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C Cheng Holdings

SEHK:1486
Snowflake Description

Excellent balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
1486
SEHK
HK$686M
Market Cap
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Last updated 2019/02/18 13:02
Company description

C Cheng Holdings Limited, an investment holding company, provides architectural and building information modelling (BIM) services in the People’s Republic of China. The last earnings update was 168 days ago. More info.

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1486 Share Price and Events
7 Day Returns
9.9%
SEHK:1486
-1.5%
HK Professional Services
-0.1%
HK Market
1 Year Returns
-39%
SEHK:1486
27.8%
HK Professional Services
-12.6%
HK Market
1486 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
C Cheng Holdings (1486) 9.9% 6.6% 4.3% -39% 47.9% 132.4%
HK Professional Services -1.5% 0.8% 2% 27.8% -31.2% 14.6%
HK Market -0.1% 3.7% 4.1% -12.6% 32.1% 13%
1 Year Return vs Industry and Market
  • 1486 underperformed the Professional Services industry which returned 27.8% over the past year.
  • 1486 underperformed the Market in Hong Kong which returned -12.6% over the past year.
Price Volatility
1486
Industry
5yr Volatility vs Market

1486 Value

 Is C Cheng Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of C Cheng Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for C Cheng Holdings.

SEHK:1486 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.4%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1486
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 8%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.86
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.861 (1 + (1- 25%) (9.09%)) 		0.92
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)		 0.92
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (0.92 * 8%) 		9.36%

Discounted Cash Flow Calculation for SEHK:1486 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for C Cheng Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:1486 DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (HKD, Millions) 14.60 15.83 17.17 18.62 20.19
Source Est @ 8.44% Est @ 8.44% Est @ 8.44% Est @ 8.44% Est @ 8.44%
Present Value
Discounted (@ 9.36%) 		13.35 13.24 13.13 13.02 12.91
Present value of next 5 years cash flows HK$65.63
SEHK:1486 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= HK$20.19 × (1 + 2%) ÷ (9.36% – 2%) 		HK$279.92
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= HK$279.92 ÷ (1 + 9.36%)5 		HK$178.96
SEHK:1486 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= HK$65.63 + HK$178.96 		HK$244.59
Equity Value per Share
(HKD)		 = Total value / Shares Outstanding
= HK$244.59 / 288.26 		HK$0.85
SEHK:1486 Discount to Share Price
Calculation Result
Value per share (HKD) From above. HK$0.85
Current discount Discount to share price of HK$2.44
= -1 x (HK$2.44 - HK$0.85) / HK$0.85 		-187.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of C Cheng Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for C Cheng Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are C Cheng Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:1486 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in HKD HK$0.19
SEHK:1486 Share Price ** SEHK (2019-02-18) in HKD HK$2.44
Hong Kong Professional Services Industry PE Ratio Median Figure of 5 Publicly-Listed Professional Services Companies 12.68x
Hong Kong Market PE Ratio Median Figure of 1,481 Publicly-Listed Companies 10.52x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of C Cheng Holdings.

SEHK:1486 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:1486 Share Price ÷ EPS (both in HKD)

= 2.44 ÷ 0.19

 13x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • C Cheng Holdings is overvalued based on earnings compared to the HK Professional Services industry average.
  • C Cheng Holdings is overvalued based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does C Cheng Holdings's expected growth come at a high price?
Raw Data
SEHK:1486 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts		 8.7%per year
Global Professional Services Industry PEG Ratio Median Figure of 108 Publicly-Listed Professional Services Companies 1.32x
Hong Kong Market PEG Ratio Median Figure of 465 Publicly-Listed Companies 0.75x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for C Cheng Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on C Cheng Holdings's assets?
Raw Data
SEHK:1486 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in HKD HK$1.41
SEHK:1486 Share Price * SEHK (2019-02-18) in HKD HK$2.44
Hong Kong Professional Services Industry PB Ratio Median Figure of 12 Publicly-Listed Professional Services Companies 3.26x
Hong Kong Market PB Ratio Median Figure of 2,118 Publicly-Listed Companies 0.96x
SEHK:1486 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:1486 Share Price ÷ Book Value per Share (both in HKD)

= 2.44 ÷ 1.41

 1.73x

* Primary Listing of C Cheng Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • C Cheng Holdings is good value based on assets compared to the HK Professional Services industry average.
X
Value checks
We assess C Cheng Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Professional Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Professional Services industry average (and greater than 0)? (1 check)
    5. C Cheng Holdings has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

1486 Future Performance

 How is C Cheng Holdings expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

  • No analysts cover C Cheng Holdings, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is C Cheng Holdings expected to grow at an attractive rate?
  • C Cheng Holdings's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • C Cheng Holdings's earnings growth is positive but not above the Hong Kong market average.
  • C Cheng Holdings's revenue growth is expected to exceed the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:1486 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:1486 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 8.7%
SEHK:1486 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 23.5%
Hong Kong Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 20.3%
Asia Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 15.7%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.8%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:1486 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (7 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in HKD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:1486 Future Estimates Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2019-12-31 832 1
2018-12-31 666 1
SEHK:1486 Past Financials Data
Date (Data in HKD Millions) Revenue Cash Flow Net Income *
2018-06-30 587 33 54
2018-03-31 522 29 44
2017-12-31 456 25 33
2017-09-30 410 2 23
2017-06-30 364 -21 13
2017-03-31 362 4 17
2016-12-31 359 28 21
2016-09-30 348 19 23
2016-06-30 338 10 24
2016-03-31 343 26
2015-12-31 355 -1 28
2015-09-30 359 29

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • C Cheng Holdings's earnings are expected to grow by 8.7% yearly, however this is not considered high growth (20% yearly).
  • C Cheng Holdings's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:1486 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (7 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from C Cheng Holdings Company Filings, last reported 7 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1486 Future Estimates Data
Date (Data in HKD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2019-12-31
2018-12-31
SEHK:1486 Past Financials Data
Date (Data in HKD Millions) EPS *
2018-06-30 0.19
2018-03-31 0.16
2017-12-31 0.13
2017-09-30 0.10
2017-06-30 0.06
2017-03-31 0.08
2016-12-31 0.11
2016-09-30 0.12
2016-06-30 0.13
2016-03-31 0.14
2015-12-31 0.15
2015-09-30 0.16

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if C Cheng Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Show me more growth companies in the Professional Services industry
X
Future performance checks
We assess C Cheng Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Asia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
C Cheng Holdings has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

1486 Past Performance

  How has C Cheng Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare C Cheng Holdings's growth in the last year to its industry (Professional Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • C Cheng Holdings's year on year earnings growth rate has been positive over the past 5 years.
  • C Cheng Holdings's 1-year earnings growth exceeds its 5-year average (327.3% vs 16.1%)
  • C Cheng Holdings's earnings growth has exceeded the HK Professional Services industry average in the past year (327.3% vs 10.1%).
Earnings and Revenue History
C Cheng Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from C Cheng Holdings Company Filings, last reported 7 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1486 Past Revenue, Cash Flow and Net Income Data
Date (Data in HKD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 587.29 53.66 100.53
2018-03-31 521.53 43.58 89.80
2017-12-31 455.77 33.49 79.06
2017-09-30 410.03 23.03 73.98
2017-06-30 364.30 12.56 68.89
2017-03-31 361.62 16.65 69.38
2016-12-31 358.94 20.75 69.88
2016-09-30 348.47 22.58 66.22
2016-06-30 338.00 24.41 62.56
2016-03-31 342.77 25.98 61.27
2015-12-31 354.80 27.67 62.86
2015-09-30 358.77 28.59 62.48
2015-06-30 382.68 28.85 75.60
2015-03-31 397.05 28.28 78.57
2014-12-31 384.38 28.80 75.07
2014-09-30 396.13 24.97 79.58
2014-06-30 359.08 18.74 66.86
2014-03-31 333.69 11.52 61.62
2013-12-31 324.01 8.98 57.52
2013-09-30 291.44 12.55 39.73
2013-06-30 287.71 19.19 36.08
2013-03-31 275.97 25.22 29.14
2012-12-31 268.28 25.36 24.64

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • C Cheng Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • C Cheng Holdings used its assets more efficiently than the HK Professional Services industry average last year based on Return on Assets.
  • C Cheng Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Show me more strong past performing companies in the Professional Services industry
X
Past performance checks
We assess C Cheng Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Professional Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
C Cheng Holdings has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

1486 Health

 How is C Cheng Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up C Cheng Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • C Cheng Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • C Cheng Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of C Cheng Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 7.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from C Cheng Holdings Company Filings, last reported 7 months ago.

SEHK:1486 Past Debt and Equity Data
Date (Data in HKD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 431.53 62.40 202.87
2018-03-31 431.53 62.40 202.87
2017-12-31 414.19 35.35 233.81
2017-09-30 414.19 35.35 233.81
2017-06-30 341.66 28.76 192.34
2017-03-31 341.66 28.76 192.34
2016-12-31 198.99 0.31 83.10
2016-09-30 198.99 0.31 83.10
2016-06-30 189.80 0.50 53.02
2016-03-31 189.80 0.50 53.02
2015-12-31 180.33 0.68 58.87
2015-09-30 180.33 0.68 58.87
2015-06-30 145.26 4.85 36.48
2015-03-31
2014-12-31 130.19 1.02 56.22
2014-09-30 116.41 1.19 48.22
2014-06-30 116.41 1.19 48.22
2014-03-31 101.73 4.49 56.93
2013-12-31 101.73 4.49 56.93
2013-09-30
2013-06-30 70.22 3.76 18.53
2013-03-31 56.61 1.76 29.61
2012-12-31 56.61 1.76 29.61
  • C Cheng Holdings's level of debt (14.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (5.3% vs 14.5% today).
  • Debt is well covered by operating cash flow (52.2%, greater than 20% of total debt).
  • C Cheng Holdings earns more interest than it pays, coverage of interest payments is not a concern.
Show me more healthy companies in the Professional Services industry
X
Financial health checks
We assess C Cheng Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
    7. C Cheng Holdings has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

1486 Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.46%
Current annual income from C Cheng Holdings dividends.
If you bought HK$2,000 of C Cheng Holdings shares you are expected to receive HK$49 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • C Cheng Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.01%).
  • C Cheng Holdings's dividend is below the markets top 25% of dividend payers in Hong Kong (5.54%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:1486 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Asia Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 2.1%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 916 Stocks 3.6%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1486 Future Dividends Estimate Data
Date (Data in HK$) Dividend per Share (annual) Avg. No. Analysts
2019-12-31
2018-12-31
SEHK:1486 Past Annualized Dividends Data
Date (Data in HK$) Dividend per share (annual) Avg. Yield (%)
2018-09-03 0.060 2.457
2018-08-22 0.060 1.849
2018-04-24 0.040 1.123
2017-05-19 0.030 1.102
2016-04-14 0.020 0.896
2016-03-24 0.020 1.084

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, C Cheng Holdings has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but C Cheng Holdings only paid a dividend in the past 3 years.
Current Payout to shareholders
What portion of C Cheng Holdings's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.7x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess C Cheng Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can C Cheng Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
    7. C Cheng Holdings has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

1486 Management

 What is the CEO of C Cheng Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Chin Shing Fu
COMPENSATION HK$7,912,000
AGE 51
TENURE AS CEO 5.2 years
CEO Bio

Mr. Chin Shing Fu has been the Chief Executive Officer and Executive Director at C Cheng Holdings Limited since December 5, 2013 and serves as its Compliance Officer. Mr. Fu joined C Cheng Holdings Group in 1991 and was promoted to the rank of director in 1998. He is primarily responsible for overseeing the overall operations and strategic planning of C Cheng Holdings Group, managing relationships with clients and exploring new business opportunities. Mr. Fu has over 22 years of experience in the architectural service industry in Hong Kong and the PRC. He has been an authorised person (architect) and a registered architect in Hong Kong since 1993 and a class 1 registered architect in the PRC since 2004. He also holds professional membership in the HKIA since 1992. He graduated from the University of Hong Kong with a bachelor 's degree of arts in architectural studies in 1988 and a bachelor 's degree in architecture in 1991.

CEO Compensation
  • Chin Shing's compensation has been consistent with company performance over the past year.
  • Chin Shing's remuneration is higher than average for companies of similar size in Hong Kong.
Management Team

Ronald Liang

TITLE
Chairman
COMPENSATION
HK$10M
AGE
69

Gui Sheng Liu

TITLE
Co-Chairman
COMPENSATION
HK$260K
AGE
56

Chin Shing Fu

TITLE
CEO, Compliance Officer & Executive Director
COMPENSATION
HK$8M
AGE
51
TENURE
5.2 yrs

Lambert Ma

TITLE
Director of Architecture & Executive Director
COMPENSATION
HK$2M
AGE
50
TENURE
5.1 yrs

Jun You Wang

TITLE
Executive Director
COMPENSATION
HK$6M
AGE
53

Yong Liu

TITLE
Executive Director
COMPENSATION
HK$74
AGE
55

Kin Nang Lo

TITLE
Director of Architecture
COMPENSATION
HK$963K
AGE
47

Kwok Fai Ng

TITLE
Director of Architecture
COMPENSATION
HK$963K
AGE
46

Xiao He

TITLE
Executive Director
COMPENSATION
HK$1M
AGE
51

Wing Sze Yu

TITLE
CFO & Company Secretary
AGE
41
Board of Directors Tenure

Average tenure and age of the C Cheng Holdings board of directors in years:

5.2
Average Tenure
55
Average Age
  • The tenure for the C Cheng Holdings board of directors is about average.
Board of Directors

Ronald Liang

TITLE
Chairman
COMPENSATION
HK$10M
AGE
69
TENURE
5.2 yrs

Gui Sheng Liu

TITLE
Co-Chairman
COMPENSATION
HK$260K
AGE
56
TENURE
1.8 yrs

Chin Shing Fu

TITLE
CEO, Compliance Officer & Executive Director
COMPENSATION
HK$8M
AGE
51
TENURE
5.2 yrs

Lambert Ma

TITLE
Director of Architecture & Executive Director
COMPENSATION
HK$2M
AGE
50
TENURE
1.8 yrs

Jun You Wang

TITLE
Executive Director
COMPENSATION
HK$6M
AGE
53
TENURE
5.2 yrs

Yong Liu

TITLE
Executive Director
COMPENSATION
HK$74
AGE
55
TENURE
1.8 yrs

Wai Hung Lo

TITLE
Independent Non-Executive Director
COMPENSATION
HK$168
AGE
58
TENURE
5.2 yrs

Chi Hang Yu

TITLE
Independent Non-Executive Director
COMPENSATION
HK$168
AGE
69
TENURE
5.2 yrs

Ling Su

TITLE
Independent Non-Executive Director
COMPENSATION
HK$112
AGE
48
TENURE
1.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by C Cheng Holdings insiders in the past 3 months.
Show me more companies with insider buying in the Professional Services industry
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
13. Feb 19 Buy Chin Shing Fu Individual 08. Feb 19 08. Feb 19 50,000 HK$2.26 HK$113,000
19. Sep 18 Buy Ronald Liang Individual 17. Sep 18 17. Sep 18 100,000 HK$3.15 HK$314,960
19. Sep 18 Buy Ronald Liang Individual 14. Sep 18 14. Sep 18 150,000 HK$3.15 HK$472,365
12. Sep 18 Buy Ronald Liang Individual 07. Sep 18 07. Sep 18 200,000 HK$3.10 HK$619,980
13. Sep 18 Buy Ronald Liang Individual 12. Sep 18 12. Sep 18 168,000 HK$2.95 HK$495,583
06. Sep 18 Buy Chin Shing Fu Individual 05. Sep 18 05. Sep 18 300,000 HK$3.20 HK$960,000
05. Sep 18 Buy Ronald Liang Individual 04. Sep 18 04. Sep 18 300,000 HK$3.20 HK$960,001
05. Sep 18 Buy Chin Shing Fu Individual 31. Aug 18 31. Aug 18 480,000 HK$3.18 HK$1,526,355
05. Sep 18 Buy Ronald Liang Individual 03. Sep 18 03. Sep 18 450,000 HK$3.20 HK$1,439,912
03. Sep 18 Buy Chin Shing Fu Individual 30. Aug 18 30. Aug 18 200,000 HK$3.20 HK$639,690
21. May 18 Buy Chin Shing Fu Individual 21. May 18 21. May 18 30,000 HK$3.42 HK$102,678
18. May 18 Buy Chin Shing Fu Individual 18. May 18 18. May 18 20,000 HK$3.37 HK$67,400
16. May 18 Buy Chin Shing Fu Individual 16. May 18 16. May 18 50,000 HK$3.31 HK$165,600
14. May 18 Buy Chin Shing Fu Individual 11. May 18 11. May 18 32,000 HK$3.34 HK$106,858
X
Management checks
We assess C Cheng Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
    5. C Cheng Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

1486 News

Simply Wall St News

Are C Cheng Holdings Limited’s (HKG:1486) Returns Worth Your While?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Return On Capital Employed (ROCE): What is it? … How Do You Calculate Return On Capital Employed

Simply Wall St - –

Before You Buy C Cheng Holdings Limited (HKG:1486), Consider Its Volatility

Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Before we go on, it's worth noting that Warren Buffett pointed out in his 2014 letter to shareholders that 'volatility is far from synonymous with risk.' Having said that, beta can still be rather useful. … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St - –

Are Insiders Buying C Cheng Holdings Limited (HKG:1486) Stock?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … So shareholders might well want to know whether insiders have been buying or selling shares in C Cheng Holdings Limited (HKG:1486). … Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market.

Simply Wall St - –

What Kind Of Investor Owns Most Of C Cheng Holdings Limited (HKG:1486)?

Every investor in C Cheng Holdings Limited (HKG:1486) should be aware of the most powerful shareholder groups. … Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … C Cheng Holdings is a smaller company with a market capitalization of HK$669m, so it may still be flying under the radar of many institutional investors.

Simply Wall St - –

Is C Cheng Holdings Limited's (HKG:1486) Balance Sheet A Threat To Its Future?

While small-cap stocks, such as C Cheng Holdings Limited (HKG:1486) with its market cap of HK$646m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Assessing first and foremost the financial health is. … Here are few basic financial health checks you should consider before taking the plunge.

Simply Wall St - –

Does C Cheng Holdings Limited (HKG:1486) Have A Place In Your Dividend Stock Portfolio?

In the last few years C Cheng Holdings Limited (HKG:1486) has paid a dividend to shareholders. … Does C Cheng Holdings tick all the boxes of a great dividend stock? … Check out our latest analysis for C Cheng Holdings

Simply Wall St - –

What C Cheng Holdings Limited's (HKG:1486) ROE Can Tell Us

C Cheng Holdings has a ROE of 13%, based on the last twelve months. … That means that for every HK$1 worth of shareholders' equity, it generated HK$0.13 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St - –

Should You Worry About C Cheng Holdings Limited's (HKG:1486) CEO Salary Level?

Chin Shing Fu became the CEO of C Cheng Holdings Limited (HKG:1486) in 2013. … At the time of writing our data says that C Cheng Holdings Limited has a market cap of HK$657m, and is paying total annual CEO compensation of HK$8m. … Thus we can conclude that Chin Shing Fu receives more in total compensation than the median of a group of companies in the same market, and of similar size to C Cheng Holdings Limited

Simply Wall St - –

What Kind Of Share Price Volatility Should You Expect For C Cheng Holdings Limited (HKG:1486)?

Modern finance theory considers volatility to be a measure of risk, and there are two main types of price volatility. … Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility).

Simply Wall St - –

What Does C Cheng Holdings Limited's (HKG:1486) PE Ratio Tell You?

C Cheng Holdings Limited (HKG:1486) is currently trading at a trailing P/E of 11.4, which is lower than the industry average of 13.8. … Although some investors might think this is a real positive, that might change once you understand the assumptions behind the P/E. … See our latest analysis for C Cheng Holdings

Simply Wall St - –

1486 Company Info

Map
Description

C Cheng Holdings Limited, an investment holding company, provides architectural and building information modelling (BIM) services in the People’s Republic of China. It operates through Comprehensive Architectural Services and BIM Services segments. The Comprehensive Architectural Services segment offers landscape architecture, town planning, interior design, and heritage conservation services. The BIM Services segment provides BIM consultancy, professional training, and software development services. The company also provides repair and fitting out works, as well as operates related mobile application. C Cheng Holdings Limited was founded in 1985 and is headquartered in Tsim Sha Tsui, Hong Kong.

Details
Name: C Cheng Holdings Limited
1486
Exchange: SEHK
Founded: 1985
HK$686,060,656
288,260,780
Website: http://www.cchengholdings.com
Address: C Cheng Holdings Limited
North Tower,
World Finance Centre,
Tsim Sha Tsui,
Kowloon, Hong Kong
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 1486 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 20. Dec 2013
Number of employees
Current staff
Staff numbers
960
C Cheng Holdings employees.
Industry
Research and Consulting Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/18 13:02
End of day share price update: 2019/02/18 00:00
Last estimates confirmation: 2019/02/15
Last earnings filing: 2018/09/03
Last earnings reported: 2018/06/30
Last annual earnings reported: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.

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