DB:C7D

Stock Analysis Report

Chanjet Information Technology

Executive Summary

Chanjet Information Technology Company Limited provides software and other related services to micro and small scale enterprises (MSEs) in Mainland China.

Snowflake

Fundamentals

Flawless balance sheet and good value.

Share Price & News

How has Chanjet Information Technology's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-5.3%

C7D

0.3%

DE Software

1.4%

DE Market


1 Year Return

-5.4%

C7D

19.5%

DE Software

3.7%

DE Market

Return vs Industry: C7D underperformed the German Software industry which returned 19.5% over the past year.

Return vs Market: C7D underperformed the German Market which returned 3.7% over the past year.


Shareholder returns

C7DIndustryMarket
7 Day-5.3%0.3%1.4%
30 Day-3.8%5.7%1.3%
90 Day-3.9%2.8%3.4%
1 Year0.6%-5.4%21.2%19.5%7.0%3.7%
3 Year-34.0%-37.9%49.4%43.4%18.5%8.3%
5 Year-36.8%-41.4%147.1%129.5%42.2%22.9%

Price Volatility Vs. Market

How volatile is Chanjet Information Technology's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Chanjet Information Technology undervalued compared to its fair value and its price relative to the market?

10.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: C7D (€0.89) is trading below our estimate of fair value (€0.99)

Significantly Undervalued: C7D is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: C7D is good value based on its PE Ratio (13.8x) compared to the Software industry average (37x).

PE vs Market: C7D is good value based on its PE Ratio (13.8x) compared to the German market (19.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: C7D's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: C7D is good value based on its PB Ratio (1.2x) compared to the DE Software industry average (3x).


Next Steps

Future Growth

How is Chanjet Information Technology forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-27.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: C7D's earnings are forecast to decline over the next 3 years (-27.5% per year).

Earnings vs Market: C7D's earnings are forecast to decline over the next 3 years (-27.5% per year).

High Growth Earnings: C7D's earnings are forecast to decline over the next 3 years.

Revenue vs Market: C7D's revenue (13.3% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: C7D's revenue (13.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if C7D's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Chanjet Information Technology performed over the past 5 years?

21.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: C7D's earnings have grown significantly by 21.6% per year over the past 5 years.

Accelerating Growth: C7D's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: C7D had negative earnings growth (-58.3%) over the past year, making it difficult to compare to the Software industry average (14.5%).


Return on Equity

High ROE: C7D's Return on Equity (8.4%) is considered low.


Return on Assets

ROA vs Industry: C7D's Return on Assets is below or equal to the Software industry average last year.


Return on Capital Employed

ROCE Improving: C7D's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Chanjet Information Technology's financial position?


Financial Position Analysis

Short Term Liabilities: C7D's short term assets (CN¥1.4B) exceeds its short term liabilities (CN¥304.8M)

Long Term Liabilities: C7D's short term assets (1.4B) exceeds its long term liabilities (9.4M)


Debt to Equity History and Analysis

Debt Level: C7D is debt free.

Reducing Debt: C7D has not had any debt for past 5 years.

Debt Coverage: C7D has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: C7D has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: C7D has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if C7D's debt is covered by short term assets.


Next Steps

Dividend

What is Chanjet Information Technology's current dividend yield, its reliability and sustainability?

6.38%

Current Dividend Yield


Dividend Yield vs Market

company6.4%marketbottom25%1.5%markettop25%3.8%industryaverage1.3%forecastin3Years1.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: C7D's dividend (6.38%) is higher than the bottom 25% of dividend payers in the German market (1.47%).

High Dividend: C7D's dividend (6.38%) is in the top 25% of dividend payers in the German market (3.83%)

Stable Dividend: C7D has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: C7D's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (88.2%), C7D's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Yuchun Yang (45yo)

2.8yrs

Tenure

0

Mr. Yuchun Yang has been the Chief Executive Officer and President of Chanjet Information Technology Company Limited since January 9, 2017. Mr. Yang has been Executive Director of Chanjet Information Techn ...


Management Age and Tenure

2.8yrs

Average Tenure

45yo

Average Age

Experienced Management: C7D's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

5.5yrs

Average Tenure

55yo

Average Age

Experienced Board: C7D's board of directors are considered experienced (5.5 years average tenure).


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

  • Maurice Ngai (57yo)

    Joint Company Secretary

    • Tenure: 7.9yrs
  • Hongtao You (40yo)

    VP & Joint Company Secretary

    • Tenure: 8.1yrs
  • Guoping Sun (51yo)

    Senior Vice President

    • Tenure: 8.1yrs
  • Zhang Hong (43yo)

    Senior Vice President

    • Tenure: 1.6yrs
  • Yuchun Yang (45yo)

    CEO, President & Executive Director

    • Tenure: 2.8yrs
  • Hai Ru (44yo)

    Senior Vice President

    • Tenure: 0.6yrs
  • Jin Gao (46yo)

    CFO & Senior VP

    • Tenure: 1.4yrs

Board Members

  • Xinping Guo (56yo)

    Chairman of the Supervisory Committee

    • Tenure: 0yrs
  • Zhengping Wu (55yo)

    Non-Executive Director

    • Tenure: 9.6yrs
  • Wenjing Wang (55yo)

    Chairman

    • Tenure: 9.6yrs
  • Chris Chen (55yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: CN¥150.00k
  • Yongyi Ma (54yo)

    Independent Supervisor

    • Tenure: 5.5yrs
    • Compensation: CN¥60.00k
  • Kevin Chen (64yo)

    Independent Non-Executive Director

    • Tenure: 8.1yrs
    • Compensation: CN¥150.00k
  • Douglas Lau (46yo)

    Independent Non-Executive Director

    • Tenure: 8.1yrs
    • Compensation: CN¥150.00k
  • Guangli Ruan (71yo)

    Independent Supervisor

    • Tenure: 5.5yrs
    • Compensation: CN¥60.00k
  • Peilin Zhang (54yo)

    Shareholder Representative Supervisor

    • Tenure: 3.4yrs
  • Yuchun Yang (45yo)

    CEO, President & Executive Director

    • Tenure: 2.8yrs

Company Information

Chanjet Information Technology Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Chanjet Information Technology Company Limited
  • Ticker: C7D
  • Exchange: DB
  • Founded: 2005
  • Industry: Application Software
  • Sector: Software
  • Market Cap: HK$1.735b
  • Listing Market Cap: HK$198.640m
  • Shares outstanding: 217.18m
  • Website: https://www.chanjet.com

Number of Employees


Location

  • Chanjet Information Technology Company Limited
  • Building 3
  • Floor 3
  • Beijing
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1588SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares Foreign ListedHKHKDJun 2014
C7DDB (Deutsche Boerse AG)YesForeign Shares Foreign ListedDEEURJun 2014

Biography

Chanjet Information Technology Company Limited provides software and other related services to micro and small scale enterprises (MSEs) in Mainland China. The company offers cloud services, including Chanj ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:50
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.