Hebei Construction Group
Market Cap
HK$8.6b
Last Updated
2020/02/23 13:40 UTC
Data Sources
Company Financials
Executive Summary
Hebei Construction Group Corporation Limited engages in the construction contracting of buildings and infrastructure projects in the People's Republic of China.
Rewards
Risk Analysis
Snowflake Analysis
Mediocre balance sheet second-rate dividend payer.
Similar Companies
Share Price & News
How has Hebei Construction Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1727 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-3.2%
1727
-0.2%
HK Construction
-0.6%
HK Market
1 Year Return
12.2%
1727
-27.4%
HK Construction
-7.6%
HK Market
Return vs Industry: 1727 exceeded the Hong Kong Construction industry which returned -27.4% over the past year.
Return vs Market: 1727 exceeded the Hong Kong Market which returned -7.4% over the past year.
Shareholder returns
| 1727 | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.2% | -0.2% | -0.6% |
| 30 Day | -6.9% | -2.9% | -1.2% |
| 90 Day | -12.0% | -3.3% | 3.0% |
| 1 Year | 18.5%12.2% | -23.9%-27.4% | -4.2%-7.6% |
| 3 Year | n/a | -35.5%-42.4% | 12.9%1.5% |
| 5 Year | n/a | -26.9%-37.7% | 13.1%-5.6% |
Price Volatility Vs. Market
How volatile is Hebei Construction Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Here's What Hebei Construction Group Corporation Limited's (HKG:1727) P/E Is Telling Us3 weeks ago | Simply Wall St
What Type Of Shareholder Owns Hebei Construction Group Corporation Limited's (HKG:1727)?1 month ago | Simply Wall St
Read This Before Buying Hebei Construction Group Corporation Limited (HKG:1727) SharesValuation
Is Hebei Construction Group undervalued compared to its fair value and its price relative to the market?
9.75x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 1727 (HK$4.89) is trading above our estimate of fair value (HK$4.33)
Significantly Below Fair Value: 1727 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 1727 is poor value based on its PE Ratio (9.8x) compared to the Construction industry average (8.9x).
PE vs Market: 1727 is good value based on its PE Ratio (9.8x) compared to the Hong Kong market (10.1x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 1727's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 1727 is overvalued based on its PB Ratio (1.4x) compared to the HK Construction industry average (1x).
Next Steps
Future Growth
How is Hebei Construction Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
10.9%
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 Hebei Construction Group 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
- Take a look at our analysis of 1727’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
- Hebei Construction Group competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Capital Goods industry.
Past Performance
How has Hebei Construction Group performed over the past 5 years?
14.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1727 has high quality earnings.
Growing Profit Margin: 1727's current net profit margins (1.7%) are lower than last year (3.4%).
Past Earnings Growth Analysis
Earnings Trend: 1727's earnings have grown by 14.5% per year over the past 5 years.
Accelerating Growth: 1727's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 1727 had negative earnings growth (-42.2%) over the past year, making it difficult to compare to the Construction industry average (-5.4%).
Return on Equity
High ROE: 1727's Return on Equity (15.7%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Hebei Construction Group's financial position?
Financial Position Analysis
Short Term Liabilities: 1727's short term assets (CN¥56.6B) exceed its short term liabilities (CN¥51.8B).
Long Term Liabilities: 1727's short term assets (CN¥56.6B) exceed its long term liabilities (CN¥2.0B).
Debt to Equity History and Analysis
Debt Level: 1727's debt to equity ratio (72%) is considered high.
Reducing Debt: Insufficient data to determine if 1727's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: 1727's debt is not well covered by operating cash flow (3.3%).
Interest Coverage: 1727's interest payments on its debt are well covered by EBIT (17.4x coverage).
Balance Sheet
Inventory Level: 1727 has a low level of unsold assets or inventory.
Debt Coverage by Assets: 1727's debt is covered by short term assets (assets are 14x debt).
Next Steps
Dividend
What is Hebei Construction Group's current dividend yield, its reliability and sustainability?
6.80%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: 1727's dividend (6.8%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.29%).
High Dividend: 1727's dividend (6.8%) is in the top 25% of dividend payers in the Hong Kong market (6.35%)
Stability and Growth of Payments
Stable Dividend: Too early to tell whether 1727's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if 1727's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (66.3%), 1727's dividend payments are 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
How experienced are the management team and are they aligned to shareholders interests?
5.6yrs
Average management tenure
CEO
Jinfeng Shang (42yo)
2.9yrs
Tenure
CN¥808,000
Compensation
Mr. Jinfeng Shang has been President and Executive Director of Hebei Construction Group Corporation Limited since March 31, 2017. Mr. Shang serves as the General Manager of Baoding Mancheng District Zhongb ...
CEO Compensation Analysis
Compensation vs Market: Jinfeng's total compensation ($USD114.96K) is below average for companies of similar size in the Hong Kong market ($USD494.06K).
Compensation vs Earnings: Jinfeng's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 4.2yrs | CN¥991.00k | no data | |
| President & Executive Director | 2.9yrs | CN¥808.00k | no data | |
| VP & Executive Director | 6.2yrs | CN¥943.00k | no data | |
| Vice Chief Accountant | 7.1yrs | no data | no data | |
| Chief Accountant | 1yrs | no data | no data | |
| Director of Party & Administration Office and Employee Supervisor | 2.9yrs | no data | no data | |
| Head of Legal Affairs Department & Employee Supervisor | 2.9yrs | no data | no data | |
| Deputy Head of Enterprise Management Dept. | 2.9yrs | no data | no data | |
| VP & Chief Engineer | 18.6yrs | CN¥518.00k | no data | |
| Joint Company Secretary & Assistant to the President | 2.2yrs | no data | no data |
5.6yrs
Average Tenure
47.5yo
Average Age
Experienced Management: 1727's management team is seasoned and experienced (5.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 4.2yrs | CN¥991.00k | no data | |
| President & Executive Director | 2.9yrs | CN¥808.00k | no data | |
| VP & Executive Director | 6.2yrs | CN¥943.00k | no data | |
| Vice Chief Accountant | 7.1yrs | no data | no data | |
| Chief Accountant | 1yrs | no data | no data | |
| Director of Party & Administration Office and Employee Supervisor | 2.9yrs | no data | no data | |
| Head of Legal Affairs Department & Employee Supervisor | 2.9yrs | no data | no data | |
| Deputy Head of Enterprise Management Dept. | 2.9yrs | no data | no data | |
| Honorary Chairman | 4.2yrs | CN¥884.00k | no data | |
| Vice Chairman of the Board | 2.9yrs | CN¥817.00k | no data |
2.9yrs
Average Tenure
49.5yo
Average Age
Experienced Board: 1727's board of directors are not considered experienced ( 2.9 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 been diluted in the past year, with total shares outstanding growing by 13.8%.
Top Shareholders
Company Information
Hebei Construction Group Corporation Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Hebei Construction Group Corporation Limited
- Ticker: 1727
- Exchange: SEHK
- Founded: 1952
- Industry: Construction and Engineering
- Sector: Capital Goods
- Market Cap: HK$8.613b
- Shares outstanding: 1.76b
- Website: https://www.hebjs.com.cn
Number of Employees
Location
- Hebei Construction Group Corporation Limited
- 125 Lugang Road
- Jingxiu District
- Baoding
- Hebei Province
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1727 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Dec 2017 |
Biography
Hebei Construction Group Corporation Limited engages in the construction contracting of buildings and infrastructure projects in the People's Republic of China. The company operates through two segments, Construction Contracting and Others. It undertakes construction contracting works of residential, public, industrial, and commercial buildings; and municipal and transportation infrastructure, including facilities for water supply and treatment, gas and heating, urban pipelines, roads, bridges, and airport runways, as well as specialized construction works, including electrical and mechanical installation, steel structure, and decoration and fireproofing projects. The company also develops and manages properties. Hebei Construction Group Corporation Limited was founded in 1952 and is headquartered in Baoding, the People's Republic of China.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 13:40 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.