SEHK:213

Stock Analysis Report

National Electronics Holdings

Executive Summary

National Electronics Holdings Limited, an investment holding company, manufactures, assembles, and sells electronic watches and watch parts in the People’s Republic of China, North America, Europe, and internationally.

Snowflake

Fundamentals

Fair value second-rate dividend payer.

Risks

  • National Electronics Holdings is not covered by any analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

SEHK:213

4.7%

HK Luxury

3.3%

HK Market


1 Year Return

7.0%

SEHK:213

0.4%

HK Luxury

-12.3%

HK Market

213 outperformed the Luxury industry which returned 0.4% over the past year.

213 outperformed the Market in Hong Kong which returned -12.3% over the past year.


Share holder returns

213IndustryMarket
7 Day0%4.7%3.3%
30 Day-0.8%-0.09%-8.0%
90 Day2.5%7.9%-5.5%
1 Year11.2%7.0%4.0%0.4%-9.2%-12.3%
3 Year38.4%21.8%39.8%22.9%11.5%0.8%
5 Year54.3%25.3%30.6%5.0%6.7%-10.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is National Electronics Holdings undervalued based on future cash flows and its price relative to the stock market?

5.67x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

National Electronics Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

National Electronics Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

National Electronics Holdings is good value based on earnings compared to the HK Luxury industry average.

National Electronics Holdings is good value based on earnings compared to the Hong Kong market.


Price Based on Expected Growth

Unable to calculate PEG ratio for National Electronics Holdings, we can't assess if its growth is good value.


Price Based on Value of Assets

National Electronics Holdings is good value based on assets compared to the HK Luxury industry average.


Next Steps

Future Growth

How is National Electronics Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if National Electronics Holdings is high growth as no revenue estimate data is available.

National Electronics Holdings's earnings are expected to grow by 7.6% yearly, however this is not considered high growth (20% yearly).

Unable to compare National Electronics Holdings's revenue growth to the Hong Kong market average as no estimate data is available.

National Electronics Holdings's earnings growth is positive but not above the Hong Kong market average.

National Electronics Holdings's earnings growth is expected to exceed the low risk savings rate of 2%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if National Electronics Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has National Electronics Holdings performed over the past 5 years?

2.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

National Electronics Holdings's year on year earnings growth rate has been positive over the past 5 years.

National Electronics Holdings's 1-year earnings growth is less than its 5-year average (1.4% vs 2.3%)

National Electronics Holdings's earnings growth has exceeded the HK Luxury industry average in the past year (1.4% vs 0.7%).


Return on Equity

National Electronics Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

National Electronics Holdings used its assets less efficiently than the HK Luxury industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if National Electronics Holdings improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is National Electronics Holdings's financial position?


Financial Position Analysis

National Electronics Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

National Electronics Holdings's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

National Electronics Holdings's level of debt (163.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (109.5% vs 163.3% today).

Operating cash flow is negative therefore debt is not well covered.

Unable to confirm if the interest payments on National Electronics Holdings's debt are well covered by earnings due to lack of past financial data.


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.6x debt.


Next Steps

Dividend

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

3.66%

Current Dividend Yield


Upcoming Dividend Payment

Purchase National Electronics Holdings before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

National Electronics Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.27%).

National Electronics Holdings's dividend is below the markets top 25% of dividend payers in Hong Kong (6.12%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (6.2x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of National Electronics Holdings's salary, the management and board of directors tenure and is there insider trading?

14.3yrs

Average board tenure


CEO

James Lee (65yo)

13.9yrs

Tenure

HK$33,528,800

Compensation

Mr. Yuen Kui Lee, also known as James, has been Managing Director of National Electronics Holdings Limited. since September 30, 2005 and serves as its Head of Administration Trading of Watch Components and ...


CEO Compensation Analysis

James's remuneration is higher than average for companies of similar size in Hong Kong.

James's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.


Board Age and Tenure

14.3yrs

Average Tenure

65yo

Average Age

The average tenure for the National Electronics Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • James Lee (65yo)

    MD & Executive Director

    • Tenure: 13.9yrs
    • Compensation: HK$33.53m
  • Jimmy Lee (72yo)

    Chairman

    • Tenure: 0.0yrs
    • Compensation: HK$64.33m
  • Edward Lee (61yo)

    Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$17.64m
  • Ricky Wai (72yo)

    Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$5.72m
  • Andrew Lo (65yo)

    Head of Property Development Projects

    • Tenure: 0.0yrs
  • Andy Wong (54yo)

    CFO & Company Secretary

    • Tenure: 0.0yrs
  • Loewe Lee (39yo)

    MD & Executive Director

    • Tenure: 12.3yrs
    • Compensation: HK$33.85m

Board Members

  • Kwok-Wai Chan (60yo)

    Independent Non-Executive Director

    • Tenure: 14.3yrs
    • Compensation: HK$396.00k
  • James Lee (65yo)

    MD & Executive Director

    • Tenure: 13.9yrs
    • Compensation: HK$33.53m
  • Jimmy Lee (72yo)

    Chairman

    • Tenure: 0.0yrs
    • Compensation: HK$64.33m
  • Edward Lee (61yo)

    Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$17.64m
  • Samson Sun (94yo)

    Independent Non-Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$528.00k
  • Ricky Wai (72yo)

    Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$5.72m
  • Andrew Lo (65yo)

    Head of Property Development Projects

    • Tenure: 0.0yrs
  • William Chan (71yo)

    Independent Non-Executive Director

    • Tenure: 15.6yrs
    • Compensation: HK$396.00k
  • Dorathy Lee (59yo)

    Non-Executive Director

    • Tenure: 0.0yrs
    • Compensation: HK$50.00k
  • Loewe Lee (39yo)

    MD & Executive Director

    • Tenure: 12.3yrs
    • Compensation: HK$33.85m

Company Information

National Electronics Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: National Electronics Holdings Limited
  • Ticker: 213
  • Exchange: SEHK
  • Founded:
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$1.244b
  • Shares outstanding: 1.01b
  • Website: https://null

Number of Employees


Location

  • National Electronics Holdings Limited
  • Gloucester Tower
  • Suite 3201
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
213SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992

Biography

National Electronics Holdings Limited, an investment holding company, manufactures, assembles, and sells electronic watches and watch parts in the People’s Republic of China, North America, Europe, and int ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 12:32
End of Day Share Price2019/08/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.