DB:0CYA

Stock Analysis Report

Executive Summary

Changyou.com Limited develops and operates online games in the People’s Republic of China.


Snowflake Analysis

Flawless balance sheet with outstanding track record.


Similar Companies

Share Price & News

How has Changyou.com's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 0CYA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.0%

0CYA

2.8%

DE Entertainment

-2.7%

DE Market


1 Year Return

-39.5%

0CYA

-12.3%

DE Entertainment

-20.4%

DE Market

Return vs Industry: 0CYA underperformed the German Entertainment industry which returned -12.3% over the past year.

Return vs Market: 0CYA underperformed the German Market which returned -20.4% over the past year.


Shareholder returns

0CYAIndustryMarket
7 Day-1.0%2.8%-2.7%
30 Day-2.1%-16.9%-18.4%
90 Day6.2%-29.4%-26.7%
1 Year27.6%-39.5%-11.2%-12.3%-18.1%-20.4%
3 Year19.7%-61.8%-5.8%-10.0%-19.1%-25.9%
5 Year12.3%-64.2%34.1%23.9%-19.5%-30.4%

Price Volatility Vs. Market

How volatile is Changyou.com's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Changyou.com undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 0CYA (€9.45) is trading below our estimate of fair value (€59.33)

Significantly Below Fair Value: 0CYA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 0CYA is good value based on its PE Ratio (3.2x) compared to the Entertainment industry average (28.3x).

PE vs Market: 0CYA is good value based on its PE Ratio (3.2x) compared to the German market (16.2x).


Price to Earnings Growth Ratio

PEG Ratio: 0CYA's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: 0CYA is overvalued based on its PB Ratio (1.3x) compared to the DE Entertainment industry average (1x).


Next Steps

Future Growth

How is Changyou.com forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-10.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 0CYA's earnings are forecast to decline over the next 3 years (-10.2% per year).

Earnings vs Market: 0CYA's earnings are forecast to decline over the next 3 years (-10.2% per year).

High Growth Earnings: 0CYA's earnings are forecast to decline over the next 3 years.

Revenue vs Market: 0CYA's revenue (3.2% per year) is forecast to grow slower than the German market (4% per year).

High Growth Revenue: 0CYA's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 0CYA's Return on Equity is forecast to be low in 3 years time (18.2%).


Next Steps

Past Performance

How has Changyou.com performed over the past 5 years?

-1.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 0CYA has high quality earnings.

Growing Profit Margin: 0CYA's current net profit margins (39.1%) are higher than last year (17.4%).


Past Earnings Growth Analysis

Earnings Trend: 0CYA has become profitable over the past 5 years, growing earnings by -1.2% per year.

Accelerating Growth: 0CYA's earnings growth over the past year (111.3%) exceeds its 5-year average (-1.2% per year).

Earnings vs Industry: 0CYA earnings growth over the past year (111.3%) exceeded the Entertainment industry -50.4%.


Return on Equity

High ROE: 0CYA's Return on Equity (39.7%) is considered high.


Next Steps

Financial Health

How is Changyou.com's financial position?


Financial Position Analysis

Short Term Liabilities: 0CYA's short term assets ($1.6B) exceed its short term liabilities ($1.3B).

Long Term Liabilities: 0CYA's short term assets ($1.6B) exceed its long term liabilities ($108.0M).


Debt to Equity History and Analysis

Debt Level: 0CYA is debt free.

Reducing Debt: 0CYA has no debt compared to 5 years ago when its debt to equity ratio was 39.2%.

Debt Coverage: 0CYA has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 0CYA has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 0CYA has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 0CYA's debt is covered by short term assets.


Next Steps

Dividend

What is Changyou.com's current dividend yield, its reliability and sustainability?

89.10%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 0CYA's dividend (89.1%) is higher than the bottom 25% of dividend payers in the German market (1.65%).

High Dividend: 0CYA's dividend (89.1%) is in the top 25% of dividend payers in the German market (4.86%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 0CYA's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 0CYA's dividend payments are increasing as they only just started paying a dividend.


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: 0CYA is not forecast to pay a dividend in 3 years.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.9yrs

Average management tenure


CEO

Dewen Chen (43yo)

3.67s

Tenure

Mr. Dewen Chen has been the Chairman and Acting Chief Executive Officer at 7Road.com Limited. since May 2013. Mr. Chen has been the Chief Executive Officer of Changyou.com Limited since August 5, 2016. He  ...


Leadership Team

NamePositionTenureCompensationOwnership
Dewen Chen
CEO & Director3.67yrsno datano data
Xiaojian Hong
Chief Operating Officer7.25yrsno datano data
Yaobin Wang
Chief Financial Officer2.58yrsno datano data
Yujia Zhao
Head of Investor Relationsno datano datano data
Qing Wei
Chief Games Development Officer4.17yrsno datano data

3.9yrs

Average Tenure

43yo

Average Age

Experienced Management: 0CYA's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dewen Chen
CEO & Director3.67yrsno datano data
Charles Zhang
Chairmanno datano datano data
Xiao Chen
Independent Director7.67yrsno datano data
Dave De Yang
Independent Director11yrsno datano data
Sheung Wai Chan
Independent Director6.58yrsno datano data

7.1yrs

Average Tenure

55yo

Average Age

Experienced Board: 0CYA's board of directors are considered experienced (7.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Changyou.com Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Changyou.com Limited
  • Ticker: 0CYA
  • Exchange: DB
  • Founded: 2003
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Market Cap: US$565.771m
  • Listing Market Cap: US$514.851m
  • Shares outstanding: 53.63m
  • Website: https://www.changyou.com

Number of Employees


Location

  • Changyou.com Limited
  • Changyou Building
  • Raycom Creative Industrial Park
  • Beijing
  • 100043
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CYOUNasdaqGS (Nasdaq Global Select)YesSPON ADS REP 2 CL A SHSUSUSDApr 2009
0CYADB (Deutsche Boerse AG)YesSPON ADS REP 2 CL A SHSDEEURApr 2009

Biography

Changyou.com Limited develops and operates online games in the People’s Republic of China. The company operates through Online Game, Platform Channel, and Cinema Advertising segments. It develops, operates, and licenses online games, including interactive online games that are accessed and played simultaneously by various game players through personal computers; and mobile games played on mobile devices. The company also operates 17173.com Website, an information portal that provides news, electronic forums, online videos, and other information services on online games to game players; and offers various software applications for PCs and mobile devices, as well as purchases pre-film cinema advertising slots from movie theater operators for advertisers. As of December 31, 2018, it had approximately 4.9 million total average monthly active accounts; and 1.6 million total active paying accounts. The company was founded in 2003 and is headquartered in Beijing, the People’s Republic of China. Changyou.com Limited is a subsidiary of Sohu.Com (Game) Limited.  


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/02 02:25
End of Day Share Price2020/04/01 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.