SEHK:9998

Stock Analysis Report

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Executive Summary

Kwan Yong Holdings Limited, an investment holding company, provides general building and construction services in Singapore.


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 9998's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.9%

9998

1.9%

HK Construction

2.8%

HK Market


1 Year Return

n/a

9998

-21.2%

HK Construction

-1.0%

HK Market

Return vs Industry: Insufficient data to determine how 9998 performed against the Hong Kong Construction industry.

Return vs Market: Insufficient data to determine how 9998 performed against the Hong Kong Market.


Shareholder returns

9998IndustryMarket
7 Day2.9%1.9%2.8%
30 Day-20.2%3.6%8.6%
90 Day2.9%-4.7%12.0%
1 Yearn/a-17.1%-21.2%3.1%-1.0%
3 Yearn/a-36.2%-44.0%7.1%-4.4%
5 Yearn/a-36.1%-46.6%8.7%-9.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 9998 (HK$0.71) is trading below our estimate of fair value (HK$0.88)

Significantly Below Fair Value: 9998 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 9998 is poor value based on its PE Ratio (10x) compared to the HK Construction industry average (8.6x).

PE vs Market: 9998 is good value based on its PE Ratio (10x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 9998's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 9998 is overvalued based on its PB Ratio (1.8x) compared to the HK Construction industry average (0.9x).


Next Steps

Future Growth

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

10.2%

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 Kwan Yong 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 Kwan Yong Holdings performed over the past 5 years?

26.1%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: 9998 has a large one-off loss of SGD2.4M impacting its December 31 2019 financial results.

Growing Profit Margin: 9998's current net profit margins (4.4%) are lower than last year (7.4%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if 9998's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare 9998's past year earnings growth to its 5-year average.

Earnings vs Industry: 9998 earnings growth over the past year (26.1%) exceeded the Construction industry -10%.


Return on Equity

High ROE: 9998's Return on Equity (17.9%) is considered low.


Next Steps

Financial Health

How is Kwan Yong Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 9998's short term assets (SGD86.2M) exceed its short term liabilities (SGD61.7M).

Long Term Liabilities: 9998's short term assets (SGD86.2M) exceed its long term liabilities (SGD2.2M).


Debt to Equity History and Analysis

Debt Level: 9998's debt to equity ratio (5.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 9998's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 9998's debt is well covered by operating cash flow (231.9%).

Interest Coverage: 9998 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 9998's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 9998'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 9998's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 9998'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 9998'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?

1.8yrs

Average management tenure


CEO

Mei Kam Kwan (64yo)

1.75yrs

Tenure

Mr. Mei Kam Kwan serves as Executive Director, Chief Executive Officer and Chairman at Kwan Yong Holdings Limited since October 8, 2018. He is responsible for overall business management, strategic plannin ...


Leadership Team

NamePositionTenureCompensationOwnership
Mei Kam Kwan
Chairman & CEO1.75yrsno datano data
San Ta Wong
Executive Director1.75yrsno datano data
Shu Ming Kwan
Executive Director1.75yrsno datano data
Yen Hua Tay
Executive Director1.75yrsno datano data
Hoi Ying Ng
Company Secretary1.75yrsno datano data

1.8yrs

Average Tenure

51yo

Average Age

Experienced Management: 9998's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Mei Kam Kwan
Chairman & CEO1.75yrsno datano data
San Ta Wong
Executive Director1.75yrsno datano data
Shu Ming Kwan
Executive Director1.75yrsno datano data
Yen Hua Tay
Executive Director1.75yrsno datano data
Ah Lay Lim
Non-Executive Director1.75yrsno datano data
Lian Huat Koh
Independent Non-Executive Director0.58yrno datano data
Heng Boo Fong
Independent Non-Executive Director0.25yrno datano data
Dongqing Wu
Independent Non-Executive Director0.58yrno datano data
Sean Yu Chou
Independent Non-Executive Director0.58yrno datano data

1.8yrs

Average Tenure

63yo

Average Age

Experienced Board: 9998's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


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: 9998 only recently listed within the past 12 months.


Top Shareholders

Company Information

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


Key Information

  • Name: Kwan Yong Holdings Limited
  • Ticker: 9998
  • Exchange: SEHK
  • Founded: 2018
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: HK$568.000m
  • Shares outstanding: 800.00m
  • Website: https://www.kwanyong.com.sg

Number of Employees


Location

  • Kwan Yong Holdings Limited
  • 11 Joo Koon Crescent
  • Singapore
  • 629022
  • Singapore

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
9998SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 2020

Biography

Kwan Yong Holdings Limited, an investment holding company, provides general building and construction services in Singapore. It undertakes building construction works of institutional buildings, such as education institutions, hospitals, and nursing homes; and commercial buildings comprising office buildings and restaurants, as well as industrial and residential buildings. The company was incorporated in 2018 and is headquartered in Singapore. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/13 04:45
End of Day Share Price2020/07/10 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.