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439

KuangChi ScienceSEHK:439 Stock Report

Market Cap

HK$1.4b

7D

-3.8%

1Y

-46.9%

Updated

17 Oct, 2021

Data

Company Financials
439 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health4/6
Dividends0/6

439 Overview

KuangChi Science Limited, an investment holding company, engages in the research and development, manufacture, and sale of future technology products in the People’s Republic of China, the Middle East, and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for KuangChi Science
Historical stock prices
Current Share PriceHK$0.23
52 Week HighHK$0.20
52 Week LowHK$0.75
Beta1.5
1 Month Change-4.15%
3 Month Change-12.83%
1 Year Change-46.90%
3 Year Change-56.42%
5 Year Change-91.75%
Change since IPO-99.96%

Recent News & Updates

Apr 01
Is KuangChi Science (HKG:439) A Risky Investment?

Is KuangChi Science (HKG:439) A Risky Investment?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

439HK Aerospace & DefenseHK Market
7D-3.8%2.6%1.1%
1Y-46.9%14.6%5.3%

Return vs Industry: 439 underperformed the Hong Kong Aerospace & Defense industry which returned 14.6% over the past year.

Return vs Market: 439 underperformed the Hong Kong Market which returned 5.3% over the past year.

Price Volatility

Is 439's price volatile compared to industry and market?
439 volatility
439 Beta1.5
Industry Beta0.72
Market Beta1

Stable Share Price: 439 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: 439's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199298Lin Luanhttps://www.kuangchiscience.com

KuangChi Science Limited, an investment holding company, engages in the research and development, manufacture, and sale of future technology products in the People’s Republic of China, the Middle East, and internationally. The company provides KC N901 Smart Helmet for traffic police bayonet, hospitals, airport/rail transit/bus, pedestrian zone, scenic spots and parks, and office buildings. It also offers Cloud, a cloud platform that provides communications, internet access, smart surveillance, and big data collection and analysis with applications in the field of monitoring systems; ship and aircraft automatic identification systems; radio and television broadcasting and Internet systems; and private communication and command systems, as well as Cloud Wide Area Internet of Things.

KuangChi Science Fundamentals Summary

How do KuangChi Science's earnings and revenue compare to its market cap?
439 fundamental statistics
Market CapHK$1.42b
Earnings (TTM)-HK$80.27m
Revenue (TTM)HK$52.91m

26.9x

P/S Ratio

-17.7x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
439 income statement (TTM)
RevenueHK$52.91m
Cost of RevenueHK$25.21m
Gross ProfitHK$27.70m
ExpensesHK$107.97m
Earnings-HK$80.27m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.013
Gross Margin52.35%
Net Profit Margin-151.72%
Debt/Equity Ratio9.6%

How did 439 perform over the long term?

See historical performance and comparison

Valuation

Is KuangChi Science undervalued compared to its fair value and its price relative to the market?

0.75x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 439's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 439's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 439 is unprofitable, so we can't compare its PE Ratio to the Asian Aerospace & Defense industry average.

PE vs Market: 439 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 439's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 439 is good value based on its PB Ratio (0.8x) compared to the XA Aerospace & Defense industry average (3.3x).


Future Growth

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

24.8%

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 KuangChi Science 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 KuangChi Science performed over the past 5 years?

-53.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 439 is currently unprofitable.

Growing Profit Margin: 439 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 439 is unprofitable, and losses have increased over the past 5 years at a rate of 53% per year.

Accelerating Growth: Unable to compare 439's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 439 is unprofitable, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (28.7%).


Return on Equity

High ROE: 439 has a negative Return on Equity (-4.25%), as it is currently unprofitable.


Financial Health

How is KuangChi Science's financial position?


Financial Position Analysis

Short Term Liabilities: 439's short term assets (HK$405.4M) exceed its short term liabilities (HK$229.1M).

Long Term Liabilities: 439's short term assets (HK$405.4M) exceed its long term liabilities (HK$337.9M).


Debt to Equity History and Analysis

Debt Level: 439's debt to equity ratio (9.6%) is considered satisfactory.

Reducing Debt: 439 had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: 439's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 439's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is KuangChi Science current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 439's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 439's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 439's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 439'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 439's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.4yrs

Average management tenure


CEO

Lin Luan (41 yo)

2.42yrs

Tenure

HK$2,540,000

Compensation

Dr. Lin Luan has been Vice President of Kuang-Chi Institute of Advanced Technology since 2010. Dr. Luan served as Co-Chief Executive Officer of KuangChi Science Limited from May 23, 2016 to May 23, 2019....


CEO Compensation Analysis

Compensation vs Market: Lin's total compensation ($USD326.54K) is about average for companies of similar size in the Hong Kong market ($USD288.59K).

Compensation vs Earnings: Lin's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: 439's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: 439's board of directors are considered experienced (4.6 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

KuangChi Science Limited's employee growth, exchange listings and data sources


Key Information

  • Name: KuangChi Science Limited
  • Ticker: 439
  • Exchange: SEHK
  • Founded: 1992
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: HK$1.422b
  • Shares outstanding: 6.16b
  • Website: https://www.kuangchiscience.com

Number of Employees


Location

  • KuangChi Science Limited
  • Leighton Centre
  • Unit 1104, 11th Floor
  • Causeway Bay
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/17 10:07
End of Day Share Price2021/10/15 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.