Hope Education Group
Market Cap
€953.8m
Last Updated
2019/10/22 22:07 UTC
Data Sources
Company Financials +
Executive Summary
Hope Education Group Co., Ltd. provides private higher education services in the People’s Republic of China.
Snowflake
Fundamentals
High growth potential with adequate balance sheet.
Share Price & News
How has Hope Education Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
1.5%
HE1
1.7%
DE Consumer Services
1.7%
DE Market
1 Year Return
9.1%
HE1
2.9%
DE Consumer Services
7.2%
DE Market
Return vs Industry: HE1 exceeded the German Consumer Services industry which returned 2.9% over the past year.
Return vs Market: HE1 exceeded the German Market which returned 7.2% over the past year.
Shareholder returns
| HE1 | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.5% | 1.7% | 1.7% |
| 30 Day | 1.8% | -0.7% | 2.4% |
| 90 Day | 5.7% | 0.01% | 2.3% |
| 1 Year | 11.1%9.1% | 3.5%2.9% | 10.6%7.2% |
| 3 Year | n/a | -6.6%-10.3% | 18.4%8.1% |
| 5 Year | n/a | -38.1%-54.2% | 42.3%22.9% |
Price Volatility Vs. Market
How volatile is Hope Education Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Hope Education Group undervalued compared to its fair value and its price relative to the market?
34.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HE1 (€0.13) is trading below our estimate of fair value (€0.2)
Significantly Below Fair Value: HE1 is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: HE1 is poor value based on its PE Ratio (26.5x) compared to the Consumer Services industry average (13.6x).
PE vs Market: HE1 is poor value based on its PE Ratio (26.5x) compared to the German market (19x).
Price to Earnings Growth Ratio
PEG Ratio: HE1 is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: HE1 is good value based on its PB Ratio (1.7x) compared to the XE Consumer Services industry average (2.4x).
Next Steps
Future Growth
How is Hope Education Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
37.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HE1's forecast earnings growth (37.3% per year) is above the savings rate (0.2%).
Earnings vs Market: HE1's earnings (37.3% per year) are forecast to grow faster than the German market (12.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: HE1's revenue (25.2% per year) is forecast to grow faster than the German market (5% per year).
High Growth Revenue: HE1's revenue (25.2% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HE1's Return on Equity is forecast to be low in 3 years time (13.3%).
Next Steps
Past Performance
How has Hope Education Group performed over the past 5 years?
24.4%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: HE1's earnings have grown significantly by 24.4% per year over the past 5 years.
Accelerating Growth: HE1's earnings growth over the past year (32.8%) exceeds its 5-year average (24.4% per year).
Earnings vs Industry: HE1 earnings growth over the past year (32.8%) underperformed the Consumer Services industry 38.5%.
Return on Equity
High ROE: HE1's Return on Equity (6.4%) is considered low.
Return on Assets
ROA vs Industry: HE1's Return on Assets is below or equal to the Consumer Services industry average last year.
Return on Capital Employed
ROCE Improving: HE1's Return on Capital Employed has declined over the past 3 years.
Next Steps
Financial Health
How is Hope Education Group's financial position?
Financial Position Analysis
Short Term Liabilities: HE1's short term assets (CN¥3.2B) exceeds its short term liabilities (CN¥1.4B)
Long Term Liabilities: HE1's short term assets (3.2B) exceeds its long term liabilities (2.4B)
Debt to Equity History and Analysis
Debt Level: HE1's debt to equity ratio (51.2%) is considered high
Reducing Debt: Insufficient data to determine if HE1's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: HE1's debt is well covered by operating cash flow (32.9%).
Interest Coverage: HE1's interest payments on its debt are well covered by EBIT (4.1x coverage).
Balance Sheet
Inventory Level: HE1 has a high level of physical assets or inventory.
Debt Coverage by Assets: HE1's debt is covered by short term assets (assets are 1.462090x debt).
Next Steps
Dividend
What is Hope Education Group's current dividend yield, its reliability and sustainability?
1.33%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: HE1's dividend (1.33%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.48%).
High Dividend: HE1's dividend (1.33%) is low compared to the top 25% of dividend payers in the German market (3.83%).
Stable Dividend: Too early to tell whether HE1's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if HE1's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (35.2%), HE1's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HE1's dividends in 3 years are forecast to be well covered by earnings (32.6% payout ratio).
Next Steps
Management
What is the CEO of Hope Education Group's salary, the management and board of directors tenure and is there insider trading?
1.7yrs
Average management tenure
CEO
Huiwu Wang (46yo)
1.7yrs
Tenure
Mr. Huiwu Wang serves as co-owner at Hope Education Investment Limited.
Management Age and Tenure
1.7yrs
Average Tenure
49yo
Average Age
Experienced Management: HE1's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.
Board Age and Tenure
2.6yrs
Average Tenure
49yo
Average Age
Experienced Board: HE1's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
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
Management Team
Sharon Leung
Joint Company Secretary
- Tenure: 1.7yrs
Changjun Xu (62yo)
Chairman
- Tenure: 1.7yrs
Huiwu Wang (46yo)
CEO, President & Executive Director
- Tenure: 1.7yrs
Tao Li (49yo)
Chief Strategy Officer & Executive Director
- Tenure: 2.6yrs
Lin Jiang (52yo)
COO & Executive VP
- Tenure: 1.7yrs
Houyi Chen (63yo)
Senior VP & Education Management Committee Director
- Tenure: 1.7yrs
Qunwei Lou (50yo)
Senior Vice President
- Tenure: 1.7yrs
Xiao Li (39yo)
Senior Vice President
- Tenure: 1.7yrs
Xuan He (49yo)
Chief Financial Officer
- Tenure: 1.7yrs
Zhongcai Huang (34yo)
VP & Joint Company Secretary
- Tenure: 0.9yrs
Board Members
Ben Lu (49yo)
Non-Executive Director
- Tenure: 2.6yrs
Hao Gao (36yo)
Independent Non-Executive Director
- Tenure: 1.3yrs
Changjun Xu (62yo)
Chairman
- Tenure: 1.7yrs
Huiwu Wang (46yo)
CEO, President & Executive Director
- Tenure: 1.7yrs
Tao Li (49yo)
Chief Strategy Officer & Executive Director
- Tenure: 2.6yrs
Jianyuan Tang (51yo)
Non-Executive Director
- Tenure: 2.6yrs
Degen Wang (49yo)
Non-Executive Director
- Tenure: 2.6yrs
Jin Zhang (60yo)
Independent Non-Executive Director
- Tenure: 1.3yrs
Yunhua Chen (67yo)
Independent Non-Executive Director
- Tenure: 1.3yrs
Company Information
Hope Education Group Co., Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Hope Education Group Co., Ltd.
- Ticker: HE1
- Exchange: DB
- Founded: 2007
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: HK$8.333b
- Listing Market Cap: HK$953.772m
- Shares outstanding: 6.67b
- Website: https://www.hopeedu.com
Number of Employees
Location
- Hope Education Group Co., Ltd.
- Administrative Building
- 5th Floor
- Chengdu
- Sichuan Province
- 610091
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1765 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Aug 2018 |
| HE1 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Aug 2018 |
| 1765 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Ordinary Shares | HK | HKD | Aug 2018 |
Biography
Hope Education Group Co., Ltd. provides private higher education services in the People’s Republic of China. The company provides self-study examination, adult education, and technical management and consu ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/22 22:07 |
| End of Day Share Price | 2019/10/22 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.