SEHK:1894

Stock Analysis Report

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Executive Summary

Hang Yick Holdings Company Limited, a steel and metal engineering company, designs, manufactures, supplies, and installs steel and metal products for construction projects in the People’s Republic of China. More Details


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1894 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 1894's weekly volatility has decreased from 18% to 5% over the past year.


Market Performance


7 Day Return

-6.1%

1894

6.6%

HK Construction

3.0%

HK Market


1 Year Return

-93.8%

1894

-15.6%

HK Construction

7.5%

HK Market

Return vs Industry: 1894 underperformed the Hong Kong Construction industry which returned -15.6% over the past year.

Return vs Market: 1894 underperformed the Hong Kong Market which returned 7.5% over the past year.


Shareholder returns

1894IndustryMarket
7 Day-6.1%6.6%3.0%
30 Day-13.3%12.6%9.9%
90 Day-31.0%-2.1%15.5%
1 Year-93.8%-93.8%-11.6%-15.6%11.8%7.5%
3 Yearn/a-32.5%-40.4%-3.2%-13.4%
5 Yearn/a-2.7%-18.8%69.4%40.7%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1894 (HK$0.17) is trading below our estimate of fair value (HK$0.19)

Significantly Below Fair Value: 1894 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 1894 is poor value based on its PE Ratio (39.4x) compared to the HK Construction industry average (8.2x).

PE vs Market: 1894 is poor value based on its PE Ratio (39.4x) compared to the Hong Kong market (11.5x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1894's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1894 is good value based on its PB Ratio (0.5x) compared to the HK Construction industry average (0.9x).


Next Steps

Future Growth

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

13.2%

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 Hang Yick 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 Hang Yick Holdings performed over the past 5 years?

-36.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1894 has high quality earnings.

Growing Profit Margin: 1894's current net profit margins (1.4%) are lower than last year (6.6%).


Past Earnings Growth Analysis

Earnings Trend: 1894's earnings have declined by 36.5% per year over the past 5 years.

Accelerating Growth: 1894's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1894 had negative earnings growth (-72.3%) over the past year, making it difficult to compare to the Construction industry average (-9.8%).


Return on Equity

High ROE: 1894's Return on Equity (0.8%) is considered low.


Next Steps

Financial Health

How is Hang Yick Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1894's short term assets (HK$242.6M) exceed its short term liabilities (HK$85.2M).

Long Term Liabilities: 1894's short term assets (HK$242.6M) exceed its long term liabilities (HK$243.0K).


Debt to Equity History and Analysis

Debt Level: 1894's debt to equity ratio (21.7%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 1894's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 1894's debt is well covered by operating cash flow (50.8%).

Interest Coverage: 1894 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1894's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1894'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 1894's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1894's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 1894 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 1894'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?

2.3yrs

Average board tenure


CEO

Pui Sun Lee (63 yo)

no data

Tenure

HK$946,000

Compensation

Mr. Lee Pui Sun is Chairman, Chief Executive Officer of Hang Yick Holdings Company Limited and is its Executive Director since March 6, 2018. Mr. Lee is primarily responsible for the overall strategic mana...


CEO Compensation Analysis

Compensation vs Market: Pui Sun's total compensation ($USD122.00K) is below average for companies of similar size in the Hong Kong market ($USD229.95K).

Compensation vs Earnings: Pui Sun's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Board Members

NamePositionTenureCompensationOwnership
Pui Sun Lee
Chairman & CEOno dataHK$946.00kno data
Ka Ho Lee
CFO & Executive Director1.58yrsHK$515.00kno data
Lai Ching Lau
Executive Director2.83yrsHK$946.00kno data
Ka Chun Lee
Non-Executive Director2.67yrsHK$465.00kno data
Wai Key Yeung
Independent Non-Executive Director2.33yrsHK$90.00kno data
Ka Ching Tse
Independent Non-Executive Director2.33yrsHK$180.00kno data
Wai Yee Wun
Independent & Non-Executive Director0.25yrno datano data

2.3yrs

Average Tenure

56yo

Average Age

Experienced Board: 1894's board of directors are not considered experienced ( 2.3 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

Hang Yick Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hang Yick Holdings Company Limited
  • Ticker: 1894
  • Exchange: SEHK
  • Founded: 1982
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$130.492m
  • Shares outstanding: 767.60m
  • Website: https://www.hy-engineering.com

Number of Employees


Location

  • Hang Yick Holdings Company Limited
  • Yau Tong Industrial Building
  • Unit B, Upper Ground Floor
  • Yau Tong
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1894SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2018

Biography

Hang Yick Holdings Company Limited, a steel and metal engineering company, designs, manufactures, supplies, and installs steel and metal products for construction projects in the People’s Republic of China...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/15 10:14
End of Day Share Price2021/01/15 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.