SEHK:8137

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Executive Summary

Honbridge Holdings Limited, an investment holding company, engages in the research, development, production, and sale of lithium battery in the People’s Republic of China, Belgium, and Sweden.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Honbridge Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 8137's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.5%

8137

2.8%

HK Electrical

1.2%

HK Market


1 Year Return

-41.7%

8137

-3.4%

HK Electrical

5.5%

HK Market

Return vs Industry: 8137 underperformed the Hong Kong Electrical industry which returned -3.4% over the past year.

Return vs Market: 8137 underperformed the Hong Kong Market which returned 5.5% over the past year.


Shareholder returns

8137IndustryMarket
7 Day4.5%2.8%1.2%
30 Day37.3%-0.5%-3.8%
90 Day1.4%8.7%7.7%
1 Year-41.7%-41.7%-1.9%-3.4%9.8%5.5%
3 Year-61.1%-61.1%-42.5%-45.2%3.7%-7.4%
5 Year-74.6%-74.6%-53.3%-56.3%12.3%-6.5%

Price Volatility Vs. Market

How volatile is Honbridge Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Honbridge Holdings undervalued compared to its fair value and its price relative to the market?

9.52x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 8137's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 8137's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 8137 is good value based on its PE Ratio (9.5x) compared to the HK Electrical industry average (10.8x).

PE vs Market: 8137 is good value based on its PE Ratio (9.5x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 8137's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8137's PB Ratio (0.7x) is in line with the HK Electrical industry average.


Next Steps

Future Growth

How is Honbridge Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.6%

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 Honbridge 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

Past Performance

How has Honbridge Holdings performed over the past 5 years?

67.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8137 has a large one-off loss of HK$397.2M impacting its March 31 2020 financial results.

Growing Profit Margin: 8137's current net profit margins are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: 8137 has become profitable over the past 5 years, growing earnings by 67.7% per year.

Accelerating Growth: 8137's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 8137 had negative earnings growth (-63.5%) over the past year, making it difficult to compare to the Electrical industry average (9.9%).


Return on Equity

High ROE: 8137's Return on Equity (5.6%) is considered low.


Next Steps

Financial Health

How is Honbridge Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 8137's short term assets (HK$945.4M) exceed its short term liabilities (HK$686.1M).

Long Term Liabilities: 8137's short term assets (HK$945.4M) do not cover its long term liabilities (HK$2.5B).


Debt to Equity History and Analysis

Debt Level: 8137's debt to equity ratio (13.5%) is considered satisfactory.

Reducing Debt: 8137's debt to equity ratio has reduced from 17.3% to 13.5% over the past 5 years.

Debt Coverage: 8137's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 8137's interest payments on its debt are well covered by EBIT (186.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Honbridge Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 8137's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 8137's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 8137's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8137'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 8137'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?

2.2yrs

Average management tenure


CEO

William Liu (55 yo)

2.17yrs

Tenure

HK$1,886,000

Compensation

Mr. Wei Liu, also known as William, has been Joint Chief Executive Officer of Honbridge Holdings Limited since June 4, 2018. Mr. Liu serves as Compliance Officer of Honbridge Holdings Limited and served as ...


Leadership Team

NamePositionTenureCompensationOwnership
Xuechu He
Executive Chairmanno dataHK$2.03m0.83%
HK$ 28.1m
Wei Liu
Joint CEO2.17yrsHK$1.89m0.092%
HK$ 3.2m
Jian Liu
Vice Chairman & Joint CEO2.17yrsno datano data
Ho Ming Yeung
Company Secretary & CFO7.42yrsno datano data
Jigang Ji
Director & GM of Shandong Forever New Energy Co.no datano datano data

2.2yrs

Average Tenure

46yo

Average Age

Experienced Management: 8137's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Xuechu He
Executive Chairmanno dataHK$2.03m0.83%
HK$ 28.1m
Wei Liu
Joint CEO2.17yrsHK$1.89m0.092%
HK$ 3.2m
Jian Liu
Vice Chairman & Joint CEO2.17yrsno datano data
Jigang Ji
Director & GM of Shandong Forever New Energy Co.no datano datano data
Siu Lun Ang
Non-Executive Director10.25yrsno datano data
Chun Wai Chan
Independent Non-Executive Director12.83yrsHK$251.00k0.010%
HK$ 350.0k
Gang Ma
Independent Non-Executive Director12.83yrsHK$251.00kno data
Weimin Yan
Non-Executive Director10.33yrsno data0.31%
HK$ 10.5m
Chun Ha
Independent Non-Executive Director5yrsHK$251.00kno data

10.3yrs

Average Tenure

53yo

Average Age

Experienced Board: 8137's board of directors are seasoned and experienced ( 10.3 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

Honbridge Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Honbridge Holdings Limited
  • Ticker: 8137
  • Exchange: SEHK
  • Founded:
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: HK$3.408b
  • Shares outstanding: 9.74b
  • Website: https://www.8137.hk

Number of Employees


Location

  • Honbridge Holdings Limited
  • Central Plaza
  • 54th Floor
  • Wanchai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8137SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2002

Biography

Honbridge Holdings Limited, an investment holding company, engages in the research, development, production, and sale of lithium battery in the People’s Republic of China, Belgium, and Sweden. It operates ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/08 12:40
End of Day Share Price2020/08/07 00:00
Earnings2020/03/31
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.