DB:MVF1

Stock Analysis Report

Executive Summary

WE Solutions Limited, an investment holding company, engages in the trading, retail, and wholesale of jewelry products and watches in Asia.

Snowflake

Fundamentals

Adequate balance sheet and overvalued.

Risks

  • WE Solutions has significant price volatility in the past 3 months.
  • WE Solutions is not covered by any analysts.

Share Price & News

How has WE Solutions's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.6%

DB:MVF1

0%

DE Retail Distributors

-1.5%

DE Market


1 Year Return

n/a

DB:MVF1

-4.8%

DE Retail Distributors

-10.4%

DE Market

No trading data on MVF1.

No trading data on MVF1.


Share holder returns

MVF1IndustryMarket
7 Day4.6%0%-1.5%
30 Day-5.3%-0.1%-4.3%
90 Day-24.0%0.7%-5.9%
1 Yearn/a-0.5%-4.8%-7.6%-10.4%
3 Year-36.7%-36.7%-8.9%-19.4%9.4%0.03%
5 Year-43.0%-43.0%12.1%-8.8%25.6%8.1%

Price Volatility Vs. Market

How volatile is WE Solutions's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

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

56.01x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for WE Solutions to establish if it is available at moderate discount.

Unable to calculate intrinsic value for WE Solutions to establish if it is available at substantial discount.


Price Based on Earnings

WE Solutions is overvalued based on earnings compared to the Europe Retail Distributors industry average.

WE Solutions is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

Unable to calculate PEG ratio for WE Solutions, we can't assess if its growth is good value.


Price Based on Value of Assets

WE Solutions is good value based on assets compared to the Europe Retail Distributors industry average.


Next Steps

Future Growth

How is WE Solutions expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.5%

Forecasted Retail Distributors industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as WE Solutions has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has WE Solutions performed over the past 5 years?

31.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

WE Solutions has delivered over 20% year on year earnings growth in the past 5 years.

WE Solutions has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

WE Solutions has become profitable in the last year making it difficult to compare the Europe Retail Distributors industry average.


Return on Equity

WE Solutions has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

WE Solutions used its assets less efficiently than the Europe Retail Distributors industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if WE Solutions improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is WE Solutions's financial position?


Financial Position Analysis

WE Solutions is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

WE Solutions's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

WE Solutions's level of debt (2.6%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (3.1% vs 2.6% today).

Operating cash flow is negative therefore debt is not well covered.

Unable to confirm if the interest payments on WE Solutions's debt are well covered by earnings due to lack of past financial data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 12.9x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate WE Solutions's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate WE Solutions's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as WE Solutions has not reported any payouts.

Unable to verify if WE Solutions's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as WE Solutions has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

1.8yrs

Average board tenure


CEO

Kin Man Sung (47yo)

0.5yrs

Tenure

Mr. Kin Man Sung has been the Chief Executive Officer and Executive Officer at WE Solutions Limited since February 1, 2019 and served as its Chief Strategy Officer from January 1, 2019 to February 1, 2019. ...


Board Age and Tenure

1.8yrs

Average Tenure

49yo

Average Age

The average tenure for the WE Solutions board of directors is less than 3 years, this suggests a new board.


Insider Trading

More shares have been bought than sold by WE Solutions individual insiders in the past 3 months.


Recent Insider Transactions

Buy€146,80112 Aug 19
King Man Ho
EntityIndividual
Shares3,300,000
Max Price€0.044
Buy€360,94209 Aug 19
King Man Ho
EntityIndividual
Shares10,000,000
Max Price€0.036
Buy€207,10409 Aug 19
King Man Ho
EntityIndividual
Shares5,000,000
Max Price€0.041
Buy€49,56208 Aug 19
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares1,500,000
Max Price€0.033
Buy€56,92406 Aug 19
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares1,500,000
Max Price€0.038
Buy€83,14105 Aug 19
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares2,000,000
Max Price€0.042
Buy€22,242,00917 Jul 19
Shanghai Alliance Investment Ltd.
EntityCompany
Shares382,352,000
Max Price€0.058
Buy€4,379,31012 Dec 18
Ka-shing Li
EntityIndividual
Shares76,470,588
Max Price€0.057
Buy€350,11419 Sep 18
Jinbing Zhang
EntityIndividual
Role
Co-Chairman of the Board
Shares3,000,000
Max Price€0.12
Buy€15,47913 Sep 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares140,000
Max Price€0.11
Buy€117,70113 Sep 18
King Man Ho
EntityIndividual
Shares1,000,000
Max Price€0.12
Buy€235,42911 Sep 18
King Man Ho
EntityIndividual
Shares2,000,000
Max Price€0.12
Buy€23,32311 Sep 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares200,000
Max Price€0.12
Buy€233,23210 Sep 18
King Man Ho
EntityIndividual
Shares2,000,000
Max Price€0.12
Buy€12,67210 Sep 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares108,000
Max Price€0.12
Buy€351,83910 Sep 18
King Man Ho
EntityIndividual
Shares3,000,000
Max Price€0.12
Buy€15,65303 Sep 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares140,000
Max Price€0.11
Buy€3,61803 Sep 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares32,000
Max Price€0.11
Buy€6,78528 Aug 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares60,000
Max Price€0.11
Buy€12,41523 Aug 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares120,000
Max Price€0.10
Buy€20,21723 Aug 18
King Fung Ho
EntityIndividual
Role
Chairman
Co-Chairman of the Board
Shares200,000
Max Price€0.10
Sell€8,624,77422 Aug 18
Hengdeli Holdings Limited
EntityCompany
Shares49,524,000
Max Price€0.17

Ownership Breakdown


Management Team

  • Kin Man Sung (47yo)

    CEO & Executive Director

    • Tenure: 0.5yrs
  • Eric Ho (42yo)

    Chairman

    • Compensation: HK$3.32m
  • Matthew Moy (40yo)

    CFO & Company Secretary

    • Tenure: 0.5yrs
  • Alex Wong (46yo)

    Assistant Financial Controller


Board Members

  • Peter Edward Jackson (70yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: HK$88.00k
  • Daniel Tam (55yo)

    Independent Non Executive Director

    • Tenure: 13.3yrs
    • Compensation: HK$355.00k
  • Chun Ming Teoh (49yo)

    Independent Non-Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$170.00k
  • Kin Man Sung (47yo)

    CEO & Executive Director

    • Tenure: 0.5yrs
  • Eric Ho (42yo)

    Chairman

    • Tenure: 2.8yrs
    • Compensation: HK$3.32m
  • Jinbing Zhang (48yo)

    Co-Chairman

    • Tenure: 4.6yrs
    • Compensation: HK$5.87m
  • Charles Pecot (58yo)

    Independent Non-Executive Director

    • Tenure: 0.2yrs

Company Information

WE Solutions Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: WE Solutions Limited
  • Ticker: MVF1
  • Exchange: DB
  • Founded: 1989
  • Industry: distributors
  • Sector: retail
  • Market Cap: HK$2.689b
  • Listing Market Cap: HK$308.976m
  • Shares outstanding: 7.17b
  • Website: Click here

Number of Employees


Location

  • WE Solutions Limited
  • Building 22E
  • Units 301 and 302, Third Floor
  • Tai Po
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
860SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDSep 2002
MVF1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 2002
860SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDSep 2002
860SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDSep 2002

Biography

WE Solutions Limited, an investment holding company, engages in the trading, retail, and wholesale of jewelry products and watches in Asia. It is also involved in the mining, exploration, and sale of gold  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 20:53
End of Day Share Price2019/08/16 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


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.