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Market Cap

HK$197.0m

Last Updated

2021/09/21 10:03 UTC

Data Sources

Company Financials

Executive Summary

Heng Hup Holdings Limited, an investment holding company, operates as a scrap ferrous metal trader in Malaysia and internationally. More Details


Snowflake Analysis

Excellent balance sheet with proven track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1891 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 1891's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-2.0%

1891

-9.3%

HK Trade Distributors

-6.9%

HK Market


1 Year Return

-16.2%

1891

34.1%

HK Trade Distributors

3.9%

HK Market

Return vs Industry: 1891 underperformed the Hong Kong Trade Distributors industry which returned 34.1% over the past year.

Return vs Market: 1891 underperformed the Hong Kong Market which returned 3.9% over the past year.


Shareholder returns

1891IndustryMarket
7 Day-2.0%-9.3%-6.9%
30 Day-2.0%1.1%-0.2%
90 Day15.9%-8.6%-12.7%
1 Year-13.4%-16.2%37.7%34.1%7.7%3.9%
3 Yearn/a-25.3%-29.6%9.0%-3.5%
5 Yearn/a-26.7%-35.0%27.9%4.8%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

4.6x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1891 (HK$0.2) is trading above our estimate of fair value (HK$0.06)

Significantly Below Fair Value: 1891 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1891 is good value based on its PE Ratio (4.6x) compared to the Hong Kong Trade Distributors industry average (12.3x).

PE vs Market: 1891 is good value based on its PE Ratio (4.6x) compared to the Hong Kong market (9.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1891's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1891 is good value based on its PB Ratio (0.5x) compared to the HK Trade Distributors industry average (0.7x).


Future Growth

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

5.3%

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 Heng Hup 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.


Past Performance

How has Heng Hup Holdings performed over the past 5 years?

-17.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1891 has high quality earnings.

Growing Profit Margin: 1891's current net profit margins (1.8%) are higher than last year (0.05%).


Past Earnings Growth Analysis

Earnings Trend: 1891's earnings have declined by 17.9% per year over the past 5 years.

Accelerating Growth: 1891's earnings growth over the past year (5758.1%) exceeds its 5-year average (-17.9% per year).

Earnings vs Industry: 1891 earnings growth over the past year (5758.1%) exceeded the Trade Distributors industry 16.5%.


Return on Equity

High ROE: 1891's Return on Equity (11.7%) is considered low.


Financial Health

How is Heng Hup Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1891's short term assets (MYR221.2M) exceed its short term liabilities (MYR53.4M).

Long Term Liabilities: 1891's short term assets (MYR221.2M) exceed its long term liabilities (MYR7.8M).


Debt to Equity History and Analysis

Debt Level: 1891's debt to equity ratio (8.9%) is considered satisfactory.

Reducing Debt: 1891's debt to equity ratio has reduced from 92.1% to 8.9% over the past 5 years.

Debt Coverage: 1891's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 1891's interest payments on its debt are well covered by EBIT (37.4x coverage).


Balance Sheet


Dividend

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

2.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1891's dividend (2.73%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.3%).

High Dividend: 1891's dividend (2.73%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.91%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 1891's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 1891's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12.4%), 1891's dividend payments are thoroughly 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?

0.5yrs

Average management tenure


CEO

Kok Chin Sia (47 yo)

3.25yrs

Tenure

RM1,337,000

Compensation

Mr. Sia Kok Chin has been a Director of Heng Hup Holdings Limited since April 2018 and was appointed as the Chairman of the Board, Chief Executive Officer, and designated as Executive Director since June 2...


CEO Compensation Analysis

Compensation vs Market: Kok Chin's total compensation ($USD318.92K) is above average for companies of similar size in the Hong Kong market ($USD227.19K).

Compensation vs Earnings: Kok Chin's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: 1891's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: 1891's board of directors are considered experienced (3.3 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

Heng Hup Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Heng Hup Holdings Limited
  • Ticker: 1891
  • Exchange: SEHK
  • Founded: 1996
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: HK$197.000m
  • Shares outstanding: 1.00b
  • Website: https://www.henghup.com

Number of Employees


Location

  • Heng Hup Holdings Limited
  • No. 264, Jalan Satu A
  • Kampung Baru Subang
  • Shah Alam
  • Selangor
  • Malaysia

Listings


Biography

Heng Hup Holdings Limited, an investment holding company, operates as a scrap ferrous metal trader in Malaysia and internationally. The company purchases scrap ferrous metals from various sources, and proc...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/21 10:03
End of Day Share Price2021/09/20 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.