SEHK:1520

Stock Analysis Report

CEFC Hong Kong Financial Investment

Executive Summary

CEFC Hong Kong Financial Investment Company Limited, an investment holding company, designs, manufactures, and trades in apparels in the United States, Canada, Hong Kong, and internationally.

Snowflake

Flawless balance sheet and overvalued.

Share Price & News

How has CEFC Hong Kong Financial Investment's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1520's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.9%

1520

-1.6%

HK Luxury

-1.9%

HK Market


1 Year Return

-51.7%

1520

22.9%

HK Luxury

1.1%

HK Market

Return vs Industry: 1520 underperformed the Hong Kong Luxury industry which returned 22.9% over the past year.

Return vs Market: 1520 underperformed the Hong Kong Market which returned 1.1% over the past year.


Shareholder returns

1520IndustryMarket
7 Day-3.9%-1.6%-1.9%
30 Day-13.1%3.4%1.7%
90 Day-44.7%14.0%7.0%
1 Year-51.7%-51.7%27.3%22.9%4.7%1.1%
3 Year-89.4%-89.4%51.6%33.7%22.6%10.3%
5 Year-97.0%-97.0%44.1%15.9%19.8%-0.1%

Price Volatility Vs. Market

How volatile is CEFC Hong Kong Financial Investment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is CEFC Hong Kong Financial Investment undervalued compared to its fair value and its price relative to the market?

0.35x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1520's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1520's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1520 is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: 1520 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1520's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1520 is good value based on its PB Ratio (0.3x) compared to the HK Luxury industry average (0.9x).


Next Steps

Future Growth

How is CEFC Hong Kong Financial Investment forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.6%

Forecasted Consumer Durables 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 CEFC Hong Kong Financial Investment 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 CEFC Hong Kong Financial Investment performed over the past 5 years?

-69.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1520 has high quality earnings.

Growing Profit Margin: 1520's current net profit margins (-23%) are lower than last year (-17.9%).


Past Earnings Growth Analysis

Earnings Trend: 1520 is unprofitable, and losses have increased over the past 5 years at a rate of -69.9% per year.

Accelerating Growth: Unable to compare 1520's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1520 is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-4.9%).


Return on Equity

High ROE: 1520 has a negative Return on Equity (-12.78%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is CEFC Hong Kong Financial Investment's financial position?


Financial Position Analysis

Short Term Liabilities: 1520's short term assets (HK$271.4M) exceeds its short term liabilities (HK$62.7M)

Long Term Liabilities: 1520's short term assets (271.4M) exceeds its long term liabilities (7.8M)


Debt to Equity History and Analysis

Debt Level: 1520 is debt free.

Reducing Debt: 1520 has no debt compared to 5 years ago when its debt to equity ratio was 5.4%.

Debt Coverage: 1520 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 1520 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 1520 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 1520's debt is covered by short term assets.


Next Steps

Dividend

What is CEFC Hong Kong Financial Investment's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.2%markettop25%6.3%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 1520's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1520's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 1520's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1520'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 1520's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of CEFC Hong Kong Financial Investment's salary, the management and board of directors tenure and is there insider trading?

2.4yrs

Average management tenure


CEO

CEFC Hong Kong Financial Investment has no CEO, or we have no data on them.


Management Age and Tenure

2.4yrs

Average Tenure

49yo

Average Age

Experienced Management: 1520's management team is considered experienced (2.4 years average tenure).


Board Age and Tenure

2.4yrs

Average Tenure

47yo

Average Age

Experienced Board: 1520's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Insider Trading

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.


Management Team

  • Carol Tin (53yo)

    Executive Director

    • Tenure: 0.08yrs
  • Mingsheng Jiang (59yo)

    Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$600.00k
  • Winnie Tien (49yo)

    Chief Administrative Officer and Head of Quality Control

    • Tenure: 0yrs
  • Ka Yu Chan (40yo)

    Chief Financial Officer

    • Tenure: 0yrs
  • David Blitz (50yo)

    Head of Sales & Marketing for the United States

    • Tenure: 0yrs
  • Yinzhen Li (51yo)

    Head of Jiaxing Runway Global Garment Limited

    • Tenure: 0yrs
  • Lin Guo (44yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: HK$1.22m
  • Tianqing Jiang (34yo)

    Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$600.00k
  • Ka Man Wong

    Company Secretary

    • Tenure: 2.4yrs
  • Ka Lung Cheung (44yo)

    Deputy CEO & Director

    • Tenure: 0.4yrs

Board Members

  • Hong Bing Lyu (53yo)

    Independent Non-Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$240.00k
  • Carol Tin (53yo)

    Executive Director

    • Tenure: 0.08yrs
  • Stephen Hon (40yo)

    Independent Non-Executive Director

    • Tenure: 3yrs
    • Compensation: HK$240.00k
  • Mingsheng Jiang (59yo)

    Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$600.00k
  • Simon Tang (54yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$240.00k
  • Lin Guo (44yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: HK$1.22m
  • Tianqing Jiang (34yo)

    Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$600.00k
  • Fei Wu (47yo)

    Independent Non Executive Director

    • Tenure: 1.8yrs
    • Compensation: HK$210.00k
  • Ka Lung Cheung (44yo)

    Deputy CEO & Director

    • Tenure: 0.4yrs

Company Information

CEFC Hong Kong Financial Investment Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CEFC Hong Kong Financial Investment Company Limited
  • Ticker: 1520
  • Exchange: SEHK
  • Founded: 2001
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$126.750m
  • Shares outstanding: 1.69b
  • Website: https://www.cefcfi.com.hk

Number of Employees


Location

  • CEFC Hong Kong Financial Investment Company Limited
  • Capital Centre
  • 7th Floor
  • Wanchai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1520SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2013

Biography

CEFC Hong Kong Financial Investment Company Limited, an investment holding company, designs, manufactures, and trades in apparels in the United States, Canada, Hong Kong, and internationally. The company p ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/11 12:48
End of Day Share Price2019/11/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.