SEHK:1649

Stock Analysis Report

Inner Mongolia Energy Engineering

Executive Summary

Inner Mongolia Energy Engineering Co., Ltd.

Snowflake

Fundamentals

Fair value with imperfect balance sheet.


Similar Companies

Share Price & News

How has Inner Mongolia Energy Engineering's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

n/a

1649

0.2%

HK Construction

2.4%

HK Market


1 Year Return

-1.7%

1649

-19.0%

HK Construction

0.4%

HK Market


Shareholder returns

1649IndustryMarket
7 Dayn/a0.2%2.4%
30 Dayn/a-6.3%-2.6%
90 Dayn/a-12.0%-5.6%
1 Year-1.7%-1.7%-15.7%-19.0%4.0%0.4%
3 Yearn/a-25.9%-34.0%15.1%3.5%
5 Yearn/a0.8%-14.3%20.3%0.3%

Price Volatility Vs. Market

How volatile is Inner Mongolia Energy Engineering's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Inner Mongolia Energy Engineering undervalued compared to its fair value and its price relative to the market?

6.04x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: Insufficient data to calculate 1649's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate 1649's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1649 is good value based on its PE Ratio (6x) compared to the Construction industry average (10.2x).

PE vs Market: 1649 is good value based on its PE Ratio (6x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate 1649's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1649 is good value based on its PB Ratio (0.7x) compared to the HK Construction industry average (1.1x).


Next Steps

Future Growth

How is Inner Mongolia Energy Engineering forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.4%

Forecasted Capital Goods industry annual growth in earnings


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if 1649's forecast earnings growth is above the savings rate (2%).

Earnings vs Market: Insufficient data to determine if 1649's earnings are forecast to grow faster than the Hong Kong market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if 1649's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 1649's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Information is not available.


Next Steps

Past Performance

How has Inner Mongolia Energy Engineering performed over the past 5 years?

-21.7%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if 1649's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: 1649's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1649 had negative earnings growth (-21.7%) over the past year, making it difficult to compare to the Construction industry average (-12.8%).


Return on Equity

High ROE: 1649's Return on Equity (11.2%) is considered low.


Return on Assets

ROA vs Industry: 1649's Return on Assets is below or equal to the Construction industry average last year.


Return on Capital Employed

ROCE Improving: 1649's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Inner Mongolia Energy Engineering's financial position?


Financial Position Analysis

Short Term Liabilities: 1649's short term assets (CN¥14.1B) exceeds its short term liabilities (CN¥9.3B)

Long Term Liabilities: 1649's short term assets (14.1B) exceeds its long term liabilities (3.4B)


Debt to Equity History and Analysis

Debt Level: 1649's debt to equity ratio (174%) is considered high

Reducing Debt: Insufficient data to determine if 1649's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 1649's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 1649's interest payments on its debt are not well covered by EBIT (2.7x coverage).


Balance Sheet

Information is not available.

Information is not available.


Next Steps

Dividend

What is Inner Mongolia Energy Engineering's current dividend yield, its reliability and sustainability?

1.41%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%2.3%markettop25%6.3%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 1649's dividend (1.41%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 1649's dividend (1.41%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.33%).

Stable Dividend: Too early to tell whether 1649's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 1649's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (8.5%), 1649's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Inner Mongolia Energy Engineering's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Ketu Chao (55yo)

0.8yrs

Tenure

0

Mr. Ketu Chao is the Executive Director at Inner Mongolia Energy Engineering Co., Ltd. since 22 October 2018 and its General Manager since November 2, 2018 and its Chairman also served as its Vice Chairman ...


Management Age and Tenure

1.3yrs

Average Tenure

55yo

Average Age

Experienced Management: 1649's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Age and Tenure

3.1yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 1649's board of directors are considered experienced (3.1 years average tenure).


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

  • Pete Lau (34yo)

    Joint Company Secretary

    • Tenure: 1.3yrs
  • Dangzhu Lu (57yo)

    Executive Director

    • Tenure: 3.3yrs
    • Compensation: CN¥486.00k
  • Lisheng Liu (58yo)

    CFO & Executive Director

    • Tenure: 2.5yrs
  • Feng Yang (44yo)

    Head of Finance Securities Department

    • Tenure: 0yrs
  • Ketu Chao (55yo)

    Chairman & GM

    • Tenure: 0.8yrs

Board Members

  • Miu Lau (47yo)

    Independent Non Executive Director

    • Tenure: 3.1yrs
  • Dangzhu Lu (57yo)

    Executive Director

    • Tenure: 3.3yrs
    • Compensation: CN¥486.00k
  • Lisheng Liu (58yo)

    CFO & Executive Director

    • Tenure: 2.5yrs
  • Jianhua Yue (65yo)

    Independent Non Executive Director

    • Tenure: 2.3yrs
  • Yan Qiao (55yo)

    Chairwoman of the Supervisory Committee

    • Tenure: 3.3yrs
  • Runcheng Guo (59yo)

    Shareholder Representative Supervisor

    • Tenure: 3.3yrs
  • Donghua Li (53yo)

    Employee Representative Supervisor

    • Tenure: 3.3yrs
  • Chen Ming (52yo)

    Non-Executive Director

    • Tenure: 1.6yrs
  • Ketu Chao (55yo)

    Chairman & GM

    • Tenure: 0.8yrs
  • Guiying Duan (56yo)

    Independent Non-Executive Director

    • Tenure: 0.8yrs

Company Information

Inner Mongolia Energy Engineering Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Inner Mongolia Energy Engineering Co., Ltd.
  • Ticker: 1649
  • Exchange: SEHK
  • Founded: 2016
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$3.388b
  • Shares outstanding: 2.85b
  • Website: https://www.imeec.cn

Number of Employees


Location

  • Inner Mongolia Energy Engineering Co., Ltd.
  • Harbor Building
  • 29 Midwest Lane
  • Hohhot
  • Inner Mongolia Province
  • 10010
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1649SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares Foreign ListedHKHKDJul 2017

Biography

Inner Mongolia Energy Engineering Co., Ltd. primarily engages in the construction contracting activities in the People's Republic of China and internationally. Its Survey, Design and Consultancy segment pr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/01 13:04
End of Day Share Price2019/07/30 00:00
Earnings2018/06/30
Annual Earnings2017/12/31


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.