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317

CSSC Offshore & Marine Engineering (Group)SEHK:317 Stock Report

Market Cap

HK$23.7b

7D

-3.9%

1Y

-9.6%

Updated

26 Oct, 2021

Data

Company Financials
317 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends3/6

317 Overview

CSSC Offshore & Marine Engineering (Group) Company Limited operates in the shipbuilding industry.

Price History & Performance

Summary of all time highs, changes and price drops for CSSC Offshore & Marine Engineering (Group)
Historical stock prices
Current Share PriceHK$6.99
52 Week HighHK$5.65
52 Week LowHK$10.66
Beta1.03
1 Month Change-3.45%
3 Month Change18.07%
1 Year Change-9.57%
3 Year Change31.14%
5 Year Change-39.22%
Change since IPO175.36%

Recent News & Updates

Sep 10
CSSC Offshore & Marine Engineering (Group) (HKG:317) Has Debt But No Earnings; Should You Worry?

CSSC Offshore & Marine Engineering (Group) (HKG:317) Has Debt But No Earnings; Should You Worry?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

May 24
Is CSSC Offshore & Marine Engineering (Group) (HKG:317) Using Too Much Debt?

Is CSSC Offshore & Marine Engineering (Group) (HKG:317) Using Too Much Debt?

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

317HK MachineryHK Market
7D-3.9%-0.5%0.4%
1Y-9.6%24.9%6.7%

Return vs Industry: 317 underperformed the Hong Kong Machinery industry which returned 24.9% over the past year.

Return vs Market: 317 underperformed the Hong Kong Market which returned 6.7% over the past year.

Price Volatility

Is 317's price volatile compared to industry and market?
317 volatility
317 Beta1.03
Industry Beta1.01
Market Beta1

Stable Share Price: 317 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 317's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19547,246Liping Chenhttps://comec.cssc.net.cn

CSSC Offshore & Marine Engineering (Group) Company Limited operates in the shipbuilding industry. It designs, manufactures, and repairs ships, electrical and general machinery, and steel structures; manufactures equipment for railways, ships, aerospace, and other transportation facilities; repairs, debugs, and maintains shipboard equipment and systems; and produces and supplies liquefied petroleum. It also offers ship and metal structure design, engineering, and technical consulting; software, information technology, and transmission services; new energy engineering design and installation, consulting, research and development, and technology promotion services; sells new energy products and accessories; human resources development and management consulting; professional intermediary; labor dispatch; and personnel leasing, training, and recommendation services, as well as engages in the new energy investment, technology development, and application business.

CSSC Offshore & Marine Engineering (Group) Fundamentals Summary

How do CSSC Offshore & Marine Engineering (Group)'s earnings and revenue compare to its market cap?
317 fundamental statistics
Market CapCN¥19.46b
Earnings (TTM)CN¥464.45m
Revenue (TTM)CN¥12.03b

17.5x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
317 income statement (TTM)
RevenueCN¥12.03b
Cost of RevenueCN¥11.57b
Gross ProfitCN¥457.99m
Expenses-CN¥6.46m
EarningsCN¥464.45m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 29, 2021

Earnings per share (EPS)0.33
Gross Margin3.81%
Net Profit Margin3.86%
Debt/Equity Ratio33.6%

How did 317 perform over the long term?

See historical performance and comparison

Dividends

2.9%

Current Dividend Yield

51%

Payout Ratio

Valuation

Is CSSC Offshore & Marine Engineering (Group) undervalued compared to its fair value and its price relative to the market?

17.48x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 317 (HK$6.99) is trading above our estimate of fair value (HK$3.21)

Significantly Below Fair Value: 317 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 317 is poor value based on its PE Ratio (17.5x) compared to the Hong Kong Machinery industry average (11.8x).

PE vs Market: 317 is poor value based on its PE Ratio (17.5x) compared to the Hong Kong market (9.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 317's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 317 is good value based on its PB Ratio (0.6x) compared to the HK Machinery industry average (0.9x).


Future Growth

How is CSSC Offshore & Marine Engineering (Group) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.3%

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 CSSC Offshore & Marine Engineering (Group) 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 CSSC Offshore & Marine Engineering (Group) performed over the past 5 years?

35.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 317 has a large one-off gain of CN¥585.5M impacting its June 30 2021 financial results.

Growing Profit Margin: 317's current net profit margins (3.9%) are lower than last year (17.8%).


Past Earnings Growth Analysis

Earnings Trend: 317's earnings have grown significantly by 35.5% per year over the past 5 years.

Accelerating Growth: 317's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 317 had negative earnings growth (-85.8%) over the past year, making it difficult to compare to the Machinery industry average (23.8%).


Return on Equity

High ROE: 317's Return on Equity (3.1%) is considered low.


Financial Health

How is CSSC Offshore & Marine Engineering (Group)'s financial position?


Financial Position Analysis

Short Term Liabilities: 317's short term assets (CN¥18.7B) exceed its short term liabilities (CN¥16.2B).

Long Term Liabilities: 317's short term assets (CN¥18.7B) exceed its long term liabilities (CN¥3.4B).


Debt to Equity History and Analysis

Debt Level: 317's debt to equity ratio (33.6%) is considered satisfactory.

Reducing Debt: 317's debt to equity ratio has reduced from 198.4% to 33.6% over the past 5 years.

Debt Coverage: 317's debt is not well covered by operating cash flow (11.8%).

Interest Coverage: Insufficient data to determine if 317's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is CSSC Offshore & Marine Engineering (Group) current dividend yield, its reliability and sustainability?

2.89%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 317's dividend (2.89%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.24%).

High Dividend: 317's dividend (2.89%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.8%).


Stability and Growth of Payments

Stable Dividend: 317's dividend payments have been volatile in the past 10 years.

Growing Dividend: 317's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.5%), 317's dividend payments are 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?

5.7yrs

Average management tenure


CEO

Liping Chen (54 yo)

no data

Tenure

CN¥812,334

Compensation

Mr. Liping Chen serves as Deputy Director of the Board of CSSC Guangzhou Longxue Shipbuilding Co., Ltd. He served as deputy director of the audit department of China State Shipbuilding Corporation. He serv...


CEO Compensation Analysis

Compensation vs Market: Liping's total compensation ($USD127.21K) is below average for companies of similar size in the Hong Kong market ($USD702.95K).

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


Leadership Team

Experienced Management: 317's management team is seasoned and experienced (5.7 years average tenure).


Board Members

Experienced Board: 317's board of directors are considered experienced (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

CSSC Offshore & Marine Engineering (Group) Company Limited's employee growth, exchange listings and data sources


Key Information

  • Name: CSSC Offshore & Marine Engineering (Group) Company Limited
  • Ticker: 317
  • Exchange: SEHK
  • Founded: 1954
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: HK$23.688b
  • Shares outstanding: 1.41b
  • Website: https://comec.cssc.net.cn

Number of Employees


Location

  • CSSC Offshore & Marine Engineering (Group) Company Limited
  • Marine Tower
  • 15th Floor
  • Guangzhou
  • Guangdong Province
  • 510250
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 16:11
End of Day Share Price2021/10/26 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.