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Sinotruk (Hong Kong)

SEHK:3808
Snowflake Description

Flawless balance sheet, good value and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
3808
SEHK
HK$35B
Market Cap
  1. Home
  2. HK
  3. Capital Goods
Company description

Sinotruk (Hong Kong) Limited, an investment holding company, engages in the research, development, manufacture, and sale of heavy duty trucks (HDTs), light duty trucks, buses, and related parts in Mainland China and internationally. The last earnings update was 85 days ago. More info.


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  • Sinotruk (Hong Kong) has significant price volatility in the past 3 months.
3808 Share Price and Events
7 Day Returns
-3.7%
SEHK:3808
0.8%
HK Machinery
-0.2%
HK Market
1 Year Returns
-1.3%
SEHK:3808
8.6%
HK Machinery
-4.5%
HK Market
3808 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Sinotruk (Hong Kong) (3808) -3.7% -13.2% -32.6% -1.3% 266.9% 207.1%
HK Machinery 0.8% 2.2% -11.2% 8.6% 58.1% 40.1%
HK Market -0.2% 2.7% -8.3% -4.5% 16.5% 1%
1 Year Return vs Industry and Market
  • 3808 underperformed the Machinery industry which returned 8.6% over the past year.
  • 3808 outperformed the Market in Hong Kong which returned -4.5% over the past year.
Price Volatility
3808
Industry
5yr Volatility vs Market

3808 Value

 Is Sinotruk (Hong Kong) 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 Sinotruk (Hong Kong) 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 Sinotruk (Hong Kong).

SEHK:3808 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 11 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.6%
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:3808
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.081 (1 + (1- 25%) (9.96%))
1.109
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.11
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.109 * 5.96%)
8.61%

Discounted Cash Flow Calculation for SEHK:3808 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Sinotruk (Hong Kong) 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:3808 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CNY, Millions) Source Present Value
Discounted (@ 8.61%)
2020 4,012.04 Analyst x3 3,694.00
2021 4,273.08 Analyst x3 3,622.46
2022 4,487.36 Est @ 5.01% 3,502.55
2023 4,671.84 Est @ 4.11% 3,357.48
2024 4,834.37 Est @ 3.48% 3,198.86
2025 4,981.14 Est @ 3.04% 3,034.70
2026 5,116.93 Est @ 2.73% 2,870.30
2027 5,245.32 Est @ 2.51% 2,709.08
2028 5,368.97 Est @ 2.36% 2,553.12
2029 5,489.83 Est @ 2.25% 2,403.65
Present value of next 10 years cash flows CN¥30,946.19
SEHK:3808 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CN¥5,489.83 × (1 + 2%) ÷ (8.61% – 2%)
CN¥84,758.59
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CN¥84,758.59 ÷ (1 + 8.61%)10
CN¥37,110.40
SEHK:3808 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CN¥30,946.19 + CN¥37,110.40
CN¥68,056.59
Equity Value per Share
(CNY)
= Total value / Shares Outstanding
= CN¥68,056.59 / 2,760.99
CN¥24.65
SEHK:3808 Discount to Share Price
Calculation Result
Exchange Rate CNY/HKD
(Reporting currency to currency of SEHK:3808)
1.136
Value per Share
(HKD)
= Value per Share in CNY x Exchange Rate (CNY/HKD)
= CN¥24.65 x 1.136
HK$28
Value per share (HKD) From above. HK$28.00
Current discount Discount to share price of HK$12.62
= -1 x (HK$12.62 - HK$28.00) / HK$28.00
54.9%

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

Current Discount
Amount off the current price Sinotruk (Hong Kong) is available for.
Intrinsic value
>50%
Share price is HK$12.62 vs Future cash flow value of HK$28
Current Discount Checks
For Sinotruk (Hong Kong) to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Sinotruk (Hong Kong)'s share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Sinotruk (Hong Kong)'s share price is below the future cash flow value, and 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 Sinotruk (Hong Kong)'s earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Sinotruk (Hong Kong)'s earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:3808 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CNY CN¥1.57
SEHK:3808 Share Price ** SEHK (2019-07-19) in HKD HK$12.62
SEHK:3808 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.88 CN¥11.11
Hong Kong Machinery Industry PE Ratio Median Figure of 37 Publicly-Listed Machinery Companies 8.9x
Hong Kong Market PE Ratio Median Figure of 1,510 Publicly-Listed Companies 10.72x

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

** Primary Listing of Sinotruk (Hong Kong).

SEHK:3808 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:3808 Share Price ÷ EPS (both in CNY)

= 11.11 ÷ 1.57

7.06x

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

  • Sinotruk (Hong Kong) is good value based on earnings compared to the HK Machinery industry average.
  • Sinotruk (Hong Kong) is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Sinotruk (Hong Kong)'s expected growth come at a high price?
Raw Data
SEHK:3808 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 7.06x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
-1.1%per year
Hong Kong Machinery Industry PEG Ratio Median Figure of 12 Publicly-Listed Machinery Companies 0.7x
Hong Kong Market PEG Ratio Median Figure of 479 Publicly-Listed Companies 0.79x

*Line of best fit is calculated by linear regression .

SEHK:3808 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 7.06x ÷ -1.1%

-6.39x

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

  • Sinotruk (Hong Kong) earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Sinotruk (Hong Kong)'s assets?
Raw Data
SEHK:3808 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CNY CN¥9.23
SEHK:3808 Share Price * SEHK (2019-07-19) in HKD HK$12.62
SEHK:3808 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.88 CN¥11.11
Hong Kong Machinery Industry PB Ratio Median Figure of 50 Publicly-Listed Machinery Companies 0.98x
Hong Kong Market PB Ratio Median Figure of 2,197 Publicly-Listed Companies 0.92x
SEHK:3808 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:3808 Share Price ÷ Book Value per Share (both in CNY)

= 11.11 ÷ 9.23

1.2x

* Primary Listing of Sinotruk (Hong Kong).

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

  • Sinotruk (Hong Kong) is overvalued based on assets compared to the HK Machinery industry average.
X
Value checks
We assess Sinotruk (Hong Kong)'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 Machinery 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 Machinery industry average (and greater than 0)? (1 check)
  5. Sinotruk (Hong Kong) 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.

3808 Future Performance

 How is Sinotruk (Hong Kong) expected to perform in the next 1 to 3 years based on estimates from 11 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
-1.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Sinotruk (Hong Kong) expected to grow at an attractive rate?
  • Sinotruk (Hong Kong)'s earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2%.
Growth vs Market Checks
  • Sinotruk (Hong Kong)'s earnings are expected to decrease over the next 1-3 years, this is below the Hong Kong market average.
  • Sinotruk (Hong Kong)'s revenue growth is positive but not above the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:3808 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:3808 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts -1.1%
SEHK:3808 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 2.2%
Hong Kong Machinery Industry Earnings Growth Rate Market Cap Weighted Average 12.9%
Hong Kong Machinery Industry Revenue Growth Rate Market Cap Weighted Average 10.3%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.4%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.6%

*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:3808 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:3808 Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 66,600 5,826 4,245 8
2020-12-31 62,841 5,881 4,151 11
2019-12-31 62,277 5,521 4,187 9
SEHK:3808 Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2018-12-31 61,785 4,231 4,345
2018-09-30 62,120 4,493 4,166
2018-06-30 62,456 4,756 3,988
2018-03-31 58,957 4,955 3,505
2017-12-31 55,458 5,155 3,023
2017-09-30 49,856 4,137 2,356
2017-06-30 44,254 3,119 1,690
2017-03-31 38,607 4,179 1,111
2016-12-31 32,959 5,238 532
2016-09-30 31,168 3,822 371
2016-06-30 29,378 2,406 210
2016-03-31 28,841 1,723 208

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Sinotruk (Hong Kong)'s earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Sinotruk (Hong Kong)'s revenue is expected to grow by 2.2% yearly, however this is not considered high growth (20% yearly).
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:3808 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 11 Analyst Estimates (S&P Global) See Below

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

SEHK:3808 Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.65 2.31 0.98 8.00
2020-12-31 1.54 1.84 1.07 9.00
2019-12-31 1.52 1.71 1.17 9.00
SEHK:3808 Past Financials Data
Date (Data in CNY Millions) EPS *
2018-12-31 1.57
2018-09-30 1.51
2018-06-30 1.44
2018-03-31 1.27
2017-12-31 1.09
2017-09-30 0.85
2017-06-30 0.61
2017-03-31 0.40
2016-12-31 0.19
2016-09-30 0.13
2016-06-30 0.08
2016-03-31 0.08

*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.
  • Sinotruk (Hong Kong) is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Sinotruk (Hong Kong)'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.
Sinotruk (Hong Kong) has a total score of 0/6, 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.

3808 Past Performance

  How has Sinotruk (Hong Kong) 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 Sinotruk (Hong Kong)'s growth in the last year to its industry (Machinery).
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.
  • Sinotruk (Hong Kong) has delivered over 20% year on year earnings growth in the past 5 years.
  • Sinotruk (Hong Kong)'s 1-year earnings growth is less than its 5-year average (43.7% vs 61.3%)
  • Sinotruk (Hong Kong)'s earnings growth has exceeded the HK Machinery industry average in the past year (43.7% vs 18%).
Earnings and Revenue History
Sinotruk (Hong Kong)'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 Sinotruk (Hong Kong) Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:3808 Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 61,784.67 4,344.55 5,922.31
2018-09-30 62,120.10 4,166.12 6,147.94
2018-06-30 62,455.54 3,987.69 6,373.57
2018-03-31 58,956.73 3,505.36 6,276.97
2017-12-31 55,457.93 3,023.02 6,180.37
2017-09-30 49,856.20 2,356.29 6,024.08
2017-06-30 44,254.47 1,689.56 5,867.80
2017-03-31 38,606.69 1,110.83 5,424.21
2016-12-31 32,958.90 532.11 4,980.63
2016-09-30 31,168.42 371.14 4,772.67
2016-06-30 29,377.93 210.18 4,564.70
2016-03-31 28,841.41 208.07 4,653.59
2015-12-31 28,304.89 205.95 4,742.47
2015-09-30 29,312.75 265.30 4,801.84
2015-06-30 30,320.60 324.65 4,861.21
2015-03-31 31,565.00 366.34 4,773.75
2014-12-31 32,809.40 408.03 4,686.29
2014-09-30 32,551.40 403.84 4,571.44
2014-06-30 32,293.41 399.65 4,456.59
2014-03-31 31,351.60 335.52 4,384.89
2013-12-31 30,409.79 271.39 4,313.20
2013-09-30 29,095.90 202.78 4,167.07
2013-06-30 27,782.02 134.17 4,020.93
2013-03-31 27,835.23 128.57 3,983.33
2012-12-31 27,888.43 122.97 3,945.73
2012-09-30 28,761.10 156.74 3,915.20

*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.
  • Sinotruk (Hong Kong) has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Sinotruk (Hong Kong) used its assets more efficiently than the HK Machinery industry average last year based on Return on Assets.
  • Sinotruk (Hong Kong) has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Sinotruk (Hong Kong)'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 Machinery 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.
Sinotruk (Hong Kong) has a total score of 4/6, 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.

3808 Health

 How is Sinotruk (Hong Kong)'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 Sinotruk (Hong Kong)'s finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Sinotruk (Hong Kong) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Sinotruk (Hong Kong)'s cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Sinotruk (Hong Kong)'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.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 14.6x 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 Sinotruk (Hong Kong) Company Filings, last reported 6 months ago.

SEHK:3808 Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 28,327.85 3,036.00 17,046.54
2018-09-30 28,327.85 3,036.00 17,046.54
2018-06-30 26,171.74 4,021.00 15,909.11
2018-03-31 26,171.74 4,021.00 15,909.11
2017-12-31 25,430.71 4,026.00 15,539.44
2017-09-30 25,430.71 4,026.00 15,539.44
2017-06-30 23,657.99 5,072.50 14,155.29
2017-03-31 23,657.99 5,072.50 14,155.29
2016-12-31 22,339.10 4,547.79 10,990.19
2016-09-30 22,339.10 4,547.79 10,990.19
2016-06-30 21,889.37 5,548.06 9,340.24
2016-03-31 21,889.37 5,548.06 9,340.24
2015-12-31 21,715.67 5,706.98 6,711.10
2015-09-30 21,715.67 5,706.98 6,711.10
2015-06-30 21,386.99 6,283.84 8,740.64
2015-03-31 21,386.99 6,283.84 8,740.64
2014-12-31 21,246.38 7,262.45 8,886.69
2014-09-30 21,246.38 7,262.45 8,886.69
2014-06-30 21,092.48 9,345.49 8,966.89
2014-03-31 21,092.48 9,345.49 8,966.89
2013-12-31 20,812.37 9,808.64 5,289.47
2013-09-30 20,812.37 9,808.64 5,289.47
2013-06-30 20,666.54 10,189.77 4,647.05
2013-03-31 20,666.54 10,189.77 4,647.05
2012-12-31 20,455.11 11,007.24 5,934.67
2012-09-30 20,455.11 11,007.24 5,934.67
  • Sinotruk (Hong Kong)'s level of debt (10.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (47.1% vs 10.7% today).
  • Debt is well covered by operating cash flow (139.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 114.9x coverage).
X
Financial health checks
We assess Sinotruk (Hong Kong)'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. Sinotruk (Hong Kong) has a total score of 6/6, 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.

3808 Dividends

 What is Sinotruk (Hong Kong)'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
4.94%
Current annual income from Sinotruk (Hong Kong) dividends. Estimated to be 5.9% next year.
If you bought HK$2,000 of Sinotruk (Hong Kong) shares you are expected to receive HK$99 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?
  • Sinotruk (Hong Kong)'s pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.09%).
  • Sinotruk (Hong Kong)'s dividend is below the markets top 25% of dividend payers in Hong Kong (5.74%).
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:3808 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 11 Analyst Estimates (S&P Global) See Below
Hong Kong Machinery Industry Average Dividend Yield Market Cap Weighted Average of 26 Stocks 3.2%
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:3808 Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.68 8.00
2020-12-31 0.66 11.00
2019-12-31 0.63 9.00
SEHK:3808 Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-04-25 0.549 4.407
2018-03-23 0.559 5.671
2017-06-07 0.064 0.946
2016-05-26 0.025 0.648
2015-05-29 0.048 1.756
2014-04-09 0.032 0.923
2014-03-27 0.032 0.966
2013-03-26 0.012 0.367
2012-03-27 0.080 2.140
2011-04-01 0.146 3.620
2010-03-23 0.050 0.811
2009-04-20 0.035 0.457

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 Sinotruk (Hong Kong)'s earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
X
Income/ dividend checks
We assess Sinotruk (Hong Kong)'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 Sinotruk (Hong Kong) afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Sinotruk (Hong Kong) 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.

3808 Management

 What is the CEO of Sinotruk (Hong Kong)'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
Dong Cai
COMPENSATION CN¥781,000
AGE 55
TENURE AS CEO 12.4 years
CEO Bio

Mr. Dong Cai has been the President of Sinotruk (hong Kong) Limited since February 12, 2007 and its Chairman of the Board since October 30, 2018. Mr. Cai joined Jinan Auto Manufacturing Factory in 1983 and later leads research and development, production and marketing. He served as a Director of the technology center of Sinotruk’s Parent Company. Mr. Cai served as a Director, Chief Engineer and the General Manager of Sinotruk’s Parent Company from 2001 to 2007. He has been Executive Director of Sinotruk (hong Kong) Limited since February 12, 2007. He is the Vice-Chairman of China Association of Automobile Manufacturers and Vice-Chairman of China Chamber of International Commerce. He received an “Outstanding National Entrepreneur” award conferred jointly by the China United Enterprises Association, China Entrepreneurs Association and China Enterprise Management Science Foundation in April 2006. He received an “Outstanding National Entrepreneur” award conferred jointly by the China Enterprises Confederation, China Enterprise Directors Association and China Enterprise Management Science Foundation in April 2006 and Ji’nan City Preeminent Science and Technology Award in February 2013. Mr. Cai was the Director of the technology center of China National Heavy Duty Truck Group Company Limited. Mr. Cai was a Director, Chief Engineer and the General Manager of China National Heavy Duty Truck Group Company Limited from 2001 to 2007. Mr. Cai is a Senior Engineer with an executive MBA degree from Nankai University and Bachelor degree in engineering from Jiangsu Polytechnic University.

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

Average tenure and age of the Sinotruk (Hong Kong) management team in years:

9.5
Average Tenure
52.5
Average Age
  • The average tenure for the Sinotruk (Hong Kong) management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Dong Cai

TITLE
Chairman & President
COMPENSATION
CN¥781K
AGE
55
TENURE
12.4 yrs

Shanpo Wang

TITLE
Chief Engineer & Executive Director
COMPENSATION
CN¥665K
AGE
54
TENURE
12.4 yrs

Peimin Liu

TITLE
Operation Controller
COMPENSATION
CN¥658K
AGE
50
TENURE
6.9 yrs

Wei Liu

TITLE
Head of International Sales Division
COMPENSATION
CN¥665K
AGE
49
TENURE
9.5 yrs

Jörg Mommertz

TITLE
Executive Director
COMPENSATION
CN¥526K
AGE
60

Lixin Dai

TITLE
VP, Secretary & Executive Director
COMPENSATION
CN¥512K
AGE
51
TENURE
0.8 yrs

Ka Yiu Kwok

TITLE
Company Secretary & Financial Controller
AGE
54
TENURE
11.7 yrs

Chenglong Sun

TITLE
Financial Controller & Executive Director
AGE
48
TENURE
0.5 yrs
Board of Directors Tenure

Average tenure and age of the Sinotruk (Hong Kong) board of directors in years:

2.7
Average Tenure
52.5
Average Age
  • The average tenure for the Sinotruk (Hong Kong) board of directors is less than 3 years, this suggests a new board.
Board of Directors

Dong Cai

TITLE
Chairman & President
COMPENSATION
CN¥781K
AGE
55
TENURE
0.8 yrs

Shanpo Wang

TITLE
Chief Engineer & Executive Director
COMPENSATION
CN¥665K
AGE
54
TENURE
12.4 yrs

Peimin Liu

TITLE
Operation Controller
COMPENSATION
CN¥658K
AGE
50
TENURE
4.6 yrs

Wei Liu

TITLE
Head of International Sales Division
COMPENSATION
CN¥665K
AGE
49
TENURE
4.6 yrs

Jörg Mommertz

TITLE
Executive Director
COMPENSATION
CN¥526K
AGE
60
TENURE
0.8 yrs

Lixin Dai

TITLE
VP, Secretary & Executive Director
COMPENSATION
CN¥512K
AGE
51
TENURE
0.8 yrs

Chenglong Sun

TITLE
Financial Controller & Executive Director
AGE
48
TENURE
0.5 yrs

Zhijun Lin

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥180K
AGE
64
TENURE
12 yrs

Shousheng Lyu

TITLE
Independent Non-Executive Director
AGE
48
TENURE
0.2 yrs

Weicheng Yang

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥180K
AGE
73
TENURE
5.7 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 Sinotruk (Hong Kong)'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. Sinotruk (Hong Kong) 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.

3808 News

Simply Wall St News

We Think Sinotruk (Hong Kong) (HKG:3808) Can Manage Its Debt With Ease

We note that Sinotruk (Hong Kong) Limited (HKG:3808) does have debt on its balance sheet. … SEHK:3808 Historical Debt, July 19th 2019 A Look At Sinotruk (Hong Kong)'s Liabilities Zooming in on the latest balance sheet data, we can see that Sinotruk (Hong Kong) had liabilities of CN¥33.0b due within 12 months and liabilities of CN¥366.8m due beyond that. … While Sinotruk (Hong Kong) has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance.

Simply Wall St -

Where Sinotruk (Hong Kong) Limited (HKG:3808) Stands In Terms Of Earnings Growth Against Its Industry

When Sinotruk (Hong Kong) Limited (HKG:3808) announced its most recent earnings (31 December 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … Check out our latest analysis for Sinotruk (Hong Kong) Commentary On 3808's Past Performance 3808's trailing twelve-month earnings (from 31 December 2018) of CN¥4.3b has jumped 44% compared to the previous year. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 61%, indicating the rate at which 3808 is growing has slowed down.

Simply Wall St -

Would Sinotruk (Hong Kong) Limited (HKG:3808) Be Valuable To Income Investors?

Sinotruk (Hong Kong) has grown distributions at a rapid rate despite cutting the dividend at least once in the past. … Strong earnings per share (EPS) growth might encourage our interest in the company despite fluctuating dividends, which is why it's great to see Sinotruk (Hong Kong) has grown its earnings per share at 74% per annum over the past five years. … See if the 12 Sinotruk (Hong Kong) analysts we track are forecasting continued growth with our free report on analyst estimates for the company.

Simply Wall St -

Here's What We Like About Sinotruk (Hong Kong) Limited (HKG:3808)'s Upcoming Dividend

The upcoming dividend for Sinotruk (Hong Kong) will put a total of CN¥0.64 per share in shareholders' pockets, up from last year's total dividends of CN¥0.55. … View our latest analysis for Sinotruk (Hong Kong) Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. … To Sum It Up Is Sinotruk (Hong Kong) an attractive dividend stock, or better left on the shelf?

Simply Wall St -

What Are Analysts Expecting From Sinotruk (Hong Kong) Limited (HKG:3808) In The Years Ahead?

Sinotruk (Hong Kong) Limited's (HKG:3808) announced its latest earnings update in December 2018, which revealed that the company gained from a strong tailwind, eventuating to a double-digit earnings growth of 44%. … Investors may find it useful to understand how market analysts predict Sinotruk (Hong Kong)'s earnings growth outlook over the next few years and whether the future looks even brighter than the past. … View our latest analysis for Sinotruk (Hong Kong) Analysts' expectations for the coming year seems pessimistic, with earnings falling by -2.1%.

Simply Wall St -

Here's Why We Think Sinotruk (Hong Kong) (HKG:3808) Is Well Worth Watching

Check out our latest analysis for Sinotruk (Hong Kong) How Fast Is Sinotruk (Hong Kong) Growing Its Earnings Per Share? … In the last three years Sinotruk (Hong Kong)'s earnings per share took off like a rocket; fast, and from a low base. … Although Sinotruk (Hong Kong) certainly looks good to me, I would like it more if insiders were buying up shares.

Simply Wall St -

Do You Like Sinotruk (Hong Kong) Limited (HKG:3808) At This P/E Ratio?

We'll apply a basic P/E ratio analysis to Sinotruk (Hong Kong) Limited's (HKG:3808), to help you decide if the stock is worth further research. … View our latest analysis for Sinotruk (Hong Kong) How Do You Calculate Sinotruk (Hong Kong)'s P/E Ratio? … The formula for P/E is: Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS) Or for Sinotruk (Hong Kong): P/E of 8.18 = CN¥12.87 (Note: this is the share price in the reporting currency, namely, CNY ) ÷ CN¥1.57 (Based on the year to December 2018.) Is A High Price-to-Earnings Ratio Good?

Simply Wall St -

Why Sinotruk (Hong Kong) Limited (HKG:3808) Could Be Your Next Investment

Flawless balance sheet and good value Over the past few years, 3808 has demonstrated a proven ability to generate robust returns of 7.1% Unsurprisingly, 3808 surpassed the industry return of 5.3%, which gives us more confidence of the company's capacity to drive earnings going forward. … According to my intrinsic value of the stock, which is driven by analyst consensus forecast of 3808's earnings, investors now have the opportunity to buy into the stock to reap capital gains. … Dividend Income vs Capital Gains: Does 3808 return gains to shareholders through reinvesting in itself and growing earnings, or redistribute a decent portion of earnings as dividends?

Simply Wall St -

Why Sinotruk (Hong Kong) Limited's (HKG:3808) CEO Pay Matters To You

Dong Cai has been the CEO of Sinotruk (Hong Kong) Limited (HKG:3808) since 2007. … First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Dong Cai's Compensation Compare With Similar Sized Companies?

Simply Wall St -

What Do Analysts Think About The Future Of Sinotruk (Hong Kong) Limited's (HKG:3808)?

Want to participate in a short research study? … Help shape the future of investing tools and you could win a $250 gift card! … Looking at Sinotruk (Hong Kong) Limited's (HKG:3808) earnings update in December 2018,

Simply Wall St -

3808 Company Info

Description

Sinotruk (Hong Kong) Limited, an investment holding company, engages in the research, development, manufacture, and sale of heavy duty trucks (HDTs), light duty trucks, buses, and related parts in Mainland China and internationally. The company operates through four segments: Heavy Duty Trucks, Light Duty Trucks, Engines, and Finance. It offers specialty vehicles; industrial and construction machinery engines; HDT parts and components, such as cabins, axles, steel frames, gearboxes, and various types of castings and forgings; bus chassis and auto parts; transmission parts; and oil pumps and nozzles. The company also provides financial services, such as deposits taking, borrowings, commercial notes and bank bills discounting, auto financing, supply chain financing, and entrusted investment and customer credit services; construction design and technical consulting services; consultation and strategic planning services; storage, bonded logistics, local freight forwarding, related information consulting, and logistics engineering services; and vehicle inspection and after-sales services. In addition, it is involved in the import and export of HDTs and spare parts; manufacture and reproduction of engines; refit and sale of heavy duty trucks; manufacture and sale of general machinery components, coal machinery, hardware, chemicals, electromechanical equipment, metals, engineering machinery, and rubber products; wholesale of engines and spare parts; maintenance and lease of machinery equipment; retail and wholesale of trucks and spare parts; and agency of motor vehicle and spare parts. Sinotruk (Hong Kong) Limited serves infrastructure, construction, container transportation, logistic, mining, steel, chemical, and other industries. The company was incorporated in 2007 and is headquartered in Jinan, China. Sinotruk (Hong Kong) Limited is a subsidiary of China National Heavy Duty Truck Group Company Limited.

Details
Name: Sinotruk (Hong Kong) Limited
3808
Exchange: SEHK
Founded: 2007
HK$34,622,856,471
2,760,993,339
Website: http://www.sinotruk.com
Address: Sinotruk (Hong Kong) Limited
Sinotruk Tower,
Innovation Zone,
Jinan,
Shandong Province, 250101,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 3808 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 28. Nov 2007
DB 4SK Ordinary Shares Deutsche Boerse AG DE EUR 28. Nov 2007
SHSC 3808 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 28. Nov 2007
SZSC 3808 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 28. Nov 2007
OTCPK SHKL.Y ADR Pink Sheets LLC US USD 30. Oct 2008
Number of employees
Current staff
Staff numbers
25,148
Sinotruk (Hong Kong) employees.
Industry
Construction Machinery and Heavy Trucks
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/19 12:54
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/16
Last earnings filing: 2019/04/25
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.