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Fanhua

DB:4CIA
Snowflake Description

Flawless balance sheet with solid track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
4CIA
DB
$2B
Market Cap
  1. Home
  2. DE
  3. Insurance
Company description

Fanhua Inc. distributes insurance products in China. The last earnings update was 61 days ago. More info.


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4CIA Share Price and Events
7 Day Returns
3.5%
DB:4CIA
0.5%
DE Insurance
-0.7%
DE Market
1 Year Returns
16.4%
DB:4CIA
21.2%
DE Insurance
-7.6%
DE Market
4CIA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Fanhua (4CIA) 3.5% 7.2% 29.6% 16.4% 307.8% 516.8%
DE Insurance 0.5% 2.1% 2.1% 21.2% 63% 61.1%
DE Market -0.7% -0.8% -3.8% -7.6% 8.2% 11.1%
1 Year Return vs Industry and Market
  • 4CIA underperformed the Insurance industry which returned 21.2% over the past year.
  • 4CIA outperformed the Market in Germany which returned -7.6% over the past year.
Price Volatility
4CIA
Industry
5yr Volatility vs Market

4CIA Value

 Is Fanhua undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Fanhua to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Fanhua.

DB:4CIA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= CN¥57.66 * 10.8%
CN¥6.24
Book Value of Equity per Share Median Book Value from the past 5 years. CN¥57.66
Discount Rate (Cost of Equity) See below 5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:4CIA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.69
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.685 (1 + (1- 25%) (1.43%))
0.794
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.8 * 5.96%)
5%

Discounted Cash Flow Calculation for DB:4CIA using Excess Returns Model Model

The calculations below outline how an intrinsic value for Fanhua is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

DB:4CIA Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (10.8% – 5%) * CN¥57.66)
CN¥3.36
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= CN¥3.36 / (5% - 0.23%)
CN¥70.43
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= CN¥57.66 + CN¥70.43
CN¥128.09
DB:4CIA Discount to Share Price
Calculation Result
Exchange Rate CNY/USD
(Reporting currency to currency of NasdaqGS:FANH)
0.145
Value per Share
(USD)
= Value per Share in CNY x Exchange Rate (CNY/USD)
= CN¥128.09 x 0.145
$18.61
Non-primary Listing Adjustment Factor 1 share in DB:4CIA represents 0.88547x of NasdaqGS:FANH
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.88547x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 18.61 x 0.88547
€16.48
Value per share (EUR) From above. €16.48
Current discount Discount to share price of €29.81
= -1 x (€29.81 - €16.48) / €16.48
-80.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Fanhua is above its future cash flow value.
Often investors are willing to pay a premium 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 Fanhua's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Fanhua's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:4CIA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CNY CN¥10.49
NasdaqGS:FANH Share Price ** NasdaqGS (2019-07-22) in USD $33.66
NasdaqGS:FANH Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.881 CN¥231.61
Germany Insurance Industry PE Ratio Median Figure of 6 Publicly-Listed Insurance Companies 13.38x
Germany Market PE Ratio Median Figure of 422 Publicly-Listed Companies 19.75x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Fanhua.

DB:4CIA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:FANH Share Price ÷ EPS (both in CNY)

= 231.61 ÷ 10.49

22.07x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Fanhua is overvalued based on earnings compared to the DE Insurance industry average.
  • Fanhua is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Fanhua's expected growth come at a high price?
Raw Data
DB:4CIA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.07x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
11.4%per year
Germany Insurance Industry PEG Ratio Median Figure of 5 Publicly-Listed Insurance Companies 3.16x
Germany Market PEG Ratio Median Figure of 270 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

DB:4CIA PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.07x ÷ 11.4%

1.94x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Fanhua is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Fanhua's assets?
Raw Data
DB:4CIA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CNY CN¥46.06
NasdaqGS:FANH Share Price * NasdaqGS (2019-07-22) in USD $33.66
NasdaqGS:FANH Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.881 CN¥231.61
Germany Insurance Industry PB Ratio Median Figure of 6 Publicly-Listed Insurance Companies 1.09x
Germany Market PB Ratio Median Figure of 570 Publicly-Listed Companies 1.71x
DB:4CIA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:FANH Share Price ÷ Book Value per Share (both in CNY)

= 231.61 ÷ 46.06

5.03x

* Primary Listing of Fanhua.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Fanhua is overvalued based on assets compared to the DE Insurance industry average.
X
Value checks
We assess Fanhua's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Fanhua has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

4CIA Future Performance

 How is Fanhua expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Fanhua expected to grow at an attractive rate?
  • Fanhua's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Fanhua's earnings growth is positive but not above the Germany market average.
  • Fanhua's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:4CIA Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:4CIA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 11.4%
DB:4CIA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 21.5%
Germany Insurance Industry Earnings Growth Rate Market Cap Weighted Average 4.6%
Germany Insurance Industry Revenue Growth Rate Market Cap Weighted Average 5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.5%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:4CIA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:4CIA Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31
2020-12-31 5,224 644 754 1
2019-12-31 4,186 365 616 1
DB:4CIA Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2019-03-31 3,600 540 627
2018-12-31 3,471 524 610
2018-09-30 3,290 392 625
2018-06-30 3,568 60 542
2018-03-31 3,598 174 511
2017-12-31 4,088 152 444
2017-09-30 4,315 206 368
2017-06-30 5,207 261 317
2017-03-31 4,509 74 178
2016-12-31 4,083 88 135
2016-09-30 4,026 148 138
2016-06-30 3,551 174 147

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Fanhua's earnings are expected to grow by 11.4% yearly, however this is not considered high growth (20% yearly).
  • Fanhua's revenue is expected to grow significantly at over 20% yearly.
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.
Raw Data
DB:4CIA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Fanhua Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:4CIA Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 13.76 13.76 13.76 1.00
2020-12-31 10.54 10.54 10.54 1.00
2019-12-31 8.61 8.61 8.61 1.00
DB:4CIA Past Financials Data
Date (Data in CNY Millions) EPS *
2019-03-31 10.49
2018-12-31 9.84
2018-09-30 9.65
2018-06-30 8.46
2018-03-31 8.08
2017-12-31 7.21
2017-09-30 6.12
2017-06-30 5.36
2017-03-31 3.06
2016-12-31 2.32
2016-09-30 2.38
2016-06-30 2.55

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Fanhua will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Fanhua's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Fanhua has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

4CIA Past Performance

  How has Fanhua performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Fanhua's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Fanhua has delivered over 20% year on year earnings growth in the past 5 years.
  • Fanhua's 1-year earnings growth is less than its 5-year average (22.7% vs 36.1%)
  • Fanhua's earnings growth has exceeded the DE Insurance industry average in the past year (22.7% vs 9.4%).
Earnings and Revenue History
Fanhua's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Fanhua Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:4CIA Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 3,599.65 626.97 720.39
2018-12-31 3,471.26 609.92 699.51
2018-09-30 3,289.80 625.36 678.46
2018-06-30 3,567.78 542.37 701.99
2018-03-31 3,598.15 510.99 726.02
2017-12-31 4,088.47 443.75 755.93
2017-09-30 4,314.72 367.75 823.16
2017-06-30 5,207.06 316.78 987.15
2017-03-31 4,508.61 178.12 951.23
2016-12-31 4,082.88 134.50 984.75
2016-09-30 4,026.16 137.54 930.09
2016-06-30 3,550.67 147.32 807.97
2016-03-31 3,156.67 196.44 688.78
2015-12-31 2,459.11 168.22 574.03
2015-09-30 2,600.92 182.07 570.81
2015-06-30 2,426.52 174.98 544.08
2015-03-31 2,263.31 150.06 523.05
2014-12-31 2,150.01 161.76 503.96
2014-09-30 2,021.23 159.39 471.53
2014-06-30 1,909.53 153.59 459.66
2014-03-31 1,821.97 119.32 453.68
2013-12-31 1,757.02 95.64 445.67
2013-09-30 1,689.01 91.00 439.66
2013-06-30 1,661.40 85.01 433.98
2013-03-31 1,650.04 96.93 451.76
2012-12-31 1,586.12 130.51 434.48
2012-09-30 1,568.89 -578.48 408.31

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Fanhua has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Fanhua used its assets more efficiently than the DE Insurance industry average last year based on Return on Assets.
  • Fanhua has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Fanhua's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. 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.
Fanhua has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

4CIA Health

 How is Fanhua's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Fanhua's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Fanhua is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Fanhua's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Fanhua'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 checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Fanhua has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, 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.
Raw Data

All data from Fanhua Company Filings, last reported 3 months ago.

DB:4CIA Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,698.64 0.00 2,394.01
2018-12-31 2,746.73 0.00 2,326.88
2018-09-30 2,901.13 0.00 2,341.62
2018-06-30 4,123.47 0.00 2,792.88
2018-03-31 4,046.36 0.00 2,937.43
2017-12-31 3,988.39 0.00 2,862.48
2017-09-30 3,900.22 0.00 2,661.29
2017-06-30 3,789.03 0.00 3,002.00
2017-03-31 3,472.13 0.00 3,009.60
2016-12-31 3,404.09 0.00 3,034.79
2016-09-30 3,319.48 0.00 2,888.01
2016-06-30 3,289.98 0.00 3,030.84
2016-03-31 3,443.81 0.00 3,175.81
2015-12-31 3,433.57 0.00 3,141.52
2015-09-30 3,339.02 0.00 2,888.44
2015-06-30 3,286.96 0.00 2,825.52
2015-03-31 3,256.75 0.00 2,640.63
2014-12-31 3,334.26 0.00 2,791.97
2014-09-30 3,295.83 0.00 2,726.52
2014-06-30 3,259.69 0.00 2,607.51
2014-03-31 3,204.77 0.00 2,521.53
2013-12-31 3,146.76 0.00 2,542.52
2013-09-30 3,111.13 0.00 2,493.58
2013-06-30 3,074.89 0.00 2,549.45
2013-03-31 3,044.74 0.00 2,553.93
2012-12-31 3,007.91 0.00 2,526.22
2012-09-30 3,049.67 0.00 2,687.17
  • Fanhua has no debt.
  • Fanhua has not taken on any debt in the past 5 years.
  • Fanhua has no debt, it does not need to be covered by operating cash flow.
  • Fanhua has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Fanhua's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Fanhua has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

4CIA Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.47%
Current annual income from Fanhua dividends. Estimated to be 3.98% next year.
If you bought €2,000 of Fanhua shares you are expected to receive €69 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Fanhua's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.48%).
  • Fanhua's dividend is below the markets top 25% of dividend payers in Germany (3.92%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:4CIA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Germany Insurance Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 4.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 325 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:4CIA Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31 10.14 1.00
2019-12-31 8.28 1.00
DB:4CIA Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-03-11 8.025 4.220
2018-11-19 6.683 4.190
2018-08-20 6.803 3.788
2018-05-21 6.367 3.342
2018-03-12 5.014 2.937
2017-11-20 5.012 3.121
2017-05-22 0.778 1.152
2017-04-19 0.826 1.439
2012-11-29 0.000 0.000
2012-08-22 0.000 0.000
2012-05-22 0.000 0.000
2012-04-24 0.000 0.000
2011-05-04 1.780 3.285
2011-03-01 1.780 1.935
2010-11-22 1.740 1.471
2010-04-26 1.724 1.068
2010-03-02 1.500 0.833
2009-11-24 1.502 1.081
2009-05-21 1.501 1.298

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Fanhua's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.4x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Fanhua's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Fanhua afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Fanhua has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

4CIA Management

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

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.
CEO
Chunlin Wang
COMPENSATION CN¥0
AGE 50
TENURE AS CEO 7.8 years
CEO Bio

Mr. Chunlin Wang has been the Chief Executive Officer of Fanhua Inc. since October 2011. Mr. Wang served as the Chief Operating Officer of Cninsure from April 2011 to October 2011 and its Head of Property and Casualty Insurance Unit from January 2007 to October 2011. Mr. Wang also served as Vice President of Cninsure since January 2007 until October 2011. From 2003 to January 2007, Mr. Wang served as Assistant to Chairman of Cninsure. From 2002 to 2005, he served as the General Manager of Guangdong Nanfeng Insurance Agency Co., Ltd. From 1998 to 2002, he served as a Branch Manager at Guangzhou Nanyun Car Rental Services Co., Ltd. and Guangdong Nanfeng Automobile Association Co., Ltd. He has been an Executive Director of Fanhua Inc. since March 27, 2016. Mr. Wang holds a Bachelor's degree in Law from Central-Southern University of Politics and Law in China.

CEO Compensation
  • Insufficient data for Chunlin to compare compensation growth.
  • Insufficient data for Chunlin to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Fanhua management team in years:

11.3
Average Tenure
50
Average Age
  • The average tenure for the Fanhua management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Chunlin Wang

TITLE
Chairman & CEO
AGE
50
TENURE
7.8 yrs

Yinan Hu

TITLE
Founder & Director
AGE
53
TENURE
21.5 yrs

Peng Ge

TITLE
CFO & Executive Director
AGE
48
TENURE
11.3 yrs

Oasis Qiu

TITLE
Investor Relations Manager
Board of Directors Tenure

Average tenure and age of the Fanhua board of directors in years:

10.8
Average Tenure
53
Average Age
  • The average tenure for the Fanhua board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Chunlin Wang

TITLE
Chairman & CEO
AGE
50
TENURE
1.8 yrs

Yinan Hu

TITLE
Founder & Director
AGE
53
TENURE
21.5 yrs

Peng Ge

TITLE
CFO & Executive Director
AGE
48
TENURE
2.6 yrs

Steven Markscheid

TITLE
Independent Director
AGE
65
TENURE
11.9 yrs

Allen Warren Lueth

TITLE
Independent Director
AGE
50
TENURE
11.9 yrs

Mengbo Yin

TITLE
Independent Director
AGE
64
TENURE
10.8 yrs

Yunxiang Tang

TITLE
Independent Director
AGE
73
TENURE
7.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Fanhua's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Fanhua has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

4CIA News

Simply Wall St News

4CIA Company Info

Description

Fanhua Inc. distributes insurance products in China. It operates through two segments, Insurance Agency and Claims Adjusting. The Insurance Agency segment provides property and casualty insurance products, including automobile, individual accident, travel, disability income, homeowner, and other property and casualty products; and life insurance products, such as individual health, individual whole life, individual term life, individual endowment life, and individual annuity, as well as participating insurance products. The Claims Adjusting segment offers pre-underwriting survey, claims adjusting, residual value disposal, loading and unloading supervision, and consulting services. The company also operates baoxian.com, an online insurance platform, which allows customers to search for, and purchase a range of insurance products; Lan Zhanggui, an Internet-based all-in-one application; and ehuzhu.com, an online non-profit mutual aid platform, as well as CNpad Auto, an Internet-based auto insurance platform. It serves customers through insurance sales and service group, and insurance agencies, as well as sales and service branches and outlets, registered independent sales agents, and in-house claims adjustors. The company was formerly known as CNinsure Inc. and changed its name to Fanhua Inc. in December 2016. Fanhua Inc. was founded in 1998 and is headquartered in Guangzhou, China.

Details
Name: Fanhua Inc.
4CIA
Exchange: DB
Founded: 1998
$1,618,170,870
54,097,665
Website: http://www.fanhuaholdings.com
Address: Fanhua Inc.
Pearl River Tower,
27th Floor,
Guangzhou,
Guangdong Province, 510623,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS FANH ADS EACH REPR 20 ORD SHS Nasdaq Global Select US USD 31. Oct 2007
DB 4CIA ADS EACH REPR 20 ORD SHS Deutsche Boerse AG DE EUR 31. Oct 2007
Number of employees
Current staff
Staff numbers
3,863
Fanhua employees.
Industry
Insurance Brokers
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 21:06
End of day share price update: 2019/07/22 00:00
Last estimates confirmation: 2019/05/23
Last earnings filing: 2019/05/22
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.