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Wai Kee Holdings

SEHK:610
Snowflake Description

Undervalued with solid track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
610
SEHK
HK$4B
Market Cap
  1. Home
  2. HK
  3. Capital Goods
Company description

Wai Kee Holdings Limited, an investment holding company, operates in the construction and infrastructure industry. The last earnings update was 99 days ago. More info.


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610 Share Price and Events
7 Day Returns
0.6%
SEHK:610
-0.5%
HK Construction
-0.2%
HK Market
1 Year Returns
39.7%
SEHK:610
-11.4%
HK Construction
-4.5%
HK Market
610 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Wai Kee Holdings (610) 0.6% 6.6% -1.3% 39.7% 122% 126.7%
HK Construction -0.5% -3.6% -14% -11.4% -21.9% -4.9%
HK Market -0.2% 2.7% -8.3% -4.5% 16.5% 1%
1 Year Return vs Industry and Market
  • 610 outperformed the Construction industry which returned -11.4% over the past year.
  • 610 outperformed the Market in Hong Kong which returned -4.5% over the past year.
Price Volatility
610
Industry
5yr Volatility vs Market

610 Value

 Is Wai Kee 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 Wai Kee 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.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Wai Kee Holdings.

SEHK:610 Discounted Cash Flow Data Sources
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 9.8%
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.

Calculation of Discount Rate/ Cost of Equity for SEHK:610
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 1.03
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.035 (1 + (1- 25%) (28.56%))
1.172
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.17
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.172 * 6.65%)
9.79%

Discounted Cash Flow Calculation for SEHK:610 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Wai Kee 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.

SEHK:610 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (HKD, Millions) Source Present Value
Discounted (@ 9.79%)
2020 620.07 Est @ 37.98% 564.76
2021 788.64 Est @ 27.19% 654.21
2022 943.46 Est @ 19.63% 712.82
2023 1,078.77 Est @ 14.34% 742.35
2024 1,193.56 Est @ 10.64% 748.07
2025 1,289.64 Est @ 8.05% 736.18
2026 1,370.05 Est @ 6.24% 712.31
2027 1,438.08 Est @ 4.97% 680.99
2028 1,496.71 Est @ 4.08% 645.52
2029 1,548.42 Est @ 3.45% 608.25
Present value of next 10 years cash flows HK$6,805.47
SEHK:610 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= HK$1,548.42 × (1 + 2%) ÷ (9.79% – 2%)
HK$20,271.21
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= HK$20,271.21 ÷ (1 + 9.79%)10
HK$7,962.94
SEHK:610 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= HK$6,805.47 + HK$7,962.94
HK$14,768.41
Equity Value per Share
(HKD)
= Total value / Shares Outstanding
= HK$14,768.41 / 793.12
HK$18.62
SEHK:610 Discount to Share Price
Calculation Result
Value per share (HKD) From above. HK$18.62
Current discount Discount to share price of HK$5.35
= -1 x (HK$5.35 - HK$18.62) / HK$18.62
71.3%

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

Current Discount
Amount off the current price Wai Kee Holdings is available for.
Intrinsic value
>50%
Share price is HK$5.35 vs Future cash flow value of HK$18.62
Current Discount Checks
For Wai Kee Holdings to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Wai Kee Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Wai Kee Holdings'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 Wai Kee Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Wai Kee Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:610 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in HKD HK$1.53
SEHK:610 Share Price ** SEHK (2019-07-19) in HKD HK$5.35
Hong Kong Construction Industry PE Ratio Median Figure of 105 Publicly-Listed Construction Companies 10.19x
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 Wai Kee Holdings.

SEHK:610 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:610 Share Price ÷ EPS (both in HKD)

= 5.35 ÷ 1.53

3.5x

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

  • Wai Kee Holdings is good value based on earnings compared to the HK Construction industry average.
  • Wai Kee Holdings is good value based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Wai Kee Holdings's expected growth come at a high price?
Raw Data
SEHK:610 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 3.5x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
1.8%per year
Hong Kong Construction Industry PEG Ratio Median Figure of 10 Publicly-Listed Construction Companies 0.56x
Hong Kong Market PEG Ratio Median Figure of 479 Publicly-Listed Companies 0.79x

*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 Wai Kee Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Wai Kee Holdings's assets?
Raw Data
SEHK:610 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in HKD HK$9.82
SEHK:610 Share Price * SEHK (2019-07-19) in HKD HK$5.35
Hong Kong Construction Industry PB Ratio Median Figure of 136 Publicly-Listed Construction Companies 1.37x
Hong Kong Market PB Ratio Median Figure of 2,197 Publicly-Listed Companies 0.92x
SEHK:610 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:610 Share Price ÷ Book Value per Share (both in HKD)

= 5.35 ÷ 9.82

0.54x

* Primary Listing of Wai Kee Holdings.

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

  • Wai Kee Holdings is good value based on assets compared to the HK Construction industry average.
X
Value checks
We assess Wai Kee Holdings'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 Construction 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 Construction industry average (and greater than 0)? (1 check)
  5. Wai Kee Holdings has a total score of 5/6, 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.

610 Future Performance

 How is Wai Kee Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Wai Kee 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!
Annual Growth Rate
1.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Wai Kee Holdings expected to grow at an attractive rate?
  • Wai Kee Holdings's earnings growth is positive but not above the low risk savings rate of 2%.
Growth vs Market Checks
  • Wai Kee Holdings's earnings growth is positive but not above the Hong Kong market average.
  • Unable to compare Wai Kee Holdings's revenue growth to the Hong Kong market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
SEHK:610 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:610 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 1.8%
Hong Kong Construction Industry Earnings Growth Rate Market Cap Weighted Average 11.9%
Hong Kong Construction Industry Revenue Growth Rate Market Cap Weighted Average 9.6%
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:610 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:610 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
SEHK:610 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-12-31 6,736 629 1,211
2018-09-30 6,848 600 1,173
2018-06-30 6,960 571 1,136
2018-03-31 6,730 502 1,024
2017-12-31 6,500 433 912
2017-09-30 6,138 354 783
2017-06-30 5,775 276 653
2017-03-31 5,551 180 661
2016-12-31 5,327 85 669
2016-09-30 5,138 97 555
2016-06-30 4,949 109 441
2016-03-31 4,984 287 431

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Wai Kee Holdings's earnings are expected to grow by 1.8% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Wai Kee Holdings is high growth as no revenue estimate data is available.
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:610 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 0 Analyst Estimates (S&P Global) See Below

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

SEHK:610 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
SEHK:610 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-12-31 1.53
2018-09-30 1.48
2018-06-30 1.43
2018-03-31 1.29
2017-12-31 1.15
2017-09-30 0.99
2017-06-30 0.82
2017-03-31 0.83
2016-12-31 0.84
2016-09-30 0.70
2016-06-30 0.56
2016-03-31 0.54

*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 Wai Kee Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Wai Kee Holdings'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.
Wai Kee 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.

610 Past Performance

  How has Wai Kee 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
Below we compare Wai Kee Holdings's growth in the last year to its industry (Construction).
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.
  • Wai Kee Holdings has delivered over 20% year on year earnings growth in the past 5 years.
  • Wai Kee Holdings's 1-year earnings growth exceeds its 5-year average (32.7% vs 22%)
  • Wai Kee Holdings's earnings growth has exceeded the HK Construction industry average in the past year (32.7% vs -13.1%).
Earnings and Revenue History
Wai Kee Holdings'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 Wai Kee Holdings Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:610 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 6,735.85 1,210.63 579.61
2018-09-30 6,847.78 1,173.08 518.65
2018-06-30 6,959.72 1,135.54 457.69
2018-03-31 6,729.92 1,024.00 452.16
2017-12-31 6,500.12 912.46 446.63
2017-09-30 6,137.67 782.59 452.62
2017-06-30 5,775.23 652.71 458.61
2017-03-31 5,551.17 661.01 441.42
2016-12-31 5,327.11 669.32 424.24
2016-09-30 5,138.02 555.05 403.48
2016-06-30 4,948.93 440.78 382.71
2016-03-31 4,984.21 430.82 367.69
2015-12-31 5,019.48 420.87 352.67
2015-09-30 4,891.98 483.93 349.14
2015-06-30 4,764.48 547.00 345.61
2015-03-31 4,298.49 544.82 338.94
2014-12-31 3,832.51 542.65 332.27
2014-09-30 3,417.88 499.45 319.94
2014-06-30 3,003.26 456.24 307.60
2014-03-31 2,774.58 448.22 287.03
2013-12-31 2,545.91 440.21 266.45
2013-09-30 2,601.78 401.72 256.37
2013-06-30 2,657.65 363.24 246.30
2013-03-31 2,537.82 344.96 242.14
2012-12-31 2,417.99 326.69 237.98
2012-09-30 1,833.60 268.76 234.68

*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.
  • Wai Kee Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Wai Kee Holdings used its assets more efficiently than the HK Construction industry average last year based on Return on Assets.
  • Wai Kee Holdings has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Wai Kee Holdings'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 Construction 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.
Wai Kee Holdings has a total score of 5/6, 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.

610 Health

 How is Wai Kee 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 Wai Kee Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Wai Kee Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Wai Kee Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Wai Kee Holdings'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.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 3.7x 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 Wai Kee Holdings Company Filings, last reported 6 months ago.

SEHK:610 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 8,193.13 1,223.05 2,032.69
2018-09-30 8,193.13 1,223.05 2,032.69
2018-06-30 7,442.28 1,313.16 1,801.24
2018-03-31 7,442.28 1,313.16 1,801.24
2017-12-31 7,383.41 1,176.27 1,442.33
2017-09-30 7,383.41 1,176.27 1,442.33
2017-06-30 6,281.51 1,094.99 1,136.25
2017-03-31 6,281.51 1,094.99 1,136.25
2016-12-31 6,217.11 1,061.64 1,118.79
2016-09-30 6,217.11 1,061.64 1,118.79
2016-06-30 5,907.94 1,090.09 888.16
2016-03-31 5,907.94 1,090.09 888.16
2015-12-31 5,899.75 506.25 978.09
2015-09-30 5,899.75 506.25 978.09
2015-06-30 5,806.58 397.37 817.55
2015-03-31 5,806.58 397.37 817.55
2014-12-31 5,780.07 295.26 522.61
2014-09-30 5,780.07 295.26 522.61
2014-06-30 5,443.68 402.43 541.15
2014-03-31 5,443.68 402.43 541.15
2013-12-31 5,342.05 239.41 461.70
2013-09-30 5,342.05 239.41 461.70
2013-06-30 4,984.75 170.76 201.28
2013-03-31 4,984.75 170.76 201.28
2012-12-31 4,883.73 250.87 312.57
2012-09-30 4,883.73 188.78 209.88
  • Wai Kee Holdings's level of debt (14.9%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (4.5% vs 14.9% today).
  • Debt is well covered by operating cash flow (51.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.1x coverage).
X
Financial health checks
We assess Wai Kee Holdings'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. Wai Kee Holdings has a total score of 5/6, 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.

610 Dividends

 What is Wai Kee 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
Dividend payments
5.79%
Current annual income from Wai Kee Holdings dividends.
If you bought HK$2,000 of Wai Kee Holdings shares you are expected to receive HK$116 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?
  • Wai Kee Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.09%).
  • Wai Kee Holdings's dividend is above 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:610 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 0 Analyst Estimates (S&P Global) See Below
Hong Kong Construction Industry Average Dividend Yield Market Cap Weighted Average of 43 Stocks 3.9%
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:610 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
SEHK:610 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2019-03-19 0.310 5.997
2018-03-08 0.263 6.287
2017-08-18 0.203 5.413
2017-03-13 0.198 5.653
2016-04-13 0.128 5.119
2016-03-21 0.128 5.469
2015-04-01 0.165 6.462
2015-03-12 0.165 6.470
2014-08-15 0.132 5.762
2014-04-01 0.145 6.608
2014-03-10 0.145 6.848
2013-03-27 0.112 5.565
2013-03-04 0.112 5.478
2012-02-27 0.112 7.741
2011-08-16 0.110 8.219
2011-03-18 0.100 6.120
2010-09-03 0.100 5.669
2010-03-29 0.080 4.473
2009-09-03 0.000 0.000
2009-08-17 0.000 0.000
2009-04-17 0.000 0.000
2009-04-03 0.000 0.000
2008-09-11 0.000 0.000
2008-08-21 0.000 0.000

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

  • Wai Kee Holdings has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Wai Kee Holdings only paid a dividend in the past 9 years.
Current Payout to shareholders
What portion of Wai Kee Holdings's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.9x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Wai Kee Holdings'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 Wai Kee Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Wai Kee 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.

610 Management

 What is the CEO of Wai Kee Holdings'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
Derek Zen
COMPENSATION HK$36,630,000
AGE 66
TENURE AS CEO 4.9 years
CEO Bio

Mr. Wei Peu Zen, also known as Derek has been an Executive Director of Road King Infrastructure Limited since November 07, 2018 and was its Chairman of the Board since its establishment. Mr. Zen has been the Chief Executive Officer of Wai Kee Holdings Ltd. since August 15, 2014 and serves as its Vice Chairman and Head of Overall Management, Operations of Construction and Quarrying Divisions. Mr. Zen has been the Chief Executive Officer and Managing Director of Build King Holdings Ltd. since March 22, 2012. He is responsible for the overall management of Build King Holdings Ltd. and oversees the operations of Wai Kee Holdings's construction and Quarrying Divisions. He has over 40 years experience in Civil Engineering. He serves as Vice Chairman at Wai Kee Holdings Limited. He serves as the Chairman of Chai-Na-Ta Corp. He has been the Chairman of Build King Holdings Ltd. He served as Chairman at I-China Holdings Limited since April 23, 2004. Mr. Zen has been an Executive Director of Wai Kee Holdings Ltd. since July 23, 1992. He has been a Director of Emmaus Life Sciences, Inc. since June 13, 2018. He has been a Director of Chai-Na-Ta Corp., since November 23, 2006. He serves as a Director of Road King Infrastructure Finance (2012) Ltd. and RKP Overseas Finance 2016 (A) Limited. He serves as a Director of RKI Overseas Finance 2017 (A) Limited. He is a Chartered Engineer. He was also the Honorary Treasurer of Hong Kong Construction Association from 2007 to 2009. He is a Member of both the Institution of Civil Engineers and the Hong Kong Institution of Engineers and a Fellow Member of the Institution of Quarrying, UK. Mr. Zen holds a Bachelor of Science degree in Civil Engineering from The University of Hong Kong and a Master degree of Business Administration from The Chinese University of Hong Kong.

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

Average tenure and age of the Wai Kee Holdings management team in years:

14.1
Average Tenure
59
Average Age
  • The average tenure for the Wai Kee Holdings management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Derek Zen

TITLE
Vice Chairman & CEO
COMPENSATION
HK$37M
AGE
66
TENURE
4.9 yrs

Anriena Chiu

TITLE
Company Secretary & Executive Director
COMPENSATION
HK$3M
AGE
55
TENURE
14.1 yrs

Edmond Cheung

TITLE
Group Financial Controller
AGE
63
TENURE
24.9 yrs

Denis Yeow

TITLE
Financial Controller of Build King
AGE
48
Board of Directors Tenure

Average tenure and age of the Wai Kee Holdings board of directors in years:

14.5
Average Tenure
59
Average Age
  • The average tenure for the Wai Kee Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

William Zen

TITLE
Chairman
COMPENSATION
HK$2M
AGE
71

Derek Zen

TITLE
Vice Chairman & CEO
COMPENSATION
HK$37M
AGE
66

Anriena Chiu

TITLE
Company Secretary & Executive Director
COMPENSATION
HK$3M
AGE
55
TENURE
14.1 yrs

Francis Wong

TITLE
Independent Non-Executive Director
COMPENSATION
HK$441K
AGE
54
TENURE
14.9 yrs

Samuel Wan

TITLE
Independent Non-Executive Director
COMPENSATION
HK$444K
AGE
68
TENURE
17.8 yrs

Steve Wong

TITLE
Independent Non Executive Director
COMPENSATION
HK$426K
AGE
68
TENURE
27 yrs

Brian Cheng

TITLE
Non-Executive Director
COMPENSATION
HK$273K
AGE
37
TENURE
6.4 yrs

Gilbert Ho

TITLE
Non-Executive Director
AGE
42
TENURE
0.6 yrs

Francis Tsang

TITLE
Director of BKCL and Director of Building King Civil
AGE
62

Wai Tsui

TITLE
Director of BKCL
AGE
56
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 Wai Kee Holdings'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. Wai Kee 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.

610 News

Simply Wall St News

Do You Know What Wai Kee Holdings Limited's (HKG:610) P/E Ratio Means?

View our latest analysis for Wai Kee Holdings How Do I Calculate A Price To Earnings Ratio? … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Wai Kee Holdings: P/E of 3.5 = HK$5.35 ÷ HK$1.53 (Based on the year to December 2018.) Is A High P/E Ratio Good? … SEHK:610 Price Estimation Relative to Market, July 12th 2019 Its relatively low P/E ratio indicates that Wai Kee Holdings shareholders think it will struggle to do as well as other companies in its industry classification.

Simply Wall St -

Is Wai Kee Holdings (HKG:610) A Risky Investment?

Debt assists a business until the business has trouble paying it off, either with new capital or with free cash flow. … Finally, a business needs free cash flow to pay off debt; accounting profits just don't cut it. … While Wai Kee Holdings 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 -

How Does Investing In Wai Kee Holdings Limited (HKG:610) Impact The Volatility Of Your Portfolio?

Modern finance theory considers volatility to be a measure of risk, and there are two main types of price volatility. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Even when they are traded more actively, the share price is often more susceptible to company specific developments than overall market volatility.

Simply Wall St -

Where Wai Kee Holdings Limited (HKG:610) Stands In Terms Of Earnings Growth Against Its Industry

In this article, I will take a look at Wai Kee Holdings Limited's (HKG:610) most recent earnings update (31 December 2018) and compare these latest figures against its performance over the past few years, along with how the rest of 610's industry performed. … See our latest analysis for Wai Kee Holdings Commentary On 610's Past Performance 610's trailing twelve-month earnings (from 31 December 2018) of HK$1.2b has jumped 33% compared to the previous year. … I recommend you continue to research Wai Kee Holdings to get a better picture of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for 610’s future growth?

Simply Wall St -

Looking At Wai Kee Holdings Limited (HKG:610) From All Angles

Not only did 610 outperformed its past performance, its growth also surpassed the Construction industry expansion, which generated a -3.5% earnings growth. … Investors have the opportunity to buy into the stock to reap capital gains, if 610's projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. … Also, relative to the rest of its peers with similar levels of earnings, 610's share price is trading below the group's average.

Simply Wall St -

What Kind Of Shareholder Owns Most Wai Kee Holdings Limited (HKG:610) Stock?

In the chart below below, we can see that institutional investors have not yet purchased much of the company. … Insider Ownership Of Wai Kee Holdings The definition of company insiders can be subjective, and does vary between jurisdictions. … Private Company Ownership We can see that Private Companies own 25%, of the shares on issue.

Simply Wall St -

Are Insiders Buying Wai Kee Holdings Limited (HKG:610) Stock?

So shareholders might well want to know whether insiders have been buying or selling shares in Wai Kee Holdings Limited (HKG:610). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … In the last twelve months Wai Kee Holdings insiders were buying shares, but not selling

Simply Wall St -

If You Like EPS Growth Then Check Out Wai Kee Holdings (HKG:610) Before It's Too Late

So if you're like me, you might be more interested in profitable, growing companies, like Wai Kee Holdings (HKG:610). … How Quickly Is Wai Kee Holdings Increasing Earnings Per Share. … Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth.

Simply Wall St -

Is Wai Kee Holdings Limited (HKG:610) Struggling With Its 3.8% Return On Capital Employed?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Introducing Wai Kee Holdings (HKG:610), The Stock That Dropped -139% In The Last Five Years

In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. … 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. … So the EPS growth rate is rather close to the annualized share price gain of 19% per year.

Simply Wall St -

610 Company Info

Description

Wai Kee Holdings Limited, an investment holding company, operates in the construction and infrastructure industry. The company operates through Construction and sewage treatment; Construction Materials; Quarrying; and Property Development and Investment, Toll Road, Investment and Asset Management segments. It primarily provides construction services for civil engineering and building projects. The company has investments in 12 toll road projects covering an approximately 732 kilometers in 7 provinces of the People’s Republic of China. It is also involved in the quarrying, manufacture, trading, and delivery of construction materials, such as concrete; and production and sale of quarry products, such as aggregates. In addition, the company engages in the provision of financial and transportation services; manufacturing, trading, delivering, and laying of asphalt; marine engineering and construction; environmental engineering; sewage treatment operations; and fitting out, improvement, and alteration works for buildings. Further, it deals in securities and advising on securities. Wai Kee Holdings Limited was founded in 1970 and is headquartered in Tsimshatsui, Hong Kong.

Details
Name: Wai Kee Holdings Limited
610
Exchange: SEHK
Founded: 1970
HK$4,282,869,600
793,124,000
Website: http://www.waikee.com
Address: Wai Kee Holdings Limited
East Ocean Centre,
11th Floor,
Tsimshatsui,
Kowloon, Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 610 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 14. Sep 1992
DB WKH Ordinary Shares Deutsche Boerse AG DE EUR 14. Sep 1992
Number of employees
Current staff
Staff numbers
2,143
Wai Kee Holdings employees.
Industry
Construction and Engineering
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/19 12:39
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2018/03/08
Last earnings filing: 2019/04/11
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.