SEHK:8268

Stock Analysis Report

Deson Construction International Holdings

Executive Summary

Deson Construction International Holdings Limited, an investment holding company, operates as a contractor in the building industry in the People’s Republic of China, Hong Kong, and Macau.

Snowflake

Fundamentals

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-7.8%

8268

0.6%

HK Construction

0.3%

HK Market


1 Year Return

1.9%

8268

-14.9%

HK Construction

1.3%

HK Market

Return vs Industry: 8268 exceeded the Hong Kong Construction industry which returned -14.9% over the past year.

Return vs Market: 8268 exceeded the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

8268IndustryMarket
7 Day-7.8%0.6%0.3%
30 Day-10.1%-4.7%0.5%
90 Day-46.5%-10.5%-4.6%
1 Year1.9%1.9%-11.1%-14.9%4.9%1.3%
3 Year-61.8%-61.8%-25.3%-33.6%15.3%3.7%
5 Yearn/a0.004%-15.1%20.0%-0.006%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Deson Construction International Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 8268 (HK$0.11) is trading below our estimate of fair value (HK$0.54)

Significantly Below Fair Value: 8268 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 8268 is unprofitable, so we can't compare its PE Ratio to the Construction industry average.

PE vs Market: 8268 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 8268's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8268 is good value based on its PB Ratio (1x) compared to the HK Construction industry average (1.1x).


Next Steps

Future Growth

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

21.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8268 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 8268 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 8268 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 8268's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 8268's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 8268's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Deson Construction International Holdings performed over the past 5 years?

-9.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 8268 is unprofitable, and losses have increased over the past 5 years at a rate of -9.6% per year.

Accelerating Growth: Unable to compare 8268's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 8268 is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-12.4%).


Return on Equity

High ROE: 8268 has a negative Return on Equity (-16.72%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 8268 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 8268 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Deson Construction International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 8268's short term assets (HK$373.0M) exceeds its short term liabilities (HK$314.0M)

Long Term Liabilities: 8268's short term assets (373.0M) exceeds its long term liabilities (1.4M)


Debt to Equity History and Analysis

Debt Level: 8268's debt to equity ratio (43.6%) is considered high

Reducing Debt: 8268's debt to equity ratio has reduced from 331.4% to 43.6% over the past 5 years.

Debt Coverage: 8268's debt is well covered by operating cash flow (86.6%).

Interest Coverage: Insufficient data to determine if 8268's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 8268 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 8268's debt is covered by short term assets (assets are 8.585480x debt).


Next Steps

Dividend

What is Deson Construction International Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.3%markettop25%6.2%industryaverage4.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 8268's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 8268's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 8268's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8268's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 8268 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 8268's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Deson Construction International Holdings's salary, the management and board of directors tenure and is there insider trading?

0.3yrs

Average board tenure


CEO

Deson Construction International Holdings has no CEO, or we have no data on them.


Board Age and Tenure

0.3yrs

Average Tenure

48yo

Average Age

Experienced Board: 8268's board of directors are not considered experienced ( 0.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellHK$5,035,18019 Jun 19
Boen Sien Tjia
EntityIndividual
Shares22,887,200
Max PriceHK$0.22
SellHK$68,589,31519 Jun 19
Deson Development International Holdings Limited
EntityCompany
Shares311,769,867
Max PriceHK$0.22
SellHK$5,861,89919 Jun 19
Sparta Assets Limited
EntityCompany
Shares26,645,015
Max PriceHK$0.22
BuyHK$79,486,39419 Jun 19
Kui Shing Wong
EntityIndividual
Shares361,302,082
Max PriceHK$0.22

Ownership Breakdown


Management Team

  • May Li (58yo)

    Administration Manager

    • Tenure: 0yrs
  • Pauline Wong (41yo)

    Company Secretary

    • Tenure: 0.3yrs
  • Kenneth Hung (48yo)

    Executive Director & Compliance Officer

    • Tenure: 0.3yrs
  • Po Lau (28yo)

    Executive Director

    • Tenure: 0.3yrs

Board Members

  • Anna Au (54yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs
  • Freddie Lam (49yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs
  • Kenneth Hung (48yo)

    Executive Director & Compliance Officer

    • Tenure: 0.3yrs
  • Alan Wong (44yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs
  • Po Lau (28yo)

    Executive Director

    • Tenure: 0.3yrs

Company Information

Deson Construction International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Deson Construction International Holdings Limited
  • Ticker: 8268
  • Exchange: SEHK
  • Founded: 1988
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$107.000m
  • Shares outstanding: 1.00b
  • Website: https://www.deson-c.com

Number of Employees


Location

  • Deson Construction International Holdings Limited
  • Nanyang Plaza
  • 11th Floor
  • Kwun Tong
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8268SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2015

Biography

Deson Construction International Holdings Limited, an investment holding company, operates as a contractor in the building industry in the People’s Republic of China, Hong Kong, and Macau. It operates in t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 13:01
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.