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1234

China LilangSEHK:1234 Stock Report

Market Cap

HK$5.6b

7D

0.2%

1Y

12.1%

Updated

24 Sep, 2021

Data

Company Financials +
1234 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance2/6
Financial Health6/6
Dividends5/6

1234 Overview

China Lilang Limited, together with its subsidiaries, engages in the manufacture and sale of branded menswear and related accessories in the People’s Republic of China.

China Lilang Competitors

Price History & Performance

Summary of all time highs, changes and price drops for China Lilang
Historical stock prices
Current Share PriceHK$4.71
52 Week HighHK$4.18
52 Week LowHK$6.75
Beta0.44
1 Month Change-3.48%
3 Month Change-5.42%
1 Year Change12.14%
3 Year Change-35.66%
5 Year Change7.05%
Change since IPO21.71%

Recent News & Updates

Shareholder Returns

1234HK LuxuryHK Market
7D0.2%-4.0%-0.9%
1Y12.1%78.4%10.1%

Return vs Industry: 1234 underperformed the Hong Kong Luxury industry which returned 78.4% over the past year.

Return vs Market: 1234 exceeded the Hong Kong Market which returned 10.1% over the past year.

Price Volatility

Is 1234's price volatile compared to industry and market?
1234 volatility
1234 Beta0.44
Industry Beta0.90
Market Beta1

Stable Share Price: 1234 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: 1234's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19873,874Liang Xing Wanghttps://www.lilanz.com

China Lilang Limited, together with its subsidiaries, engages in the manufacture and sale of branded menswear and related accessories in the People’s Republic of China. The company designs, sources, manufactures, and sells business and casual apparel for men under the LILANZ brand name through a distribution network covering 31 provinces, autonomous regions, and municipalities. It also provides management services.

China Lilang Fundamentals Summary

How do China Lilang's earnings and revenue compare to its market cap?
1234 fundamental statistics
Market CapCN¥4.68b
Earnings (TTM)CN¥559.76m
Revenue (TTM)CN¥2.94b

8.4x

P/E Ratio

1.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1234 income statement (TTM)
RevenueCN¥2.94b
Cost of RevenueCN¥1.50b
Gross ProfitCN¥1.44b
ExpensesCN¥883.89m
EarningsCN¥559.76m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.47
Gross Margin49.07%
Net Profit Margin19.03%
Debt/Equity Ratio0%

How did 1234 perform over the long term?

See historical performance and comparison

Dividends

9.5%

Current Dividend Yield

56%

Payout Ratio

Valuation

Is China Lilang 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: 1234 (HK$4.71) is trading below our estimate of fair value (HK$15.7)

Significantly Below Fair Value: 1234 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1234 is good value based on its PE Ratio (8.4x) compared to the Hong Kong Luxury industry average (9.1x).

PE vs Market: 1234 is good value based on its PE Ratio (8.4x) compared to the Hong Kong market (9.8x).


Price to Earnings Growth Ratio

PEG Ratio: 1234 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: 1234 is overvalued based on its PB Ratio (1.3x) compared to the HK Luxury industry average (0.8x).


Future Growth

How is China Lilang forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

18.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1234's forecast earnings growth (18.1% per year) is above the savings rate (1.5%).

Earnings vs Market: 1234's earnings (18.1% per year) are forecast to grow faster than the Hong Kong market (17.1% per year).

High Growth Earnings: 1234's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1234's revenue (12.4% per year) is forecast to grow faster than the Hong Kong market (12.3% per year).

High Growth Revenue: 1234's revenue (12.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1234's Return on Equity is forecast to be high in 3 years time (20.3%)


Past Performance

How has China Lilang performed over the past 5 years?

2.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1234 has high quality earnings.

Growing Profit Margin: 1234's current net profit margins (19%) are lower than last year (21.6%).


Past Earnings Growth Analysis

Earnings Trend: 1234's earnings have grown by 2.7% per year over the past 5 years.

Accelerating Growth: 1234's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1234 had negative earnings growth (-19.2%) over the past year, making it difficult to compare to the Luxury industry average (37.6%).


Return on Equity

High ROE: 1234's Return on Equity (15.3%) is considered low.


Financial Health

How is China Lilang's financial position?


Financial Position Analysis

Short Term Liabilities: 1234's short term assets (CN¥3.0B) exceed its short term liabilities (CN¥813.7M).

Long Term Liabilities: 1234's short term assets (CN¥3.0B) exceed its long term liabilities (CN¥79.8M).


Debt to Equity History and Analysis

Debt Level: 1234 is debt free.

Reducing Debt: 1234 has no debt compared to 5 years ago when its debt to equity ratio was 15.7%.

Debt Coverage: 1234 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 1234 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is China Lilang current dividend yield, its reliability and sustainability?

9.52%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1234's dividend (9.52%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 1234's dividend (9.52%) is in the top 25% of dividend payers in the Hong Kong market (6.77%)


Stability and Growth of Payments

Stable Dividend: 1234's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1234's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (55.6%), 1234's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1234's dividends in 3 years are forecast to be covered by earnings (71.6% payout ratio).


Next Steps

Management

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

11.7yrs

Average management tenure


CEO

Liang Xing Wang (59 yo)

no data

Tenure

CN¥1,313,000

Compensation

Mr. Liang Xing Wang co-founded China Lilang Ltd. in April 1995 and serves as Chief Executive Officer. Mr. Wang is responsible for China Lilang’s overall business development, strategic planning and corpora...


CEO Compensation Analysis

Compensation vs Market: Liang Xing's total compensation ($USD203.28K) is below average for companies of similar size in the Hong Kong market ($USD427.56K).

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


Leadership Team

Experienced Management: 1234's management team is seasoned and experienced (11.7 years average tenure).


Board Members

Experienced Board: 1234's board of directors are seasoned and experienced ( 13.3 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.


Top Shareholders

Company Information

China Lilang Limited's employee growth, exchange listings and data sources


Key Information

  • Name: China Lilang Limited
  • Ticker: 1234
  • Exchange: SEHK
  • Founded: 1987
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$5.640b
  • Shares outstanding: 1.20b
  • Website: https://www.lilanz.com

Number of Employees


Location

  • China Lilang Limited
  • Lilang Industrial Park
  • 200 Chang Xing Road
  • Jinjiang
  • Fujian Province
  • 362200
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/24 15:39
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.