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Precision Tsugami (China)

SEHK:1651
Snowflake Description

Outstanding track record with flawless balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
1651
SEHK
HK$3B
Market Cap
  1. Home
  2. HK
  3. Capital Goods
Company description

Precision Tsugami (China) Corporation Limited, an investment holding company, manufactures and sells high precision computer numerical control machine tools in Mainland China, Japan, Europe, the United States, Southeast Asia, and internationally. The last earnings update was 21 days ago. More info.


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1651 Share Price and Events
7 Day Returns
0.5%
SEHK:1651
1.6%
HK Machinery
1%
HK Market
1 Year Returns
3%
SEHK:1651
9%
HK Machinery
-4.7%
HK Market
1651 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Precision Tsugami (China) (1651) 0.5% 4.2% -3.3% 3% - -
HK Machinery 1.6% 3.5% -10.2% 9% 60.1% 41.5%
HK Market 1% 3.9% -7.8% -4.7% 17.5% 2%
1 Year Return vs Industry and Market
  • 1651 underperformed the Machinery industry which returned 9% over the past year.
  • 1651 outperformed the Market in Hong Kong which returned -4.7% over the past year.
Price Volatility
Industry
5yr Volatility vs Market
Related Companies

Sorry, no analysis for Precision Tsugami (China)'s competitors could be found in our database.

1651 Value

 Is Precision Tsugami (China) undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Precision Tsugami (China) to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Precision Tsugami (China).

SEHK:1651 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.3%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1651
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.082 (1 + (1- 25%) (0%))
1.055
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.06
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.055 * 5.96%)
8.29%

Discounted Cash Flow Calculation for SEHK:1651 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Precision Tsugami (China) is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:1651 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CNY, Millions) Source Present Value
Discounted (@ 8.29%)
2020 446.00 Analyst x2 411.85
2021 304.45 Analyst x2 259.61
2022 520.00 Analyst x2 409.46
2023 596.36 Est @ 14.68% 433.63
2024 661.24 Est @ 10.88% 443.99
2025 715.57 Est @ 8.22% 443.69
2026 761.03 Est @ 6.35% 435.74
2027 799.44 Est @ 5.05% 422.69
2028 832.49 Est @ 4.13% 406.46
2029 861.59 Est @ 3.49% 388.45
Present value of next 10 years cash flows CN¥4,055.57
SEHK:1651 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CN¥861.59 × (1 + 2%) ÷ (8.29% – 2%)
CN¥13,974.50
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CN¥13,974.50 ÷ (1 + 8.29%)10
CN¥6,300.52
SEHK:1651 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CN¥4,055.57 + CN¥6,300.52
CN¥10,356.10
Equity Value per Share
(CNY)
= Total value / Shares Outstanding
= CN¥10,356.10 / 320.31
CN¥32.33
SEHK:1651 Discount to Share Price
Calculation Result
Exchange Rate CNY/HKD
(Reporting currency to currency of SEHK:1651)
1.137
Value per Share
(HKD)
= Value per Share in CNY x Exchange Rate (CNY/HKD)
= CN¥32.33 x 1.137
HK$36.75
Value per share (HKD) From above. HK$36.75
Current discount Discount to share price of HK$8.14
= -1 x (HK$8.14 - HK$36.75) / HK$36.75
77.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Precision Tsugami (China) is available for.
Intrinsic value
>50%
Share price is HK$8.14 vs Future cash flow value of HK$36.75
Current Discount Checks
For Precision Tsugami (China) to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Precision Tsugami (China)'s share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Precision Tsugami (China)'s share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Precision Tsugami (China)'s earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Precision Tsugami (China)'s earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:1651 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CNY CN¥0.96
SEHK:1651 Share Price ** SEHK (2019-07-18) in HKD HK$8.14
SEHK:1651 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.88 CN¥7.16
Hong Kong Machinery Industry PE Ratio Median Figure of 37 Publicly-Listed Machinery Companies 9.18x
Hong Kong Market PE Ratio Median Figure of 1,510 Publicly-Listed Companies 10.82x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Precision Tsugami (China).

SEHK:1651 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:1651 Share Price ÷ EPS (both in CNY)

= 7.16 ÷ 0.96

7.43x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Tsugami (China) is good value based on earnings compared to the HK Machinery industry average.
  • Precision Tsugami (China) is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Precision Tsugami (China)'s expected growth come at a high price?
Raw Data
SEHK:1651 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 7.43x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
11.1%per year
Hong Kong Machinery Industry PEG Ratio Median Figure of 12 Publicly-Listed Machinery Companies 0.71x
Hong Kong Market PEG Ratio Median Figure of 479 Publicly-Listed Companies 0.8x

*Line of best fit is calculated by linear regression .

SEHK:1651 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 7.43x ÷ 11.1%

0.67x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Tsugami (China) is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Precision Tsugami (China)'s assets?
Raw Data
SEHK:1651 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CNY CN¥3.71
SEHK:1651 Share Price * SEHK (2019-07-18) in HKD HK$8.14
SEHK:1651 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.88 CN¥7.16
Hong Kong Machinery Industry PB Ratio Median Figure of 50 Publicly-Listed Machinery Companies 0.98x
Hong Kong Market PB Ratio Median Figure of 2,197 Publicly-Listed Companies 0.92x
SEHK:1651 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:1651 Share Price ÷ Book Value per Share (both in CNY)

= 7.16 ÷ 3.71

1.93x

* Primary Listing of Precision Tsugami (China).

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precision Tsugami (China) is overvalued based on assets compared to the HK Machinery industry average.
X
Value checks
We assess Precision Tsugami (China)'s value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Precision Tsugami (China) has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

1651 Future Performance

 How is Precision Tsugami (China) expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Precision Tsugami (China) expected to grow at an attractive rate?
  • Precision Tsugami (China)'s earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • Precision Tsugami (China)'s earnings growth is expected to exceed the Hong Kong market average.
  • Precision Tsugami (China)'s revenue growth is positive but not above the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:1651 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:1651 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 11.1%
SEHK:1651 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 10.9%
Hong Kong Machinery Industry Earnings Growth Rate Market Cap Weighted Average 13.3%
Hong Kong Machinery Industry Revenue Growth Rate Market Cap Weighted Average 10.5%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average -5.2%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 13.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:1651 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:1651 Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 3,895 528 476 3
2021-03-31 3,399 434 432 5
2020-03-31 2,908 441 358 5
SEHK:1651 Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2019-03-31 2,851 273 368
2018-12-31 2,805 123 340
2018-09-30 2,758 -28 312
2018-06-30 2,536 88 253
2018-03-31 2,314 204 194
2017-12-31 2,211 254 182
2017-09-30 2,107 305 170
2017-06-30 1,872 244 141
2017-03-31 1,636 183 113

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Precision Tsugami (China)'s earnings are expected to grow by 11.1% yearly, however this is not considered high growth (20% yearly).
  • Precision Tsugami (China)'s revenue is expected to grow by 10.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:1651 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Precision Tsugami (China) Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1651 Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31 1.25 1.40 0.97 3.00
2021-03-31 1.13 1.48 0.87 5.00
2020-03-31 0.94 1.15 0.75 5.00
SEHK:1651 Past Financials Data
Date (Data in CNY Millions) EPS *
2019-03-31 0.96
2018-12-31 0.89
2018-09-30 0.83
2018-06-30 0.71
2018-03-31 0.57
2017-12-31 0.57
2017-09-30 0.56
2017-06-30 0.47
2017-03-31 0.38

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Precision Tsugami (China) is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Precision Tsugami (China)'s future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Precision Tsugami (China) has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

1651 Past Performance

  How has Precision Tsugami (China) performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Precision Tsugami (China)'s growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Precision Tsugami (China) has delivered over 20% year on year earnings growth in the past 5 years.
  • Precision Tsugami (China)'s 1-year earnings growth exceeds its 5-year average (89.4% vs 29.5%)
  • Precision Tsugami (China)'s earnings growth has exceeded the HK Machinery industry average in the past year (89.4% vs 18%).
Earnings and Revenue History
Precision Tsugami (China)'s revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Precision Tsugami (China) Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1651 Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 2,850.88 367.61 242.54
2018-12-31 2,804.52 340.00 230.96
2018-09-30 2,758.17 312.40 219.38
2018-06-30 2,536.19 253.25 194.49
2018-03-31 2,314.22 194.09 169.60
2017-12-31 2,210.80 181.87 158.32
2017-09-30 2,107.38 169.66 147.04
2017-06-30 1,871.83 141.11 132.71
2017-03-31 1,636.28 112.57 118.37
2016-03-31 1,357.47 55.81 112.14
2015-03-31 2,057.73 178.30 145.48
2014-03-31 1,126.13 25.88 77.39

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Precision Tsugami (China) has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Precision Tsugami (China) used its assets more efficiently than the HK Machinery industry average last year based on Return on Assets.
  • Precision Tsugami (China) has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Precision Tsugami (China)'s performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Precision Tsugami (China) has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

1651 Health

 How is Precision Tsugami (China)'s financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Precision Tsugami (China)'s finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Precision Tsugami (China) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Precision Tsugami (China)'s cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Precision Tsugami (China)'s finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Precision Tsugami (China) has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Precision Tsugami (China) Company Filings, last reported 3 months ago.

SEHK:1651 Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,416.04 0.00 400.28
2018-12-31 1,416.04 0.00 400.28
2018-09-30 1,329.67 0.00 227.51
2018-06-30 1,329.67 0.00 227.51
2018-03-31 1,163.80 0.00 325.60
2017-12-31 1,163.80 0.00 325.60
2017-09-30 1,001.88 24.34 357.19
2017-06-30 1,001.88 24.34 357.19
2017-03-31 651.90 274.53 126.54
2016-03-31 565.45 379.83 97.94
2015-03-31 525.63 363.77 99.57
2014-03-31 309.86 694.35 117.89
  • Precision Tsugami (China) has no debt.
  • Precision Tsugami (China) has no debt compared to 5 years ago when it was 223.4%.
  • Precision Tsugami (China) has no debt, it does not need to be covered by operating cash flow.
  • Precision Tsugami (China) has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Precision Tsugami (China)'s financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Precision Tsugami (China) has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

1651 Dividends

 What is Precision Tsugami (China)'s current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.68%
Current annual income from Precision Tsugami (China) dividends. Estimated to be 4.82% next year.
If you bought HK$2,000 of Precision Tsugami (China) shares you are expected to receive HK$74 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Precision Tsugami (China)'s pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.08%).
  • Precision Tsugami (China)'s dividend is below the markets top 25% of dividend payers in Hong Kong (5.72%).
Upcoming dividend payment

Purchase Precision Tsugami (China) before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:1651 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
Hong Kong Machinery Industry Average Dividend Yield Market Cap Weighted Average of 26 Stocks 3.1%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 978 Stocks 3.6%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1651 Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2022-03-31 0.38 3.00
2021-03-31 0.36 4.00
2020-03-31 0.30 4.00
SEHK:1651 Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-06-27 0.264 3.652
2018-12-13 0.170 2.485
2018-11-12 0.175 2.465
2018-07-19 0.138 2.276

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • It is too early to tell whether Precision Tsugami (China) has stable dividend payments.
  • Precision Tsugami (China) only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Precision Tsugami (China)'s earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.3x coverage).
X
Income/ dividend checks
We assess Precision Tsugami (China)'s dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Precision Tsugami (China) afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Precision Tsugami (China) has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

1651 Management

 What is the CEO of Precision Tsugami (China)'s salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Donglei Tang
COMPENSATION CN¥1,909,000
AGE 57
CEO Bio

Dr. Tang Donglei serves as Chief Executive Officer at Precision Tsugami (China) Corporation Limited and has been its Executive Director since May 13, 2015. Dr. Tang is primarily responsible for overall management, strategic planning and business development of Precision Tsugami (China) Corporation. Dr. Tang has been President of PTC since November 2006 and serves as its Vice Chairman, where he is primarily responsible for the strategic planning and overall operation. Dr. Tang served as President of Precision Tsugami China Corporation since November 2005 until February 14, 2017. From July 1992 to August 2002, Dr. Tang served in Tokyo Seimitsu Co., LTD. and primarily engaged in the manufacture and sales of semiconductor production equipment and measuring instruments, Tokyo Seimitsu Co., LTD. Dr. Tang served as Senior Advisor at Tsugami Corporation since June 2013 until February 14, 2017. Dr. Tang served as Managing Executive Officer and Senior Executive Officer of Tsugami Corporation since April 2012. From September 2002 to October 2005, Dr. Tang served as the Managing Director of MJC Microelectronics Shanghai Co., Ltd, where he was responsible for the overall operation of the company. From June 2010 to February 13, 2017, Dr. Tang held various positions in Tsugami Japan and last served as a director and adviser and was primarily responsible for the overall operation of the company. Dr. Tang serves as Chairman and legal representative of Shinagawa Precision and Tsugami Consultants, where he is primarily responsible for the strategic planning. He has been a Director of PTC since November 2005. Dr. Tang served as Part-Time Director at Tokyo Seimitsu Co., Ltd. since June 23, 2017 until June 2018. Dr. Tang served as a Director at Tsugami Corporation since June 2010 until February 14, 2017. Dr. Tang serves as Director of Tsugami HK. Dr. Tang received his bachelor’s degree in precision machinery and instruments from Harbin Institute of Technology in July 1984 and his master’s degree in precision engineering from Shinshu University in Japan in March 1988. Dr. Tang received his doctor of engineering degree, majoring in precision machinery systems from Tokyo Institute of Technology in January 1994.

CEO Compensation
  • Donglei's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Donglei's remuneration is about average for companies of similar size in Hong Kong.
Management Team

Donglei Tang

TITLE
CEO & Executive Director
COMPENSATION
CN¥2M
AGE
57

Junying Li

TITLE
Assistant to President & Financial Manager
AGE
45

Ella Wong

TITLE
Company Secretary
AGE
43
TENURE
4.1 yrs

Zequn Li

TITLE
VP & Executive Director
AGE
58
Board of Directors Tenure

Average tenure and age of the Precision Tsugami (China) board of directors in years:

4.2
Average Tenure
56.5
Average Age
  • The tenure for the Precision Tsugami (China) board of directors is about average.
Board of Directors

Takao Nishijima

TITLE
Chairman
AGE
72

Donglei Tang

TITLE
CEO & Executive Director
COMPENSATION
CN¥2M
AGE
57
TENURE
4.2 yrs

Zequn Li

TITLE
VP & Executive Director
AGE
58
TENURE
0.9 yrs

Ping Huang

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥317K
AGE
56
TENURE
4.2 yrs

Kin Bor Tam

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥317K
AGE
50
TENURE
2.6 yrs

Mami Matsushita

TITLE
Non-Executive Director
COMPENSATION
CN¥231K
AGE
55
TENURE
4.2 yrs

Eiichi Koda

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥317K
AGE
71
TENURE
4.2 yrs

Nobuaki Takahashi

TITLE
Non-Executive Director
AGE
55
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
31. Aug 18 Buy Donglei Tang Individual 30. Aug 18 30. Aug 18 19,000 HK$7.15 HK$135,801
30. Aug 18 Buy Donglei Tang Individual 29. Aug 18 29. Aug 18 40,000 HK$6.73 HK$269,320
29. Aug 18 Buy Donglei Tang Individual 28. Aug 18 28. Aug 18 69,000 HK$6.64 HK$457,981
28. Aug 18 Buy Donglei Tang Individual 27. Aug 18 27. Aug 18 12,000 HK$6.25 HK$75,000
27. Aug 18 Buy Donglei Tang Individual 24. Aug 18 24. Aug 18 10,000 HK$6.07 HK$60,700
X
Management checks
We assess Precision Tsugami (China)'s management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Precision Tsugami (China) has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

1651 News

Simply Wall St News

Should You Be Excited About Precision Tsugami (China) Corporation Limited's (HKG:1651) 26% Return On Equity?

See our latest analysis for Precision Tsugami (China) How Do I Calculate Return On Equity? … The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Precision Tsugami (China): 26% = CN¥368m ÷ CN¥1.4b (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Does Precision Tsugami (China) Have A Good Return On Equity?

Simply Wall St -

The Precision Tsugami (China) (HKG:1651) Share Price Is Down 20% So Some Shareholders Are Getting Worried

While it may not be enough for some shareholders, we think it is good to see the Precision Tsugami (China) Corporation Limited (HKG:1651) share price up 12% in a single quarter. … Even though the Precision Tsugami (China) share price is down over the year, its EPS actually improved. … We note that for Precision Tsugami (China) the TSR over the last year was -16%, which is better than the share price return mentioned above.

Simply Wall St -

Did Precision Tsugami (China) Corporation Limited (HKG:1651) Insiders Buy Up More Shares?

So we'll take a look at whether insiders have been buying or selling shares in Precision Tsugami (China) Corporation Limited (HKG:1651). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Precision Tsugami (China) Insider Transactions Over The Last Year

Simply Wall St -

What Can We Make Of Precision Tsugami (China) Corporation Limited’s (HKG:1651) High Return On Capital?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Why I Like Precision Tsugami (China) Corporation Limited (HKG:1651)

Want to participate in a short research study? … Help shape the future of investing tools and receive a $20 prize! … In the case of Precision Tsugami (China) Corporation Limited (HKG:1651), there's

Simply Wall St -

Boasting A 23% Return On Equity, Is Precision Tsugami (China) Corporation Limited (HKG:1651) A Top Quality Stock?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … That means that for every HK$1 worth of shareholders' equity, it generated HK$0.23 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is Precision Tsugami (China) Corporation Limited's (HKG:1651) Balance Sheet A Threat To Its Future?

Precision Tsugami (China) Corporation Limited (HKG:1651), which has zero-debt on its balance sheet, can maximize capital returns by increasing debt due to its lower cost of capital. … However, the trade-off is 1651 will have to follow strict debt obligations which will reduce its financial flexibility. … Is 1651 growing fast enough to value financial flexibility over lower cost of capital

Simply Wall St -

Is Precision Tsugami (China) Corporation Limited (HKG:1651) An Attractive Dividend Stock?

Recently, Precision Tsugami (China) Corporation Limited (HKG:1651) has started paying dividends to shareholders. … Let's take a look at Precision Tsugami (China) in more detail. … View our latest analysis for Precision Tsugami (China)?

Simply Wall St -

Do You Know What Precision Tsugami (China) Corporation Limited's (HKG:1651) P/E Ratio Means?

We'll look at Precision Tsugami (China) Corporation Limited's (HKG:1651) P/E ratio and reflect on what it tells us about the company's share price. … Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS) … P/E of 7.82 = CN¥6.45 (Note: this is the share price in the reporting currency, namely, CNY ) ÷ CN¥0.83

Simply Wall St -

Precision Tsugami (China) Corporation Limited (HKG:1651): Ex-Dividend Is In 4 Days

If you are interested in cashing in on Precision Tsugami (China) Corporation Limited's (HKG:1651) upcoming dividend of CN¥0.20 per share, you only have 4 days left to buy the shares before its ex-dividend date, 07 December 2018, in time for dividends payable on the 21 December 2018. … Is this future income a persuasive enough catalyst for investors to think about Precision Tsugami (China) as an investment today? … Has it paid dividend every year without dramatically reducing payout in the past?

Simply Wall St -

1651 Company Info

Description

Precision Tsugami (China) Corporation Limited, an investment holding company, manufactures and sells high precision computer numerical control machine tools in Mainland China, Japan, Europe, the United States, Southeast Asia, and internationally. It offers precision turret machines, precision automatic lathes, precision machine centers, precision grinding machines, precision thread and form rolling machines, and other components under the TSUGAMI brand name. The company also provides commercial consultation services. It serves customers in various industries, including IT and electronic products, automobile, medical apparatus, pneumatic component manufacturing, and engineering machinery. The company was founded in 2003 and is based in Pinghu, China. Precision Tsugami (China) Corporation Limited is a subsidiary of Tsugami Corporation.

Details
Name: Precision Tsugami (China) Corporation Limited
1651
Exchange: SEHK
Founded: 2003
HK$2,597,730,320
320,312,000
Website: http://www.tsugami.com.cn
Address: Precision Tsugami (China) Corporation Limited
No. 2001 Pingcheng Road,
Pinghu Economic and Technology Development District,
Pinghu,
Zhejiang Province, 314200,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 1651 Domestic Shares The Stock Exchange of Hong Kong Ltd. HK HKD 25. Sep 2017
Number of employees
Current staff
Staff numbers
1,572
Precision Tsugami (China) employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/18 13:06
End of day share price update: 2019/07/18 00:00
Last estimates confirmation: 2019/07/16
Last earnings filing: 2019/06/27
Last earnings reported: 2019/03/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.