SEHK:1799

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Xinte Energy Co., Ltd., together with its subsidiaries, provides engineering and construction contracting services and systems for solar and wind power plants in the People’s Republic of China and internationally. More Details


Snowflake Analysis

Imperfect balance sheet and overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1799 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.2%

1799

-3.2%

HK Construction

-2.9%

HK Market


1 Year Return

-4.1%

1799

-19.6%

HK Construction

-1.5%

HK Market

Return vs Industry: 1799 exceeded the Hong Kong Construction industry which returned -19.6% over the past year.

Return vs Market: 1799 underperformed the Hong Kong Market which returned -1.5% over the past year.


Shareholder returns

1799IndustryMarket
7 Day-2.2%-3.2%-2.9%
30 Day8.2%-8.3%-6.7%
90 Day-3.9%0.6%0.2%
1 Year-2.6%-4.1%-15.4%-19.6%2.4%-1.5%
3 Year-47.1%-50.9%-37.5%-45.3%-7.5%-17.4%
5 Yearn/a-37.5%-48.2%15.4%-4.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Xinte Energy undervalued compared to its fair value and its price relative to the market?

30.6x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1799 (HK$4.9) is trading above our estimate of fair value (HK$0.74)

Significantly Below Fair Value: 1799 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1799 is poor value based on its PE Ratio (30.6x) compared to the HK Construction industry average (8.7x).

PE vs Market: 1799 is poor value based on its PE Ratio (30.6x) compared to the Hong Kong market (11x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1799's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1799 is good value based on its PB Ratio (0.5x) compared to the HK Construction industry average (0.8x).


Next Steps

Future Growth

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

12.2%

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 Xinte Energy 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 Xinte Energy performed over the past 5 years?

-5.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1799 has a high level of non-cash earnings.

Growing Profit Margin: 1799's current net profit margins (2.1%) are lower than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: 1799's earnings have declined by 5.9% per year over the past 5 years.

Accelerating Growth: 1799's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1799 had negative earnings growth (-64.8%) over the past year, making it difficult to compare to the Construction industry average (-5.6%).


Return on Equity

High ROE: 1799's Return on Equity (1.8%) is considered low.


Next Steps

Financial Health

How is Xinte Energy's financial position?


Financial Position Analysis

Short Term Liabilities: 1799's short term assets (CN¥17.1B) exceed its short term liabilities (CN¥14.4B).

Long Term Liabilities: 1799's short term assets (CN¥17.1B) exceed its long term liabilities (CN¥14.7B).


Debt to Equity History and Analysis

Debt Level: 1799's debt to equity ratio (129.6%) is considered high.

Reducing Debt: 1799's debt to equity ratio has increased from 122.4% to 129.6% over the past 5 years.

Debt Coverage: 1799's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 1799's interest payments on its debt are not well covered by EBIT (1.4x coverage).


Balance Sheet


Next Steps

Dividend

What is Xinte Energy current dividend yield, its reliability and sustainability?

1.39%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1799's dividend (1.39%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.29%).

High Dividend: 1799's dividend (1.39%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.99%).


Stability and Growth of Payments

Stable Dividend: 1799 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1799 has only been paying a dividend for 4 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.6%), 1799's dividend payments are well 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?

5.3yrs

Average management tenure


CEO

Bo Yin (41 yo)

4.5yrs

Tenure

CN¥3,565,000

Compensation

Mr. Bo Yin has been General Manager at Xinte Energy Co., Ltd. since March 3, 2016. Mr. Yin served as Deputy General Manager at Xinte Energy Co., Ltd. until March 3, 2016. He has been Executive Director at ...


CEO Compensation Analysis

Compensation vs Market: Bo's total compensation ($USD523.40K) is about average for companies of similar size in the Hong Kong market ($USD505.42K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jianxin Zhang
Chairman8.17yrsCN¥2.07mno data
Bo Yin
GM & Executive Director4.5yrsCN¥3.57mno data
Jinjing Xia
Deputy GM & Executive Director2.25yrsCN¥1.71mno data
Weijie Zheng
Chief Accountant5.25yrsno datano data
Xinye Gan
Deputy General Manager7.75yrsno datano data
Yongjian He
Chief Mechanical Engineer5.25yrsno datano data
Yueqiang Zhang
Deputy General Managerno datano datano data
Long Yang
Deputy General Manager2.25yrsno datano data
Xiliang Li
Deputy General Manager2.25yrsno datano data
Juan Zhang
Joint Company Secretary5.25yrsno datano data
Wing Shan Ng
Joint Company Secretary5.25yrsno datano data

5.3yrs

Average Tenure

43yo

Average Age

Experienced Management: 1799's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jianxin Zhang
Chairman8.17yrsCN¥2.07mno data
Bo Yin
GM & Executive Director4.5yrsCN¥3.57mno data
Jinjing Xia
Deputy GM & Executive Director2.25yrsCN¥1.71mno data
Xin Zhang
Non-Executive Director12.58yrsno datano data
Junxiang Guo
Non-Executive Director12.58yrsno datano data
Haiyan Qin
Independent Non-Executive Director5.25yrsCN¥120.00kno data
Shujun Hu
Non-Employee Supervisor5.25yrsno datano data
Deren Yang
Independent Non-Executive Director5.25yrsCN¥120.00kno data
Yui Keung Wong
Independent Non-Executive Director5.25yrsCN¥120.00kno data
Qijun Chen
Chairman of the Board of Supervisorsno datano datano data
Huan Cao
Employee Representative Supervisor5.25yrsno datano data
Xiaodong Qin
Non Executive Director0.25yrno datano data

5.3yrs

Average Tenure

47yo

Average Age

Experienced Board: 1799's board of directors are considered experienced (5.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Xinte Energy Co., Ltd.
  • Ticker: 1799
  • Exchange: SEHK
  • Founded: 2008
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$5.880b
  • Shares outstanding: 1.20b
  • Website: https://www.xinteenergy.com

Number of Employees


Location

  • Xinte Energy Co., Ltd.
  • No. 2499, Mianguangdong Street
  • Ganquanpu Eco & Tech Dev Zn (Ind. Park)
  • Urumqi
  • Xinjiang Uygur Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1799SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDDec 2015

Biography

Xinte Energy Co., Ltd., together with its subsidiaries, provides engineering and construction contracting services and systems for solar and wind power plants in the People’s Republic of China and internat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/29 13:00
End of Day Share Price2020/09/29 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.