SEHK:1727

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Hebei Construction Group

Executive Summary

Hebei Construction Group Corporation Limited engages in the construction contracting of buildings and infrastructure projects in the People's Republic of China. More Details


Snowflake Analysis

Adequate balance sheet with poor track record.


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's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.4%

1727

1.2%

HK Construction

1.1%

HK Market


1 Year Return

400.0%

1727

-12.5%

HK Construction

1.4%

HK Market

Return vs Industry: 1727 exceeded the Hong Kong Construction industry which returned -12% over the past year.

Return vs Market: 1727 exceeded the Hong Kong Market which returned 2.3% over the past year.


Shareholder returns

1727IndustryMarket
7 Day2.4%1.2%1.1%
30 Day128.3%9.3%7.0%
90 Day120.9%5.3%2.4%
1 Year408.6%400.0%-7.9%-12.5%5.6%1.4%
3 Yearn/a-35.3%-43.3%-4.4%-14.8%
5 Yearn/a-36.3%-47.1%20.5%0.2%

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

Valuation

Is Hebei Construction Group undervalued compared to its fair value and its price relative to the market?

91.86x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1727 (HK$25.7) is trading above our estimate of fair value (HK$17.39)

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 (91.2x) compared to the HK Construction industry average (8.9x).

PE vs Market: 1727 is poor value based on its PE Ratio (91.2x) compared to the Hong Kong market (11.1x).


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 (6.9x) compared to the HK Construction industry average (0.9x).


Next Steps

Future Growth

How is Hebei Construction Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

5.3%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if 1727's forecast earnings growth is above the savings rate (1.6%).

Earnings vs Market: Insufficient data to determine if 1727'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: 1727's revenue (5.3% per year) is forecast to grow slower than the Hong Kong market (13.2% per year).

High Growth Revenue: 1727's revenue (5.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1727's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Hebei Construction Group performed over the past 5 years?

-5.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1727 has high quality earnings.

Growing Profit Margin: 1727's current net profit margins (1.2%) are lower than last year (2.2%).


Past Earnings Growth Analysis

Earnings Trend: 1727's earnings have declined by 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 (-58.9%) over the past year, making it difficult to compare to the Construction industry average (-6.7%).


Return on Equity

High ROE: 1727's Return on Equity (6.9%) is considered low.


Next Steps

Financial Health

How is Hebei Construction Group's financial position?


Financial Position Analysis

Short Term Liabilities: 1727's short term assets (CN¥56.7B) exceed its short term liabilities (CN¥53.3B).

Long Term Liabilities: 1727's short term assets (CN¥56.7B) exceed its long term liabilities (CN¥1.6B).


Debt to Equity History and Analysis

Debt Level: 1727's debt to equity ratio (90.2%) is considered high.

Reducing Debt: 1727's debt to equity ratio has reduced from 248.8% to 90.2% over the past 5 years.

Debt Coverage: 1727's debt is not well covered by operating cash flow (16.9%).

Interest Coverage: 1727's interest payments on its debt are well covered by EBIT (3.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Hebei Construction Group current dividend yield, its reliability and sustainability?

0.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1727's dividend (0.63%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 1727's dividend (0.63%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.77%).


Stability and Growth of Payments

Stable Dividend: 1727 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are stable.

Growing Dividend: 1727 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 1727 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1727'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?

4.2yrs

Average management tenure


CEO

Jinfeng Shang (43 yo)

3.58yrs

Tenure

CN¥792,000

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 ($USD118.44K) is below average for companies of similar size in the Hong Kong market ($USD591.46K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Baozhong Li
Executive Chairman of the Board4.83yrsCN¥971.00kno data
Jinfeng Shang
President & Executive Director3.58yrsCN¥792.00kno data
Wensheng Zhao
Chief Accountant1.67yrsCN¥627.02kno data
Yongjian Liu
VP & Executive Director6.83yrsCN¥609.00kno data
Xiujian Feng
Vice Chief Accountant7.75yrsno datano data
Jingqiao Liu
Director of Party & Administration Office and Employee Supervisor3.58yrsno datano data
Jianming Yue
Head of Legal Affairs Department & Employee Supervisor3.58yrsno datano data
Feng Wang
Deputy Head of Enterprise Management Dept.3.58yrsno datano data
Qiuli Gao
VP & Chief Engineer19.25yrsCN¥518.00kno data
Wenzhong Zhang
VP & Chief Economic Officer1.75yrsno datano data
Wutie Li
Joint Company Secretary & Assistant to the President2.83yrsno datano data
Wai Ling Wong
Joint Company Secretary2.83yrsno datano data

4.2yrs

Average Tenure

45.5yo

Average Age

Experienced Management: 1727's management team is considered experienced (4.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Baozhong Li
Executive Chairman of the Board4.83yrsCN¥971.00kno data
Jinfeng Shang
President & Executive Director3.58yrsCN¥792.00kno data
Wensheng Zhao
Chief Accountant1.67yrsCN¥627.02kno data
Yongjian Liu
VP & Executive Director6.83yrsCN¥609.00kno data
Xiujian Feng
Vice Chief Accountant7.75yrsno datano data
Jingqiao Liu
Director of Party & Administration Office and Employee Supervisor3.58yrsno datano data
Jianming Yue
Head of Legal Affairs Department & Employee Supervisor3.58yrsno datano data
Feng Wang
Deputy Head of Enterprise Management Dept.3.58yrsno datano data
Baoyuan Li
Honorary Chairman4.83yrsCN¥899.00kno data
Qingshe Cao
Vice Chairman of the Board3.58yrsCN¥792.00kno data
Lifeng Shen
Independent Non-Executive Director2.83yrsno datano data
Xin Chen
Independent Non-Executive Director2.83yrsno datano data

3.6yrs

Average Tenure

50.5yo

Average Age

Experienced Board: 1727's board of directors are considered experienced (3.6 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

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


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$45.268b
  • Shares outstanding: 1.76b
  • Website: https://www.hebjs.com.cn

Number of Employees


Location

  • Hebei Construction Group Corporation Limited
  • 329 Wusi West Road
  • Jingxiu District
  • Baoding
  • Hebei Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1727SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDDec 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, C ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/27 12:50
End of Day Share Price2020/10/27 00:00
Earnings2020/06/30
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.