G & M Holdings
Market Cap
HK$132.0m
Last Updated
2020/10/25 12:45 UTC
Data Sources
Company Financials
Executive Summary
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 and the People’s Republic of China. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet and undervalued.
Share Price & News
How has G & M Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 6038 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-9.0%
6038
1.5%
HK Construction
1.2%
HK Market
1 Year Return
-30.5%
6038
-12.0%
HK Construction
2.3%
HK Market
Return vs Industry: 6038 underperformed the Hong Kong Construction industry which returned -12% over the past year.
Return vs Market: 6038 underperformed the Hong Kong Market which returned 2.3% over the past year.
Shareholder returns
| 6038 | Industry | Market | |
|---|---|---|---|
| 7 Day | -9.0% | 1.5% | 1.2% |
| 30 Day | 1.5% | 9.2% | 7.0% |
| 90 Day | 14.8% | 6.2% | 3.6% |
| 1 Year | -22.6%-30.5% | -7.4%-12.0% | 6.6%2.3% |
| 3 Year | -55.5%-64.3% | -35.4%-43.4% | -4.7%-15.1% |
| 5 Year | n/a | -36.7%-47.5% | 19.1%-1.1% |
Price Volatility Vs. Market
How volatile is G & M Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Does G & M Holdings Limited (HKG:6038) Have A Place In Your Dividend Stock Portfolio?2 months ago | Simply Wall St
Investors Don't See Light At End Of G & M Holdings Limited's (HKG:6038) Tunnel3 months ago | Simply Wall St
What Can We Make Of G & M Holdings' (HKG:6038) CEO Compensation?Valuation
Is G & M Holdings undervalued compared to its fair value and its price relative to the market?
39.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 6038 (HK$0.13) is trading below our estimate of fair value (HK$0.22)
Significantly Below Fair Value: 6038 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 6038 is good value based on its PE Ratio (5.4x) compared to the HK Construction industry average (8.9x).
PE vs Market: 6038 is good value based on its PE Ratio (5.4x) compared to the Hong Kong market (11.1x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 6038's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 6038 is good value based on its PB Ratio (0.6x) compared to the HK Construction industry average (0.9x).
Next Steps
Future Growth
How is G & M Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
12.7%
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 G & M Holdings 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.
Next Steps
- Examine whether G & M Holdings is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- G & M Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Capital Goods industry.
Past Performance
How has G & M Holdings performed over the past 5 years?
-15.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 6038 has high quality earnings.
Growing Profit Margin: 6038's current net profit margins (8%) are lower than last year (10.8%).
Past Earnings Growth Analysis
Earnings Trend: 6038's earnings have declined by 15.7% per year over the past 5 years.
Accelerating Growth: 6038's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 6038 had negative earnings growth (-31.5%) over the past year, making it difficult to compare to the Construction industry average (-6.7%).
Return on Equity
High ROE: 6038's Return on Equity (10.6%) is considered low.
Next Steps
Financial Health
How is G & M Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 6038's short term assets (HK$288.7M) exceed its short term liabilities (HK$62.5M).
Long Term Liabilities: 6038's short term assets (HK$288.7M) exceed its long term liabilities (HK$1.1M).
Debt to Equity History and Analysis
Debt Level: 6038's debt to equity ratio (3.4%) is considered satisfactory.
Reducing Debt: 6038's debt to equity ratio has reduced from 12.3% to 3.4% over the past 5 years.
Debt Coverage: 6038's debt is well covered by operating cash flow (145.3%).
Interest Coverage: 6038's interest payments on its debt are well covered by EBIT (98.5x coverage).
Balance Sheet
Next Steps
Dividend
What is G & M Holdings's current dividend yield, its reliability and sustainability?
10.61%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 6038's dividend (10.61%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.24%).
High Dividend: 6038's dividend (10.61%) is in the top 25% of dividend payers in the Hong Kong market (6.77%)
Stability and Growth of Payments
Stable Dividend: 6038 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 6038 has only been paying a dividend for 3 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (57.7%), 6038's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.5yrs
Average management tenure
CEO
Chi Hung Lee (54 yo)
no data
Tenure
HK$3,537,000
Compensation
Mr. Lee Chi Hung is a Co-Owner of Luxury Booming Limited. Mr. Lee serves as the Chairman of the Board and Chief Executive Officer of G & M Holdings Limited and has been its Executive Director since Novembe ...
CEO Compensation Analysis
Compensation vs Market: Chi Hung's total compensation ($USD456.38K) is above average for companies of similar size in the Hong Kong market ($USD233.00K).
Compensation vs Earnings: Chi Hung's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board & CEO | no data | HK$3.54m | no data | |
| Executive Director | 3.75yrs | HK$1.63m | no data | |
| Financial Controller & Joint Company Secretary | 3.75yrs | no data | no data | |
| COO & Group Head of Design | 3.17yrs | no data | no data | |
| Group Head of Project | no data | no data | no data | |
| Executive Director | 0.33yr | no data | no data | |
| Joint Company Secretary | 3.75yrs | no data | no data |
3.5yrs
Average Tenure
53.5yo
Average Age
Experienced Management: 6038's management team is considered experienced (3.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board & CEO | no data | HK$3.54m | no data | |
| Executive Director | 3.75yrs | HK$1.63m | no data | |
| Executive Director | 0.33yr | no data | no data | |
| Independent Non-Executive Director | 3.42yrs | HK$240.00k | no data | |
| Independent Non-Executive Director | 3.42yrs | HK$240.00k | no data | |
| Non-Executive Director | 3.75yrs | HK$780.00k | no data | |
| Independent Non-Executive Director | 3.42yrs | HK$240.00k | no data |
3.4yrs
Average Tenure
55yo
Average Age
Experienced Board: 6038's board of directors are considered experienced (3.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
G & M Holdings Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: G & M Holdings Limited
- Ticker: 6038
- Exchange: SEHK
- Founded: 1993
- Industry: Construction and Engineering
- Sector: Capital Goods
- Market Cap: HK$132.000m
- Shares outstanding: 1.00b
- Website: https://www.gm-eng.com.hk
Number of Employees
Location
- G & M Holdings Limited
- Manhattan Centre
- Units 1709-14
- Kwai Chung
- New Territories
- Hong Kong
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 6038 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Jun 2017 |
Biography
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 and the People’s Repub ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/25 12:45 |
| End of Day Share Price | 2020/10/23 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.