SEHK:643

Stock Analysis Report

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Executive Summary

Carry Wealth Holdings Limited, an investment holding company, manufactures and trades in garment products for various brands in the United States, China, Europe, Hong Kong, and internationally.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 643 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-19.4%

643

-0.9%

HK Luxury

-3.7%

HK Market


1 Year Return

-65.9%

643

0.4%

HK Luxury

-10.4%

HK Market

Return vs Industry: 643 underperformed the Hong Kong Luxury industry which returned 0.4% over the past year.

Return vs Market: 643 underperformed the Hong Kong Market which returned -10.4% over the past year.


Shareholder returns

643IndustryMarket
7 Day-19.4%-0.9%-3.7%
30 Day-17.1%1.6%-3.0%
90 Day-31.0%-4.2%-7.6%
1 Year-65.9%-65.9%2.9%0.4%-7.4%-10.4%
3 Year-76.2%-76.2%19.9%6.2%-4.5%-14.2%
5 Year-91.8%-91.8%15.4%-2.4%-16.2%-29.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Carry Wealth Holdings undervalued compared to its fair value and its price relative to the market?

0.78x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 643's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 643's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 643 is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: 643 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 643's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 643 is overvalued based on its PB Ratio (1x) compared to the HK Luxury industry average (0.7x).


Next Steps

Future Growth

How is Carry Wealth Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.4%

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 Carry Wealth 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.


Next Steps

Past Performance

How has Carry Wealth Holdings performed over the past 5 years?

-8.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 643 is currently unprofitable.

Growing Profit Margin: 643 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 643 is unprofitable, and losses have increased over the past 5 years at a rate of -8.1% per year.

Accelerating Growth: Unable to compare 643's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 643 is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (3%).


Return on Equity

High ROE: 643 has a negative Return on Equity (-9.8%), as it is currently unprofitable.


Next Steps

Financial Health

How is Carry Wealth Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 643's short term assets (HK$149.4M) exceed its short term liabilities (HK$62.1M).

Long Term Liabilities: 643's short term assets (HK$149.4M) exceed its long term liabilities (HK$16.5M).


Debt to Equity History and Analysis

Debt Level: 643 is debt free.

Reducing Debt: 643 had no debt 5 years ago.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 643 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: 643 has sufficient cash runway for 1.1 years if free cash flow continues to grow at historical rates of 31.2% each year.


Next Steps

Dividend

What is Carry Wealth Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 643's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 643'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 643's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 643's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 643 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 643's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

3.2yrs

Average board tenure


CEO

Haifeng Li (49yo)

3.08yrs

Tenure

HK$1,968,000

Compensation

Mr. Haifeng Li has been Chief Executive Officer of Carry Wealth Holdings Limited since April 1, 2017. Mr. Li serves as General Manager of Commercial at Lanco Infratech Limited. He is the Non-Executive Dire ...


CEO Compensation Analysis

Compensation vs Market: Haifeng's total compensation ($USD253.84K) is about average for companies of similar size in the Hong Kong market ($USD225.61K).

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


Board Members

NamePositionTenureCompensationOwnership
Haifeng Li
Chairman & CEO3.08yrsHK$1.97m50.68% HK$75.5m
Ke Wang
VP & Executive Director2.17yrsHK$798.00kno data
Wing Yiu Yau
Independent Non-Executive Director8.83yrsHK$240.00k0.085% HK$127.1k
Zhenyi Zhang
Independent Non-Executive Director3.17yrsHK$120.00kno data
Xianzhi Zheng
Independent Non-Executive Director2.92yrsHK$120.00kno data

3.2yrs

Average Tenure

38yo

Average Age

Experienced Board: 643's board of directors are considered experienced (3.2 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

Carry Wealth Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Carry Wealth Holdings Limited
  • Ticker: 643
  • Exchange: SEHK
  • Founded: 1993
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: HK$148.884m
  • Shares outstanding: 818.04m
  • Website: https://www.carrywealth.com

Number of Employees


Location

  • Carry Wealth Holdings Limited
  • Shui On Centre
  • Suite 2001
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
643SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDMar 2000

Biography

Carry Wealth Holdings Limited, an investment holding company, manufactures and trades in garment products for various brands in the United States, China, Europe, Hong Kong, and internationally. The company operates through two segments, Garment Manufacturing and Trading; and Securities Investment. It offers various knitwear, including polo, athletics, cardigan, hoody, tee, bottom, dress, layette, and jacket for men, women, and children. The company also provides management and consultation services; and invests and trades in securities. Carry Wealth Holdings Limited was founded in 1993 and is headquartered in Wanchai, Hong Kong. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/29 12:37
End of Day Share Price2020/05/29 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.