SEHK:8007

Stock Analysis Report

Global Strategic Group

Executive Summary

Global Strategic Group Limited, an investment holding company, engages in the copper trading business in the People’s Republic of China.


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

How has Global Strategic Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 8007's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-67.6%

8007

19.4%

HK Trade Distributors

5.3%

HK Market


1 Year Return

-89.7%

8007

-33.9%

HK Trade Distributors

-20.4%

HK Market

Return vs Industry: 8007 underperformed the Hong Kong Trade Distributors industry which returned -33.9% over the past year.

Return vs Market: 8007 underperformed the Hong Kong Market which returned -20.4% over the past year.


Shareholder returns

8007IndustryMarket
7 Day-67.6%19.4%5.3%
30 Day-47.0%-19.3%-8.5%
90 Day-80.7%-25.7%-14.7%
1 Year-89.7%-89.7%-31.3%-33.9%-17.6%-20.4%
3 Year-95.5%-95.5%-30.1%-36.3%-2.5%-12.3%
5 Year-99.0%-99.0%-59.5%-66.3%-5.7%-20.9%

Price Volatility Vs. Market

How volatile is Global Strategic Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Global Strategic Group undervalued compared to its fair value and its price relative to the market?

0.68x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 8007's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 8007's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 8007 is unprofitable, so we can't compare its PE Ratio to the Trade Distributors industry average.

PE vs Market: 8007 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 8007's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8007 is overvalued based on its PB Ratio (0.7x) compared to the HK Trade Distributors industry average (0.5x).


Next Steps

Future Growth

How is Global Strategic Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.7%

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 Global Strategic Group 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

Past Performance

How has Global Strategic Group performed over the past 5 years?

6.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8007 is currently unprofitable.

Growing Profit Margin: 8007 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 8007 is unprofitable, but has reduced losses over the past 5 years at a rate of 6.3% per year.

Accelerating Growth: Unable to compare 8007's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 8007 is unprofitable, making it difficult to compare its past year earnings growth to the Trade Distributors industry (-0.08%).


Return on Equity

High ROE: 8007 has a negative Return on Equity (-20.58%), as it is currently unprofitable.


Next Steps

Financial Health

How is Global Strategic Group's financial position?


Financial Position Analysis

Short Term Liabilities: 8007's short term assets (HK$58.8M) do not cover its short term liabilities (HK$110.4M).

Long Term Liabilities: 8007's short term assets (HK$58.8M) do not cover its long term liabilities (HK$107.1M).


Debt to Equity History and Analysis

Debt Level: 8007's debt to equity ratio (41.9%) is considered high.

Reducing Debt: Insufficient data to determine if 8007's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: 8007 has a high level of physical assets or inventory.

Debt Coverage by Assets: 8007's debt is not covered by short term assets (assets are 0.5x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 8007 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 8007 has less than a year of cash runway if free cash flow continues to grow at historical rates of 1.4% each year.


Next Steps

Dividend

What is Global Strategic Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 8007's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 8007's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 8007's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8007's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 8007's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

0.3yrs

Average management tenure


CEO

Wenzhou Wang (46yo)

0.25

Tenure

Mr. Wenzhou Wang serves as Chief Executive Officer and Executive Director at Global Strategic Group Limited since January 24, 2020 and is its Compliance Officer since 2020. Mr. Wang has experience in texti ...


Leadership Team

NamePositionTenureCompensationOwnership
Guoming Wu
Executive Director2yrsHK$124.97k5.06% HK$2.8m
Wenzhou Wang
CEO, Compliance Officer & Executive Director0.25yrno datano data
Tsz Man Leung
Financial Controller5.5yrsHK$1.47mno data
Fanfan Duan
Executive Director0.42yrno datano data
Yin Fung Tse
Company Secretary0.33yrno datano data

0.3yrs

Average Tenure

44.5yo

Average Age

Experienced Management: 8007's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Guoming Wu
Executive Director2yrsHK$124.97k5.06% HK$2.8m
Wenzhou Wang
CEO, Compliance Officer & Executive Director0.25yrno datano data
Fanfan Duan
Executive Director0.42yrno datano data
Yue Tong Wei
Honorary Chairmanno dataHK$369.75kno data
Oh Man Leung
Independent Non-Executive Director5.5yrsHK$90.00kno data
Sun Zhi Jun
Independent Non-Executive Director4.67yrsHK$90.00kno data
Yu Jun Huang
Independent Non-Executive Director4.67yrsHK$90.00kno data

3.3yrs

Average Tenure

52yo

Average Age

Experienced Board: 8007's board of directors are considered experienced (3.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: 8007 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.7%.


Top Shareholders

Company Information

Global Strategic Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Global Strategic Group Limited
  • Ticker: 8007
  • Exchange: SEHK
  • Founded:
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: HK$54.720m
  • Shares outstanding: 1.56b
  • Website: https://www.globalstrategicgroup.com.hk

Number of Employees


Location

  • Global Strategic Group Limited
  • 80 Gloucester Road
  • 15th Floor
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8007SEHK (The Stock Exchange of Hong Kong Ltd.)HKD0.005HKHKDNo data
8007SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDApr 2000
DHKC.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 2000
DPY3BST (Boerse-Stuttgart)YesOrdinary SharesDEEURApr 2000

Biography

Global Strategic Group Limited, an investment holding company, engages in the copper trading business in the People’s Republic of China. It operates through four segments: Trading of Copper, Trading of Petrochemicals, Natural Gas Operations, and Leasing Business. It also invests in natural gas projects; sells natural gas, natural gas cooking appliances, and accessories; and provides pipeline installation services. In addition, the company offers leasing services for steel support axial force servo system and technology support. Further, it operates and designs and constructs new energy power generation equipment, energy storage systems, and power equipment, as well as provides technology development, technical, and technology transfer services. The company was formerly known as DIGITALHONGKONG.COM and changed its name to Global Strategic Group Limited in January 2015. Global Strategic Group Limited is based in Wanchai, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 15:24
End of Day Share Price2020/04/01 00:00
Earnings2019/12/31
Annual Earnings2019/09/30


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.