China Weaving Materials Holdings Limited, an investment holding company, engages in the manufacturing and trading of yarn products and related raw materials in the People's Republic of China.
Good value second-rate dividend payer.
Share Price & News
How has China Weaving Materials Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 3778's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 3778 underperformed the Hong Kong Luxury industry which returned 1% over the past year.
Return vs Market: 3778 exceeded the Hong Kong Market which returned -9.8% over the past year.
Price Volatility Vs. Market
How volatile is China Weaving Materials Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StIs China Weaving Materials Holdings Limited (HKG:3778) A Smart Choice For Dividend Investors?
3 weeks ago | Simply Wall StA Look At The Fair Value Of China Weaving Materials Holdings Limited (HKG:3778)
Is China Weaving Materials Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 3778 (HK$0.42) is trading below our estimate of fair value (HK$0.51)
Significantly Below Fair Value: 3778 is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: 3778 is good value based on its PE Ratio (6.7x) compared to the Luxury industry average (8.3x).
PE vs Market: 3778 is good value based on its PE Ratio (6.7x) compared to the Hong Kong market (9.9x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 3778's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 3778 is good value based on its PB Ratio (0.8x) compared to the HK Luxury industry average (0.8x).
How is China Weaving Materials Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 China Weaving Materials 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.
- Examine whether China Weaving Materials Holdings is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- China Weaving Materials Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Consumer Durables industry.
How has China Weaving Materials Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 3778 has high quality earnings.
Growing Profit Margin: 3778's current net profit margins (3.8%) are lower than last year (4.2%).
Past Earnings Growth Analysis
Earnings Trend: 3778's earnings have grown significantly by 62.1% per year over the past 5 years.
Accelerating Growth: 3778's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 3778 had negative earnings growth (-2.8%) over the past year, making it difficult to compare to the Luxury industry average (-1.7%).
Return on Equity
High ROE: 3778's Return on Equity (10.4%) is considered low.
Return on Assets
Return on Capital Employed
How is China Weaving Materials Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 3778's short term assets (CN¥551.3M) do not cover its short term liabilities (CN¥817.1M).
Long Term Liabilities: 3778's short term assets (CN¥551.3M) exceed its long term liabilities (CN¥208.4M).
Debt to Equity History and Analysis
Debt Level: 3778's debt to equity ratio (81%) is considered high.
Reducing Debt: 3778's debt to equity ratio has increased from 68.2% to 81% over the past 5 years.
Debt Coverage: 3778's debt is not well covered by operating cash flow (17.7%).
Interest Coverage: 3778's interest payments on its debt are well covered by EBIT (3.1x coverage).
Inventory Level: 3778 has a high level of physical assets or inventory.
Debt Coverage by Assets: 3778's debt is covered by short term assets (assets are 1x debt).
What is China Weaving Materials Holdings's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: 3778's dividend (7.01%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.32%).
High Dividend: 3778's dividend (7.01%) is in the top 25% of dividend payers in the Hong Kong market (6.41%)
Stability and Growth of Payments
Stable Dividend: 3778 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 3778's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (23.4%), 3778's dividend payments are 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.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Yongxiang Zheng (51yo)
Mr. Yongxiang Zheng serves as the Chief Executive Officer of China Weaving Materials Holdings Limited. Mr. Zheng served as the General Manager of Shaoxing Gangtai Weaving Company Limited. from 2001 to 2005 ...
CEO Compensation Analysis
Compensation vs Market: Yongxiang's total compensation ($USD437.35K) is above average for companies of similar size in the Hong Kong market ($USD225.90K).
Compensation vs Earnings: Yongxiang's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
|CEO & Executive Director||0yrs||CN¥3.07m||5.4% CN¥28.8m|
|Non-Executive Chairman||8.8yrs||CN¥1.28m||41.07% CN¥218.6m|
|Independent Non-Executive Director||5.3yrs||CN¥126.00k||no data|
|Independent Non-Executive Director||3.3yrs||CN¥126.00k||no data|
|Independent Non-Executive Director||0.2yrs||no data||no data|
Experienced Board: 3778's board of directors are considered experienced (5.3 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 not been meaningfully diluted in the past year.
China Weaving Materials Holdings Limited's company bio, employee growth, exchange listings and data sources
- Name: China Weaving Materials Holdings Limited
- Ticker: 3778
- Exchange: SEHK
- Founded: 2011
- Industry: Textiles
- Sector: Consumer Durables
- Market Cap: HK$532.249m
- Shares outstanding: 1.25b
- Website: https://www.chinaweavingmaterials.com
Number of Employees
- China Weaving Materials Holdings Limited
- Fengtian Economic Development Zone
- Fengxin County
- Jiangxi Province
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|3778||SEHK (The Stock Exchange of Hong Kong Ltd.)||Yes||Ordinary Shares||HK||HKD||Dec 2011|
China Weaving Materials Holdings Limited, an investment holding company, engages in the manufacturing and trading of yarn products and related raw materials in the People's Republic of China. It operates through two segments, Yarns and Staple Fibres. The company offers cotton, polyester, polyester-cotton blended, viscose related, cotton-modal blended, and polyester-acrylonitrile blended yarns, as well as polyester staple fibers. China Weaving Materials Holdings Limited was incorporated in 2011 and is headquartered in Yichun, the People's Republic of China.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/26 13:09|
|End of Day Share Price||2020/02/26 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.