SEHK:331

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FSE Lifestyle Services

Market Cap

HK$2.7b

Last Updated

2021/07/30 18:10 UTC

Data Sources

Company Financials

Executive Summary

FSE Services Group Limited, an investment holding company, provides mechanical and electrical engineering services in Hong Kong, Mainland China, and Macau. More Details


Snowflake Analysis

Outstanding track record with excellent balance sheet.

Share Price & News

How has FSE Lifestyle Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 331 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: 331's weekly volatility (10%) has been stable over the past year.


Market Performance


7 Day Return

0.3%

331

-2.2%

HK Construction

-4.3%

HK Market


1 Year Return

103.7%

331

4.5%

HK Construction

8.2%

HK Market

Return vs Industry: 331 exceeded the Hong Kong Construction industry which returned 4.5% over the past year.

Return vs Market: 331 exceeded the Hong Kong Market which returned 8.2% over the past year.


Shareholder returns

331IndustryMarket
7 Day0.3%-2.2%-4.3%
30 Day-2.6%-0.7%-9.4%
90 Day17.1%-2.4%-9.8%
1 Year125.1%103.7%8.9%4.5%12.0%8.2%
3 Year185.5%125.6%-21.6%-31.2%10.0%-2.3%
5 Year312.1%185.9%-17.3%-33.0%38.9%14.3%

Long-Term Price Volatility Vs. Market

How volatile is FSE Lifestyle Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is FSE Lifestyle Services undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 331 (HK$6.09) is trading below our estimate of fair value (HK$136.95)

Significantly Below Fair Value: 331 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 331 is good value based on its PE Ratio (5.6x) compared to the Hong Kong Construction industry average (9.2x).

PE vs Market: 331 is good value based on its PE Ratio (5.6x) compared to the Hong Kong market (10.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 331's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 331 is overvalued based on its PB Ratio (4.8x) compared to the HK Construction industry average (1x).


Future Growth

How is FSE Lifestyle Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

11.8%

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 FSE Lifestyle Services 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 FSE Lifestyle Services performed over the past 5 years?

19.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 331 has high quality earnings.

Growing Profit Margin: 331's current net profit margins (9.3%) are higher than last year (5.9%).


Past Earnings Growth Analysis

Earnings Trend: 331's earnings have grown by 19% per year over the past 5 years.

Accelerating Growth: 331's earnings growth over the past year (55.8%) exceeds its 5-year average (19% per year).

Earnings vs Industry: 331 earnings growth over the past year (55.8%) exceeded the Construction industry 4.2%.


Return on Equity

High ROE: 331's Return on Equity (69%) is considered outstanding.


Financial Health

How is FSE Lifestyle Services's financial position?


Financial Position Analysis

Short Term Liabilities: 331's short term assets (HK$2.6B) exceed its short term liabilities (HK$2.4B).

Long Term Liabilities: 331's short term assets (HK$2.6B) exceed its long term liabilities (HK$77.1M).


Debt to Equity History and Analysis

Debt Level: 331's debt to equity ratio (36.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 331's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 331's debt is well covered by operating cash flow (317.4%).

Interest Coverage: 331's interest payments on its debt are well covered by EBIT (81.7x coverage).


Balance Sheet


Dividend

What is FSE Lifestyle Services's current dividend yield, its reliability and sustainability?

9.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 331's dividend (9.49%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.07%).

High Dividend: 331's dividend (9.49%) is in the top 25% of dividend payers in the Hong Kong market (6.47%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 331 has been paying a dividend for less than 10 years.

Growing Dividend: 331's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.1%), 331's dividend payments are well 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?

5.9yrs

Average management tenure


CEO

Rocky Poon (65 yo)

5.92yrs

Tenure

HK$5,351,000

Compensation

Mr. Lock Kee Poon, also known as Rocky, has been the Chief Executive Officer and Executive Director at FSE Lifestyle Services Limited (formerly known as FSE Services Group Limited) (formerly known as FSE E...


CEO Compensation Analysis

Compensation vs Market: Rocky's total compensation ($USD688.48K) is above average for companies of similar size in the Hong Kong market ($USD299.29K).

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


Leadership Team

Experienced Management: 331's management team is seasoned and experienced (5.9 years average tenure).


Board Members

Experienced Board: 331's board of directors are considered experienced (5.7 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

FSE Lifestyle Services Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FSE Lifestyle Services Limited
  • Ticker: 331
  • Exchange: SEHK
  • Founded: 2015
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$2.741b
  • Shares outstanding: 450.00m
  • Website: https://www.fse.com.hk

Number of Employees


Location

  • FSE Lifestyle Services Limited
  • Chevalier Commercial Centre
  • Units 801-810
  • Kowloon Bay
  • Kowloon
  • Hong Kong

Listings


Biography

FSE Services Group Limited, an investment holding company, provides mechanical and electrical engineering services in Hong Kong, Mainland China, and Macau. It operates through two segments, E&M Engineering...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 18:10
End of Day Share Price2021/07/30 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


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.