SEHK:3608

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Yongsheng Advanced Materials

Executive Summary

Yongsheng Advanced Materials Company Limited, an investment holding company, engages in the textile and advanced material-related businesses in Hong Kong, Mainland China, and internationally.


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

How has Yongsheng Advanced Materials's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 3608 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.0%

3608

-1.9%

HK Luxury

-3.0%

HK Market


1 Year Return

-4.0%

3608

-6.1%

HK Luxury

-11.2%

HK Market

Return vs Industry: 3608 exceeded the Hong Kong Luxury industry which returned -6.1% over the past year.

Return vs Market: 3608 exceeded the Hong Kong Market which returned -11.2% over the past year.


Shareholder returns

3608IndustryMarket
7 Day-1.0%-1.9%-3.0%
30 Day3.2%1.2%-1.2%
90 Day1.0%-10.8%-10.0%
1 Year-2.0%-4.0%-3.9%-6.1%-8.2%-11.2%
3 Year15.1%7.8%18.6%4.9%-5.5%-14.9%
5 Year16.7%1.6%11.4%-5.8%-17.8%-30.5%

Price Volatility Vs. Market

How volatile is Yongsheng Advanced Materials's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Yongsheng Advanced Materials 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: 3608 (HK$1.94) is trading below our estimate of fair value (HK$18.28)

Significantly Below Fair Value: 3608 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 3608 is poor value based on its PE Ratio (41.6x) compared to the Luxury industry average (7.1x).

PE vs Market: 3608 is poor value based on its PE Ratio (41.6x) compared to the Hong Kong market (9.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 3608's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 3608 is overvalued based on its PB Ratio (0.9x) compared to the HK Luxury industry average (0.7x).


Next Steps

Future Growth

How is Yongsheng Advanced Materials forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.3%

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 Yongsheng Advanced Materials 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 Yongsheng Advanced Materials performed over the past 5 years?

5.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 3608 has high quality earnings.

Growing Profit Margin: 3608's current net profit margins (9.7%) are lower than last year (25%).


Past Earnings Growth Analysis

Earnings Trend: 3608's earnings have grown by 5.4% per year over the past 5 years.

Accelerating Growth: 3608's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 3608 had negative earnings growth (-42.1%) over the past year, making it difficult to compare to the Luxury industry average (3%).


Return on Equity

High ROE: 3608's Return on Equity (3.5%) is considered low.


Next Steps

Financial Health

How is Yongsheng Advanced Materials's financial position?


Financial Position Analysis

Short Term Liabilities: 3608's short term assets (CN¥740.7M) exceed its short term liabilities (CN¥132.8M).

Long Term Liabilities: 3608's short term assets (CN¥740.7M) exceed its long term liabilities (CN¥91.5M).


Debt to Equity History and Analysis

Debt Level: 3608's debt to equity ratio (6.6%) is considered satisfactory.

Reducing Debt: 3608's debt to equity ratio has increased from 0.5% to 6.6% over the past 5 years.

Debt Coverage: 3608's debt is well covered by operating cash flow (171%).

Interest Coverage: 3608 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Yongsheng Advanced Materials's current dividend yield, its reliability and sustainability?

2.55%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: 3608's dividend (2.55%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.61%).

High Dividend: 3608's dividend (2.55%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.31%).


Stability and Growth of Payments

Stable Dividend: 3608 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 3608's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (106.1%), 3608's dividend payments are not well 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?

6.5yrs

Average board tenure


CEO

Yongsheng Advanced Materials has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Cheng Li
Chairman6.5yrsCN¥1.78m28.16% CN¥400.6m
Conghua Li Ch
Executive Director6.5yrsCN¥85.00kno data
Qinghai Ma
Executive Director6.5yrsCN¥2.52m0.36% CN¥5.2m
Wensheng Xu
Executive Director0.50yrno datano data
Wai Ling Wong
Independent Non-Executive Director6.5yrsCN¥110.00kno data
Shiping James Wang
Independent Non-Executive Director6.5yrsCN¥85.00kno data
Huaping Wang
Independent Non-Executive Director5.75yrsCN¥85.00kno data

6.5yrs

Average Tenure

54yo

Average Age

Experienced Board: 3608's board of directors are considered experienced (6.5 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

Yongsheng Advanced Materials Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Yongsheng Advanced Materials Company Limited
  • Ticker: 3608
  • Exchange: SEHK
  • Founded: 1997
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: HK$1.422b
  • Shares outstanding: 733.19m
  • Website: https://www.chinaysgroup.com

Number of Employees


Location

  • Yongsheng Advanced Materials Company Limited
  • Admiralty Centre
  • 29th Floor
  • Admiralty
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3608SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2013

Biography

Yongsheng Advanced Materials Company Limited, an investment holding company, engages in the textile and advanced material-related businesses in Hong Kong, Mainland China, and internationally. It operates through three segments: Processing, Property Investment, and (Renovation, Maintenance, Alternation and Additional) RMAA Services. The Processing segment involved in the dyeing and processing of differentiated polyester filament fabrics. The Property Investment segment invests in, develops, and sells properties. The RMAA Services segment provides construction services, such as building construction; maintenance and improvement works; and renovation and decoration works. Yongsheng Advanced Materials Company Limited was founded in 1997 and is headquartered in Admiralty, Hong Kong. Yongsheng Advanced Materials Company Limited is a subsidiary of Ever Thrive Global Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 06:42
End of Day Share Price2020/05/25 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.