meeting, Apr 09, 2026, at 14:30 China Standard Time. Location: 18F, No. 3019, Zhongxin Road (Shenzhen Bay Section), Nanshan District, Shenzhen, Guangdong China Announcement • Dec 31
Rainbow Digital Commercial Co., Ltd. to Report Fiscal Year 2025 Results on Mar 13, 2026 Rainbow Digital Commercial Co., Ltd. announced that they will report fiscal year 2025 results on Mar 13, 2026 Reported Earnings • Oct 29
Third quarter 2025 earnings released: CN¥0.078 loss per share (vs CN¥0.03 loss in 3Q 2024) Third quarter 2025 results: CN¥0.078 loss per share (further deteriorated from CN¥0.03 loss in 3Q 2024). Revenue: CN¥2.87b (down 2.0% from 3Q 2024). Net loss: CN¥91.2m (loss widened 157% from 3Q 2024). Revenue is forecast to grow 1.8% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Announcement • Sep 30
Rainbow Digital Commercial Co., Ltd. to Report Q3, 2025 Results on Oct 29, 2025 Rainbow Digital Commercial Co., Ltd. announced that they will report Q3, 2025 results on Oct 29, 2025 Announcement • Sep 21
Rainbow Digital Commercial Co., Ltd. Appoints Pan Shoupei and Chen Liping as Independent Directors Rainbow Digital Commercial Co., Ltd. announced that at the EGM held on 18 September 2025, approved the appointment of Pan Shoupei and Chen Liping as independent directors. Reported Earnings • Aug 23
Second quarter 2025 earnings released: EPS: CN¥0.002 (vs CN¥0.004 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.002 (down from CN¥0.004 in 2Q 2024). Revenue: CN¥2.74b (down 1.3% from 2Q 2024). Net income: CN¥2.77m (down 41% from 2Q 2024). Profit margin: 0.1% (down from 0.2% in 2Q 2024). Revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 5.6% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Announcement • Jul 02
Rainbow Digital Commercial Co., Ltd. to Report First Half, 2025 Results on Aug 23, 2025 Rainbow Digital Commercial Co., Ltd. announced that they will report first half, 2025 results on Aug 23, 2025 Buy Or Sell Opportunity • Jun 27
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 8.5% to CN¥5.35. The fair value is estimated to be CN¥4.43, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 28%. Revenue is forecast to grow by 2.8% in 2 years. Earnings are forecast to grow by 91% in the next 2 years. Announcement • May 17
Rainbow Digital Commercial Co., Ltd. Approves Cash Dividend for 2024 Rainbow Digital Commercial Co., Ltd. at the Annual General Meeting of 2024 on 13 May 2025 approved 2024 profit distribution plan: Cash dividend per 10 shares (tax included) of CNY 0.60000000. Buy Or Sell Opportunity • Apr 29
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 13% to CN¥5.32. The fair value is estimated to be CN¥4.43, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 28%. Revenue is forecast to grow by 4.9% in a year. Earnings are forecast to grow by 79% in the next year. Reported Earnings • Apr 26
First quarter 2025 earnings released: EPS: CN¥0.13 (vs CN¥0.13 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.13 (up from CN¥0.13 in 1Q 2024). Revenue: CN¥3.27b (down 2.2% from 1Q 2024). Net income: CN¥151.0m (up 1.2% from 1Q 2024). Profit margin: 4.6% (up from 4.5% in 1Q 2024). Revenue is forecast to grow 4.6% p.a. on average during the next 2 years, compared to a 6.9% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Announcement • Apr 17
Rainbow Digital Commercial Co., Ltd. (SZSE:002419) announces an Equity Buyback for CNY 200 million worth of its shares. Rainbow Digital Commercial Co., Ltd. (SZSE:002419) announces a share repurchase program. Under the program, the company will repurchase up to CNY 200 million worth of its A shares. The shares will be repurchased at a price of not more than CNY 7.54 per share. The purpose of the program is capital reduction. The buyback is subject to shareholders approval. The program will be valid for 12 months from the date of shareholders approval. Announcement • Apr 10
Rainbow Digital Commercial Co., Ltd., Annual General Meeting, May 13, 2025 Rainbow Digital Commercial Co., Ltd., Annual General Meeting, May 13, 2025, at 14:30 China Standard Time. Location: 18F, No. 3019, Zhongxin Road Shenzhen Bay Section, Nanshan District, Shenzhen, Guangdong China Announcement • Mar 31
Rainbow Digital Commercial Co., Ltd. to Report Q1, 2025 Results on Apr 26, 2025 Rainbow Digital Commercial Co., Ltd. announced that they will report Q1, 2025 results on Apr 26, 2025 Board Change • Mar 20
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 4 independent directors. 5 non-independent directors. Non-Independent Director Xianhu Xiang was the last independent director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Reported Earnings • Mar 18
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: CN¥0.066 (down from CN¥0.19 in FY 2023). Revenue: CN¥11.8b (down 2.5% from FY 2023). Net income: CN¥76.7m (down 66% from FY 2023). Profit margin: 0.7% (down from 1.9% in FY 2023). Revenue missed analyst estimates by 3.3%. Earnings per share (EPS) also missed analyst estimates by 57%. Revenue is forecast to grow 3.8% p.a. on average during the next 2 years, compared to a 6.6% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 23% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Announcement • Mar 18
Rainbow Digital Commercial Co., Ltd. Proposes Final Dividend for the Year 2024 Rainbow Digital Commercial Co., Ltd. proposed final dividend of CNY 0.60000000 per ten shares (tax included) for the year 2024. Valuation Update With 7 Day Price Move • Jan 06
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥4.81, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 24x in the Multiline Retail industry in China. Total loss to shareholders of 20% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥8.40 per share. Announcement • Dec 31
Rainbow Digital Commercial Co., Ltd. to Report Fiscal Year 2024 Results on Mar 15, 2025 Rainbow Digital Commercial Co., Ltd. announced that they will report fiscal year 2024 results on Mar 15, 2025 Price Target Changed • Nov 09
Price target decreased by 19% to CN¥5.40 Down from CN¥6.69, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of CN¥5.52. Stock is up 3.0% over the past year. The company is forecast to post earnings per share of CN¥0.18 for next year compared to CN¥0.19 last year. Reported Earnings • Oct 26
Third quarter 2024 earnings released: CN¥0.03 loss per share (vs CN¥0.008 profit in 3Q 2023) Third quarter 2024 results: CN¥0.03 loss per share (down from CN¥0.008 profit in 3Q 2023). Revenue: CN¥2.93b (down 3.0% from 3Q 2023). Net loss: CN¥35.5m (down 458% from profit in 3Q 2023). Revenue is forecast to grow 3.6% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 26% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Announcement • Sep 30
Rainbow Digital Commercial Co., Ltd. to Report Q3, 2024 Results on Oct 30, 2024 Rainbow Digital Commercial Co., Ltd. announced that they will report Q3, 2024 results on Oct 30, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥4.98, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 19x in the Multiline Retail industry in China. Total loss to shareholders of 13% over the past three years. Reported Earnings • Aug 28
Second quarter 2024 earnings released: EPS: CN¥0.004 (vs CN¥0.006 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.004 (down from CN¥0.006 in 2Q 2023). Revenue: CN¥2.78b (down 2.4% from 2Q 2023). Net income: CN¥4.68m (down 28% from 2Q 2023). Profit margin: 0.2% (in line with 2Q 2023). Revenue is forecast to grow 3.9% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Announcement • Jun 29
Rainbow Digital Commercial Co., Ltd. to Report First Half, 2024 Results on Aug 28, 2024 Rainbow Digital Commercial Co., Ltd. announced that they will report first half, 2024 results on Aug 28, 2024 Reported Earnings • Apr 27
First quarter 2024 earnings released: EPS: CN¥0.13 (vs CN¥0.18 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.13 (down from CN¥0.18 in 1Q 2023). Revenue: CN¥3.34b (down 1.3% from 1Q 2023). Net income: CN¥149.2m (down 28% from 1Q 2023). Profit margin: 4.5% (down from 6.2% in 1Q 2023). Revenue is forecast to grow 4.4% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Declared Dividend • Apr 23
Dividend increased to CN¥0.16 Dividend of CN¥0.16 is 220% higher than last year. Ex-date: 26th April 2024 Payment date: 26th April 2024 Dividend yield will be 3.3%, which is higher than the industry average of 2.2%. Sustainability & Growth Dividend is covered by both earnings (83% earnings payout ratio) and cash flows (8% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 40% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 30
Rainbow Digital Commercial Co., Ltd. to Report Q1, 2024 Results on Apr 27, 2024 Rainbow Digital Commercial Co., Ltd. announced that they will report Q1, 2024 results on Apr 27, 2024 Buy Or Sell Opportunity • Mar 21
Now 26% overvalued after recent price rise Over the last 90 days, the stock has risen 5.3% to CN¥5.61. The fair value is estimated to be CN¥4.45, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 30%. For the next 3 years, revenue is forecast to grow by 4.4% per annum. Earnings are also forecast to grow by 16% per annum over the same time period. Reported Earnings • Mar 17
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: CN¥0.19 (up from CN¥0.10 in FY 2022). Revenue: CN¥12.1b (flat on FY 2022). Net income: CN¥226.7m (up 89% from FY 2022). Profit margin: 1.9% (up from 1.0% in FY 2022). Revenue missed analyst estimates by 3.5%. Earnings per share (EPS) also missed analyst estimates by 14%. Revenue is forecast to grow 5.0% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥4.33, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 14x in the Multiline Retail industry in China. Total loss to shareholders of 36% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥4.34 per share. Buy Or Sell Opportunity • Jan 25
Now 22% overvalued Over the last 90 days, the stock has fallen 2.2% to CN¥5.29. The fair value is estimated to be CN¥4.34, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 33%. Revenue is forecast to grow by 13% in 2 years. Earnings are forecast to grow by 56% in the next 2 years. Announcement • Dec 30
Rainbow Digital Commercial Co., Ltd. to Report Fiscal Year 2023 Results on Mar 15, 2024 Rainbow Digital Commercial Co., Ltd. announced that they will report fiscal year 2023 results on Mar 15, 2024 Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: CN¥0.008 (vs CN¥0.039 loss in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.008 (up from CN¥0.039 loss in 3Q 2022). Revenue: CN¥3.02b (up 1.0% from 3Q 2022). Net income: CN¥9.93m (up CN¥55.5m from 3Q 2022). Profit margin: 0.3% (up from net loss in 3Q 2022). Revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Announcement • Sep 30
Rainbow Digital Commercial Co., Ltd. to Report Q3, 2023 Results on Oct 27, 2023 Rainbow Digital Commercial Co., Ltd. announced that they will report Q3, 2023 results on Oct 27, 2023 Reported Earnings • Aug 25
Second quarter 2023 earnings released: EPS: CN¥0.006 (vs CN¥0.10 loss in 2Q 2022) Second quarter 2023 results: EPS: CN¥0.006 (up from CN¥0.10 loss in 2Q 2022). Revenue: CN¥2.85b (up 2.8% from 2Q 2022). Net income: CN¥6.53m (up CN¥125.4m from 2Q 2022). Profit margin: 0.2% (up from net loss in 2Q 2022). Revenue is forecast to grow 6.7% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Announcement • Jul 01
Rainbow Digital Commercial Co., Ltd. to Report First Half, 2023 Results on Aug 25, 2023 Rainbow Digital Commercial Co., Ltd. announced that they will report first half, 2023 results on Aug 25, 2023 Price Target Changed • Jun 07
Price target decreased by 9.2% to CN¥7.37 Down from CN¥8.12, the current price target is an average from 2 analysts. New target price is 20% above last closing price of CN¥6.16. Stock is down 10% over the past year. The company is forecast to post earnings per share of CN¥0.24 for next year compared to CN¥0.10 last year. Reported Earnings • Mar 18
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: CN¥0.10 (down from CN¥0.20 in FY 2021). Revenue: CN¥12.1b (down 1.2% from FY 2021). Net income: CN¥120.1m (down 48% from FY 2021). Profit margin: 1.0% (down from 1.9% in FY 2021). Revenue missed analyst estimates by 6.5%. Earnings per share (EPS) also missed analyst estimates by 55%. Revenue is forecast to grow 10% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Price Target Changed • Nov 16
Price target decreased to CN¥7.50 Down from CN¥8.12, the current price target is provided by 1 analyst. New target price is 35% above last closing price of CN¥5.57. Stock is down 7.9% over the past year. The company is forecast to post earnings per share of CN¥0.23 for next year compared to CN¥0.19 last year. Reported Earnings • Oct 27
Third quarter 2022 earnings released: CN¥0.039 loss per share (vs CN¥0.095 profit in 3Q 2021) Third quarter 2022 results: CN¥0.039 loss per share (down from CN¥0.095 profit in 3Q 2021). Revenue: CN¥2.99b (flat on 3Q 2021). Net loss: CN¥45.5m (down 140% from profit in 3Q 2021). Revenue is forecast to grow 7.8% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Price Target Changed • Oct 14
Price target decreased to CN¥7.50 Down from CN¥8.12, the current price target is provided by 1 analyst. New target price is 34% above last closing price of CN¥5.59. Stock is down 8.4% over the past year. The company is forecast to post earnings per share of CN¥0.24 for next year compared to CN¥0.19 last year. Announcement • Sep 14
Rainbow Digital Commercial Co., Ltd. Announces Executive Appointments Rainbow Digital Commercial Co., Ltd. at the Extraordinary General Meeting held on 09 September 2022, approved election of non-independent directors, cumulative voting system applicable: Xiang Xianhu and Deng Jianghu; Election of independent directors, cumulative voting system applicable: Zeng Quan. Major Estimate Revision • Aug 31
Consensus EPS estimates fall by 23% The consensus outlook for earnings per share (EPS) in 2022 has deteriorated. 2022 revenue forecast decreased from CN¥13.1b to CN¥12.9b. EPS estimate also fell from CN¥0.32 per share to CN¥0.25 per share. Net income forecast to grow 15% next year vs 13% growth forecast for Multiline Retail industry in China. Consensus price target down from CN¥8.12 to CN¥7.87. Share price fell 5.9% to CN¥5.74 over the past week. Reported Earnings • Aug 26
Second quarter 2022 earnings released: CN¥0.10 loss per share (vs CN¥0.064 profit in 2Q 2021) Second quarter 2022 results: CN¥0.10 loss per share (down from CN¥0.064 profit in 2Q 2021). Revenue: CN¥2.77b (down 2.0% from 2Q 2021). Net loss: CN¥118.9m (down 255% from profit in 2Q 2021). Over the next year, revenue is forecast to grow 9.6%, compared to a 122% growth forecast for the Multiline Retail industry in China. Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • May 04
Investor sentiment improved over the past week After last week's 21% share price gain to CN¥6.75, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 20x in the Multiline Retail industry in China. Total loss to shareholders of 42% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥4.02 per share. Reported Earnings • Apr 28
First quarter 2022 earnings: EPS and revenues miss analyst expectations First quarter 2022 results: EPS: CN¥0.24 (up from CN¥0.056 in 1Q 2021). Revenue: CN¥3.46b (up 2.7% from 1Q 2021). Net income: CN¥279.0m (up 318% from 1Q 2021). Profit margin: 8.1% (up from 2.0% in 1Q 2021). Revenue missed analyst estimates by 3.4%. Earnings per share (EPS) also missed analyst estimates by 46%. Over the next year, revenue is forecast to grow 10%, compared to a 11% growth forecast for the industry in China. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 25% per year, which means it has not declined as severely as earnings. Board Change • Apr 27
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Junkang Huang was the last director to join the board, commencing their role in 2019. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Announcement • Apr 13
Rainbow Digital Commercial Co., Ltd. Announces Final Dividend on A Shares for the Year 2021, Payable on April 20, 2021 Rainbow Digital Commercial Co., Ltd. announced final cash dividend/10 shares (tax included) of CNY 1.60000000 on A shares for the year 2021. Record date is 19 April 2022. Ex-date is 20 April 2022. Payment date is April 20, 2021. Valuation Update With 7 Day Price Move • Apr 12
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥7.26, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 17x in the Multiline Retail industry in China. Total loss to shareholders of 46% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥3.87 per share. Announcement • Apr 07
Rainbow Digital Commercial Co., Ltd. Declares Final Cash Dividend for the Year 2021 Rainbow Digital Commercial Co., Ltd. declared final cash dividend of CNY 1.60000000 per 10 shares (tax included) for the year 2021. Reported Earnings • Mar 11
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.20 (down from CN¥0.21 in FY 2020). Revenue: CN¥12.3b (up 4.0% from FY 2020). Net income: CN¥232.1m (down 8.4% from FY 2020). Profit margin: 1.9% (down from 2.1% in FY 2020). Revenue missed analyst estimates by 3.4%. Earnings per share (EPS) also missed analyst estimates by 46%. Over the next year, revenue is forecast to grow 15%, compared to a 15% growth forecast for the retail industry in China. Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Jan 21
Investor sentiment improved over the past week After last week's 35% share price gain to CN¥8.56, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 17x in the Multiline Retail industry in China. Total loss to shareholders of 19% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥4.32 per share. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.095 (vs CN¥0.076 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CN¥3.00b (up 1.4% from 3Q 2020). Net income: CN¥113.3m (up 24% from 3Q 2020). Profit margin: 3.8% (up from 3.1% in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 41% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Price Target Changed • Sep 06
Price target decreased to CN¥9.91 Down from CN¥11.55, the current price target is an average from 6 analysts. New target price is 65% above last closing price of CN¥6.02. Stock is down 41% over the past year. Reported Earnings • Aug 18
Second quarter 2021 earnings released: EPS CN¥0.064 (vs CN¥0.072 in 2Q 2020) The company reported a poor second quarter result with weaker earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥2.83b (down 2.3% from 2Q 2020). Net income: CN¥76.5m (down 11% from 2Q 2020). Profit margin: 2.7% (down from 3.0% in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 38% per year but the company’s share price has only fallen by 19% per year, which means it has not declined as severely as earnings. Reported Earnings • Apr 15
First quarter 2021 earnings released: EPS CN¥0.056 (vs CN¥0.042 loss in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: CN¥3.37b (up 12% from 1Q 2020). Net income: CN¥66.7m (up CN¥116.9m from 1Q 2020). Profit margin: 2.0% (up from net loss in 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Mar 26
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥9.34, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 18x in the Multiline Retail industry in China. Total loss to shareholders of 21% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥12.99 per share. Reported Earnings • Mar 12
Full year 2020 earnings released: EPS CN¥0.21 (vs CN¥0.72 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥11.8b (down 39% from FY 2019). Net income: CN¥253.4m (down 71% from FY 2019). Profit margin: 2.1% (down from 4.4% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 25% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Mar 12
Revenue and earnings miss expectations Revenue missed analyst estimates by 7.2%. Earnings per share (EPS) also missed analyst estimates by 31%. Over the next year, revenue is forecast to grow 24%, compared to a 15% growth forecast for the Multiline Retail industry in China. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥8.28, the stock is trading at a trailing P/E ratio of 29.7x, up from the previous P/E ratio of 25x. This compares to an average P/E of 29x in the Multiline Retail industry in China. Total return to shareholders over the past three years is a loss of 28%. Announcement • Jan 22
Rainbow Digital Commercial Co., Ltd. to Report Fiscal Year 2020 Results on Mar 12, 2021 Rainbow Digital Commercial Co., Ltd. announced that they will report fiscal year 2020 results on Mar 12, 2021 Is New 90 Day High Low • Jan 13
New 90-day low: CN¥6.76 The company is down 26% from its price of CN¥9.12 on 15 October 2020. The Chinese market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Multiline Retail industry, which is down 19% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥22.95 per share. Is New 90 Day High Low • Dec 23
New 90-day low: CN¥8.04 The company is down 13% from its price of CN¥9.22 on 24 September 2020. The Chinese market is up 2.0% over the last 90 days, indicating the company underperformed over that time. However, its price trend is similar to the Multiline Retail industry, which is also down 13% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥23.26 per share. Major Estimate Revision • Nov 05
Analysts lower EPS estimates to CN¥0.33 The 2020 consensus revenue estimate was lowered from CN¥13.5b to CN¥12.6b. Earning per share (EPS) estimate was also lowered from CN¥0.43 to CN¥0.33 for the same period. Net income is expected to grow by 106% next year compared to 72% growth forecast for the Multiline Retail industry in China. The consensus price target was lowered from CN¥13.06 to CN¥12.31. Share price stayed mostly flat at CN¥8.42 over the past week. Reported Earnings • Oct 30
Third quarter earnings released Over the last 12 months the company has reported total profits of CN¥334.7m, down 62% from the prior year. Total revenue was CN¥14.2b over the last 12 months, down 27% from the prior year. Is New 90 Day High Low • Oct 16
New 90-day low: CN¥8.90 The company is down 18% from its price of CN¥10.83 on 17 July 2020. The Chinese market is up 4.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Multiline Retail industry, which is down 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥24.20 per share. Is New 90 Day High Low • Sep 24
New 90-day low: CN¥9.43 The company is down 3.0% from its price of CN¥9.71 on 24 June 2020. The Chinese market is up 12% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Multiline Retail industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CN¥24.20 per share. Announcement • Aug 12
Rainbow Digital Commercial Co., Ltd. to Report First Half, 2020 Results on Aug 28, 2020 Rainbow Digital Commercial Co., Ltd. announced that they will report first half, 2020 results on Aug 28, 2020