SEHK:1269

Stock Analysis Report

China First Capital Group

Executive Summary

China First Capital Group Limited, an investment holding company, engages in the automotive parts, education operation, and financial services businesses in the People’s Republic of China, Hong Kong, Singapore, Italy, and internationally.


Snowflake Analysis

Fair value with mediocre balance sheet.

Share Price & News

How has China First Capital Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1269's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.8%

1269

6.7%

HK Auto Components

7.4%

HK Market


1 Year Return

-95.5%

1269

-38.8%

HK Auto Components

-22.7%

HK Market

Return vs Industry: 1269 underperformed the Hong Kong Auto Components industry which returned -38% over the past year.

Return vs Market: 1269 underperformed the Hong Kong Market which returned -20.3% over the past year.


Shareholder returns

1269IndustryMarket
7 Day7.8%6.7%7.4%
30 Day-16.7%-20.3%-11.2%
90 Day-33.7%-26.2%-17.3%
1 Year-95.5%-95.5%-36.6%-38.8%-19.9%-22.7%
3 Year-94.8%-94.8%-41.9%-46.2%-5.3%-14.8%
5 Year-68.0%-68.0%-13.8%-23.3%-8.7%-23.4%

Price Volatility Vs. Market

How volatile is China First Capital Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China First Capital Group 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: 1269 (HK$0.18) is trading below our estimate of fair value (HK$4.84)

Significantly Below Fair Value: 1269 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1269 is unprofitable, so we can't compare its PE Ratio to the Auto Components industry average.

PE vs Market: 1269 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1269's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1269 is good value based on its PB Ratio (0.3x) compared to the HK Auto Components industry average (0.7x).


Next Steps

Future Growth

How is China First Capital Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.7%

Forecasted Automobiles 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 China First Capital Group 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 China First Capital Group performed over the past 5 years?

-75.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1269 is currently unprofitable.

Growing Profit Margin: 1269 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1269 is unprofitable, and losses have increased over the past 5 years at a rate of -75.4% per year.

Accelerating Growth: Unable to compare 1269's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1269 is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-22.1%).


Return on Equity

High ROE: 1269 has a negative Return on Equity (-40.07%), as it is currently unprofitable.


Next Steps

Financial Health

How is China First Capital Group's financial position?


Financial Position Analysis

Short Term Liabilities: 1269's short term assets (CN¥5.2B) exceed its short term liabilities (CN¥4.3B).

Long Term Liabilities: 1269's short term assets (CN¥5.2B) exceed its long term liabilities (CN¥1.7B).


Debt to Equity History and Analysis

Debt Level: 1269's debt to equity ratio (116.2%) is considered high.

Reducing Debt: 1269's debt to equity ratio has reduced from 117.1% to 116.2% over the past 5 years.


Balance Sheet

Inventory Level: 1269 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 1269's debt is covered by short term assets (assets are 1.5x 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: Insufficient data to determine if 1269 has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 1269 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is China First Capital Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1269's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1269'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 1269's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1269's dividend payments have been increasing.


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: No need to calculate the sustainability of 1269's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Zhijun Zhao (44yo)

2.67s

Tenure

CN¥808,000

Compensation

Mr. Zhijun Zhao has been Co-Chief Executive Officer of China First Capital Group Limited since July 26, 2017. Mr. Zhao served as the Chief Executive Officer of China China First Capital Group Limited from  ...


CEO Compensation Analysis

Compensation vs Market: Zhijun's total compensation ($USD113.87K) is below average for companies of similar size in the Hong Kong market ($USD229.12K).

Compensation vs Earnings: Zhijun's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Wilson Sea
Chairman of the Board8.92yrsCN¥3.68m7.48% CN¥66.9m
Zhijun Zhao
Co-CEO & Executive Director2.67yrsCN¥808.00kno data
Huanqiang Zhu
Co-CEO & Executive Director2yrsCN¥4.54mno data
Haiting Yan
Co-Presidentno dataCN¥1.26mno data
Henry Hao
Co-Presidentno datano datano data
Hui Wang
Chief Financial Officer4.25yrsno datano data
Qingrong He
Deputy Chief Executive Officer3.67yrsno datano data
Minwen Li
Deputy CEOno datano datano data
Bin Zong
Deputy Chief Executive Officer2.92yrsno datano data
Bo Sun
Deputy Chief Executive Officer5.17yrsno datano data

3.3yrs

Average Tenure

49yo

Average Age

Experienced Management: 1269's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wilson Sea
Chairman of the Board8.92yrsCN¥3.68m7.48% CN¥66.9m
Zhijun Zhao
Co-CEO & Executive Director2.67yrsCN¥808.00kno data
Huanqiang Zhu
Co-CEO & Executive Director2yrsCN¥4.54mno data
Kin Wang Chu
Independent Non-Executive Director8.42yrsCN¥231.00kno data
Cheng Guan Loo
Independent Non Executive Directorno datano datano data
Xiaotang Du
Independent Non-Executive Director0.67yrno datano data

8.4yrs

Average Tenure

52yo

Average Age

Experienced Board: 1269's board of directors are considered experienced (8.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: 1269 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.2%.


Top Shareholders

Company Information

China First Capital Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China First Capital Group Limited
  • Ticker: 1269
  • Exchange: SEHK
  • Founded: 1951
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: HK$894.787m
  • Shares outstanding: 5.03b
  • Website: https://www.cfcg.com.hk

Number of Employees


Location

  • China First Capital Group Limited
  • The Centre
  • 45th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1269SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2011
1269SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDNov 2011
1269SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDNov 2011

Biography

China First Capital Group Limited, an investment holding company, engages in the automotive parts, education operation, and financial services businesses in the People’s Republic of China, Hong Kong, Singapore, Italy, and internationally. It researches, develops, manufactures, and sells automobile shock absorber and suspension system products to the automobile market of original automobile manufacturers and the secondary market of the automobile industry. The company also provides financial services, such as dealing in securities, underwriting and placing of securities, financing consultancy, merger and acquisition agency, financial advisory, asset management, private equity fund management, credit financing, franchising, and overseas education/migration financial services. In addition, it offers schooling services, including kindergarten, and academic and vocational education services, as well as management and consultancy services to educational institutions. Further, it engages in the educational investment and property development businesses. The company was formerly known as China Vehicle Components Technology Holdings Limited and changed its name to China First Capital Group Limited in September 2015. The company was founded in 1951 and is headquartered in Central, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 13:21
End of Day Share Price2020/03/30 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.