SEHK:180

Stock Analysis Report

Executive Summary

Kader Holdings Company Limited, an investment holding company, manufactures, trades in, and sells plastic, electronic, and stuffed toys and model trains in Hong Kong, Mainland China, North America, Europe, and internationally.


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

How has Kader Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 180 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.9%

180

-2.1%

HK Leisure

-3.2%

HK Market


1 Year Return

-19.5%

180

-30.9%

HK Leisure

-10.2%

HK Market

Return vs Industry: 180 exceeded the Hong Kong Leisure industry which returned -29.2% over the past year.

Return vs Market: 180 underperformed the Hong Kong Market which returned -7.6% over the past year.


Shareholder returns

180IndustryMarket
7 Day2.9%-2.1%-3.2%
30 Day-2.8%-9.0%-3.3%
90 Day-6.7%-9.5%0.2%
1 Year-18.6%-19.5%-27.8%-30.9%-6.9%-10.2%
3 Year-8.4%-12.5%-39.2%-43.3%11.7%0.4%
5 Year-10.9%-16.7%-51.1%-53.6%11.1%-7.3%

Price Volatility Vs. Market

How volatile is Kader Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kader Holdings undervalued compared to its fair value and its price relative to the market?

4.39x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 180 (HK$0.74) is trading above our estimate of fair value (HK$0.29)

Significantly Below Fair Value: 180 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 180 is good value based on its PE Ratio (4.6x) compared to the Leisure industry average (11.1x).

PE vs Market: 180 is good value based on its PE Ratio (4.6x) compared to the Hong Kong market (10.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 180's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 180 is good value based on its PB Ratio (0.3x) compared to the HK Leisure industry average (0.8x).


Next Steps

Future Growth

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

16.1%

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 Kader Holdings 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 Kader Holdings performed over the past 5 years?

11.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 180 has a large one-off gain of HK$143.1M impacting its June 30 2019 financial results.

Growing Profit Margin: 180's current net profit margins (25.4%) are lower than last year (37.2%).


Past Earnings Growth Analysis

Earnings Trend: 180's earnings have grown by 11.7% per year over the past 5 years.

Accelerating Growth: 180's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 180 had negative earnings growth (-48.1%) over the past year, making it difficult to compare to the Leisure industry average (-9.2%).


Return on Equity

High ROE: 180's Return on Equity (6.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Kader Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 180's short term assets (HK$499.4M) exceed its short term liabilities (HK$424.3M).

Long Term Liabilities: 180's short term assets (HK$499.4M) exceed its long term liabilities (HK$89.3M).


Debt to Equity History and Analysis

Debt Level: 180's debt to equity ratio (12.4%) is considered satisfactory.

Reducing Debt: 180's debt to equity ratio has reduced from 41.6% to 12.4% over the past 5 years.

Debt Coverage: 180's debt is well covered by operating cash flow (22.9%).

Interest Coverage: 180's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet

Inventory Level: 180 has a high level of physical assets or inventory.

Debt Coverage by Assets: 180's debt is covered by short term assets (assets are 1.8x debt).


Next Steps

Dividend

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

1.43%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%2.3%markettop25%6.4%industryaverage5.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 180's dividend (1.35%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.29%).

High Dividend: 180's dividend (1.35%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.34%).


Stability and Growth of Payments

Stable Dividend: 180's dividend payments have been volatile in the past 10 years.

Growing Dividend: 180's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (6.3%), 180's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

10.3yrs

Average board tenure


CEO

Kenneth Ting (77yo)

7.6yrs

Tenure

HK$2,344,000

Compensation

Mr. Woo Shou Ting, SBS, JP, also known as Kenneth, serves as the President at HK Wuxi Trade Association Limited. Mr. Ting has been the Chief Executive Officer of Kader Holdings Company Limited since 1989 a ...


CEO Compensation Analysis

Compensation vs Market: Kenneth's total compensation ($USD300.99K) is above average for companies of similar size in the Hong Kong market ($USD226.90K).

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


Board Members

NamePositionTenureCompensationOwnership
Woo Shou Ting
Executive Chairman7.6yrsHK$2.34m35.56% HK$250.1m
Tien-Li Ting
Executive Director7.6yrsHK$1.26m2.26% HK$15.9m
Wang Wan-Sun Ting
Executive Director12.1yrsHK$1.08m0.22% HK$1.5m
Cho-Fai Yao
Independent Non-Executive Director15.4yrsHK$120.00kno data
Tsoi-Yin Chan
Independent Non-Executive Director15.4yrsHK$120.00kno data
Sih Chao
Independent Non-Executive Director0.6yrsno datano data
Kwan Yue Chum
Independent Non-Executive Director10.9yrsHK$120.00kno data
Wai-Cheung Ting
Non-Executive Director9.6yrsHK$80.00kno data

10.3yrs

Average Tenure

53yo

Average Age

Experienced Board: 180's board of directors are seasoned and experienced ( 10.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 180 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

Kader Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kader Holdings Company Limited
  • Ticker: 180
  • Exchange: SEHK
  • Founded: 1948
  • Industry: Leisure Products
  • Sector: Consumer Durables
  • Market Cap: HK$703.435m
  • Shares outstanding: 950.59m
  • Website: https://www.kaderholdings.com

Number of Employees


Location

  • Kader Holdings Company Limited
  • Kader Building
  • 11th Floor
  • Kowloon Bay
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
180SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992

Biography

Kader Holdings Company Limited, an investment holding company, manufactures, trades in, and sells plastic, electronic, and stuffed toys and model trains in Hong Kong, Mainland China, North America, Europe, and internationally. It operates through three segments: Toys and Model Trains, Property Investment, and Investment Holding. The company produces model train locomotives; other hobby items comprising electronic slot racing cars and digital controls, as well as accessories, such as scenery, promotional cars, and trucks; and scale locomotives, coach cars, rolling stockcars, cabooses, and other accessories under the Bachmann brand, as well as offers original design manufacture services in model railroads. It also provides engineering and design solutions comprising product design and development, mould design and development, and electronic and production process engineering; and designs and manufactures plush and educational toys for babies under the Tinco brand, as well as offers a range of original equipment manufacturing services. In addition, the company leases office premises and industrial buildings. Further, it invests in securities; provides management services; and manufactures and sells moulds, as well as operates as an agent for sale of toys. Additionally, the company engages in sub-letting wine cellar. Kader Holdings Company Limited was founded in 1948 and is headquartered in Kowloon Bay, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 12:49
End of Day Share Price2020/02/25 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.