SEHK:1707

Stock Analysis Report

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Executive Summary

Geotech Holdings Ltd., an investment holding company, provides construction and engineering services, and property-related services in Hong Kong.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1707 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

1707

-0.6%

HK Construction

2.5%

HK Market


1 Year Return

1.3%

1707

-15.7%

HK Construction

6.1%

HK Market

Return vs Industry: 1707 exceeded the Hong Kong Construction industry which returned -15.7% over the past year.

Return vs Market: 1707 underperformed the Hong Kong Market which returned 6.1% over the past year.


Shareholder returns

1707IndustryMarket
7 Day0%-0.6%2.5%
30 Day-1.3%0.2%-0.6%
90 Day-3.8%-0.2%9.1%
1 Year1.3%1.3%-11.1%-15.7%10.5%6.1%
3 Yearn/a-35.7%-43.8%2.8%-8.2%
5 Yearn/a-36.4%-47.3%14.1%-5.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Geotech Holdings undervalued compared to its fair value and its price relative to the market?

2.41x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1707's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1707's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1707 is unprofitable, so we can't compare its PE Ratio to the HK Construction industry average.

PE vs Market: 1707 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 1707's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1707 is overvalued based on its PB Ratio (2.4x) compared to the HK Construction industry average (0.8x).


Next Steps

Future Growth

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

10.2%

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 Geotech Holdings 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 Geotech Holdings performed over the past 5 years?

-78.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1707 is currently unprofitable.

Growing Profit Margin: 1707 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1707 is unprofitable, and losses have increased over the past 5 years at a rate of 78.8% per year.

Accelerating Growth: Unable to compare 1707's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1707 is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-7.7%).


Return on Equity

High ROE: 1707 has a negative Return on Equity (-4.66%), as it is currently unprofitable.


Next Steps

Financial Health

How is Geotech Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1707's short term assets (HK$313.2M) exceed its short term liabilities (HK$50.3M).

Long Term Liabilities: 1707's short term assets (HK$313.2M) exceed its long term liabilities (HK$3.2M).


Debt to Equity History and Analysis

Debt Level: 1707 is debt free.

Reducing Debt: 1707 has no debt compared to 5 years ago when its debt to equity ratio was 34.2%.

Debt Coverage: 1707 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 1707 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Geotech Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1707's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1707's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 1707's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1707'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 1707's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average board tenure


CEO

Sino Yau (63 yo)

1.58yrs

Tenure

HK$1,439,000

Compensation

Mr. Yau Kin Wing, also known as Sino, is the Founder of Geotech Holdings Ltd. Mr. Yau is Chief Executive Officer at Geotech Holdings Ltd. since January 15, 2019 and has been its Executive Director since Ju ...


CEO Compensation Analysis

Compensation vs Market: Sino's total compensation ($USD185.67K) is about average for companies of similar size in the Hong Kong market ($USD230.84K).

Compensation vs Earnings: Sino's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Zhi Chen
Chairman1.58yrsHK$1.22mno data
Kin Wing Yau
CEO & Executive Director1.58yrsHK$1.44mno data
Qiu Dong
Executive Director1.58yrsHK$595.00kno data
Tsang Mo Chan
Independent Non-Executive Director1.58yrsHK$173.00kno data
Zejing Shen
Independent Non-Executive Director1.58yrsHK$231.00kno data
Wai Man So
Independent Executive Director1.58yrsHK$180.00kno data

1.6yrs

Average Tenure

41yo

Average Age

Experienced Board: 1707's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Geotech Holdings Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Geotech Holdings Ltd.
  • Ticker: 1707
  • Exchange: SEHK
  • Founded: 1994
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$638.400m
  • Shares outstanding: 1.68b
  • Website: https://www.geotech.hk

Number of Employees


Location

  • Geotech Holdings Ltd.
  • Unit 1920, Cheung Kong Center
  • 19th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1707SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2017

Biography

Geotech Holdings Ltd., an investment holding company, provides construction and engineering services, and property-related services in Hong Kong. It undertakes slope works and ground investigation field wo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/07 12:33
End of Day Share Price2020/08/07 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.