SEHK:1585

Stock Analysis Report

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Market Cap

HK$43.9b

Last Updated

2021/07/23 16:27 UTC

Data Sources

Company Financials +

Executive Summary

Yadea Group Holdings Ltd., an investment holding company, researches, develops, manufactures, distributes, and sells electric two wheeled vehicles and related accessories in the People’s Republic of China. More Details


Snowflake Analysis

Outstanding track record with exceptional growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1585 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 1585's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

-9.1%

1585

5.6%

HK Auto

-1.2%

HK Market


1 Year Return

145.9%

1585

127.3%

HK Auto

14.4%

HK Market

Return vs Industry: 1585 exceeded the Hong Kong Auto industry which returned 127.3% over the past year.

Return vs Market: 1585 exceeded the Hong Kong Market which returned 14.4% over the past year.


Shareholder returns

1585IndustryMarket
7 Day-9.1%5.6%-1.2%
30 Day-7.1%4.7%-4.3%
90 Day-12.1%20.9%-6.4%
1 Year150.8%145.9%130.3%127.3%18.5%14.4%
3 Year425.1%406.8%154.2%132.8%10.0%-2.2%
5 Year836.9%772.1%188.4%150.8%45.8%20.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Yadea Group Holdings 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: 1585 (HK$15) is trading below our estimate of fair value (HK$92.44)

Significantly Below Fair Value: 1585 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1585 is poor value based on its PE Ratio (37.4x) compared to the Hong Kong Auto industry average (11.7x).

PE vs Market: 1585 is poor value based on its PE Ratio (37.4x) compared to the Hong Kong market (11x).


Price to Earnings Growth Ratio

PEG Ratio: 1585 is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: 1585 is overvalued based on its PB Ratio (9.9x) compared to the HK Auto industry average (0.7x).


Future Growth

How is Yadea Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

31.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1585's forecast earnings growth (31.8% per year) is above the savings rate (1.5%).

Earnings vs Market: 1585's earnings (31.8% per year) are forecast to grow faster than the Hong Kong market (19% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 1585's revenue (25.2% per year) is forecast to grow faster than the Hong Kong market (12.7% per year).

High Growth Revenue: 1585's revenue (25.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1585's Return on Equity is forecast to be high in 3 years time (36.3%)


Past Performance

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

15.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1585 has high quality earnings.

Growing Profit Margin: 1585's current net profit margins (4.9%) are higher than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: 1585's earnings have grown by 15.2% per year over the past 5 years.

Accelerating Growth: 1585's earnings growth over the past year (89.2%) exceeds its 5-year average (15.2% per year).

Earnings vs Industry: 1585 earnings growth over the past year (89.2%) exceeded the Auto industry 38%.


Return on Equity

High ROE: 1585's Return on Equity (26.6%) is considered high.


Financial Health

How is Yadea Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1585's short term assets (CN¥13.4B) exceed its short term liabilities (CN¥12.2B).

Long Term Liabilities: 1585's short term assets (CN¥13.4B) exceed its long term liabilities (CN¥177.5M).


Debt to Equity History and Analysis

Debt Level: 1585's debt to equity ratio (2.7%) is considered satisfactory.

Reducing Debt: 1585's debt to equity ratio has increased from 1.6% to 2.7% over the past 5 years.

Debt Coverage: 1585's debt is well covered by operating cash flow (2270.4%).

Interest Coverage: 1585 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

1.25%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1585's dividend (1.25%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (1.97%).

High Dividend: 1585's dividend (1.25%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.29%).


Stability and Growth of Payments

Stable Dividend: 1585 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1585's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.8%), 1585's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1585's dividends in 3 years are forecast to be well covered by earnings (36.8% payout ratio).


Next Steps

Management

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

6.5yrs

Average management tenure


CEO

Jinghong Qian (48 yo)

2.17yrs

Tenure

CN¥914,000

Compensation

Ms. Jinghong Qian serves as Vice Chairwoman of Yadea Group Holdings Ltd. and has been its Executive Director since July 17, 2014. Ms. Qian serves as a Chief Executive Officer at Yadea Group Holdings Ltd. S...


CEO Compensation Analysis

Compensation vs Market: Jinghong's total compensation ($USD141.25K) is below average for companies of similar size in the Hong Kong market ($USD522.47K).

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


Leadership Team

Experienced Management: 1585's management team is seasoned and experienced (6.5 years average tenure).


Board Members

Experienced Board: 1585's board of directors are considered experienced (6.2 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

Yadea Group Holdings Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Yadea Group Holdings Ltd.
  • Ticker: 1585
  • Exchange: SEHK
  • Founded: 2001
  • Industry: Motorcycle Manufacturers
  • Sector: Automobiles
  • Market Cap: HK$43.949b
  • Shares outstanding: 2.85b
  • Website: https://www.yadea.com.cn

Number of Employees


Location

  • Yadea Group Holdings Ltd.
  • Xishan Road
  • Dacheng Industrial Zone
  • Wuxi
  • Jiangsu Province
  • China

Listings


Biography

Yadea Group Holdings Ltd., an investment holding company, researches, develops, manufactures, distributes, and sells electric two wheeled vehicles and related accessories in the People’s Republic of China....


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/23 16:27
End of Day Share Price2021/07/23 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.