Good Friend International Holdings Inc., an investment holding company, designs, produces, and trades in computer numerical control machine tools in the People’s Republic of China.
Fair value with imperfect balance sheet.
Share Price & News
How has Good Friend International Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 2398's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 2398 underperformed the Hong Kong Machinery industry which returned 14.1% over the past year.
Return vs Market: 2398 underperformed the Hong Kong Market which returned -10.2% over the past year.
Price Volatility Vs. Market
How volatile is Good Friend International Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall StGood Friend International Holdings (HKG:2398) Has Debt But No Earnings; Should You Worry?
1 month ago | Simply Wall StThe Good Friend International Holdings (HKG:2398) Share Price Is Down 52% So Some Shareholders Are Wishing They Sold
3 months ago | Simply Wall StIs Good Friend International Holdings (HKG:2398) Weighed On By Its Debt Load?
Is Good Friend International Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 2398 (HK$0.84) is trading below our estimate of fair value (HK$2.09)
Significantly Below Fair Value: 2398 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 2398 is unprofitable, so we can't compare its PE Ratio to the Machinery industry average.
PE vs Market: 2398 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 2398's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 2398 is good value based on its PB Ratio (0.4x) compared to the HK Machinery industry average (1x).
How is Good Friend International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 Good Friend International 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.
- Examine whether Good Friend International Holdings is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Good Friend International Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Capital Goods industry.
How has Good Friend International Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 2398 is currently unprofitable.
Growing Profit Margin: 2398 is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: 2398 is unprofitable, and losses have increased over the past 5 years at a rate of -37.2% per year.
Accelerating Growth: Unable to compare 2398's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: 2398 is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (7.3%).
Return on Equity
High ROE: 2398 has a negative Return on Equity (-7.6%), as it is currently unprofitable.
How is Good Friend International Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 2398's short term assets (CN¥1.7B) exceed its short term liabilities (CN¥1.4B).
Long Term Liabilities: 2398's short term assets (CN¥1.7B) exceed its long term liabilities (CN¥116.3M).
Debt to Equity History and Analysis
Debt Level: 2398's debt to equity ratio (87.8%) is considered high.
Reducing Debt: 2398's debt to equity ratio has increased from 54.9% to 87.8% over the past 5 years.
Inventory Level: 2398 has a high level of physical assets or inventory.
Debt Coverage by Assets: 2398's debt is covered by short term assets (assets are 2.5x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: 2398 has been profitable on average in the past, therefore cash runway is not a concern.
Forecast Cash Runway: 2398 has been profitable on average in the past, therefore cash runway is not a concern.
What is Good Friend International Holdings's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate 2398's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate 2398's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if 2398's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 2398's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: 2398 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 2398's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Chih-Yaung Chu (72yo)
Mr. Chih-Yaung Chu has been the Chief Executive Officer of Good Friend International Holdings Inc since December 7, 2018. Mr. Chu serves as an Executive Chairman of Good Friend International Holdings Inc a ...
CEO Compensation Analysis
Compensation vs Market: Chih-Yaung's total compensation ($USD149.52K) is below average for companies of similar size in the Hong Kong market ($USD226.90K).
Compensation vs Earnings: Chih-Yaung's compensation has increased whilst the company is unprofitable.
|Executive Chairman & CEO||1.2yrs||CN¥1.05m||no data|
|Executive Director||14.2yrs||CN¥144.00k||no data|
|Executive Director||14.2yrs||CN¥144.00k||no data|
|Executive Director||14.2yrs||no data||no data|
|Independent Non-Executive Director||14.2yrs||CN¥175.00k||no data|
|Independent Non-Executive Director||14.2yrs||CN¥88.00k||no data|
|Independent Non Executive Director||0.08yrs||no data||no data|
Experienced Board: 2398's board of directors are seasoned and experienced ( 14.2 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Good Friend International Holdings Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Good Friend International Holdings Inc.
- Ticker: 2398
- Exchange: SEHK
- Founded: 1993
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: HK$334.551m
- Shares outstanding: 403.07m
- Website: https://www.goodfriend.hk
Number of Employees
- Good Friend International Holdings Inc.
- No. 120 Shixin North Road
- Xiaoshan Economic and Technological Development Zone
- Zhejiang Province
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|2398||SEHK (The Stock Exchange of Hong Kong Ltd.)||Yes||Ordinary Shares||HK||HKD||Jan 2006|
|912398||TSEC (Taiwan Stock Exchange)||DR EACH REPR 1/1 ORD SHS||TW||TWD||Mar 2010|
Good Friend International Holdings Inc., an investment holding company, designs, produces, and trades in computer numerical control machine tools in the People’s Republic of China. The company operates through three segments: Machine Tools, Parking Garage Structure, and Forklift Trucks. It also designs and constructs three dimensional car parking garage structures; and designs and assembles forklift trucks. In addition, the company trades in machine tools. The company was founded in 1993 and is based in Hangzhou, the People's Republic of China. Good Friend International Holdings Inc. is a subsidiary of Good Friend (H.K.) Corporation Limited.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/25 12:56|
|End of Day Share Price||2020/02/25 00:00|
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.