Roma Group (SEHK:8072) - Share price, News & Analysis

8072 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	0/6
Financial Health	3/6
Dividends	0/6

8072 Stock Overview

Roma Group Limited, an investment holding company, provides valuation and advisory services in Hong Kong.

Risk Analysis

Earnings have declined by 22.7% per year over past 5 years

Has less than 1 year of cash runway

Highly volatile share price over the past 3 months

Does not have a meaningful market cap (HK$32M)

Roma Group Competitors

Royal Century Resources Holdings

SEHK:8125

HK$27.9m

WMCH Global Investment

SEHK:8208

HK$40.3m

WAC Holdings

SEHK:8619

HK$89.9m

C Cheng Holdings

SEHK:1486

HK$239.3m

Price History & Performance

Summary of all time highs, changes and price drops for Roma Group
Historical stock prices
Current Share Price	HK$0.045
52 Week High	HK$0.55
52 Week Low	HK$0.041
Beta	-0.10
1 Month Change	-82.35%
3 Month Change	-83.64%
1 Year Change	-83.02%
3 Year Change	-88.16%
5 Year Change	-98.66%
Change since IPO	-99.88%

Shareholder Returns

	8072	HK Professional Services	HK Market
7D	-34.8%	1.6%	0.3%
1Y	-83.0%	-15.8%	-21.6%

Return vs Industry: 8072 underperformed the Hong Kong Professional Services industry which returned -15.8% over the past year.

Return vs Market: 8072 underperformed the Hong Kong Market which returned -21.8% over the past year.

Price Volatility

Is 8072's price volatile compared to industry and market?
8072 volatility
8072 Average Weekly Movement	25.6%
Professional Services Industry Average Movement	7.2%
Market Average Movement	6.5%
10% most volatile stocks in HK Market	12.7%
10% least volatile stocks in HK Market	3.2%

Stable Share Price: 8072 is more volatile than 90% of Hong Kong stocks over the past 3 months, typically moving +/- 26% a week.

Volatility Over Time: 8072's weekly volatility has increased from 16% to 26% over the past year.

About the Company

Founded	Employees	CEO	Website
2011	62	Ken Yue	https://www.romagroup.com

Roma Group Limited, an investment holding company, provides valuation and advisory services in Hong Kong. It operates through Valuation and Advisory Services; Financing Services; Securities Broking, Placing and Underwriting and Investment Advisory and Asset Management Services; and Other segments. The company offers asset appraisal and asset advisory services, including real estate and fixed asset appraisal, mineral property appraisal, business and intangible asset valuation, and financial instrument valuation and advisory services, as well as environmental, social and governance reporting services; and property, biological assets, purchase price allocation, machineries and equipment, and work of art valuation services.

Roma Group Fundamentals Summary

How do Roma Group's earnings and revenue compare to its market cap?
8072 fundamental statistics
Market Cap	HK$31.59m
Earnings (TTM)	-HK$36.98m
Revenue (TTM)	HK$87.28m

0.4x

P/S Ratio

-0.9x

P/E Ratio

Is 8072 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
8072 income statement (TTM)
Revenue	HK$87.28m
Cost of Revenue	HK$71.65m
Gross Profit	HK$15.62m
Other Expenses	HK$52.61m
Earnings	-HK$36.98m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-0.053
Gross Margin	17.90%
Net Profit Margin	-42.38%
Debt/Equity Ratio	23.7%

How did 8072 perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is 8072 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 8072?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 8072. This is calculated by dividing 8072's market cap by their current preferred multiple.
What is 8072's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	HK$31.59m

8072 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.3x
Enterprise Value/EBITDA	-3.7x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 8072's PS Ratio compare to its peers?

8072 PS Ratio vs Peers

The above table shows the PS ratio for 8072 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	0.7x
8125 Royal Century Resources Holdings	0.5x	n/a	HK$27.9m
8208 WMCH Global Investment	0.8x	n/a	HK$40.3m
8619 WAC Holdings	1.1x	n/a	HK$89.9m
1486 C Cheng Holdings	0.3x	n/a	HK$239.3m
8072 Roma Group	0.4x	n/a	HK$31.6m

Price-To-Sales vs Peers: 8072 is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (0.7x).

Price to Earnings Ratio vs Industry

How does 8072's PE Ratio compare vs other companies in the Asian Professional Services Industry?

Price-To-Sales vs Industry: 8072 is good value based on its Price-To-Sales Ratio (0.4x) compared to the Hong Kong Professional Services industry average (0.7x)

Price to Sales Ratio vs Fair Ratio

What is 8072's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

8072 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.4x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 8072's Price-To-Sales Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of 8072 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate 8072's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 8072's fair value for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

19.3%

Forecasted Commercial Services 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 Roma Group 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.

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Take a look at our analysis of 8072’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
Roma Group competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Roma Group performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-22.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 8072 is currently unprofitable.

Growing Profit Margin: 8072 is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: 8072 is unprofitable, and losses have increased over the past 5 years at a rate of 22.7% per year.

Accelerating Growth: Unable to compare 8072's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 8072 is unprofitable, making it difficult to compare its past year earnings growth to the Professional Services industry (15.6%).

Return on Equity

High ROE: 8072 has a negative Return on Equity (-10.11%), as it is currently unprofitable.

Discover strong past performing companies

Financial Health

How is Roma Group's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: 8072's short term assets (HK$307.5M) exceed its short term liabilities (HK$119.3M).

Long Term Liabilities: 8072's short term assets (HK$307.5M) exceed its long term liabilities (HK$317.0K).

Debt to Equity History and Analysis

Debt Level: 8072's net debt to equity ratio (21.2%) is considered satisfactory.

Reducing Debt: 8072's debt to equity ratio has increased from 10.9% to 23.7% over the past 5 years.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 8072 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 8072 has less than a year of cash runway if free cash flow continues to reduce at historical rates of 12.5% each year

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Dividend

What is Roma Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 8072's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 8072'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 8072's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8072's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 8072 has not reported any payouts.

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Management

How experienced are the management team and are they aligned to shareholders interests?

5.2yrs

Average management tenure

CEO

Ken Yue (57 yo)

10.92yrs

Tenure

HK$2,381,000

Compensation

Mr. Kwai Wa Yue, also known as Ken, AICPA, has been Chairman of the Board at Roma Group Limited since December 18, 2017, Chief Executive Officer since October 1, 2017 and as its Compliance Officer and Comp...

CEO Compensation Analysis

Compensation vs Market: Ken's total compensation ($USD303.75K) is about average for companies of similar size in the Hong Kong market ($USD246.34K).

Compensation vs Earnings: Ken's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: 8072's management team is seasoned and experienced (5.2 years average tenure).

Board Members

Experienced Board: 8072's board of directors are considered experienced (4.6 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.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/08/14 00:00
End of Day Share Price	2022/08/12 00:00
Earnings	2022/06/30
Annual Earnings	2022/03/31