SEHK:1581

Stock Analysis Report

Progressive Path Group Holdings

Executive Summary

Progressive Path Group Holdings Limited, an investment holding company, engages in the construction works, construction machinery rental, and construction machinery trading businesses.

Snowflake

Fundamentals

Adequate balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

10.6%

1581

7.5%

HK Trade Distributors

0.9%

HK Market


1 Year Return

-41.1%

1581

11.6%

HK Trade Distributors

0.6%

HK Market

Return vs Industry: 1581 underperformed the Hong Kong Trade Distributors industry which returned 11.6% over the past year.

Return vs Market: 1581 underperformed the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

1581IndustryMarket
7 Day10.6%7.5%0.9%
30 Day-25.0%-7.8%0.4%
90 Day-37.1%8.2%-5.5%
1 Year-41.1%-41.1%15.0%11.6%4.2%0.6%
3 Yearn/a-7.8%-16.2%15.5%3.9%
5 Yearn/a-38.4%-50.5%19.9%-0.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Progressive Path 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

Undervalued: 1581 (HK$0.16) is trading below our estimate of fair value (HK$0.37)

Significantly Undervalued: 1581 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1581 is unprofitable, so we can't compare its PE Ratio to the Trade Distributors industry average.

PE vs Market: 1581 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate 1581's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1581 is overvalued based on its PB Ratio (0.8x) compared to the HK Trade Distributors industry average (0.6x).


Next Steps

Future Growth

How is Progressive Path Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

38.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1581 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 1581 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 1581 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 1581's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 1581's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if 1581's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Progressive Path Group Holdings performed over the past 5 years?

-58.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1581 is unprofitable, and losses have increased over the past 5 years at a rate of -58.8% per year.

Accelerating Growth: Unable to compare 1581's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1581 is unprofitable, making it difficult to compare its past year earnings growth to the Trade Distributors industry (1%).


Return on Equity

High ROE: 1581 has a negative Return on Equity (-22.32%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 1581 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 1581 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Progressive Path Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1581's short term assets (HK$237.7M) exceeds its short term liabilities (HK$102.1M)

Long Term Liabilities: 1581's short term assets (237.7M) exceeds its long term liabilities (45.3M)


Debt to Equity History and Analysis

Debt Level: 1581's debt to equity ratio (23.6%) is considered satisfactory

Reducing Debt: 1581's debt to equity ratio has increased from 0.02% to 23.6% over the past 5 years.

Debt Coverage: 1581's debt is well covered by operating cash flow (93.7%).

Interest Coverage: Insufficient data to determine if 1581's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 1581 has a high level of physical assets or inventory.

Debt Coverage by Assets: 1581's debt is covered by short term assets (assets are 4.935180x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.3%industryaverage3.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 1581's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1581's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 1581's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1581'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 1581'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 Progressive Path Group Holdings's salary, the management and board of directors tenure and is there insider trading?

3.3yrs

Average management tenure


CEO

Progressive Path Group Holdings has no CEO, or we have no data on them.


Management Age and Tenure

3.3yrs

Average Tenure

43.5yo

Average Age

Experienced Management: 1581's management team is considered experienced (3.3 years average tenure).


Board Age and Tenure

2.9yrs

Average Tenure

42yo

Average Age

Experienced Board: 1581'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.


Ownership Breakdown


Management Team

  • Wing Hang Wu (41yo)

    Executive Chairman

    • Tenure: 3.3yrs
    • Compensation: HK$3.59m
  • Tak Ming Chan (53yo)

    Executive Director

    • Tenure: 3.4yrs
    • Compensation: HK$408.00k
  • Ying Ying Lee (45yo)

    CFO & Company Secretary

    • Tenure: 3.3yrs
  • Melody Kwok (42yo)

    Human Resources & Administration Manager

    • Tenure: 0yrs

Board Members

  • Man Tai Lee (42yo)

    Independent Non-Executive Director

    • Tenure: 2.9yrs
    • Compensation: HK$60.00k
  • Ernest Wong (51yo)

    Independent Non-Executive Director

    • Tenure: 2.9yrs
    • Compensation: HK$60.00k
  • Ka Fai Leung (40yo)

    Independent Non-Executive Director

    • Tenure: 2.9yrs
    • Compensation: HK$60.00k
  • Wing Hang Wu (41yo)

    Executive Chairman

    • Tenure: 3.3yrs
    • Compensation: HK$3.59m
  • Tak Ming Chan (53yo)

    Executive Director

    • Tenure: 3.4yrs
    • Compensation: HK$408.00k

Company Information

Progressive Path Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Progressive Path Group Holdings Limited
  • Ticker: 1581
  • Exchange: SEHK
  • Founded: 2016
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: HK$161.850m
  • Shares outstanding: 1.04b
  • Website: https://www.ppgh.com.hk

Number of Employees


Location

  • Progressive Path Group Holdings Limited
  • Tuen Mun Central Square
  • Unit 1108
  • Tuen Mun
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1581SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2016

Biography

Progressive Path Group Holdings Limited, an investment holding company, engages in the construction works, construction machinery rental, and construction machinery trading businesses. It undertakes variou ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 12:50
End of Day Share Price2019/10/18 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.