2331 Stock Overview
Li Ning Company Limited engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People’s Republic of China.
Li Ning Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||HK$72.70|
|52 Week High||HK$108.20|
|52 Week Low||HK$48.60|
|1 Month Change||21.17%|
|3 Month Change||8.27%|
|1 Year Change||-19.71%|
|3 Year Change||295.11%|
|5 Year Change||1,128.04%|
|Change since IPO||2,993.62%|
Recent News & Updates
An Intrinsic Calculation For Li Ning Company Limited (HKG:2331) Suggests It's 31% Undervalued
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Li Ning Company...
I Ran A Stock Scan For Earnings Growth And Li Ning (HKG:2331) Passed With Ease
Some have more dollars than sense, they say, so even companies that have no revenue, no profit, and a record of falling...
|2331||HK Luxury||HK Market|
Return vs Industry: 2331 exceeded the Hong Kong Luxury industry which returned -33.6% over the past year.
Return vs Market: 2331 matched the Hong Kong Market which returned -20.3% over the past year.
|2331 Average Weekly Movement||9.2%|
|Luxury Industry Average Movement||6.7%|
|Market Average Movement||6.9%|
|10% most volatile stocks in HK Market||13.7%|
|10% least volatile stocks in HK Market||3.3%|
Stable Share Price: 2331 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: 2331's weekly volatility (9%) has been stable over the past year.
About the Company
Li Ning Company Limited engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People’s Republic of China. The company offers sporting goods, including footwear, apparel, equipment, and accessories for professional and leisure purposes primarily under the LI-NING brand. It also develops, manufactures, markets, distributes, and/or sells outdoor sports products under the AIGLE brand; table tennis under the Double Happiness brand name; fashionable fitness products for dance and yoga under the Danskin brand; and badminton under the Kason brand name.
Li Ning Fundamentals Summary
|2331 fundamental statistics|
Is 2331 overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|2331 income statement (TTM)|
|Cost of Revenue||CN¥10.60b|
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
|Earnings per share (EPS)||1.53|
|Net Profit Margin||17.77%|
How did 2331 perform over the long term?See historical performance and comparison
0.7%Current Dividend Yield
Is 2331 undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for 2331?
Other financial metrics that can be useful for relative valuation.
|What is 2331's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does 2331's PE Ratio compare to its peers?
|2331 PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
2020 ANTA Sports Products
2313 Shenzhou International Group Holdings
3998 Bosideng International Holdings
2331 Li Ning
Price-To-Earnings vs Peers: 2331 is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the peer average (33.4x).
Price to Earnings Ratio vs Industry
How does 2331's PE Ratio compare vs other companies in the HK Luxury Industry?
Price-To-Earnings vs Industry: 2331 is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the Hong Kong Luxury industry average (8x)
Price to Earnings Ratio vs Fair Ratio
What is 2331's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||40.5x|
|Fair PE Ratio||19.8x|
Price-To-Earnings vs Fair Ratio: 2331 is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the estimated Fair Price-To-Earnings Ratio (19.8x).
Share Price vs Fair Value
What is the Fair Price of 2331 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: 2331 (HK$72.7) is trading below our estimate of fair value (HK$111.23)
Significantly Below Fair Value: 2331 is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: 2331 is poor value based on its PEG Ratio (2x)
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How is Li Ning forecast to perform in the next 1 to 3 years based on estimates from 33 analysts?
Future Growth Score5/6
Future Growth Score 5/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 2331's forecast earnings growth (20.2% per year) is above the savings rate (1.6%).
Earnings vs Market: 2331's earnings (20.2% per year) are forecast to grow faster than the Hong Kong market (16.5% per year).
High Growth Earnings: 2331's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 2331's revenue (18.1% per year) is forecast to grow faster than the Hong Kong market (10.1% per year).
High Growth Revenue: 2331's revenue (18.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 2331's Return on Equity is forecast to be high in 3 years time (22.9%)
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How has Li Ning performed over the past 5 years?
Past Performance Score5/6
Past Performance Score 5/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 2331 has high quality earnings.
Growing Profit Margin: 2331's current net profit margins (17.8%) are higher than last year (11.7%).
Past Earnings Growth Analysis
Earnings Trend: 2331's earnings have grown significantly by 46% per year over the past 5 years.
Accelerating Growth: 2331's earnings growth over the past year (136.1%) exceeds its 5-year average (46% per year).
Earnings vs Industry: 2331 earnings growth over the past year (136.1%) exceeded the Luxury industry 44%.
Return on Equity
High ROE: 2331's Return on Equity (19%) is considered low.
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How is Li Ning's financial position?
Financial Health Score6/6
Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: 2331's short term assets (CN¥18.7B) exceed its short term liabilities (CN¥7.7B).
Long Term Liabilities: 2331's short term assets (CN¥18.7B) exceed its long term liabilities (CN¥1.5B).
Debt to Equity History and Analysis
Debt Level: 2331 is debt free.
Reducing Debt: 2331 has no debt compared to 5 years ago when its debt to equity ratio was 19%.
Debt Coverage: 2331 has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: 2331 has no debt, therefore coverage of interest payments is not a concern.
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What is Li Ning current dividend yield, its reliability and sustainability?
Dividend Score 0/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 2331's dividend (0.73%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.71%).
High Dividend: 2331's dividend (0.73%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.78%).
Stability and Growth of Payments
Stable Dividend: 2331 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are stable.
Growing Dividend: 2331 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are increasing.
Earnings Payout to Shareholders
Earnings Coverage: 2331 is not paying a notable dividend for the Hong Kong market.
Cash Payout to Shareholders
Cash Flow Coverage: 2331 is not paying a notable dividend for the Hong Kong market.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ning Li (59 yo)
Mr. Ning Li serves as Joint Chief Executive Officer of Li Ning Company Limited since September 02, 2019. Mr. Li serves as Chairman of the Board at Trinity Acquisition Corp. He is the Founder of Li Ning Com...
CEO Compensation Analysis
Compensation vs Market: Ning's total compensation ($USD9.83M) is above average for companies of similar size in the Hong Kong market ($USD1.06M).
Compensation vs Earnings: Ning's compensation has increased by more than 20% in the past year.
Experienced Management: 2331's management team is considered experienced (4.1 years average tenure).
Experienced Board: 2331's board of directors are seasoned and experienced ( 18.1 years average tenure).
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
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.4%.
Li Ning Company Limited's employee growth, exchange listings and data sources
- Name: Li Ning Company Limited
- Ticker: 2331
- Exchange: SEHK
- Founded: 1990
- Industry: Apparel, Accessories and Luxury Goods
- Sector: Consumer Durables
- Implied Market Cap: HK$190.013b
- Shares outstanding: 2.61b
- Website: https://www.lining.com
Number of Employees
- Li Ning Company Limited
- Beijing Eco-Techl Development Area
- No. 8 Xing Guang 5th Street
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/07/03 00:00|
|End of Day Share Price||2022/06/30 00:00|
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.