company background image
1361

361 Degrees InternationalSEHK:1361 Stock Report

Market Cap

HK$7.8b

7D

-9.2%

1Y

296.8%

Updated

27 Oct, 2021

Data

Company Financials +
1361 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance3/6
Financial Health6/6
Dividends0/6

1361 Overview

361 Degrees International Limited, an investment holding company, manufactures and trades in sporting goods in the People’s Republic of China.

Rewards

Trading at 53.7% below our estimate of its fair value

Earnings are forecast to grow 9.44% per year

Risk Analysis

No risks detected for 1361 from our risk checks.

361 Degrees International Competitors

Li Ning

SEHK:2331

HK$237.9b

NIKE

NYSE:NKE

US$259.2b

adidas

XTRA:ADS

€54.0b

ANTA Sports Products

SEHK:2020

HK$343.1b

Price History & Performance

Summary of all time highs, changes and price drops for 361 Degrees International
Historical stock prices
Current Share PriceHK$3.77
52 Week HighHK$0.90
52 Week LowHK$4.56
Beta0.36
1 Month Change2.17%
3 Month Change10.23%
1 Year Change296.84%
3 Year Change107.14%
5 Year Change32.75%
Change since IPO-3.33%

Recent News & Updates

Sep 10
Here's Why I Think 361 Degrees International (HKG:1361) Might Deserve Your Attention Today

Here's Why I Think 361 Degrees International (HKG:1361) Might Deserve Your Attention Today

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Aug 24
Does 361 Degrees International (HKG:1361) Have A Healthy Balance Sheet?

Does 361 Degrees International (HKG:1361) Have A Healthy Balance Sheet?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Jul 31
361 Degrees International Limited's (HKG:1361) Intrinsic Value Is Potentially 68% Above Its Share Price

361 Degrees International Limited's (HKG:1361) Intrinsic Value Is Potentially 68% Above Its Share Price

Does the August share price for 361 Degrees International Limited ( HKG:1361 ) reflect what it's really worth? Today...

Jul 13
361 Degrees International (HKG:1361) Has Some Difficulty Using Its Capital Effectively

361 Degrees International (HKG:1361) Has Some Difficulty Using Its Capital Effectively

What underlying fundamental trends can indicate that a company might be in decline? More often than not, we'll see a...

Shareholder Returns

1361HK LuxuryHK Market
7D-9.2%0.3%-0.5%
1Y296.8%53.1%6.3%

Return vs Industry: 1361 exceeded the Hong Kong Luxury industry which returned 53.1% over the past year.

Return vs Market: 1361 exceeded the Hong Kong Market which returned 6.3% over the past year.

Price Volatility

Is 1361's price volatile compared to industry and market?
1361 volatility
1361 Beta0.36
Industry Beta0.93
Market Beta1

Stable Share Price: 1361 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: 1361's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20036,697Wuhao Dinghttps://www.361sport.com

361 Degrees International Limited, an investment holding company, manufactures and trades in sporting goods in the People’s Republic of China. The company operates in two segments, Adults and Kids. It offers adult and children footwear, apparels, and accessories for sports and casual life under the 361 core and 361 Kids brands; and ski and outdoor sportswear products under the ONE WAY brand.

361 Degrees International Fundamentals Summary

How do 361 Degrees International's earnings and revenue compare to its market cap?
1361 fundamental statistics
Market CapCN¥6.40b
Earnings (TTM)CN¥514.53m
Revenue (TTM)CN¥5.55b

12.4x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1361 income statement (TTM)
RevenueCN¥5.55b
Cost of RevenueCN¥3.32b
Gross ProfitCN¥2.23b
ExpensesCN¥1.71b
EarningsCN¥514.53m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.25
Gross Margin40.12%
Net Profit Margin9.27%
Debt/Equity Ratio2.5%

How did 1361 perform over the long term?

See historical performance and comparison

Valuation

Is 361 Degrees International 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: 1361 (HK$3.77) is trading below our estimate of fair value (HK$8.14)

Significantly Below Fair Value: 1361 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1361 is poor value based on its PE Ratio (12.4x) compared to the Hong Kong Luxury industry average (8.8x).

PE vs Market: 1361 is poor value based on its PE Ratio (12.4x) compared to the Hong Kong market (9.5x).


Price to Earnings Growth Ratio

PEG Ratio: 1361 is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 1361 is overvalued based on its PB Ratio (0.9x) compared to the HK Luxury industry average (0.8x).


Future Growth

How is 361 Degrees International forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

9.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1361's forecast earnings growth (9.4% per year) is above the savings rate (1.5%).

Earnings vs Market: 1361's earnings (9.4% per year) are forecast to grow slower than the Hong Kong market (17.6% per year).

High Growth Earnings: 1361's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1361's revenue (9.1% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).

High Growth Revenue: 1361's revenue (9.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1361's Return on Equity is forecast to be low in 3 years time (8%).


Past Performance

How has 361 Degrees International performed over the past 5 years?

-2.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1361 has high quality earnings.

Growing Profit Margin: 1361's current net profit margins (9.3%) are higher than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: 1361's earnings have declined by 2% per year over the past 5 years.

Accelerating Growth: 1361's earnings growth over the past year (40.2%) exceeds its 5-year average (-2% per year).

Earnings vs Industry: 1361 earnings growth over the past year (40.2%) underperformed the Luxury industry 40.3%.


Return on Equity

High ROE: 1361's Return on Equity (7.6%) is considered low.


Financial Health

How is 361 Degrees International's financial position?


Financial Position Analysis

Short Term Liabilities: 1361's short term assets (CN¥9.4B) exceed its short term liabilities (CN¥2.3B).

Long Term Liabilities: 1361's short term assets (CN¥9.4B) exceed its long term liabilities (CN¥22.6M).


Debt to Equity History and Analysis

Debt Level: 1361's debt to equity ratio (2.5%) is considered satisfactory.

Reducing Debt: 1361's debt to equity ratio has reduced from 72.6% to 2.5% over the past 5 years.

Debt Coverage: 1361's debt is well covered by operating cash flow (46.7%).

Interest Coverage: 1361's interest payments on its debt are well covered by EBIT (294.5x coverage).


Balance Sheet


Dividend

What is 361 Degrees International current dividend yield, its reliability and sustainability?

2.82%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1361's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1361'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 1361's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1361's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 1361 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1361'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?

6.4yrs

Average management tenure


CEO

Wuhao Ding (56 yo)

13.17yrs

Tenure

CN¥1,047,000

Compensation

Mr. Ding Wuhao serves as the President of 361 Degrees International Limited and has been its Executive Director since August 1, 2008. Mr. Ding has more than 15 years of experience in the PRC sportswear ind...


CEO Compensation Analysis

Compensation vs Market: Wuhao's total compensation ($USD164.03K) is below average for companies of similar size in the Hong Kong market ($USD442.69K).

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


Leadership Team

Experienced Management: 1361's management team is seasoned and experienced (6.4 years average tenure).


Board Members

Experienced Board: 1361's board of directors are considered experienced (7.8 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.


Ownership Breakdown

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


Top Shareholders

Company Information

361 Degrees International Limited's employee growth, exchange listings and data sources


Key Information

  • Name: 361 Degrees International Limited
  • Ticker: 1361
  • Exchange: SEHK
  • Founded: 2003
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$7.795b
  • Shares outstanding: 2.07b
  • Website: https://www.361sport.com

Number of Employees


Location

  • 361 Degrees International Limited
  • 361° Building
  • Huli High-technology Park
  • Xiamen
  • Fujian Province
  • 361009
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/27 10:04
End of Day Share Price2021/10/27 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.