DB:A8P

Stock Analysis Report

Agile Group Holdings

Executive Summary

Agile Group Holdings Limited, an investment holding company, engages in the property development, property management, hotel operation, property investment, environmental protection, and other businesses in the People’s Republic of China.

Rewards

Trading at 7.7% below its fair value

Earnings are forecast to grow 9.15% per year

Earnings have grown 29.5% per year over the past 5 years

Risk Analysis

Debt is not well covered by operating cash flow

Unstable dividend track record

Highly volatile share price over past 3 months

Large one-off items impacting financial results



Snowflake Analysis

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has Agile Group Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: A8P's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

10.6%

A8P

9.8%

DE Real Estate

9.9%

DE Market


1 Year Return

-32.3%

A8P

-17.0%

DE Real Estate

-17.5%

DE Market

Return vs Industry: A8P underperformed the German Real Estate industry which returned -19.9% over the past year.

Return vs Market: A8P underperformed the German Market which returned -17.7% over the past year.


Shareholder returns

A8PIndustryMarket
7 Day10.6%9.8%9.9%
30 Day-19.8%-15.7%-16.6%
90 Day-24.6%-15.6%-24.8%
1 Year-24.4%-32.3%-14.7%-17.0%-15.0%-17.5%
3 Year66.7%24.5%26.7%17.0%-17.4%-24.5%
5 Year172.1%74.9%58.7%35.9%-16.6%-28.1%

Price Volatility Vs. Market

How volatile is Agile Group Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Agile Group Holdings undervalued compared to its fair value and its price relative to the market?

7.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: A8P (€1) is trading below our estimate of fair value (€1.08)

Significantly Below Fair Value: A8P is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: A8P is good value based on its PE Ratio (3.9x) compared to the Real Estate industry average (10.6x).

PE vs Market: A8P is good value based on its PE Ratio (3.9x) compared to the German market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: A8P is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: A8P is good value based on its PB Ratio (0.5x) compared to the DE Real Estate industry average (1.3x).


Next Steps

Future Growth

How is Agile Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

9.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: A8P's forecast earnings growth (9.2% per year) is above the savings rate (-0.4%).

Earnings vs Market: A8P's earnings (9.2% per year) are forecast to grow slower than the German market (14.3% per year).

High Growth Earnings: A8P's earnings are forecast to grow, but not significantly.

Revenue vs Market: A8P's revenue (15.1% per year) is forecast to grow faster than the German market (4.1% per year).

High Growth Revenue: A8P's revenue (15.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: A8P's Return on Equity is forecast to be low in 3 years time (15.2%).


Next Steps

Past Performance

How has Agile Group Holdings performed over the past 5 years?

29.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: A8P has a large one-off gain of CN¥4.5B impacting its December 31 2019 financial results.

Growing Profit Margin: A8P's current net profit margins (12.5%) are lower than last year (12.7%).


Past Earnings Growth Analysis

Earnings Trend: A8P's earnings have grown significantly by 29.5% per year over the past 5 years.

Accelerating Growth: A8P's earnings growth over the past year (5.4%) is below its 5-year average (29.5% per year).

Earnings vs Industry: A8P earnings growth over the past year (5.4%) underperformed the Real Estate industry 9%.


Return on Equity

High ROE: A8P's Return on Equity (14.1%) is considered low.


Next Steps

Financial Health

How is Agile Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: A8P's short term assets (CN¥190.8B) exceed its short term liabilities (CN¥147.7B).

Long Term Liabilities: A8P's short term assets (CN¥190.8B) exceed its long term liabilities (CN¥60.2B).


Debt to Equity History and Analysis

Debt Level: A8P's debt to equity ratio (148%) is considered high.

Reducing Debt: A8P's debt to equity ratio has increased from 104.1% to 148% over the past 5 years.

Debt Coverage: A8P's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: A8P's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet

Inventory Level: A8P has a high level of physical assets or inventory.

Debt Coverage by Assets: A8P's debt is covered by short term assets (assets are 2x debt).


Next Steps

Dividend

What is Agile Group Holdings's current dividend yield, its reliability and sustainability?

12.12%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: A8P's dividend (12.12%) is higher than the bottom 25% of dividend payers in the German market (1.7%).

High Dividend: A8P's dividend (12.12%) is in the top 25% of dividend payers in the German market (4.97%)


Stability and Growth of Payments

Stable Dividend: A8P's dividend payments have been volatile in the past 10 years.

Growing Dividend: A8P's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.2%), A8P's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: A8P's dividends in 3 years are forecast to be well covered by earnings (47.8% payout ratio).


Next Steps

Management

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

6.0yrs

Average management tenure


CEO

Zhuo Lin Chen (57yo)

6s

Tenure

Mr. Zhuo Lin Chen is the Founder of Agile Group Holdings Limited and has been its President since March 2014. Mr. Chen has over 21 years extensive experience in the real estate development and management.  ...


CEO Compensation Analysis

Compensation vs Market: Zhuo Lin's total compensation ($USD3.79M) is about average for companies of similar size in the German market ($USD3.71M).

Compensation vs Earnings: Zhuo Lin's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Zhuo Lin Chen
Chairman & President6yrsno data3.33% CN¥124.7m
Zhongqi Chen
Executive Director & VP6yrsCN¥7.55mno data
Cheuk Hung Chan
VP & Executive Director14.58yrsno datano data
Fengchao Huang
VP & Executive Director6yrsCN¥7.59m0.036% CN¥1.3m
Jacky Chan
Deputy Headno datano datano data
Chin Kheng Kwang
Head of Company Secretarial Departmentno datano datano data
Xuejun Li
VP & President of Environmental Protection Groupno datano datano data
Haiyang Wang
VP & President of the Company’s Property Groupno datano datano data
Lap Kei Cheung
Company Secretary0.50yrno datano data

6.0yrs

Average Tenure

49.5yo

Average Age

Experienced Management: A8P's management team is seasoned and experienced (6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Zhuo Lin Chen
Chairman & President6yrsno data3.33% CN¥124.7m
Zhongqi Chen
Executive Director & VP6yrsCN¥7.55mno data
Cheuk Hung Chan
VP & Executive Director14.58yrsno datano data
Fengchao Huang
VP & Executive Director6yrsCN¥7.59m0.036% CN¥1.3m
Che-Keung Kwong
Independent Non-Executive Director14.42yrsCN¥355.00kno data
Hon Kwan Cheng
Independent Non-Executive Director14.42yrsCN¥355.00kno data
Chiu Chung Hui
Independent Non-Executive Director5.75yrsCN¥355.00kno data
Sin Fong Luk
Vice Chairperson5yrsCN¥355.00kno data
Cheuk Nam Chan
Non-Executive Director15yrsCN¥355.00k0.17% CN¥6.5m
Cheuk Yin Chan
Vice Chairperson5yrsCN¥355.00k0.40% CN¥15.0m

10.2yrs

Average Tenure

57.5yo

Average Age

Experienced Board: A8P's board of directors are seasoned and experienced ( 10.2 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Agile Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Agile Group Holdings Limited
  • Ticker: A8P
  • Exchange: DB
  • Founded: 1992
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: HK$32.159b
  • Listing Market Cap: HK$3.742b
  • Shares outstanding: 3.92b
  • Website: https://www.agile.com.cn

Number of Employees


Location

  • Agile Group Holdings Limited
  • Agile Center
  • 33rd Floor
  • Guangzhou
  • Guangdong Province
  • 510623
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3383SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2005
A8PDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2005
AGPY.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2005
3383SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2005
3383SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2005
AGPY.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDNov 2008

Biography

Agile Group Holdings Limited, an investment holding company, engages in the property development, property management, hotel operation, property investment, environmental protection, and other businesses in the People’s Republic of China. As of December 31, 2018, the company had a land bank with a total gross floor area of 36.23 million square meters in 65 cities located in Southern China region, Eastern China region, Western China region, Central China region, Hainan region, Yunnan region, Northeast China region, Northern China region, and Kuala Lumpur of Malaysia. It also provides property management services covering 78 cities in 24 provinces, municipalities, and autonomous regions, including a gross floor area of 138.12 million square meters; asset management services; and intelligent community, tourism management, advertising, building inspection, and management consulting services. In addition, the company is involved in the operation of hotels, shopping malls, office buildings, and community retail malls. Further, it provides hazardous waste treatment, water treatment, and solid waste treatment services; general construction contracting, landscape engineering, greening management, nursery planting, home decoration, design consulting, and materials trading services; and real estate construction management services. The company was formerly known as Agile Property Holdings Limited and changed its name to Agile Group Holdings Limited in July 2016. The company was founded in 1992 and is headquartered in Guangzhou, the People’s Republic of China. Agile Group Holdings Limited is a subsidiary of Top Coast Investment Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 21:10
End of Day Share Price2020/03/30 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.