China Futex Holdings Limited, an investment holding company, engages in the research and development, manufacture, and sale of circular knitting machines in the People's Republic of China, India, South Korea, Bangladesh, Vietnam, and internationally. More Details
Excellent balance sheet and slightly overvalued.
Share Price & News
How has China Futex Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 8506 is more volatile than 90% of Hong Kong stocks over the past 3 months, typically moving +/- 18% a week.
Volatility Over Time: 8506's weekly volatility (18%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.
7 Day Return
1 Year Return
Return vs Industry: 8506 exceeded the Hong Kong Machinery industry which returned 42.1% over the past year.
Return vs Market: 8506 exceeded the Hong Kong Market which returned 7.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is China Futex Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StEstimating The Fair Value Of China Futex Holdings Limited (HKG:8506)
1 month ago | Simply Wall StCan You Imagine How Jubilant China Futex Holdings' (HKG:8506) Shareholders Feel About Its 295% Share Price Gain?
2 months ago | Simply Wall StChina Futex Holdings Limited's (HKG:8506) Share Price Not Quite Adding Up
Is China Futex Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 8506 (HK$0.22) is trading below our estimate of fair value (HK$0.29)
Significantly Below Fair Value: 8506 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 8506 is poor value based on its PE Ratio (27.2x) compared to the HK Machinery industry average (13.1x).
PE vs Market: 8506 is poor value based on its PE Ratio (27.2x) compared to the Hong Kong market (11.2x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 8506's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 8506 is overvalued based on its PB Ratio (1.3x) compared to the HK Machinery industry average (0.9x).
How is China Futex Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 China Futex 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.
- Examine China Futex Holdings's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- China Futex Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Capital Goods industry.
How has China Futex Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 8506 has high quality earnings.
Growing Profit Margin: 8506's current net profit margins (9.2%) are lower than last year (15.6%).
Past Earnings Growth Analysis
Earnings Trend: 8506's earnings have grown by 3.5% per year over the past 5 years.
Accelerating Growth: 8506's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 8506 had negative earnings growth (-65.3%) over the past year, making it difficult to compare to the Machinery industry average (-1.6%).
Return on Equity
High ROE: 8506's Return on Equity (4.9%) is considered low.
How is China Futex Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 8506's short term assets (CN¥178.3M) exceed its short term liabilities (CN¥58.4M).
Long Term Liabilities: 8506 has no long term liabilities.
Debt to Equity History and Analysis
Debt Level: 8506's debt to equity ratio (35.3%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if 8506's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: 8506's debt is well covered by operating cash flow (35.6%).
Interest Coverage: 8506's interest payments on its debt are well covered by EBIT (4.4x coverage).
What is China Futex Holdings's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate 8506's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate 8506'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 8506's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 8506'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 8506's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Yuan Yuan (44 yo)
Ms. Yuan Yuan has been Executive Director at China Futex Holdings Ltd. since December 11, 2017 and has been its Chairlady, Compliance Officer and Chief Executive Officer since December 11, 2017 and serve...
CEO Compensation Analysis
Compensation vs Market: Yuan's total compensation ($USD45.67K) is below average for companies of similar size in the Hong Kong market ($USD230.39K).
Compensation vs Earnings: Yuan's compensation has been consistent with company performance over the past year.
|Chairlady||no data||CN¥301.00k||no data|
|Executive Director||4.33yrs||CN¥305.00k||8.12% |
|Independent Non-Executive Director||2.92yrs||CN¥60.00k||no data|
|Independent Non-Executive Director||2.92yrs||CN¥88.00k||no data|
|Independent Non-Executive Director||2.92yrs||CN¥60.00k||no data|
Experienced Board: 8506's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
China Futex Holdings Limited's company bio, employee growth, exchange listings and data sources
- Name: China Futex Holdings Limited
- Ticker: 8506
- Exchange: SEHK
- Founded: 2016
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: HK$216.000m
- Shares outstanding: 1.00b
- Website: https://www.kx-machine.com
Number of Employees
- China Futex Holdings Limited
- Xiawei Village
- Fugong Town
- Fujian Province
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|8506||SEHK (The Stock Exchange of Hong Kong Ltd.)||Yes||Ordinary Shares of HK$0.01||HK||HKD||Jan 2018|
China Futex Holdings Limited, an investment holding company, engages in the research and development, manufacture, and sale of circular knitting machines in the People's Republic of China, India, South Kor...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/11/25 12:51|
|End of Day Share Price||2020/11/25 00:00|
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.