G & M Holdings
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G & M Holdings Limited, an investment holding company, provides design and build, and repair and maintenance services in relation to podium facade and curtain wall works in Hong Kong. The last earnings update was 55 days ago. More info.
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6038 Share Price and Events
7 Day Returns
1 Year Returns
6038 Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| G & M Holdings (6038) | -3.8% | 0% | -10.5% | -42.7% | - | - |
| HK Construction | -2.7% | -0.8% | -13% | -16.6% | -16.6% | 5.9% |
| HK Market | -2% | -2.7% | -9.8% | -13.2% | 18.1% | 4.3% |
1 Year Return vs Industry and Market
- 6038 underperformed the Construction industry which returned -16.6% over the past year.
- 6038 underperformed the Market in Hong Kong which returned -13.2% over the past year.
Value
Is G & M Holdings 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
G & M Holdings
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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for G & M Holdings.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Extrapolated from most recent financials. | See below |
| Discount Rate (Cost of Equity) | See below | 8.8% |
| 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.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year HK Govt Bond Rate | 2% |
| Equity Risk Premium | S&P Global | 6.7% |
| Construction Unlevered Beta | Simply Wall St/ S&P Global | 1.01 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.011 (1 + (1- 25%) (3.23%)) |
1.024 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.02 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.024 * 6.65%) |
8.81% |
Discounted Cash Flow Calculation for SEHK:6038 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for G & M Holdings 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.
| Levered FCF (HKD, Millions) | Source |
Present Value Discounted (@ 8.81%) |
|
|---|---|---|---|
| 2019 | 6.96 | Est @ 12% | 6.40 |
| 2020 | 7.59 | Est @ 9% | 6.41 |
| 2021 | 8.11 | Est @ 6.9% | 6.29 |
| 2022 | 8.55 | Est @ 5.43% | 6.10 |
| 2023 | 8.93 | Est @ 4.4% | 5.85 |
| 2024 | 9.26 | Est @ 3.68% | 5.58 |
| 2025 | 9.55 | Est @ 3.18% | 5.29 |
| 2026 | 9.82 | Est @ 2.83% | 5.00 |
| 2027 | 10.07 | Est @ 2.58% | 4.71 |
| 2028 | 10.32 | Est @ 2.41% | 4.43 |
| Present value of next 10 years cash flows | HK$56.05 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= HK$10.32 × (1 + 2%) ÷ (8.81% – 2%) |
HK$154.53 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= HK$154.53 ÷ (1 + 8.81%)10 |
HK$66.41 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= HK$56.05 + HK$66.41 |
HK$122.46 |
| Equity Value per Share (HKD) |
= Total value / Shares Outstanding
= HK$122.46 / 1,000.00 |
HK$0.12 |
| Calculation | Result | |
|---|---|---|
| Value per share (HKD) | From above. | HK$0.12 |
| Current discount | Discount to share price of
HK$0.26
= -1 x (HK$0.26 - HK$0.12) / HK$0.12 |
-108.2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of G & M Holdings is above its future cash flow value.
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 G & M Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
G & M Holdings's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in HKD | HK$0.04 |
| SEHK:6038 Share Price ** | SEHK (2019-06-18) in HKD | HK$0.26 |
| Hong Kong Construction Industry PE Ratio | Median Figure of 105 Publicly-Listed Construction Companies | 10.8x |
| Hong Kong Market PE Ratio | Median Figure of 1,488 Publicly-Listed Companies | 10.66x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of G & M Holdings.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = SEHK:6038 Share Price ÷ EPS (both in HKD) = 0.26 ÷ 0.04 |
6.9x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- G & M Holdings is good value based on earnings compared to the HK Construction industry average.
- G & M Holdings is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does
G & M Holdings's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 6.9x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts |
-2.2%per year |
| Hong Kong Construction Industry PEG Ratio | Median Figure of 9 Publicly-Listed Construction Companies | 0.54x |
| Hong Kong Market PEG Ratio | Median Figure of 467 Publicly-Listed Companies | 0.75x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for G & M Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
G & M Holdings's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in HKD | HK$0.22 |
| SEHK:6038 Share Price * | SEHK (2019-06-18) in HKD | HK$0.26 |
| Hong Kong Construction Industry PB Ratio | Median Figure of 133 Publicly-Listed Construction Companies | 1.3x |
| Hong Kong Market PB Ratio | Median Figure of 2,170 Publicly-Listed Companies | 0.93x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = SEHK:6038 Share Price ÷ Book Value per Share (both in HKD) = 0.26 ÷ 0.22 |
1.16x |
* Primary Listing of G & M Holdings.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- G & M Holdings is good value based on assets compared to the HK Construction industry average.
Value checks
We assess G & M Holdings's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Construction industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Construction industry average (and greater than 0)? (1 check) G & M Holdings has a total score of 3/6, 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.
Future Performance
- No analysts cover G & M Holdings, future earnings growth has been estimated based on fundamentals.
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!
Earnings growth vs Low Risk Savings
- G & M Holdings'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
- G & M Holdings's earnings are expected to decrease over the next 1-3 years, this is below the Hong Kong market average.
- Unable to compare G & M Holdings's revenue growth to the Hong Kong market average as no estimate data is available.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| SEHK:6038 Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts | -2.2% |
| Hong Kong Construction Industry Earnings Growth Rate | Market Cap Weighted Average | 12.5% |
| Hong Kong Construction Industry Revenue Growth Rate | Market Cap Weighted Average | 10.1% |
| Hong Kong Market Earnings Growth Rate | Market Cap Weighted Average | 11% |
| 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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (5 months ago) | See Below |
| Future Estimates | Average of up to 0 Analyst Estimates (S&P Global) | See Below |
| Date (Data in HKD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 365 | 9 | 37 |
| 2018-09-30 | 357 | 5 | 44 |
| 2018-06-30 | 349 | 1 | 50 |
| 2018-03-31 | 332 | -9 | 51 |
| 2017-12-31 | 316 | -19 | 52 |
| 2017-09-30 | 295 | 7 | 45 |
| 2017-06-30 | 282 | -5 | 48 |
| 2017-03-31 | 278 | 0 | 49 |
| 2016-12-31 | 274 | 5 | 50 |
| 2016-09-30 | 272 | 12 | 52 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (5 months ago) | See Below |
| Future Estimates | Average of up to 0 Analyst Estimates (S&P Global) | See Below |
All data from G & M Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in HKD Millions) | EPS * |
|---|---|
| 2018-12-31 | 0.04 |
| 2018-09-30 | 0.04 |
| 2018-06-30 | 0.05 |
| 2018-03-31 | 0.05 |
| 2017-12-31 | 0.06 |
| 2017-09-30 | 0.04 |
| 2017-06-30 | 0.06 |
| 2017-03-31 | 0.07 |
| 2016-12-31 | 0.07 |
| 2016-09-30 | 0.17 |
*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.
- Unable to establish if G & M Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Future performance checks
We assess G & M Holdings's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
G & M Holdings 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.
Past Performance
How has G & M Holdings 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
Past Earnings growth analysis
- G & M Holdings's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
- G & M Holdings's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- G & M Holdings's 1-year earnings growth is negative, it can't be compared to the HK Construction industry average.
Earnings and Revenue History
All data from G & M Holdings Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in HKD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 365.44 | 36.94 | 39.52 | |
| 2018-09-30 | 357.02 | 43.71 | 32.94 | |
| 2018-06-30 | 348.61 | 50.48 | 26.36 | |
| 2018-03-31 | 332.18 | 51.37 | 26.31 | |
| 2017-12-31 | 315.75 | 52.27 | 26.25 | |
| 2017-09-30 | 295.25 | 45.39 | 27.38 | |
| 2017-06-30 | 281.59 | 48.45 | 24.34 | |
| 2017-03-31 | 277.75 | 49.25 | 21.71 | |
| 2016-12-31 | 273.91 | 50.05 | 19.08 | |
| 2016-09-30 | 271.53 | 52.17 | 15.42 | |
| 2015-12-31 | 218.82 | 46.17 | 12.02 | |
| 2014-12-31 | 151.30 | 30.75 | 11.75 |
*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.
- G & M Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- G & M Holdings used its assets more efficiently than the HK Construction industry average last year based on Return on Assets.
- G & M Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess G & M Holdings's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Construction industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
G & M Holdings has a total score of 2/6, 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.
Health
How is G & M Holdings'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 G & M Holdings's finances.
The net worth of a company is the difference between its assets and liabilities.
- G & M Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- G & M Holdings has no long term commitments.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 36.3x 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.
All data from G & M Holdings Company Filings, last reported 5 months ago.
| Date (Data in HKD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 219.02 | 8.23 | 105.47 |
| 2018-09-30 | 219.02 | 8.23 | 105.47 |
| 2018-06-30 | 204.12 | 7.85 | 145.84 |
| 2018-03-31 | 204.12 | 7.85 | 145.84 |
| 2017-12-31 | 208.09 | 19.48 | 141.37 |
| 2017-09-30 | 208.09 | 19.48 | 141.37 |
| 2017-06-30 | 177.63 | 8.94 | 155.46 |
| 2017-03-31 | 177.63 | 8.94 | 155.46 |
| 2016-12-31 | 82.95 | 10.21 | 82.74 |
| 2016-09-30 | 84.65 | 20.05 | 72.76 |
| 2015-12-31 | 85.84 | 7.99 | 118.80 |
| 2014-12-31 | 68.09 | 11.90 | 56.37 |
- G & M Holdings's level of debt (3.8%) compared to net worth is satisfactory (less than 40%).
- Unable to establish if G & M Holdings's debt level has increased without past 5-year debt data.
- Debt is well covered by operating cash flow (114.8%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 152.9x coverage).
Financial health checks
We assess G & M Holdings's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) G & M Holdings has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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.
Dividends
What is G & M Holdings'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
If you bought
HK$2,000 of
G & M Holdings
shares you are expected to receive
HK$141
in your first year as a dividend.
Dividend Amount
- G & M Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.1%).
- G & M Holdings's dividend is above the markets top 25% of dividend payers in Hong Kong (5.95%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 0 Analyst Estimates (S&P Global) | See Below |
| Hong Kong Construction Industry Average Dividend Yield | Market Cap Weighted Average of 42 Stocks | 3.8% |
| Hong Kong Market Average Dividend Yield | Market Cap Weighted Average of 966 Stocks | 3.7% |
| Hong Kong Minimum Threshold Dividend Yield | 10th Percentile | 1.2% |
| Hong Kong Bottom 25% Dividend Yield | 25th Percentile | 2.1% |
| Hong Kong Top 25% Dividend Yield | 75th Percentile | 5.9% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in HK$) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-04-25 | 0.018 | 6.864 |
| 2018-04-26 | 0.024 | 7.664 |
| 2018-03-19 | 0.024 | 6.280 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- It is too early to tell whether G & M Holdings has stable dividend payments.
- G & M Holdings only just started paying a dividend, it is too early to tell if payments are increasing.
Income/ dividend checks
We assess G & M Holdings's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can G & M Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) G & M Holdings has a total score of 3/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | HK$3,859,000 |
| AGE | 52 |
CEO Bio
Mr. Lee Chi Hung is a Co-Owner of Luxury Booming Limited. Mr. Lee serves as the Chairman of the Board and Chief Executive Officer of G & M Holdings Limited and has been its Executive Director since November 29, 2016. Mr. Lee is a Co-founder of G & M Holdings and is primarily responsible for the overall management of its operations and business development. In November 1993, Mr. Lee is a co-founder of G & M Engineering. He has over 23 years of experience in the construction industry in Hong Kong since joining G & M. He also serves as a Director of Join Forward, G & M Maintenance, G & M Engineering, G & M Contracting and G & M Design. Mr. Lee obtained an endorsement to higher certificate in mechanical engineering from The Hong Kong Polytechnic (now known as The Hong Kong Polytechnic University) in November 1988.
CEO Compensation
- Chi Hung's compensation has been consistent with company performance over the past year, both up more than 20%.
- Chi Hung's remuneration is higher than average for companies of similar size in Hong Kong.
Management Team Tenure
Average tenure and age of the G & M Holdings management team in years:
- The tenure for the G & M Holdings management team is about average.
Management Team
Chi Hung Lee
Chairman of the Board & CEO
HK$4M
52
Wai Yin Chan
Executive Director
HK$2M
51
Shuk Man Huen
Financial Controller & Joint Company Secretary
33
2.4 yrs
Yau Choi
Chief Operating Officer
58
1.8 yrs
Baldwin Lee
Joint Company Secretary
45
2.4 yrs
Board of Directors Tenure
Average tenure and age of the G & M Holdings board of directors in years:
- The average tenure for the G & M Holdings board of directors is less than 3 years, this suggests a new board.
Board of Directors
Chi Hung Lee
Chairman of the Board & CEO
HK$4M
52
Wai Yin Chan
Executive Director
HK$2M
51
2.4 yrs
Alexander Tai
Independent Non-Executive Director
HK$240K
61
2.1 yrs
Cheuk Kui Kwan
Independent Non-Executive Director
HK$240K
53
2.1 yrs
Ping Kwan Leung
Non-Executive Director
HK$784K
56
2.4 yrs
Roderick Wong
Independent Non-Executive Director
HK$240K
73
2.1 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (HK$) | Value (HK$) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess G & M Holdings's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) G & M Holdings 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.
News
Simply Wall St News
G & M Holdings Limited (HKG:6038) Investors Should Think About This Before Buying It For Its Dividend
Today we'll take a closer look at G & M Holdings Limited (HKG:6038) from a dividend investor's perspective. Owning a strong business and reinvesting the dividends is widely seen as an attractive way of growing your wealth. If you are hoping to live on your dividends, it's important to be more stringent with your investments than the average punter. Regular readers know we like to apply the same approach to each dividend stock, and we hope you'll find our analysis useful. G & M Holdings has only been paying a dividend for a year or so, so investors might be curious about its 6.8% yield. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … G & M Holdings paid out less in dividends than it reported in profits, but unfortunately it didn't generate enough free cash flow to cover the dividend. … However, it's also important to assess if earnings per share (EPS) are growing. Over the long term, dividends need to grow at or above the rate of inflation, in order to maintain the recipient's purchasing power. Over the past five years, it looks as though G & M Holdings's EPS have declined at around 2.1% a year. If earnings continue to decline, the dividend may come under pressure. Every investor should make an assessment of whether the company is taking steps to stabilise the situation. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing.
Simply Wall St - – Full articleHere's What G & M Holdings Limited's (HKG:6038) P/E Ratio Is Telling Us
We'll look at G & M Holdings Limited's (HKG:6038) P/E ratio and reflect on what it tells us about the company's share price. … The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for G & M Holdings: P/E of 7.04 = HK$0.26 ÷ HK$0.037 (Based on the year to December 2018.) Is A High Price-to-Earnings Ratio Good? … All else being equal, it's better to pay a low price -- but as Warren Buffett said, 'It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price.' How Growth Rates Impact P/E Ratios When earnings fall, the 'E' decreases, over time.
Simply Wall St - – Full articleShould We Be Delighted With G & M Holdings Limited's (HKG:6038) ROE Of 17%?
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … One way to conceptualize this, is that for each HK$1 of shareholders' equity it has, the company made HK$0.17 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleAre G & M Holdings Limited’s (HKG:6038) High Returns Really That Great?
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleDid You Manage To Avoid G & M Holdings's (HKG:6038) 38% Share Price Drop?
That downside risk was realized by G & M Holdings Limited (HKG:6038) shareholders over the last year, as the share price declined 38%. … By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … This reduction in EPS is not as bad as the 38% share price fall.
Simply Wall St - – Full articleWhat To Know Before Buying G & M Holdings Limited (HKG:6038) For Its Dividend
G & M Holdings Limited (HKG:6038) has started paying a dividend to shareholders. … Does G & M Holdings tick all the boxes of a great dividend stock? … 5 checks you should use to assess a dividend stock
Simply Wall St - – Full articleDoes G & M Holdings Limited's (HKG:6038) P/E Ratio Signal A Buying Opportunity?
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … That corresponds to an earnings yield of approximately 19%. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleWhy G & M Holdings Limited (HKG:6038) Looks Like A Quality Company
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows G & M Holdings has a return on equity of 25% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleG & M Holdings Limited (HKG:6038): A Look At Solid Capital Returns
Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … Therefore, looking at how efficiently G & M Holdings is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).
Simply Wall St - – Full articleHow Does G & M Holdings Limited (HKG:6038) Fare As A Dividend Stock?
Dividends play an important role in compounding returns in the long run and end up forming a sizeable part of investment returns. … Check out our latest analysis for G & M Holdings … Whenever I am looking at a potential dividend stock investment, I always check these five metrics:
Simply Wall St - – Full articleCompany Info
Description
G & M Holdings Limited, an investment holding company, provides design and build, and repair and maintenance services in relation to podium facade and curtain wall works in Hong Kong. It undertakes design and build project works, such as developing facade or curtain wall system design, structural calculation and shop drawings, sourcing and procurement of materials, arrangement for material fabrication and processing, installation works, and post-completion maintenance services. The company also offers repair and maintenance, and inspection and consultancy services. G & M Holdings Limited was founded in 1993 and is headquartered in Kwai Chung, Hong Kong.
Details
| Name: | G & M Holdings Limited |
| 6038 | |
| Exchange: | SEHK |
| Founded: | 1993 |
| HK$255,000,000 | |
| 1,000,000,000 | |
| Website: | http://www.gm-eng.com.hk |
| Address: |
G & M Holdings Limited Manhattan Centre, Units 1709-14, Kwai Chung, New Territories, Hong Kong |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| SEHK | 6038 | Ordinary Shares | The Stock Exchange of Hong Kong Ltd. | HK | HKD | 13. Jun 2017 |
Number of employees
Current staff
Industry
| Construction and Engineering | |
| Capital Goods |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/06/19 13:06 |
| End of day share price update: | 2019/06/18 00:00 |
| 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.
