Loading...

CITIC

SEHK:267
Snowflake Description

Good value average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
267
SEHK
HK$314B
Market Cap
  1. Home
  2. HK
  3. Capital Goods
Company description

CITIC Limited operates in the financial services, resources and energy, manufacturing, engineering contracting, and real estate businesses in Hong Kong, Mainland China, Macau, and internationally. The last earnings update was 88 days ago. More info.


Add to Portfolio Compare Print
267 Share Price and Events
7 Day Returns
-2.4%
SEHK:267
-1.9%
HK Industrials
-1.1%
HK Market
1 Year Returns
1.3%
SEHK:267
-6.2%
HK Industrials
-6.5%
HK Market
267 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CITIC (267) -2.4% 0.9% -9.6% 1.3% -8% -25.8%
HK Industrials -1.9% 1.9% -9% -6.2% -4.9% -29.2%
HK Market -1.1% 3.4% -7.7% -6.5% 17.4% 4.2%
1 Year Return vs Industry and Market
  • 267 outperformed the Industrials industry which returned -6.2% over the past year.
  • 267 outperformed the Market in Hong Kong which returned -6.5% over the past year.
Price Volatility
267
Industry
5yr Volatility vs Market

Value

 Is CITIC undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of CITIC to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for CITIC.

SEHK:267 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 15.3%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:267
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6.7%
Industrials Unlevered Beta Simply Wall St/ S&P Global 0.89
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.889 (1 + (1- 25%) (479.12%))
3.065
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (2 * 6.65%)
15.3%

Discounted Cash Flow Calculation for SEHK:267 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CITIC is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:267 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 15.3%)
2020 91,518.60 Est @ -28.94% 79,372.26
2021 73,529.24 Est @ -19.66% 55,306.84
2022 63,853.78 Est @ -13.16% 41,654.78
2023 58,355.87 Est @ -8.61% 33,015.82
2024 55,189.36 Est @ -5.43% 27,080.23
2025 53,424.71 Est @ -3.2% 22,735.19
2026 52,549.98 Est @ -1.64% 19,394.93
2027 52,263.46 Est @ -0.55% 16,729.13
2028 52,378.05 Est @ 0.22% 14,540.65
2029 52,773.17 Est @ 0.75% 12,705.95
Present value of next 10 years cash flows HK$322,535.78
SEHK:267 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= HK$52,773.17 × (1 + 2%) ÷ (15.3% – 2%)
HK$404,738.50
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$404,738.50 ÷ (1 + 15.3%)10
HK$97,447.00
SEHK:267 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$322,535.78 + HK$97,447.00
HK$419,982.77
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$419,982.77 / 29,090.26
HK$14.44
SEHK:267 Discount to Share Price
Calculation Result
Value per share (HKD) From above. HK$14.44
Current discount Discount to share price of HK$10.76
= -1 x (HK$10.76 - HK$14.44) / HK$14.44
25.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price CITIC is available for.
Intrinsic value
25%
Share price is HK$10.76 vs Future cash flow value of HK$14.44
Current Discount Checks
For CITIC to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • CITIC's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • CITIC's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for CITIC's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CITIC's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:267 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in HKD HK$1.73
SEHK:267 Share Price ** SEHK (2019-07-15) in HKD HK$10.76
Hong Kong Industrials Industry PE Ratio Median Figure of 12 Publicly-Listed Industrials Companies 6.89x
Hong Kong Market PE Ratio Median Figure of 1,503 Publicly-Listed Companies 10.71x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of CITIC.

SEHK:267 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:267 Share Price ÷ EPS (both in HKD)

= 10.76 ÷ 1.73

6.23x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CITIC is good value based on earnings compared to the HK Industrials industry average.
  • CITIC is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does CITIC's expected growth come at a high price?
Raw Data
SEHK:267 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 6.23x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
4.9%per year
Hong Kong Industrials Industry PEG Ratio Median Figure of 6 Publicly-Listed Industrials Companies 1.07x
Hong Kong Market PEG Ratio Median Figure of 477 Publicly-Listed Companies 0.79x

*Line of best fit is calculated by linear regression .

SEHK:267 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 6.23x ÷ 4.9%

1.28x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CITIC is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on CITIC's assets?
Raw Data
SEHK:267 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in HKD HK$19.20
SEHK:267 Share Price * SEHK (2019-07-15) in HKD HK$10.76
Hong Kong Industrials Industry PB Ratio Median Figure of 14 Publicly-Listed Industrials Companies 0.6x
Hong Kong Market PB Ratio Median Figure of 2,190 Publicly-Listed Companies 0.92x
SEHK:267 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:267 Share Price ÷ Book Value per Share (both in HKD)

= 10.76 ÷ 19.20

0.56x

* Primary Listing of CITIC.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • CITIC is good value based on assets compared to the HK Industrials industry average.
X
Value checks
We assess CITIC's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Industrials industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Industrials industry average (and greater than 0)? (1 check)
  5. CITIC has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is CITIC expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
4.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CITIC expected to grow at an attractive rate?
  • CITIC's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • CITIC's earnings growth is positive but not above the Hong Kong market average.
  • CITIC's revenues are expected to decrease over the next 1-3 years, this is below the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:267 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:267 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 4.9%
SEHK:267 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts -4.3%
Hong Kong Industrials Industry Earnings Growth Rate Market Cap Weighted Average 5.3%
Hong Kong Industrials Industry Revenue Growth Rate Market Cap Weighted Average 7.5%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.2%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:267 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:267 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 620,042 58,167 2
2020-12-31 543,319 55,179 3
2019-12-31 514,807 52,120 3
SEHK:267 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-12-31 690,467 151,899 50,239
2018-09-30 674,936 181,482 46,288
2018-06-30 659,405 211,064 42,336
2018-03-31 626,526 159,099 43,119
2017-12-31 593,647 107,133 43,902
2017-09-30 561,864 119,835 42,005
2017-06-30 530,080 132,536 40,107
2017-03-31 519,080 206,600 36,472
2016-12-31 508,079 280,664 32,837
2016-09-30 510,316 135,800 29,923
2016-06-30 512,552 -9,064 27,008
2016-03-31 522,886 -4,378 33,674

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CITIC's earnings are expected to grow by 4.9% yearly, however this is not considered high growth (20% yearly).
  • CITIC's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:267 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from CITIC Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:267 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 2.00 2.00 2.00 1.00
2020-12-31 1.91 1.98 1.84 2.00
2019-12-31 1.80 1.88 1.73 2.00
SEHK:267 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-12-31 1.73
2018-09-30 1.59
2018-06-30 1.46
2018-03-31 1.48
2017-12-31 1.51
2017-09-30 1.44
2017-06-30 1.38
2017-03-31 1.25
2016-12-31 1.13
2016-09-30 1.04
2016-06-30 0.94
2016-03-31 1.22

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • CITIC is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess CITIC's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
CITIC has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has CITIC performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare CITIC's growth in the last year to its industry (Industrials).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • CITIC's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • CITIC's 1-year earnings growth exceeds its 5-year average (14.4% vs -6.2%)
  • CITIC's earnings growth has exceeded the HK Industrials industry average in the past year (14.4% vs 8.8%).
Earnings and Revenue History
CITIC's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from CITIC Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:267 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 690,467.00 50,239.00 4,086.00
2018-09-30 674,936.00 46,287.50 5,331.00
2018-06-30 659,405.00 42,336.00 6,576.00
2018-03-31 626,526.00 43,119.00 6,576.00
2017-12-31 593,647.00 43,902.00 6,576.00
2017-09-30 561,863.50 42,004.50 6,243.50
2017-06-30 530,080.00 40,107.00 5,911.00
2017-03-31 519,079.50 36,472.00 5,911.00
2016-12-31 508,079.00 32,837.00 5,911.00
2016-09-30 510,315.50 29,922.50 5,004.50
2016-06-30 512,552.00 27,008.00 4,098.00
2016-03-31 522,885.50 33,674.00 4,098.00
2015-12-31 533,219.00 40,340.00 4,098.00
2015-09-30 536,671.50 46,287.00 3,474.00
2015-06-30 540,124.00 52,234.00 2,850.00
2015-03-31 541,336.50 46,034.00 2,850.00
2014-12-31 542,549.00 39,834.00 2,850.00
2014-09-30 639,986.50 55,899.50 1,080.50
2014-06-30 737,424.00 71,965.00 -689.00
2014-03-31 622,185.50 60,197.50 81.50
2013-12-31 506,947.00 48,430.00 852.00
2013-09-30 296,667.50 26,010.00 2,027.50
2013-06-30 86,388.00 3,590.00 3,203.00
2013-03-31 89,830.00 5,023.50 3,202.50
2012-12-31 93,272.00 6,457.00 3,202.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • CITIC has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CITIC used its assets less efficiently than the HK Industrials industry average last year based on Return on Assets.
  • CITIC's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess CITIC's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Industrials industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
CITIC has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is CITIC's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up CITIC's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CITIC is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CITIC's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CITIC's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 4.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from CITIC Company Filings, last reported 6 months ago.

SEHK:267 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 810,660.00 1,505,281.00 1,414,013.00
2018-09-30 810,660.00 1,505,281.00 1,414,013.00
2018-06-30 814,678.00 1,410,594.00 1,453,060.00
2018-03-31 814,678.00 1,410,594.00 1,453,060.00
2017-12-31 793,641.00 1,336,325.00 550,680.00
2017-09-30 793,641.00 1,336,325.00 550,680.00
2017-06-30 742,029.00 1,165,527.00 429,902.00
2017-03-31 742,029.00 1,165,527.00 429,902.00
2016-12-31 696,673.00 1,096,289.00 584,276.00
2016-09-30 696,673.00 1,096,289.00 584,276.00
2016-06-30 655,617.00 894,949.00 375,612.00
2016-03-31 655,617.00 894,949.00 375,612.00
2015-12-31 663,169.00 788,965.00 381,242.00
2015-09-30 663,169.00 788,965.00 381,242.00
2015-06-30 621,146.00 598,550.00 346,260.00
2015-03-31 621,146.00 598,550.00 346,260.00
2014-12-31 575,507.00 636,727.00 346,591.00
2014-09-30 575,507.00 636,727.00 346,591.00
2014-06-30 108,774.00 124,717.00 30,756.00
2014-03-31 108,774.00 124,717.00 30,756.00
2013-12-31 516,552.00 485,678.00 453,355.00
2013-09-30 516,552.00 485,678.00 453,355.00
2013-06-30 104,400.00 121,316.00 33,731.00
2013-03-31 104,400.00 121,316.00 33,731.00
2012-12-31 91,866.00 121,598.00 32,092.00
  • CITIC's level of debt (185.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (94.1% vs 185.7% today).
  • Debt is not well covered by operating cash flow (10.1%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 1.5x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess CITIC's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. CITIC has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is CITIC's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.81%
Current annual income from CITIC dividends. Estimated to be 4.31% next year.
If you bought HK$2,000 of CITIC shares you are expected to receive HK$76 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • CITIC's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.08%).
  • CITIC's dividend is below the markets top 25% of dividend payers in Hong Kong (5.73%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:267 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
Hong Kong Industrials Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 4%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 978 Stocks 3.6%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:267 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.52 3.00
2020-12-31 0.47 4.00
2019-12-31 0.42 4.00
SEHK:267 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-04-18 0.410 3.727
2019-03-29 0.410 3.436
2018-08-29 0.400 3.365
2018-03-28 0.360 3.203
2017-04-18 0.330 2.850
2017-03-23 0.330 2.987
2016-04-15 0.300 2.613
2016-03-24 0.300 2.545
2015-04-17 0.215 1.608
2015-03-24 0.215 1.519
2014-04-02 0.350 2.536
2014-03-17 0.350 2.721
2014-02-20 0.350 3.148
2013-03-19 0.450 4.598
2013-02-28 0.450 4.259
2012-03-20 0.450 4.035
2012-03-01 0.450 3.281
2011-08-19 0.450 3.249
2011-03-03 0.450 2.293
2010-08-31 0.300 1.524
2010-08-18 0.400 2.445
2010-03-10 0.005 0.032
2009-09-07 0.300 1.516
2009-08-26 0.300 1.403
2009-03-26 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of CITIC's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.9x coverage).
X
Income/ dividend checks
We assess CITIC's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can CITIC afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CITIC has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of CITIC's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jiong Wang
COMPENSATION HK$910,000
AGE 59
TENURE AS CEO 4.8 years
CEO Bio

Mr. Wang Jiong serves as Vice Chairman and President of CITIC Group Corporation and CITIC Corporation Limited. Mr. Jiong has been the Vice Chairman and President of CITIC Limited since September 26, 2014. He has been the President of CITIC Group Company since September 26, 2014. He served as Vice President of CITIC Group Company. He has been Chairman of CITIC Group Company since September 26, 2014. He served as Chairman and Director of CITIC Heavy Industries Co., Ltd. (alternate name, CITIC HIC). He served as the Chairman of Citic Heavy Machinery Co., Ltd. He served as Deputy General Manager of CITIC Shanghai Co., Ltd; General Manager and Chairman of CITIC Shanghai (Group) Co., Ltd; Chairman and General Manager of CITIC East China (Group) Co., Ltd; Assistant President of China International Trust & Investment Corporation and executive director and vice president of CITIC Group. Mr. Wang has a background of more than 20 years in finance and industry, with extensive knowledge and experience particularly in corporate strategy planning, operating management, investment financing, mergers, acquisitions and restructuring. He graduated from Shanghai University of Finance & Economics with a master's degree in economics.

CEO Compensation
  • Jiong's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Jiong's remuneration is lower than average for companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the CITIC management team in years:

3.9
Average Tenure
54.5
Average Age
  • The tenure for the CITIC management team is about average.
Management Team

Jiong Wang

TITLE
Vice Chairman & President
COMPENSATION
HK$910K
AGE
59
TENURE
4.8 yrs

Qingping Li

TITLE
VP & Executive Director
COMPENSATION
HK$830K
AGE
57

Guoqiang Cao

TITLE
Chief Financial Officer
AGE
55

Lisa Yang

TITLE
General Manager of Technical Services

Chen Meng Holly

TITLE
Director of Group Investor Relations & Corporate Communications
AGE
52

Ricky Choy

TITLE
Group General Counsel & Joint Company Secretary
AGE
44
TENURE
8.5 yrs

Huayue Zhu

TITLE
General Manager of Sales & Marketing

Huaxiang Cai

TITLE
Executive Officer
AGE
60
TENURE
2.8 yrs

Xiliang Cai

TITLE
Vice President
AGE
52
TENURE
2.9 yrs

Jun Cui

TITLE
Member of Executive Committee
AGE
54
Board of Directors Tenure

Average tenure and age of the CITIC board of directors in years:

4.8
Average Tenure
67
Average Age
  • The tenure for the CITIC board of directors is about average.
Board of Directors

Zhenming Chang

TITLE
Chairman of the Board
COMPENSATION
HK$930K
AGE
63
TENURE
10.3 yrs

Jiong Wang

TITLE
Vice Chairman & President
COMPENSATION
HK$910K
AGE
59
TENURE
4.8 yrs

Qingping Li

TITLE
VP & Executive Director
COMPENSATION
HK$830K
AGE
57
TENURE
3.6 yrs

Cui Ming Shi

TITLE
Chairman of CITIC Telecom 1616 Limited
AGE
82

Yue Xin

TITLE
Chairman of CITIC Telecom International Holdings Limited
AGE
71

Francis Siu

TITLE
Independent Non-Executive Director
COMPENSATION
HK$760K
AGE
65
TENURE
8.2 yrs

Anthony Francis Neoh

TITLE
Independent Non-Executive Director
COMPENSATION
HK$630K
AGE
73
TENURE
4.6 yrs

Greg Curl

TITLE
Independent Non-Executive Director
COMPENSATION
HK$330K
AGE
70
TENURE
0.3 yrs

Jinwu Xu

TITLE
Independent Non-Executive Director
COMPENSATION
HK$630K
AGE
69
TENURE
6.6 yrs

Zhongyuan Liu

TITLE
Non-Executive Director
AGE
49
TENURE
4.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
X
Management checks
We assess CITIC's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. CITIC has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is CITIC Limited's (HKG:267) CEO Paid At A Competitive Rate?

See our latest analysis for CITIC How Does Jiong Wang's Compensation Compare With Similar Sized Companies? … At the time of writing our data says that CITIC Limited has a market cap of HK$316b, and is paying total annual CEO compensation of HK$910k. … With a total shareholder return of 3.4% over three years, CITIC Limited has done okay by shareholders.

Simply Wall St -

Would CITIC Limited (HKG:267) Be Valuable To Income Investors?

Dividend Growth Potential Given that the dividend has been cut in the past, we need to check if earnings are growing and if that might lead to stronger dividends in the future. … Conclusion To summarise, shareholders should always check that CITIC's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend. … Given that earnings are not growing, the dividend does not look nearly so attractive.

Simply Wall St -

An Intrinsic Calculation For CITIC Limited (HKG:267) Suggests It's 26% Undervalued

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (HK$, Millions) HK$91.52k HK$73.53k HK$63.85k HK$58.36k HK$55.19k HK$53.42k HK$52.55k HK$52.26k HK$52.38k HK$52.77k Growth Rate Estimate Source Est @ -28.94% Est @ -19.66% Est @ -13.16% Est @ -8.61% Est @ -5.43% Est @ -3.2% Est @ -1.64% Est @ -0.55% Est @ 0.22% Est @ 0.75% Present Value (HK$, Millions) Discounted @ 15.3% HK$79.37k HK$55.31k HK$41.65k HK$33.02k HK$27.08k HK$22.74k HK$19.39k HK$16.73k HK$14.54k HK$12.71k Present Value of 10-year Cash Flow (PVCF)= HK$322.54b "Est" = FCF growth rate estimated by Simply Wall St The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = HK$53b × (1 + 2%) ÷ (15.3% – 2%) = HK$405b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = HK$HK$405b ÷ ( 1 + 15.3%)10 = HK$97.45b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is HK$419.98b. … SEHK:267 Intrinsic value, May 28th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

CITIC Limited (HKG:267) Earns A Nice Return On Capital Employed

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for CITIC: 0.063 = HK$246b ÷ (HK$7.7t - HK$3.8t) (Based on the trailing twelve months to December 2018.) Therefore, CITIC has an ROCE of 6.3%. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise. … CITIC's middling level of current liabilities have the effect of boosting its ROCE a bit.

Simply Wall St -

What Should We Expect From CITIC Limited's (HKG:267) Earnings Over The Next Year?

Help shape the future of investing tools and you could win a $250 gift card! … On 31 December 2018, CITIC Limited (HKG:267) announced its earnings update. … as a 5.2% increase in profits is expected in the upcoming year,

Simply Wall St -

Do CITIC's (HKG:267) Earnings Warrant Your Attention?

So if you're like me, you might be more interested in profitable, growing companies, like CITIC (HKG:267). … I like to see top-line growth as an indication that growth is sustainable, and I look for a high earnings before interest and taxation (EBIT) margin to point to a competitive moat (though some companies with low margins also have moats). … CITIC maintained stable EBIT margins over the last year, all while growing revenue 16% to HK$690b.

Simply Wall St -

Should You Be Holding CITIC Limited (HKG:267)?

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … that has been a rockstar for income investors, currently trading at an attractive share price

Simply Wall St -

Did You Manage To Avoid CITIC's (HKG:267) 18% Share Price Drop?

One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … A more detailed examination of the revenue and earnings may or may not explain why the share price languishes; there could be an opportunity … You can see how revenue and earnings have changed over time in the image below, (click on the chart to see cashflow)

Simply Wall St -

Here's What We Think About CITIC Limited's (HKG:267) CEO Pay

In 2014 Jiong Wang was appointed CEO of CITIC Limited (HKG:267). … This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … How Does Jiong Wang's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Is CITIC Limited's (HKG:267) High P/E Ratio A Problem For Investors?

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … CITIC has a price to earnings ratio of 8.15, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Company Info

Description

CITIC Limited operates in the financial services, resources and energy, manufacturing, engineering contracting, and real estate businesses in Hong Kong, Mainland China, Macau, and internationally. The company offers banking products and services; investment banking, brokerage, securities trading and lending, margin fifnancing, and asset management services; trust products; and life, health, and accident insurance products, as well as reinsurance products. It also engages in the exploration, development, and production of oil; coal mining; import and export of commodities; aluminum smelting; bauxite mining; alumina refining; development of magnetite iron ore mine; production of copper, ferroniobium, and manganese; and operation of coal-fired power stations with a total installed capacity of 6,400MW. In addition, the company manufactures bars, plates, steel tubes, wires, forging steel, and casting billets; heavy equipment; and automobile aluminum wheels and castings. Further, it provides engineering contracting services for infrastructure, housing, industrial construction, municipal engineering, civil construction, building, environmental protection, and industrial projects. Additionally, the company develops, sells, and manages residential properties, commercial properties, and integrated property projects, as well as mixed-use properties; engages in the telecommunication, commercial aviation, publication, environmental, agriculture, and other businesses; distributes motor vehicles and related services, food and FMCG products, healthcare and electronics products; and provides logistics services. The company was formerly known as CITIC Pacific Limited and changed its name to CITIC Limited in August 2014. The company was founded in 1987 and is based in Central, Hong Kong, and is considered as a Red Chip company due to its listing on the Hong Kong Stock Exchange. CITIC Limited is a subsidiary of CITIC Group Corporation.

Details
Name: CITIC Limited
267
Exchange: SEHK
Founded: 1987
HK$314,174,836,404
29,090,262,630
Website: http://www.citic.com
Address: CITIC Limited
CITIC Tower,
32nd Floor,
Central,
Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 267 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 02. Jan 1992
OTCPK CTPC.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB CPF Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
SHSC 267 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 02. Jan 1992
SZSC 267 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 02. Jan 1992
OTCPK CTPC.Y SPONSORED ADR Pink Sheets LLC US USD 06. Mar 2002
Number of employees
Current staff
Staff numbers
273,344
CITIC employees.
Industry
Industrial Conglomerates
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/15 12:34
End of day share price update: 2019/07/15 00:00
Last estimates confirmation: 2019/07/11
Last earnings filing: 2019/04/18
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.