SEHK:1609

Stock Analysis Report

Chong Kin Group Holdings

Executive Summary

Chong Kin Group Holdings Limited, an investment holding company, provides concrete placing services and other ancillary services to various types of building and infrastructure related projects in Hong Kong.

Snowflake

Fundamentals

Mediocre balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

1609

-0.2%

HK Construction

0.9%

HK Market


1 Year Return

5.0%

1609

-17.5%

HK Construction

0.6%

HK Market

Return vs Industry: 1609 exceeded the Hong Kong Construction industry which returned -17.5% over the past year.

Return vs Market: 1609 exceeded the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

1609IndustryMarket
7 Day0%-0.2%0.9%
30 Day-4.8%-4.5%0.5%
90 Day-19.7%-10.5%-4.3%
1 Year5.0%5.0%-14.0%-17.5%4.2%0.6%
3 Year534.9%534.9%-24.4%-32.9%15.6%4.0%
5 Yearn/a0.9%-14.3%20.0%-0.08%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Chong Kin Group Holdings undervalued compared to its fair value and its price relative to the market?

5.03x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1609's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1609's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1609 is unprofitable, so we can't compare its PE Ratio to the Construction industry average.

PE vs Market: 1609 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 1609's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1609 is overvalued based on its PB Ratio (5x) compared to the HK Construction industry average (1.1x).


Next Steps

Future Growth

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

30.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1609 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 1609 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 1609 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 1609's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 1609's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 1609's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Chong Kin Group Holdings performed over the past 5 years?

-34.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1609 is unprofitable, and losses have increased over the past 5 years at a rate of -34.1% per year.

Accelerating Growth: Unable to compare 1609's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1609 is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-12.3%).


Return on Equity

High ROE: 1609 has a negative Return on Equity (-14.23%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 1609 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 1609 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Chong Kin Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1609's short term assets (HK$942.4M) exceeds its short term liabilities (HK$717.9M)

Long Term Liabilities: 1609's short term assets (942.4M) exceeds its long term liabilities (18.7M)


Debt to Equity History and Analysis

Debt Level: 1609's debt to equity ratio (53.8%) is considered high

Reducing Debt: 1609's debt to equity ratio has reduced from 103% to 53.8% over the past 5 years.

Debt Coverage: 1609's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 1609's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 1609 has a high level of physical assets or inventory.

Debt Coverage by Assets: 1609's debt is covered by short term assets (assets are 2.324850x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.3%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 1609's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1609'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 1609's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1609'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 1609'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 Chong Kin Group Holdings's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Jinbing Zhang (48yo)

1.8yrs

Tenure

0

Mr. Zhang Jinbing has been Chairman of the Board and CEO at Chong Kin Group Holdings Ltd since January 12, 2018. Mr. Zhang has been Chairman of the Board at State Energy Group International Assets Holdings ...


Management Age and Tenure

1.8yrs

Average Tenure

50.5yo

Average Age

Experienced Management: 1609's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

1.5yrs

Average Tenure

54yo

Average Age

Experienced Board: 1609's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: 1609 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyHK$210,000,20726 Jul 19
Jinbing Zhang
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board & CEO
Shares60,000,000
Max PriceHK$3.50
BuyHK$160,607,87424 Oct 18
Joy Charm Holdings Limited
EntityCompany
Shares53,536,000
Max PriceHK$3.00
BuyHK$298,271,76624 Oct 18
Prosperous East International Ltd.
EntityCompany
Shares99,424,000
Max PriceHK$3.00

Ownership Breakdown


Management Team

  • Rui Yang (53yo)

    Executive Director

    • Tenure: 0.08yrs
  • Jinbing Zhang (48yo)

    Chairman of the Board & CEO

    • Tenure: 1.8yrs
  • Eva Lee

    Company Secretary

    • Tenure: 1.8yrs
  • Biao Ni (55yo)

    Executive Director

    • Tenure: 1.3yrs
    • Compensation: HK$98.00k
  • Mui Chan (43yo)

    Financial Controller

    • Tenure: 0yrs

Board Members

  • Rui Yang (53yo)

    Executive Director

    • Tenure: 0.08yrs
  • Jinbing Zhang (48yo)

    Chairman of the Board & CEO

    • Tenure: 1.8yrs
  • Zhu Zhengfu (54yo)

    Independent Non-Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$120.00k
  • Li Yifei (54yo)

    Independent Non-Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$120.00k
  • Biao Ni (55yo)

    Executive Director

    • Tenure: 1.3yrs
    • Compensation: HK$98.00k
  • Daniel Tam (55yo)

    Independent Non-Executive Director

    • Tenure: 1.1yrs
    • Compensation: HK$69.00k

Company Information

Chong Kin Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Chong Kin Group Holdings Limited
  • Ticker: 1609
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$3.911b
  • Shares outstanding: 977.76m
  • Website: https://www.chongkin.com.hk

Number of Employees


Location

  • Chong Kin Group Holdings Limited
  • Central Plaza
  • 68th Floor
  • Wan chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1609SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2016

Biography

Chong Kin Group Holdings Limited, an investment holding company, provides concrete placing services and other ancillary services to various types of building and infrastructure related projects in Hong Kon ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 12:53
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.