Sitoy Group Holdings Limited designs, researches, develops, manufactures, sells, and retails handbags, small leather goods, travel goods, and footwear products under the TUSCAN’S, Fashion & Joy, Kenneth Cole, and Cole Haan brands.
The last earnings update was 23 days ago.
Discounted Cash Flow Calculation for DB:8SY using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
Sitoy Group Holdings
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
DB:8SY DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
Sitoy Group Holdings
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Sitoy Group Holdings's
is considered below, and whether this is a fair price.
Price based on past earnings
Sitoy Group Holdings's earnings available for a low price, and how does
this compare to other companies in the same industry?
Sitoy Group Holdings's earnings are expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).
Unable to determine if Sitoy Group Holdings is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Sitoy Group Holdings's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Sitoy Group Holdings
has a total score of
1/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Sitoy Group Holdings's finances.
The net worth of a company is the difference between its assets and liabilities.
Sitoy Group Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Sitoy Group Holdings's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Sitoy Group Holdings's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 17.4x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
Mr. Wo Fai Yeung serves as the Chief Executive Officer of Sitoy Group Holdings Limited. Mr. Yeung has been with Sitoy Group since 1974 and is responsible for the overall daily operations of its business. He is responsible for product development, marketing and administration of Sitoy Group. Mr. Yeung has over 35 years of experience in the handbag and leather goods industry and has focused on manufacturing luxury branded handbags and small leather goods for more than 10 years. From 1990 to 2000, Mr. Yeung was involved in legal proceedings with creditors stemming from amounts borrowed to finance personal real estate investments in Hong Kong. Mr. Yeung has been an Executive Director of Sitoy Group Holdings Limited since February 21, 2008 and is also one of Founders. Mr. Yeung serves as Director of each subsidiary of Sitoy Group.
Wo Fai's compensation has been consistent with company performance over the past year.
Wo Fai's remuneration is about average for companies of similar size in Germany.
Wo Fai Yeung
CEO & Executive Director
CFO, Company Secretary & Executive Director
Deputy GM & Executive Director
Head of the Creative Center
Head of the Corporate Planning Department
Wai Ming Chung
Wee Hon Chin
Group Financial Controller
Board of Directors Tenure
Average tenure and age of the
Sitoy Group Holdings
board of directors in years:
The tenure for the Sitoy Group Holdings board of directors is about average.
Sitoy Group Holdings Limited designs, researches, develops, manufactures, sells, and retails handbags, small leather goods, travel goods, and footwear products under the TUSCAN’S, Fashion & Joy, Kenneth Cole, and Cole Haan brands. It operates in three segments: Manufacturing, Retail, and Property investment. The company offers travel luggage and business accessories. It also trades in handbags, small leather goods, travel goods, and footwear products; provides advertising and marketing services; and invests in office spaces. The company offers its products in North America, Europe, Mainland China, Hong Kong, Macau, Taiwan, other Asian countries, and internationally. Sitoy Group Holdings Limited was founded in 1974 and is headquartered in Kwun Tong, Hong Kong.
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