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1958

BAIC Motor SZSC:1958 Stock Report

Last Price

HK$2.27

Market Cap

HK$18.2b

7D

-1.7%

1Y

-22.5%

Updated

20 Jul, 2022

Data

Company Financials +
1958 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance4/6
Financial Health5/6
Dividends4/6

1958 Stock Overview

BAIC Motor Corporation Limited, together with its subsidiaries, manufactures and sells passenger vehicles in the People’s Republic of China.

BAIC Motor Competitors

Price History & Performance

Summary of all time highs, changes and price drops for BAIC Motor
Historical stock prices
Current Share PriceHK$2.27
52 Week HighHK$4.03
52 Week LowHK$2.11
Beta1.01
1 Month Change-10.28%
3 Month Change-6.20%
1 Year Change-22.53%
3 Year Change-57.65%
5 Year Change-69.81%
Change since IPO-69.20%

Recent News & Updates

Shareholder Returns

1958HK AutoHK Market
7D-1.7%-7.6%-5.6%
1Y-22.5%-6.8%-25.1%

Return vs Industry: 1958 underperformed the Hong Kong Auto industry which returned -6.8% over the past year.

Return vs Market: 1958 exceeded the Hong Kong Market which returned -25.1% over the past year.

Price Volatility

Is 1958's price volatile compared to industry and market?
1958 volatility
1958 Average Weekly Movement4.8%
Auto Industry Average Movement6.8%
Market Average Movement6.8%
10% most volatile stocks in HK Market13.3%
10% least volatile stocks in HK Market3.3%

Stable Share Price: 1958 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 1958's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
195818,694Wenbing Huanghttps://www.baicmotor.com

BAIC Motor Corporation Limited, together with its subsidiaries, manufactures and sells passenger vehicles in the People’s Republic of China. The company provides luxury passenger cars, luxury commercial vehicles, middle-end and high-end passenger cars, and self-owned passenger cars. It also provides engines, powertrain, other parts, and components.

BAIC Motor Fundamentals Summary

How do BAIC Motor's earnings and revenue compare to its market cap?
1958 fundamental statistics
Market CapCN¥15.63b
Earnings (TTM)CN¥3.66b
Revenue (TTM)CN¥171.84b

4.3x

P/E Ratio

0.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1958 income statement (TTM)
RevenueCN¥171.84b
Cost of RevenueCN¥135.77b
Gross ProfitCN¥36.06b
Other ExpensesCN¥32.40b
EarningsCN¥3.66b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.46
Gross Margin20.99%
Net Profit Margin2.13%
Debt/Equity Ratio16.9%

How did 1958 perform over the long term?

See historical performance and comparison

Dividends

8.2%

Current Dividend Yield

35%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 1958 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1958?

Other financial metrics that can be useful for relative valuation.

1958 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.08x
Enterprise Value/EBITDA0.5x
PEG Ratio0.3x

Price to Earnings Ratio vs Peers

How does 1958's PE Ratio compare to its peers?

1958 PE Ratio vs Peers
The above table shows the PE ratio for 1958 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.8x
489 Dongfeng Motor Group
3.7x5.4%HK$49.1b
1122 Qingling Motors
8.7xn/aHK$3.3b
175 Geely Automobile Holdings
30.1x29.1%HK$165.5b
2238 Guangzhou Automobile Group
8.7x15.7%HK$156.4b
1958 BAIC Motor
4.3x14.1%HK$18.2b

Price-To-Earnings vs Peers: 1958 is good value based on its Price-To-Earnings Ratio (4.3x) compared to the peer average (12.8x).


Price to Earnings Ratio vs Industry

How does 1958's PE Ratio compare vs other companies in the Asian Auto Industry?

Price-To-Earnings vs Industry: 1958 is good value based on its Price-To-Earnings Ratio (4.3x) compared to the Hong Kong Auto industry average (11.9x)


Price to Earnings Ratio vs Fair Ratio

What is 1958's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1958 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.3x
Fair PE Ratio8.9x

Price-To-Earnings vs Fair Ratio: 1958 is good value based on its Price-To-Earnings Ratio (4.3x) compared to the estimated Fair Price-To-Earnings Ratio (8.9x).


Share Price vs Fair Value

What is the Fair Price of 1958 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1958 (HK$2.27) is trading below our estimate of fair value (HK$68.05)

Significantly Below Fair Value: 1958 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is BAIC Motor forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


14.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1958's forecast earnings growth (14.1% per year) is above the savings rate (1.6%).

Earnings vs Market: 1958's earnings (14.1% per year) are forecast to grow slower than the Hong Kong market (16.5% per year).

High Growth Earnings: 1958's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1958's revenue (6% per year) is forecast to grow slower than the Hong Kong market (10.2% per year).

High Growth Revenue: 1958's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1958's Return on Equity is forecast to be low in 3 years time (7.9%).


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Past Performance

How has BAIC Motor performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-5.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1958 has high quality earnings.

Growing Profit Margin: 1958's current net profit margins (2.1%) are higher than last year (1.9%).


Past Earnings Growth Analysis

Earnings Trend: 1958's earnings have declined by 5.8% per year over the past 5 years.

Accelerating Growth: 1958's earnings growth over the past year (0.6%) exceeds its 5-year average (-5.8% per year).

Earnings vs Industry: 1958 earnings growth over the past year (0.6%) exceeded the Auto industry -1.1%.


Return on Equity

High ROE: 1958's Return on Equity (18.5%) is considered low.


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Financial Health

How is BAIC Motor's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 1958's short term assets (CN¥80.0B) do not cover its short term liabilities (CN¥81.8B).

Long Term Liabilities: 1958's short term assets (CN¥80.0B) exceed its long term liabilities (CN¥13.7B).


Debt to Equity History and Analysis

Debt Level: 1958 has more cash than its total debt.

Reducing Debt: 1958's debt to equity ratio has reduced from 64.9% to 16.9% over the past 5 years.

Debt Coverage: 1958's debt is well covered by operating cash flow (96.3%).

Interest Coverage: 1958 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is BAIC Motor current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


8.20%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 1958's dividend (8.2%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.81%).

High Dividend: 1958's dividend (8.2%) is in the top 25% of dividend payers in the Hong Kong market (7.97%)


Stability and Growth of Payments

Stable Dividend: 1958 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1958 has only been paying a dividend for 7 years, and since then payments have fallen.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (35%), 1958's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (25.8%), 1958's dividend payments are well covered by cash flows.


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Management

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

1.3yrs

Average board tenure


CEO

Wenbing Huang (49 yo)

1.58yrs

Tenure

CN¥1,365,000

Compensation

Mr. Wenbing Huang is President and Executive Director at BAIC Motor Corporation Limited since March 24, 2021. He serves as the Chief Executive Officer at BAIC Motor Corporation Limited since December 31, 2...


CEO Compensation Analysis

Compensation vs Market: Wenbing's total compensation ($USD202.41K) is below average for companies of similar size in the Hong Kong market ($USD534.35K).

Compensation vs Earnings: Insufficient data to compare Wenbing's compensation with company performance.


Board Members

Experienced Board: 1958's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


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

BAIC Motor Corporation Limited's employee growth, exchange listings and data sources


Key Information

  • Name: BAIC Motor Corporation Limited
  • Ticker: 1958
  • Exchange: SZSC
  • Founded: 1958
  • Industry: Automobile Manufacturers
  • Sector: Automobiles
  • Implied Market Cap: HK$18.195b
  • Shares outstanding: 8.02b
  • Website: https://www.baicmotor.com

Number of Employees


Location

  • BAIC Motor Corporation Limited
  • No. 99 Shuanghe Street
  • Shunyi District
  • Beijing
  • 101300
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/20 00:00
End of Day Share Price2022/07/19 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.