SEHK:8476

Stock Analysis Report

Executive Summary

Ocean One Holding Ltd., an investment holding company, engages in importing and wholesaling frozen seafood products in Hong Kong, Macau, Mainland China, and Taiwan.

Snowflake

Fundamentals

Excellent balance sheet with proven track record.

Share Price & News

How has Ocean One Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.3%

8476

-0.3%

HK Consumer Retailing

0.8%

HK Market


1 Year Return

25.4%

8476

-10.6%

HK Consumer Retailing

0.5%

HK Market

Return vs Industry: 8476 exceeded the Hong Kong Consumer Retailing industry which returned -10.6% over the past year.

Return vs Market: 8476 exceeded the Hong Kong Market which returned 0.5% over the past year.


Shareholder returns

8476IndustryMarket
7 Day1.3%-0.3%0.8%
30 Day5.3%1.1%-0.5%
90 Day6.8%3.6%-5.6%
1 Year30.4%25.4%-8.6%-10.6%4.1%0.5%
3 Yearn/a13.9%7.1%15.5%3.9%
5 Yearn/a-6.2%-18.2%19.9%-0.2%

Price Volatility Vs. Market

How volatile is Ocean One Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ocean One Holding undervalued compared to its fair value and its price relative to the market?

10.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: 8476 (HK$0.79) is trading above our estimate of fair value (HK$0.51)

Significantly Undervalued: 8476 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 8476 is good value based on its PE Ratio (10.2x) compared to the Consumer Retailing industry average (17.2x).

PE vs Market: 8476 is good value based on its PE Ratio (10.2x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate 8476's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 8476 is overvalued based on its PB Ratio (1.7x) compared to the HK Consumer Retailing industry average (0.9x).


Next Steps

Future Growth

How is Ocean One Holding forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-4.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8476's earnings are forecast to decline over the next 3 years (-4.5% per year).

Earnings vs Market: 8476's earnings are forecast to decline over the next 3 years (-4.5% per year).

High Growth Earnings: 8476's earnings are forecast to decline over the next 3 years.

Revenue vs Market: Insufficient data to determine if 8476's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 8476's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if 8476's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Ocean One Holding performed over the past 5 years?

30.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 8476's earnings have grown significantly by 30.6% per year over the past 5 years.

Accelerating Growth: 8476's earnings growth over the past year (51.1%) exceeds its 5-year average (30.6% per year).

Earnings vs Industry: 8476 earnings growth over the past year (51.1%) exceeded the Consumer Retailing industry 7.4%.


Return on Equity

High ROE: 8476's Return on Equity (16.5%) is considered low.


Return on Assets

ROA vs Industry: 8476 has a higher Return on Assets than the Consumer Retailing industry average last year.


Return on Capital Employed

ROCE Improving: 8476's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Ocean One Holding's financial position?


Financial Position Analysis

Short Term Liabilities: 8476's short term assets (HK$95.7M) exceeds its short term liabilities (HK$26.6M)

Long Term Liabilities: 8476's short term assets (95.7M) exceeds its long term liabilities (82.0K)


Debt to Equity History and Analysis

Debt Level: 8476's debt to equity ratio (10.8%) is considered satisfactory

Reducing Debt: Insufficient data to determine if 8476's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 8476's debt is well covered by operating cash flow (84%).

Interest Coverage: 8476's interest payments on its debt are well covered by EBIT (686.3x coverage).


Balance Sheet

Inventory Level: 8476 has a high level of physical assets or inventory.

Debt Coverage by Assets: 8476's debt is covered by short term assets (assets are 6.753900x debt).


Next Steps

Dividend

What is Ocean One Holding's current dividend yield, its reliability and sustainability?

3.42%

Current Dividend Yield


Dividend Yield vs Market

company3.4%marketbottom25%2.3%markettop25%6.3%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 8476's dividend (3.42%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.27%).

High Dividend: 8476's dividend (3.42%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.25%).

Stable Dividend: Too early to tell whether 8476's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 8476's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (34.9%), 8476'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 Ocean One Holding's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Kin Chan (47yo)

2.5yrs

Tenure

HK$798,000

Compensation

Mr. Kin Fung Chan, also known as Tsan Fong Chan serves as Chairman and Chief Executive Officer of Ocean One Holding Ltd. and has been its Executive Director since April 2017. Mr. Chan is the Founder of Oce ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Kin's total compensation is reasonable compared to companies of similar size in the Hong Kong market.

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


Management Age and Tenure

2.8yrs

Average Tenure

45yo

Average Age

Experienced Management: 8476's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

2.1yrs

Average Tenure

49yo

Average Age

Experienced Board: 8476's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: 8476 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellHK$6,132,00814 Oct 19
Kin Chan
EntityIndividual
Role
Chief Executive Officer
Chairman & CEO
Shares8,400,000
Max PriceHK$0.73

Ownership Breakdown


Management Team

  • Simon Fu (51yo)

    Financial Controller

    • Tenure: 2.8yrs
  • Raymond Tsui (43yo)

    Company Secretary

    • Tenure: 2.4yrs
  • Kin Chan (47yo)

    Chairman & CEO

    • Tenure: 2.5yrs
    • Compensation: HK$798.00k
  • Amy Tse (43yo)

    Compliance Officer & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$408.00k
  • Chi Ho (32yo)

    Head of Sales & Marketing

    • Tenure: 11.8yrs
  • Muk Po (53yo)

    Head of Operations & Logistics

    • Tenure: 5.8yrs

Board Members

  • Kam Wan Lee (49yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: HK$120.00k
  • Noel Leung (50yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: HK$120.00k
  • Kin Chan (47yo)

    Chairman & CEO

    • Tenure: 2.5yrs
    • Compensation: HK$798.00k
  • Amy Tse (43yo)

    Compliance Officer & Executive Director

    • Tenure: 2.4yrs
    • Compensation: HK$408.00k
  • Yuk So (50yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: HK$120.00k

Company Information

Ocean One Holding Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ocean One Holding Ltd.
  • Ticker: 8476
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Food Distributors
  • Sector: Consumer Retailing
  • Market Cap: HK$221.200m
  • Shares outstanding: 280.00m
  • Website: https://oceanoneholding.com

Number of Employees


Location

  • Ocean One Holding Ltd.
  • Goodwill Industrial Building
  • 5th Floor
  • Tsuen Wan
  • New Territories
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8476SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2017

Biography

Ocean One Holding Ltd., an investment holding company, engages in importing and wholesaling frozen seafood products in Hong Kong, Macau, Mainland China, and Taiwan. The company offers frozen seafood produc ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 13:02
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
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.