SEHK:684

Stock Analysis Report

Allan International Holdings

Executive Summary

Allan International Holdings Limited, an investment holding company, engages in the manufacture and trading of household electrical appliances in Europe, Asia, the Americas, and internationally.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.8%

684

-1.1%

HK Consumer Durables

0.3%

HK Market


1 Year Return

-5.2%

684

9.5%

HK Consumer Durables

1.3%

HK Market

Return vs Industry: 684 underperformed the Hong Kong Consumer Durables industry which returned 9.5% over the past year.

Return vs Market: 684 underperformed the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

684IndustryMarket
7 Day5.8%-1.1%0.3%
30 Day4.4%1.7%0.5%
90 Day7.8%5.0%-4.6%
1 Year-2.7%-5.2%11.6%9.5%4.9%1.3%
3 Year-0.007%-11.3%13.0%5.5%15.3%3.7%
5 Year2.6%-26.0%6.3%-6.1%20.0%-0.006%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Allan International Holdings undervalued compared to its fair value and its price relative to the market?

19.68x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 684 (HK$1.65) is trading above our estimate of fair value (HK$0.55)

Significantly Below Fair Value: 684 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 684 is poor value based on its PE Ratio (19.7x) compared to the Consumer Durables industry average (12.3x).

PE vs Market: 684 is poor value based on its PE Ratio (19.7x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 684's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 684 is good value based on its PB Ratio (0.5x) compared to the HK Consumer Durables industry average (0.8x).


Next Steps

Future Growth

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

21.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 684's forecast earnings growth (21.6% per year) is above the savings rate (2%).

Earnings vs Market: 684's earnings (21.6% per year) are forecast to grow faster than the Hong Kong market (11.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if 684's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 684's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 684's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Allan International Holdings performed over the past 5 years?

-8.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 684's earnings have declined by -8.1% per year over the past 5 years.

Accelerating Growth: 684's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 684 had negative earnings growth (-39.9%) over the past year, making it difficult to compare to the Consumer Durables industry average (-8.4%).


Return on Equity

High ROE: 684's Return on Equity (2.5%) is considered low.


Return on Assets

ROA vs Industry: 684's Return on Assets is below or equal to the Consumer Durables industry average last year.


Return on Capital Employed

ROCE Improving: 684 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Allan International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 684's short term assets (HK$981.1M) exceeds its short term liabilities (HK$324.5M)

Long Term Liabilities: 684's short term assets (981.1M) exceeds its long term liabilities (38.4M)


Debt to Equity History and Analysis

Debt Level: 684's debt to equity ratio (3.2%) is considered satisfactory

Reducing Debt: 684's debt to equity ratio has reduced from 10.7% to 3.2% over the past 5 years.

Debt Coverage: 684's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 684's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 684 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 684's debt is covered by short term assets (assets are 27.039630x debt).


Next Steps

Dividend

What is Allan International Holdings's current dividend yield, its reliability and sustainability?

2.42%

Current Dividend Yield


Dividend Yield vs Market

company2.4%marketbottom25%2.3%markettop25%6.2%industryaverage2.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 684's dividend (2.42%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 684's dividend (2.42%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.18%).

Stable Dividend: 684's dividend payments have been volatile in the past 10 years.

Growing Dividend: 684's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.7%), 684'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.


Next Steps

Management

What is the CEO of Allan International Holdings's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average board tenure


CEO

Albert Cheung (58yo)

0yrs

Tenure

HK$2,673,000

Compensation

Mr. Shu Wan Cheung, also known as Albert, serves as Managing Director of Allan International Holdings Limited. Mr. Cheung also assists the Chairman in corporate strategic planning and development. He is re ...


CEO Compensation Analysis

Compensation vs. Market: Albert's total compensation ($USD340.79K) is above average for companies of similar size in the Hong Kong market ($USD215.97K).

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


Board Age and Tenure

2.8yrs

Average Tenure

58yo

Average Age

Experienced Board: 684's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Maggie Cheung (61yo)

    Chairman

    • Tenure: 2.6yrs
    • Compensation: HK$2.27m
  • Lun Cheung (91yo)

    Founder & Honorary Chairman

    • Tenure: 2.6yrs
    • Compensation: HK$1.50m
  • William Cheung (54yo)

    Director of Research & Development and Executive Director

    • Tenure: 3.1yrs
    • Compensation: HK$1.72m
  • Sophie Cheung (56yo)

    Director of Financial & Administration Functions and Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.94m
  • Albert Cheung (58yo)

    MD & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$2.67m
  • Mei Lin Wong (56yo)

    Director of Administration & Personnel

    • Tenure: 0yrs
  • Lai Yung Wong (57yo)

    Finance & Account Manager and Company Secretary

    • Tenure: 13.4yrs
  • Eric Li (55yo)

    Director of Sales & Marketing

    • Tenure: 0yrs

Board Members

  • Maggie Cheung (61yo)

    Chairman

    • Tenure: 2.6yrs
    • Compensation: HK$2.27m
  • Lun Cheung (91yo)

    Founder & Honorary Chairman

    • Tenure: 2.6yrs
    • Compensation: HK$1.50m
  • Chung Mau Lo (58yo)

    Independent Non-Executive Director

    • Tenure: 21.9yrs
  • Leon Lai (62yo)

    Independent Non-Executive Director

    • Tenure: 23.8yrs
    • Compensation: HK$120.00k
  • William Cheung (54yo)

    Director of Research & Development and Executive Director

    • Tenure: 3.1yrs
    • Compensation: HK$1.72m
  • Sophie Cheung (56yo)

    Director of Financial & Administration Functions and Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.94m
  • Albert Cheung (58yo)

    MD & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$2.67m
  • Susan Choy (55yo)

    Independent Non-Executive Director

    • Tenure: 0.2yrs

Company Information

Allan International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Allan International Holdings Limited
  • Ticker: 684
  • Exchange: SEHK
  • Founded:
  • Industry: Household Appliances
  • Sector: Consumer Durables
  • Market Cap: HK$553.464m
  • Shares outstanding: 335.43m
  • Website: https://www.allan.com.hk

Number of Employees


Location

  • Allan International Holdings Limited
  • Chaiwan Industrial Centre
  • 23rd Floor, Flat B
  • Chaiwan
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
684SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDMar 1993

Biography

Allan International Holdings Limited, an investment holding company, engages in the manufacture and trading of household electrical appliances in Europe, Asia, the Americas, and internationally. The compan ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:36
End of Day Share Price2019/10/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.