SEHK:628

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Gome Finance Technology

Executive Summary

Gome Finance Technology Co., Ltd., an investment holding company, provides various financial services in Hong Kong and People's Republic of China.


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 628's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.7%

628

-5.5%

HK Mortgage

1.4%

HK Market


1 Year Return

75.0%

628

-23.6%

HK Mortgage

3.1%

HK Market

Return vs Industry: 628 exceeded the Hong Kong Mortgage industry which returned -23.6% over the past year.

Return vs Market: 628 exceeded the Hong Kong Market which returned 3.1% over the past year.


Shareholder returns

628IndustryMarket
7 Day7.7%-5.5%1.4%
30 Day2.4%-7.2%-0.8%
90 Day58.5%4.7%8.8%
1 Year75.0%75.0%-22.6%-23.6%7.4%3.1%
3 Year-16.8%-16.8%-21.7%-25.2%-0.2%-10.9%
5 Year-44.4%-44.4%16.0%7.5%8.9%-9.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Gome Finance Technology undervalued compared to its fair value and its price relative to the market?

1.3x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 628's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 628's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 628 is unprofitable, so we can't compare its PE Ratio to the XA Mortgage industry average.

PE vs Market: 628 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 628's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 628 is overvalued based on its PB Ratio (1.3x) compared to the XA Mortgage industry average (0.7x).


Next Steps

Future Growth

How is Gome Finance Technology forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.1%

Forecasted Banks 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 Gome Finance Technology 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 Gome Finance Technology performed over the past 5 years?

27.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 628 is currently unprofitable.

Growing Profit Margin: 628 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 628 is unprofitable, but has reduced losses over the past 5 years at a rate of 27.2% per year.

Accelerating Growth: Unable to compare 628's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 628 is unprofitable, making it difficult to compare its past year earnings growth to the Mortgage industry (5.9%).


Return on Equity

High ROE: 628 has a negative Return on Equity (-1.83%), as it is currently unprofitable.


Next Steps

Financial Health

How is Gome Finance Technology's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: 628's Assets to Equity ratio (1.6x) is low.

Allowance for Bad Loans: Insufficient data to determine if 628 has a sufficient allowance for bad loans.

Low Risk Liabilities: 628 reports no customer deposits, 100% of its liabilities are made up of higher risk sources of funding.

Loan Level: Insufficient data to determine if 628 has an appropriate level of Loans to Assets ratio.

Low Risk Deposits: 628 reports no customer deposits, loans are made up entirely of externally borrowed funds.

Level of Bad Loans: Insufficient data to determine if 628 has an appropriate level of bad loans.


Next Steps

Dividend

What is Gome Finance Technology current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 628's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 628's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 628's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 628's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 628 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 628'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?

3.4yrs

Average board tenure


CEO

Gome Finance Technology has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Wei Chen
Executive Director2.67yrsCN¥1.54mno data
Jianhua Wan
Independent Non-Executive Director3yrsCN¥271.00kno data
Qiu Li Wei
Non-Executive Director3.92yrsCN¥105.00kno data
Liqing Zhang
Independent Non-Executive Director3.92yrsCN¥271.00kno data
Ka Hai Hung
Independent Non-Executive Director3.83yrsCN¥271.00kno data
Dakuan Cao
Independent Non-Executive Director1yrno datano data

3.4yrs

Average Tenure

61yo

Average Age

Experienced Board: 628's board of directors are considered experienced (3.4 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Gome Finance Technology Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gome Finance Technology Co., Ltd.
  • Ticker: 628
  • Exchange: SEHK
  • Founded:
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: HK$2.134b
  • Shares outstanding: 2.70b
  • Website: https://www.gomejr.com

Number of Employees


Location

  • Gome Finance Technology Co., Ltd.
  • Two International Finance Centre
  • 29th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
628SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJul 2002
TFN4DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2002

Biography

Gome Finance Technology Co., Ltd., an investment holding company, provides various financial services in Hong Kong and People's Republic of China. The company offers commercial factoring, financial leasing ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/04 13:01
End of Day Share Price2020/08/04 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.