SEHK:3878

Stock Analysis Report

Executive Summary

Vicon Holdings Limited, an investment holding company, provides foundation works and related services in Hong Kong and Macau.

Snowflake

Fundamentals

Adequate balance sheet with acceptable track record.

Share Price & News

How has Vicon Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

9.1%

3878

0.6%

HK Construction

0.3%

HK Market


1 Year Return

54.8%

3878

-14.9%

HK Construction

1.3%

HK Market

Return vs Industry: 3878 exceeded the Hong Kong Construction industry which returned -14.9% over the past year.

Return vs Market: 3878 exceeded the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

3878IndustryMarket
7 Day9.1%0.6%0.3%
30 Day22.6%-4.7%0.5%
90 Day91.2%-10.5%-4.6%
1 Year54.8%54.8%-11.1%-14.9%4.9%1.3%
3 Yearn/a-25.3%-33.6%15.3%3.7%
5 Yearn/a0.004%-15.1%20.0%-0.006%

Price Volatility Vs. Market

How volatile is Vicon Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Vicon Holdings undervalued compared to its fair value and its price relative to the market?

44.59x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 3878's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 3878's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 3878 is poor value based on its PE Ratio (44.6x) compared to the Construction industry average (10.3x).

PE vs Market: 3878 is poor value based on its PE Ratio (44.6x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 3878's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 3878 is overvalued based on its PB Ratio (4.5x) compared to the HK Construction industry average (1.1x).


Next Steps

Future Growth

How is Vicon Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

9.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3878's forecast earnings growth (9.2% per year) is above the savings rate (2%).

Earnings vs Market: 3878's earnings (9.2% per year) are forecast to grow slower than the Hong Kong market (11.1% per year).

High Growth Earnings: 3878's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if 3878's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 3878's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 3878's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Vicon Holdings performed over the past 5 years?

-4.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 3878's earnings have declined by -4.4% per year over the past 5 years.

Accelerating Growth: 3878's earnings growth over the past year (60%) exceeds its 5-year average (-4.4% per year).

Earnings vs Industry: 3878 earnings growth over the past year (60%) exceeded the Construction industry -12.4%.


Return on Equity

High ROE: 3878's Return on Equity (10.1%) is considered low.


Return on Assets

ROA vs Industry: 3878 has a higher Return on Assets than the Construction industry average last year.


Return on Capital Employed

ROCE Improving: 3878's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Vicon Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 3878's short term assets (HK$362.6M) exceeds its short term liabilities (HK$170.6M)

Long Term Liabilities: 3878's short term assets (362.6M) exceeds its long term liabilities (44.3M)


Debt to Equity History and Analysis

Debt Level: 3878's debt to equity ratio (32.7%) is considered satisfactory

Reducing Debt: Insufficient data to determine if 3878's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 3878's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 3878's interest payments on its debt are well covered by EBIT (6.5x coverage).


Balance Sheet

Inventory Level: 3878 has a high level of physical assets or inventory.

Debt Coverage by Assets: 3878's debt is covered by short term assets (assets are 3.838730x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.2%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 3878's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 3878's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 3878's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3878's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 3878's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

2.4yrs

Average board tenure


CEO

Hing Kuen Tsang (50yo)

3.8yrs

Tenure

HK$3,784,000

Compensation

Mr. Tsang Hing Kuen is the Chief Executive Officer and Director of Vicon Holdings Limited since May 13, 2017 and served as its Director from January 13, 2016 to May 13, 2017. Mr. Tsang is in charge of the ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Hing Kuen's total compensation is reasonable compared to companies of similar size in the Hong Kong market.

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


Board Age and Tenure

2.4yrs

Average Tenure

43yo

Average Age

Experienced Board: 3878's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • CH Leung Leung (34yo)

    Financial Controller & Company Secretary

    • Tenure: 0yrs
  • Kwok Chun Chow (42yo)

    Chairman

    • Tenure: 2.4yrs
    • Compensation: HK$3.78m
  • Hing Kuen Tsang (50yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: HK$3.78m
  • Kim Lim Leung (43yo)

    Project Director & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$1.56m
  • Jin Fai Liu (62yo)

    Project Manager & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$835.00k

Board Members

  • Kwok Chun Chow (42yo)

    Chairman

    • Tenure: 2.4yrs
    • Compensation: HK$3.78m
  • Hing Kuen Tsang (50yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: HK$3.78m
  • Kim Lim Leung (43yo)

    Project Director & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$1.56m
  • Jin Fai Liu (62yo)

    Project Manager & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$835.00k
  • Ka Ki Ip (39yo)

    Independent Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: HK$180.00k
  • Jun Shang Kuang (65yo)

    Independent Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: HK$180.00k
  • Justin Tse (32yo)

    Independent Non-Executive Director

    • Tenure: 0.4yrs

Company Information

Vicon Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vicon Holdings Limited
  • Ticker: 3878
  • Exchange: SEHK
  • Founded: 2016
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$1.300b
  • Shares outstanding: 400.00m
  • Website: https://www.vicon.com.hk

Number of Employees


Location

  • Vicon Holdings Limited
  • Kings Tower
  • 31st Floor
  • Cheung Sha Wan
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3878SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2017

Biography

Vicon Holdings Limited, an investment holding company, provides foundation works and related services in Hong Kong and Macau. The company undertakes piling construction, ELS, and pile cap construction work ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:52
End of Day Share Price2019/10/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.