SEHK:631

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Sany Heavy Equipment International Holdings

Executive Summary

Sany Heavy Equipment International Holdings Company Limited, an investment holding company, engages in the research, development, manufacture, and sale of integrated excavation machinery, integrated coal mining equipment, and coal mine transportation equipment. More Details


Snowflake Analysis

High growth potential with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has Sany Heavy Equipment International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 631 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.3%

631

-2.4%

HK Machinery

-0.7%

HK Market


1 Year Return

8.1%

631

33.9%

HK Machinery

0.5%

HK Market

Return vs Industry: 631 underperformed the Hong Kong Machinery industry which returned 33.9% over the past year.

Return vs Market: 631 exceeded the Hong Kong Market which returned 0.5% over the past year.


Shareholder returns

631IndustryMarket
7 Day-5.3%-2.4%-0.7%
30 Day-6.4%2.9%5.8%
90 Day5.2%2.7%1.4%
1 Year11.6%8.1%37.1%33.9%4.6%0.5%
3 Year252.4%206.5%42.7%31.8%-6.8%-16.9%
5 Year160.6%126.6%102.8%85.6%15.8%-3.8%

Price Volatility Vs. Market

How volatile is Sany Heavy Equipment International Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Sany Heavy Equipment International Holdings undervalued compared to its fair value and its price relative to the market?

11.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 631 (HK$4.26) is trading above our estimate of fair value (HK$3.42)

Significantly Below Fair Value: 631 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 631 is good value based on its PE Ratio (11.1x) compared to the HK Machinery industry average (13.4x).

PE vs Market: 631 is poor value based on its PE Ratio (11.1x) compared to the Hong Kong market (10.9x).


Price to Earnings Growth Ratio

PEG Ratio: 631 is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: 631 is overvalued based on its PB Ratio (1.6x) compared to the HK Machinery industry average (0.9x).


Next Steps

Future Growth

How is Sany Heavy Equipment International Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

25.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 631's forecast earnings growth (25.6% per year) is above the savings rate (1.6%).

Earnings vs Market: 631's earnings (25.6% per year) are forecast to grow faster than the Hong Kong market (22.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 631's revenue (23.8% per year) is forecast to grow faster than the Hong Kong market (13.3% per year).

High Growth Revenue: 631's revenue (23.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 631's Return on Equity is forecast to be low in 3 years time (18.1%).


Next Steps

Past Performance

How has Sany Heavy Equipment International Holdings performed over the past 5 years?

59.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 631 has high quality earnings.

Growing Profit Margin: 631's current net profit margins (15.2%) are lower than last year (16.3%).


Past Earnings Growth Analysis

Earnings Trend: 631's earnings have grown significantly by 59.1% per year over the past 5 years.

Accelerating Growth: 631's earnings growth over the past year (17.5%) is below its 5-year average (59.1% per year).

Earnings vs Industry: 631 earnings growth over the past year (17.5%) exceeded the Machinery industry -1.6%.


Return on Equity

High ROE: 631's Return on Equity (14%) is considered low.


Next Steps

Financial Health

How is Sany Heavy Equipment International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 631's short term assets (CN¥12.3B) exceed its short term liabilities (CN¥8.5B).

Long Term Liabilities: 631's short term assets (CN¥12.3B) exceed its long term liabilities (CN¥1.5B).


Debt to Equity History and Analysis

Debt Level: 631's debt to equity ratio (56.4%) is considered high.

Reducing Debt: 631's debt to equity ratio has increased from 0.2% to 56.4% over the past 5 years.

Debt Coverage: 631's debt is well covered by operating cash flow (22.4%).

Interest Coverage: 631's interest payments on its debt are well covered by EBIT (27.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Sany Heavy Equipment International Holdings's current dividend yield, its reliability and sustainability?

2.79%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 631's dividend (2.79%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 631's dividend (2.79%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.97%).


Stability and Growth of Payments

Stable Dividend: 631's dividend payments have been volatile in the past 10 years.

Growing Dividend: 631's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32.3%), 631's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 631's dividends in 3 years are forecast to be well covered by earnings (35.4% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Jian Qi (60 yo)

5.17yrs

Tenure

CN¥4,703,000

Compensation

Mr. Jian Qi has been Chief Executive Officer of Sany Heavy Equipment International Holdings Company Ltd. since August 6, 2015 and served as its Chairman since August 6, 2015 until October 2, 2019. Mr. Qi s ...


CEO Compensation Analysis

Compensation vs Market: Jian's total compensation ($USD700.45K) is about average for companies of similar size in the Hong Kong market ($USD559.17K).

Compensation vs Earnings: Jian's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Zaizhong Liang
Chairman1yrCN¥207.00kno data
Jian Qi
Vice Chairman of the Board & CEO5.17yrsCN¥4.70mno data
Weizhong Fu
Executive Director2.58yrsCN¥2.94mno data
Zhihong Zhang
Executive Director3.25yrsCN¥1.93m0.0035%
CN¥ 468.3k
Xiangjun Zhu
Chief Financial Officer4.08yrsno datano data
Leung Fai Yu
Joint Company Secretary3.58yrsno datano data
Huidong Zhou
Joint Company Secretary1.75yrsno datano data
Weili Liu
General Manager of the Sales Department14.75yrsCN¥1.52mno data
Kuang Canghao
Standing Vice General Manager8.08yrsCN¥292.00kno data

4.1yrs

Average Tenure

47yo

Average Age

Experienced Management: 631's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Zaizhong Liang
Chairman1yrCN¥207.00kno data
Jian Qi
Vice Chairman of the Board & CEO5.17yrsCN¥4.70mno data
Weizhong Fu
Executive Director2.58yrsCN¥2.94mno data
Zhihong Zhang
Executive Director3.25yrsCN¥1.93m0.0035%
CN¥ 468.3k
Chiu Kwok Poon
Independent Non-Executive Director4.83yrsCN¥410.00k0.0064%
CN¥ 860.1k
Yuk Keung Ng
Independent Non-Executive Director10.92yrsCN¥410.00kno data
Xiuguo Tang
Non-Executive Director6.08yrsno data0.067%
CN¥ 9.0m
Wenbo Xiang
Non-Executive Director11.25yrsno data0.092%
CN¥ 12.3m
Jiquan Hu
Independent Non-Executive Director3.83yrsCN¥357.00kno data

3.8yrs

Average Tenure

57yo

Average Age

Experienced Board: 631's board of directors are considered experienced (3.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 631 insiders have only sold shares 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

Sany Heavy Equipment International Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sany Heavy Equipment International Holdings Company Limited
  • Ticker: 631
  • Exchange: SEHK
  • Founded: 2004
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: HK$13.418b
  • Shares outstanding: 3.12b
  • Website: https://www.sanyhe.com

Location

  • Sany Heavy Equipment International Holdings Company Limited
  • No. 25, 16 Kaifa Road
  • Economic and Technological Development A
  • Shenyang
  • Liaoning Province
  • 110027
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
631SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2009
YXSDB (Deutsche Boerse AG)YesOrdinary SharesDEEURNov 2009
SNYY.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2009
631SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDNov 2009
631SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDNov 2009

Biography

Sany Heavy Equipment International Holdings Company Limited, an investment holding company, engages in the research, development, manufacture, and sale of integrated excavation machinery, integrated coal m ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 12:54
End of Day Share Price2020/10/30 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.