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3818

China Dongxiang (Group) SEHK:3818 Stock Report

Last Price

HK$0.33

Market Cap

HK$1.9b

7D

-1.5%

1Y

-61.8%

Updated

01 Oct, 2022

Data

Company Financials +
3818 fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance0/6
Financial Health4/6
Dividends0/6

3818 Stock Overview

China Dongxiang (Group) Co., Ltd., together with its subsidiaries, designs, develops, markets, and sells sport-related apparel, footwear, and accessories in the People’s Republic of China and internationally.

Rewards

Trading at 57.4% below our estimate of its fair value

Earnings are forecast to grow 143.77% per year

Risk Analysis

No risks detected for 3818 from our risk checks.

China Dongxiang (Group) Competitors

Price History & Performance

Summary of all time highs, changes and price drops for China Dongxiang (Group)
Historical stock prices
Current Share PriceHK$0.33
52 Week HighHK$0.92
52 Week LowHK$0.29
Beta0.46
1 Month Change-7.14%
3 Month Change-26.97%
1 Year Change-61.77%
3 Year Change-60.84%
5 Year Change-76.79%
Change since IPO-94.02%

Recent News & Updates

Shareholder Returns

3818HK LuxuryHK Market
7D-1.5%-4.9%-4.4%
1Y-61.8%-38.6%-28.8%

Return vs Industry: 3818 underperformed the Hong Kong Luxury industry which returned -38.6% over the past year.

Return vs Market: 3818 underperformed the Hong Kong Market which returned -28.8% over the past year.

Price Volatility

Is 3818's price volatile compared to industry and market?
3818 volatility
3818 Average Weekly Movement5.2%
Luxury Industry Average Movement5.8%
Market Average Movement6.4%
10% most volatile stocks in HK Market12.6%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 3818 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 3818's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002627Zhiyong Zhanghttps://www.dxsport.com

China Dongxiang (Group) Co., Ltd., together with its subsidiaries, designs, develops, markets, and sells sport-related apparel, footwear, and accessories in the People’s Republic of China and internationally. The company offers its products under the Kappa and Phenix brands. It is also involved in the retail sale of sportswear through a network of retail shops and outlets, as well as online.

China Dongxiang (Group) Fundamentals Summary

How do China Dongxiang (Group)'s earnings and revenue compare to its market cap?
3818 fundamental statistics
Market CapHK$1.91b
Earnings (TTM)-HK$1.91b
Revenue (TTM)HK$2.11b

0.9x

P/S Ratio

-1.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
3818 income statement (TTM)
RevenueCN¥1.92b
Cost of RevenueCN¥793.56m
Gross ProfitCN¥1.12b
Other ExpensesCN¥2.85b
Earnings-CN¥1.73b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.29
Gross Margin58.58%
Net Profit Margin-90.17%
Debt/Equity Ratio1.7%

How did 3818 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 3818 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3818?

Other financial metrics that can be useful for relative valuation.

3818 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Sales Ratio vs Peers

How does 3818's PS Ratio compare to its peers?

3818 PS Ratio vs Peers
The above table shows the PS ratio for 3818 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.1x
2368 Eagle Nice (International) Holdings
0.6xn/aHK$2.3b
2399 China Anchu Energy Storage Group
1.9xn/aHK$1.2b
2030 Cabbeen Fashion
0.6xn/aHK$942.7m
3306 JNBY Design
0.8x11.9%HK$3.8b
3818 China Dongxiang (Group)
0.9x10.9%HK$1.9b

Price-To-Sales vs Peers: 3818 is good value based on its Price-To-Sales Ratio (0.9x) compared to the peer average (1.1x).


Price to Earnings Ratio vs Industry

How does 3818's PE Ratio compare vs other companies in the HK Luxury Industry?

Price-To-Sales vs Industry: 3818 is expensive based on its Price-To-Sales Ratio (0.9x) compared to the Hong Kong Luxury industry average (0.7x)


Price to Sales Ratio vs Fair Ratio

What is 3818's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

3818 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.9x
Fair PS Ratio0.9x

Price-To-Sales vs Fair Ratio: 3818 is expensive based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (0.9x).


Share Price vs Fair Value

What is the Fair Price of 3818 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3818 (HK$0.33) is trading below our estimate of fair value (HK$0.76)

Significantly Below Fair Value: 3818 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.


Discover undervalued companies

Future Growth

How is China Dongxiang (Group) forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


143.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3818 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.6%).

Earnings vs Market: 3818 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 3818 is expected to become profitable in the next 3 years.

Revenue vs Market: 3818's revenue (10.9% per year) is forecast to grow faster than the Hong Kong market (9.7% per year).

High Growth Revenue: 3818's revenue (10.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 3818's Return on Equity is forecast to be low in 3 years time (4.9%).


Discover growth companies

Past Performance

How has China Dongxiang (Group) performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-17.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 3818 is currently unprofitable.

Growing Profit Margin: 3818 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 3818 is unprofitable, and losses have increased over the past 5 years at a rate of 17.9% per year.

Accelerating Growth: Unable to compare 3818's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 3818 is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-11.4%).


Return on Equity

High ROE: 3818 has a negative Return on Equity (-18.49%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is China Dongxiang (Group)'s financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 3818's short term assets (CN¥5.3B) exceed its short term liabilities (CN¥789.8M).

Long Term Liabilities: 3818's short term assets (CN¥5.3B) exceed its long term liabilities (CN¥344.5M).


Debt to Equity History and Analysis

Debt Level: 3818 has more cash than its total debt.

Reducing Debt: 3818's debt to equity ratio has reduced from 5.1% to 1.7% over the past 5 years.

Debt Coverage: 3818's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 3818's interest payments on its debt are well covered by EBIT.


Balance Sheet


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Dividend

What is China Dongxiang (Group) current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


13.81%

Forecast Dividend Yield

Dividend Yield vs Market

China Dongxiang (Group) Dividend Yield vs Market
How does China Dongxiang (Group) dividend yield compare to the market?
SegmentDividend Yield
Company (China Dongxiang (Group))0%
Market Bottom 25% (HK)3.0%
Market Top 25% (HK)8.9%
Industry Average (Luxury)2.7%
Analyst forecast in 3 Years (China Dongxiang (Group))13.8%

Notable Dividend: Unable to evaluate 3818's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 3818's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 3818's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3818's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 3818 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 3818 has not reported any payouts.


Discover strong dividend paying companies

Management

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

4.9yrs

Average management tenure


CEO

Zhiyong Zhang (54 yo)

4.92yrs

Tenure

CN¥2,979,000

Compensation

Mr. Zhiyong Zhang has been the Chief Executive Officer and Executive Director at China Dongxiang (Group) Co., Ltd. since October 10, 2017 and also serves as its President. Mr. Zhang is responsible for Chin...


CEO Compensation Analysis

Zhiyong Zhang's Compensation vs China Dongxiang (Group) Earnings
How has Zhiyong Zhang's remuneration changed compared to China Dongxiang (Group)'s earnings?
DateTotal Comp.SalaryCompany Earnings
Mar 31 2022CN¥3mCN¥3m

-CN¥2b

Sep 30 2021n/an/a

-CN¥56m

Jun 30 2021n/an/a

CN¥905m

Mar 31 2021CN¥3mCN¥3m

CN¥2b

Sep 30 2020n/an/a

CN¥1b

Jun 30 2020n/an/a

CN¥905m

Mar 31 2020CN¥3mCN¥3m

CN¥413m

Sep 30 2019n/an/a

CN¥743m

Jun 30 2019n/an/a

CN¥718m

Mar 31 2019CN¥3mCN¥4m

CN¥693m

Dec 31 2018n/an/a

CN¥315m

Sep 30 2018n/an/a

CN¥532m

Jun 30 2018n/an/a

CN¥750m

Mar 31 2018n/an/a

CN¥777m

Dec 31 2017CN¥3mCN¥689k

CN¥805m

Compensation vs Market: Zhiyong's total compensation ($USD418.73K) is above average for companies of similar size in the Hong Kong market ($USD311.56K).

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


Leadership Team

Experienced Management: 3818's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: 3818's board of directors are considered experienced (6.3 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.


Recent Insider Transactions

SEHK:3818 Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
16 Mar 22BuyHK$371,971Yihong ChenIndividual900,000HK$0.41
15 Mar 22BuyHK$1,305,008Yihong ChenIndividual3,000,000HK$0.44
14 Mar 22BuyHK$551,999Yihong ChenIndividual1,200,000HK$0.46
10 Mar 22BuyHK$2,651,062Yihong ChenIndividual5,300,000HK$0.50
24 Feb 22BuyHK$1,860,008Yihong ChenIndividual3,000,000HK$0.62
16 Feb 22BuyHK$1,674,992Yihong ChenIndividual2,500,000HK$0.67
14 Feb 22BuyHK$828,000Yihong ChenIndividual1,200,000HK$0.69
11 Feb 22BuyHK$3,243,005Yihong ChenIndividual4,700,000HK$0.69
10 Feb 22BuyHK$1,035,002Yihong ChenIndividual1,500,000HK$0.69
09 Feb 22BuyHK$1,242,000Yihong ChenIndividual1,800,000HK$0.69
08 Feb 22BuyHK$1,583,117Yihong ChenIndividual2,345,000HK$0.68

Ownership Breakdown

What is the ownership structure of 3818?
Owner TypeNumber of SharesOwnership Percentage
Private Companies135,970,0002.3%
Institutions541,482,8339.2%
General Public2,452,714,36641.8%
Individual Insiders2,734,343,75546.6%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 23 shareholders own 56.52% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
40.24%
Yihong Chen
2,359,936,000CN¥767.0m0%no data
3.38%
Chen Chen
198,287,730CN¥64.4m0%no data
2.83%
Zhiyong Zhang
166,120,025CN¥54.0m0%no data
2.4%
UBS Asset Management
140,786,000CN¥45.8m0%no data
2.32%
Hong Kong Dongxiang Sports Development Holdings Limited
135,970,000CN¥44.2m0%no data
2.14%
The Vanguard Group, Inc.
125,652,402CN¥40.8m0%no data
1.07%
Dimensional Fund Advisors LP
62,830,742CN¥20.4m4.17%no data
0.69%
Norges Bank Investment Management
40,732,498CN¥13.2m0%no data
0.46%
Fidelity International Ltd
26,701,999CN¥8.7m0%no data
0.19%
Acadian Asset Management LLC
10,888,700CN¥3.5m0%no data
0.17%
Guanghong Lyu
10,000,000CN¥3.3m0%no data
0.17%
Grantham Mayo Van Otterloo & Co. LLC
9,833,520CN¥3.2m0%no data
0.16%
AXA Investment Managers S.A.
9,134,300CN¥3.0m0%no data
0.11%
State Street Global Advisors, Inc.
6,318,000CN¥2.1m-4.66%no data
0.081%
Boston Partners Global Investors, Inc.
4,767,000CN¥1.5m0%no data
0.043%
MD Private Investment Counsel
2,496,000CN¥811.2k0%0.01%
0.02%
Mackenzie Financial Corporation
1,156,000CN¥375.7k0%no data
0.018%
Mercer Global Investments Europe Limited
1,057,000CN¥343.5k0%no data
0.013%
Mercer Investments LLC
768,000CN¥249.6k0%no data
0.012%
Eaton Vance Management
726,000CN¥236.0k0%no data
0.0038%
Russell Investment Management, LLC
222,000CN¥72.2k0%no data
0.00022%
Connor, Clark & Lunn Investment Management Ltd.
12,981CN¥4.2k0%no data
0.00015%
Dacheng Fund Management Company Limited
9,000CN¥2.9k0%no data

Company Information

China Dongxiang (Group) Co., Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: China Dongxiang (Group) Co., Ltd.
  • Ticker: 3818
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Implied Market Cap: HK$1.906b
  • Shares outstanding: 5.86b
  • Website: https://www.dxsport.com

Number of Employees


Location

  • China Dongxiang (Group) Co., Ltd.
  • Building 21
  • No. 2 Jingyuanbei Street
  • Beijing
  • 100176
  • China


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3818SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2007
4C1DB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 2007
CDGX.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 2007
CDGX.YOTCPK (Pink Sheets LLC)UNSPONSOD ADRUSUSDJul 2010

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/01 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.