BST:P2G

Stock Analysis Report

PC Partner Group

Executive Summary

PC Partner Group Limited, an investment holding company, designs, develops, manufactures, and sells computer electronics.


Snowflake Analysis

Reasonable growth potential with imperfect balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: P2G has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.9%

P2G

-1.9%

DE Tech

-0.2%

DE Market


1 Year Return

-40.2%

P2G

15.4%

DE Tech

13.7%

DE Market

Return vs Industry: P2G underperformed the German Tech industry which returned 15.4% over the past year.

Return vs Market: P2G underperformed the German Market which returned 13.7% over the past year.


Shareholder returns

P2GIndustryMarket
7 Day-1.9%-1.9%-0.2%
30 Day-7.3%10.4%0.3%
90 Day-12.8%21.0%3.7%
1 Year-40.2%-40.2%16.3%15.4%17.2%13.7%
3 Yearn/a158.4%153.0%15.4%5.3%
5 Yearn/a93.4%70.5%21.3%4.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is PC Partner Group undervalued compared to its fair value and its price relative to the market?

0.87x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: P2G (€0.2) is trading above our estimate of fair value (€0.09)

Significantly Below Fair Value: P2G is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: P2G is unprofitable, so we can't compare its PE Ratio to the Tech industry average.

PE vs Market: P2G is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate P2G's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: P2G is good value based on its PB Ratio (0.9x) compared to the XE Tech industry average (1.3x).


Next Steps

Future Growth

How is PC Partner Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

103.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: P2G is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: P2G is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: P2G's is expected to become profitable in the next 3 years.

Revenue vs Market: P2G's revenue (16.4% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: P2G's revenue (16.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: P2G's Return on Equity is forecast to be low in 3 years time (16.9%).


Next Steps

Past Performance

How has PC Partner Group performed over the past 5 years?

35.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: P2G is currently unprofitable.

Growing Profit Margin: P2G is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: P2G is unprofitable, but has reduced losses over the past 5 years at a rate of 35.4% per year.

Accelerating Growth: Unable to compare P2G's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: P2G is unprofitable, making it difficult to compare its past year earnings growth to the Tech industry (-8.4%).


Return on Equity

High ROE: P2G has a negative Return on Equity (-18.87%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is PC Partner Group's financial position?


Financial Position Analysis

Short Term Liabilities: P2G's short term assets (HK$3.0B) exceed its short term liabilities (HK$2.6B).

Long Term Liabilities: P2G's short term assets (HK$3.0B) exceed its long term liabilities (HK$133.7M).


Debt to Equity History and Analysis

Debt Level: P2G's debt to equity ratio (174.8%) is considered high.

Reducing Debt: P2G's debt to equity ratio has increased from 104.5% to 174.8% over the past 5 years.


Balance Sheet

Inventory Level: P2G has a high level of physical assets or inventory.

Debt Coverage by Assets: P2G's debt is covered by short term assets (assets are 2.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: P2G has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: P2G has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is PC Partner Group's current dividend yield, its reliability and sustainability?

5.41%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate P2G's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate P2G's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if P2G's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if P2G's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: P2G is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of P2G's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

22.8yrs

Average management tenure


CEO

Tony Wong (59yo)

9.1yrs

Tenure

HK$12,933,000

Compensation

Mr. Shik Ho Wong, also known as Tony, Co-Founded PC Partner Group Limited in May 1997 and serves as its Chairman. Mr. Wong has been the Chief Executive Officer and Executive Director at PC Partner Group Li ...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD1.66M) is above average for companies of similar size in the German market ($USD412.50K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Shik Wong
Co-Founder9.1yrsHK$12.93m14.62% HK$12.0m
Fong Wong
Co-Founder9.8yrsHK$5.96m7.16% HK$5.9m
Wah Leung
Co-Founder9.8yrsHK$8.43m6.48% HK$5.3m
Nai Ho
Executive Director9.1yrsHK$5.03m5.5% HK$4.5m
Wai Man
Executive Director9.1yrsHK$4.12m1.29% HK$1.1m
Ka Lau
Chief Financial Officer0yrsno datano data
Hsiao Chuang
Global Marketing Director0yrsno datano data
Sau Fong Leung
Company Secretary0yrsno datano data

22.8yrs

Average Tenure

59yo

Average Age

Experienced Management: P2G's management team is seasoned and experienced (22.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Shik Wong
Co-Founder9.1yrsHK$12.93m14.62% HK$12.0m
Fong Wong
Co-Founder9.8yrsHK$5.96m7.16% HK$5.9m
Wah Leung
Co-Founder9.8yrsHK$8.43m6.48% HK$5.3m
Nai Ho
Executive Director9.1yrsHK$5.03m5.5% HK$4.5m
Wai Man
Executive Director9.1yrsHK$4.12m1.29% HK$1.1m
Shing Hing Ip
Independent Non-Executive Director9.1yrsHK$240.00kno data
Kin Lai
Independent Non-Executive Director9.1yrsHK$240.00kno data
Mee-Tak Ho
Non-Executive Director9.1yrsHK$60.00k14.74% HK$12.1m
Wing Chiu
Alternate Director7.3yrsHK$60.00kno data
Ying Cheung
Independent Non-Executive Director9.1yrsHK$240.00kno data

9.1yrs

Average Tenure

63.5yo

Average Age

Experienced Board: P2G's board of directors are considered experienced (9.1 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

PC Partner Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PC Partner Group Limited
  • Ticker: P2G
  • Exchange: BST
  • Founded: 1997
  • Industry: Technology Hardware, Storage and Peripherals
  • Sector: Tech
  • Market Cap: HK$688.373m
  • Listing Market Cap: HK$81.952m
  • Shares outstanding: 372.09m
  • Website: https://www.pcpartner.com

Number of Employees


Location

  • PC Partner Group Limited
  • Shatin Galleria
  • 19th Floor
  • Shatin
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1263SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2012
P2GBST (Boerse-Stuttgart)YesOrdinary SharesDEEURJan 2012

Biography

PC Partner Group Limited, an investment holding company, designs, develops, manufactures, and sells computer electronics. The company offers video graphics cards for desktop PCs; and computer related products, such as motherboards, mini-PCs, and other computer related products. It also trades in computer parts and accessories, and computers; and provides technical support services. In addition, the company offers electronics manufacturing services to the providers of point-of-sales and automatic teller machine systems, storage devices, consumer products, etc. The company markets its products under the ZOTAC, Inno3D, and Manli brands in the Asia Pacific, North and Latin America, the People’s Republic of China, Europe, the Middle East, Africa, and India. PC Partner Group Limited was founded in 1997 and is headquartered in Shatin, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 23:17
End of Day Share Price2020/02/20 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.