DB:IWQ

Stock Analysis Report

Executive Summary

51job, Inc., through its subsidiaries, provides integrated human resource services in the People’s Republic of China.

Snowflake

Fundamentals

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has 51job's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IWQ has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.4%

IWQ

-0.1%

DE Professional Services

-0.3%

DE Market


1 Year Return

25.3%

IWQ

18.7%

DE Professional Services

10.9%

DE Market

Return vs Industry: IWQ exceeded the German Professional Services industry which returned 18.7% over the past year.

Return vs Market: IWQ exceeded the German Market which returned 10.9% over the past year.


Shareholder returns

IWQIndustryMarket
7 Day4.4%-0.1%-0.3%
30 Day2.9%4.3%2.6%
90 Day15.8%2.8%11.8%
1 Year25.3%25.3%22.1%18.7%14.4%10.9%
3 Year115.2%115.2%49.5%37.3%24.1%13.2%
5 Year143.1%143.1%83.7%59.9%33.0%14.8%

Price Volatility Vs. Market

How volatile is 51job's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is 51job undervalued compared to its fair value and its price relative to the market?

30.84x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IWQ (€70.5) is trading above our estimate of fair value (€68.4)

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


Price To Earnings Ratio

PE vs Industry: IWQ is poor value based on its PE Ratio (30.8x) compared to the Professional Services industry average (20.1x).

PE vs Market: IWQ is poor value based on its PE Ratio (30.8x) compared to the German market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: IWQ's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: IWQ is overvalued based on its PB Ratio (3.5x) compared to the XE Professional Services industry average (2.2x).


Next Steps

Future Growth

How is 51job forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-76.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IWQ's earnings are forecast to decline over the next 3 years (-76.3% per year).

Earnings vs Market: IWQ's earnings are forecast to decline over the next 3 years (-76.3% per year).

High Growth Earnings: IWQ's earnings are forecast to decline over the next 3 years.

Revenue vs Market: IWQ's revenue (5.1% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: IWQ's revenue (5.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IWQ's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has 51job performed over the past 5 years?

17.8%

Historical annual earnings growth


Earnings and Revenue History

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

Growing Profit Margin: IWQ's current net profit margins (28.9%) are higher than last year (19.9%).


Past Earnings Growth Analysis

Earnings Trend: IWQ's earnings have grown by 17.8% per year over the past 5 years.

Accelerating Growth: IWQ's earnings growth over the past year (62.4%) exceeds its 5-year average (17.8% per year).

Earnings vs Industry: IWQ earnings growth over the past year (62.4%) exceeded the Professional Services industry 7.1%.


Return on Equity

High ROE: IWQ's Return on Equity (10.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is 51job's financial position?


Financial Position Analysis

Short Term Liabilities: IWQ's short term assets (CN¥11.1B) exceeds its short term liabilities (CN¥2.7B)

Long Term Liabilities: IWQ's short term assets (CN¥11.1B) exceeds its long term liabilities (287.4M)


Debt to Equity History and Analysis

Debt Level: IWQ is debt free.

Reducing Debt: IWQ has no debt compared to 5 years ago when its debt to equity ratio was 30.1%.

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

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


Balance Sheet

Inventory Level: IWQ has a low level of unsold assets or inventory.

Debt Coverage by Assets: IWQ's debt is not covered by short term assets (assets are -7.8225006326384E+17x debt).


Next Steps

Dividend

What is 51job's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.5%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate IWQ's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate IWQ's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IWQ's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IWQ's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IWQ's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of 51job's salary, the management and board of directors tenure and is there insider trading?

6.7yrs

Average board tenure


CEO

Rick Yan (57yo)

19.8yrs

Tenure

0

Mr. Rick Yan is a Co-Founder of 51job Inc. and has been its Chief Executive Officer since 2000 and serves as its President and Secretary. Mr. Yan is responsible for 51job Inc.'s overall strategy and manage ...


Board Age and Tenure

6.7yrs

Average Tenure

54yo

Average Age

Experienced Board: IWQ's board of directors are considered experienced (6.7 years average tenure).


Insider Trading

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 been diluted in the past year, with total shares outstanding growing by 4.4%.


Management Team

  • Kathleen Chien (50yo)

    Co-Founder

    • Tenure: 0yrs
  • David Jin (49yo)

    Senior Vice President

    • Tenure: 0yrs
  • Rick Yan (57yo)

    Co-Founder

    • Tenure: 19.8yrs
  • Tao Wang (57yo)

    Vice President

    • Tenure: 0yrs
  • Linda Chien

    Head of Investor Relations and Vice President

    • Tenure: 0yrs
  • Lawrence Chen (51yo)

    Senior Vice President

    • Tenure: 0yrs

Board Members

  • David Chao (52yo)

    Chairman of the Board & Independent Director

    • Tenure: 6.7yrs
  • Rick Yan (57yo)

    Co-Founder

    • Tenure: 19.8yrs
  • Li-Lan Cheng (54yo)

    Independent Director

    • Tenure: 6.7yrs
  • Junichi Arai (53yo)

    Director

    • Tenure: 2.5yrs
  • Eric He (60yo)

    Independent Director

    • Tenure: 5.3yrs

Company Information

51job, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: 51job, Inc.
  • Ticker: IWQ
  • Exchange: DB
  • Founded: 1998
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: US$5.203b
  • Listing Market Cap: US$4.701b
  • Shares outstanding: 66.42m
  • Website: https://www.51job.com

Number of Employees


Location

  • 51job, Inc.
  • Building 3
  • No. 1387, Zhang Dong Road
  • Shanghai
  • 201203
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JOBSNasdaqGS (Nasdaq Global Select)YesSPON ADR EACH REPR 1 ORD SHSUSUSDSep 2004
IWQDB (Deutsche Boerse AG)YesSPON ADR EACH REPR 1 ORD SHSDEEURSep 2004
JOBS NBMV (Bolsa Mexicana de Valores)YesSPON ADR EACH REPR 1 ORD SHSMXMXNSep 2004
0A2HLSE (London Stock Exchange)YesSPON ADR EACH REPR 1 ORD SHSGBUSDSep 2004

Biography

51job, Inc., through its subsidiaries, provides integrated human resource services in the People’s Republic of China. The company offers online recruitment services through its Websites comprising 51job.co ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/22 20:31
End of Day Share Price2019/11/22 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.