SEHK:1421

Stock Analysis Report

Executive Summary

Kingbo Strike Limited, an investment holding company, engages in the construction, operation, and sale of solar power station projects in the People’s Republic of China.

Risk Analysis

Earnings have declined by -40.91% per year over past 5 years

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year

Does not have a meaningful market cap (HK$228M)



Snowflake Analysis

Flawless balance sheet with weak fundamentals.


Similar Companies

Share Price & News

How has Kingbo Strike's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1421 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

6.8%

1421

-0.06%

HK Electrical

1.0%

HK Market


1 Year Return

-17.3%

1421

-24.0%

HK Electrical

6.5%

HK Market

Return vs Industry: 1421 exceeded the Hong Kong Electrical industry which returned -23.1% over the past year.

Return vs Market: 1421 underperformed the Hong Kong Market which returned 6.4% over the past year.


Shareholder returns

1421IndustryMarket
7 Day6.8%-0.06%1.0%
30 Day5.5%3.9%3.7%
90 Day4.2%5.0%8.0%
1 Year-17.3%-17.3%-22.7%-24.0%10.4%6.5%
3 Year-54.7%-54.7%-44.0%-46.1%25.9%13.1%
5 Year-86.3%-86.3%-48.0%-51.0%22.2%1.8%

Price Volatility Vs. Market

How volatile is Kingbo Strike's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kingbo Strike undervalued compared to its fair value and its price relative to the market?

0.65x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1421's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1421's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1421 is unprofitable, so we can't compare its PE Ratio to the Electrical industry average.

PE vs Market: 1421 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 1421's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1421 is overvalued based on its PB Ratio (0.6x) compared to the HK Electrical industry average (0.6x).


Next Steps

Future Growth

How is Kingbo Strike forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.0%

Forecasted Capital Goods 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 Kingbo Strike 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 Kingbo Strike performed over the past 5 years?

-40.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1421 is currently unprofitable.

Growing Profit Margin: 1421 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1421 is unprofitable, and losses have increased over the past 5 years at a rate of -40.9% per year.

Accelerating Growth: Unable to compare 1421's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1421 is unprofitable, making it difficult to compare its past year earnings growth to the Electrical industry (4.8%).


Return on Equity

High ROE: 1421 has a negative Return on Equity (-9.23%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Kingbo Strike's financial position?


Financial Position Analysis

Short Term Liabilities: 1421's short term assets (SGD68.6M) exceed its short term liabilities (SGD8.8M).

Long Term Liabilities: 1421 has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: 1421 is debt free.

Reducing Debt: 1421 had no debt 5 years ago.


Balance Sheet

Inventory Level: 1421 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 1421's debt is covered by short term assets.


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: 1421 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 1421 has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -10.3% each year


Next Steps

Dividend

What is Kingbo Strike's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.2%markettop25%6.1%industryaverage2.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 1421's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1421'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 1421's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1421'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 1421's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Kingbo Strike's salary, the management and board of directors tenure and is there insider trading?

2.9yrs

Average board tenure


CEO

Kingbo Strike has no CEO, or we have no data on them.


Board Age and Tenure

2.9yrs

Average Tenure

53yo

Average Age

Experienced Board: 1421's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyHK$370,00302 Jul 19
Runxiong Yao
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares2,000,000
Max PriceHK$0.19
BuyHK$331,96402 Jul 19
Runxiong Yao
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares1,720,000
Max PriceHK$0.19
BuyHK$619,59727 Jun 19
Runxiong Yao
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares3,870,000
Max PriceHK$0.16
BuyHK$90,48027 Jun 19
Runxiong Yao
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares480,000
Max PriceHK$0.19

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 17.7%.


Management Team

  • Kwok Leung Ng (37yo)

    Group Financial Controller & Company Secretary

    • Tenure: 2.3yrs
  • Yancheng Liu (51yo)

    Chairman of the Board

    • Tenure: 2.8yrs
    • Compensation: S$384.90k
  • Runxiong Yao (57yo)

    Executive Director

    • Tenure: 2.3yrs
    • Compensation: S$169.73k

Board Members

  • Tak Wah Tam (54yo)

    Non-Executive Director

    • Tenure: 5.2yrs
    • Compensation: S$62.46k
  • Winston Li (52yo)

    Independent Non-Executive Director

    • Tenure: 2.6yrs
    • Compensation: S$47.89k
  • Vincent Leung (55yo)

    Independent Non-Executive Director

    • Tenure: 4.2yrs
    • Compensation: S$47.89k
  • Yancheng Liu (51yo)

    Chairman of the Board

    • Tenure: 2.8yrs
    • Compensation: S$384.90k
  • Xiaodong Luo (32yo)

    Independent Non-Executive Director

    • Tenure: 3yrs
    • Compensation: S$47.89k
  • Runxiong Yao (57yo)

    Executive Director

    • Tenure: 2.3yrs
    • Compensation: S$169.73k

Company Information

Kingbo Strike Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kingbo Strike Limited
  • Ticker: 1421
  • Exchange: SEHK
  • Founded:
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: HK$240.518m
  • Shares outstanding: 1.39b
  • Website: https://www.kingbostrike.com

Number of Employees


Location

  • Kingbo Strike Limited
  • Wing On Centre
  • Room 1011
  • Central
  • 787480
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1421SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2013

Biography

Kingbo Strike Limited, an investment holding company, engages in the construction, operation, and sale of solar power station projects in the People’s Republic of China. The company is involved in the supply and installation of solar photovoltaic parts and equipment. It also engages in the provision of electrical engineering services for public residential projects in Singapore; finance business; and trading of consumer products and accessories. The company 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 Analysis2020/01/17 12:56
End of Day Share Price2020/01/17 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.