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980

Lianhua Supermarket Holdings SEHK:980 Stock Report

Last Price

HK$0.54

Market Cap

HK$604.6m

7D

-10.0%

1Y

-45.5%

Updated

06 Jul, 2022

Data

Company Financials
980 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance0/6
Financial Health5/6
Dividends0/6

980 Stock Overview

Lianhua Supermarket Holdings Co., Ltd., together with its subsidiaries, operates supermarkets, hypermarkets, and convenience stores primarily in the eastern region of the People's Republic of China.

Lianhua Supermarket Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Lianhua Supermarket Holdings
Historical stock prices
Current Share PriceHK$0.54
52 Week HighHK$1.18
52 Week LowHK$0.45
Beta0.96
1 Month Change3.85%
3 Month Change-8.48%
1 Year Change-45.46%
3 Year Change-70.17%
5 Year Change-85.04%
Change since IPO-77.13%

Recent News & Updates

Shareholder Returns

980HK Consumer RetailingHK Market
7D-10.0%-2.9%-2.9%
1Y-45.5%-45.3%-20.3%

Return vs Industry: 980 matched the Hong Kong Consumer Retailing industry which returned -45.3% over the past year.

Return vs Market: 980 underperformed the Hong Kong Market which returned -20.3% over the past year.

Price Volatility

Is 980's price volatile compared to industry and market?
980 volatility
980 Average Weekly Movement9.4%
Consumer Retailing Industry Average Movement6.2%
Market Average Movement6.9%
10% most volatile stocks in HK Market13.6%
10% least volatile stocks in HK Market3.3%

Stable Share Price: 980 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 980's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199124,992Xiao-Bing Chonghttps://lianhua.todayir.com

Lianhua Supermarket Holdings Co., Ltd., together with its subsidiaries, operates supermarkets, hypermarkets, and convenience stores primarily in the eastern region of the People's Republic of China. The company operates its stores under the Century Mart, Lianhua Supermarket, Hualian Supermarket, and Lianhua Quik brands. It is also involved in the sale of merchandise to wholesalers; provision of logistic services for wholesale business; sale of products through internet; and franchise of stores, as well as offers catering services.

Lianhua Supermarket Holdings Fundamentals Summary

How do Lianhua Supermarket Holdings's earnings and revenue compare to its market cap?
980 fundamental statistics
Market CapCN¥517.65m
Earnings (TTM)-CN¥422.78m
Revenue (TTM)CN¥24.76b

0.0x

P/S Ratio

-1.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
980 income statement (TTM)
RevenueCN¥24.76b
Cost of RevenueCN¥21.70b
Gross ProfitCN¥3.06b
Other ExpensesCN¥3.48b
Earnings-CN¥422.78m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.38
Gross Margin12.37%
Net Profit Margin-1.71%
Debt/Equity Ratio0%

How did 980 perform over the long term?

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

Valuation

Is 980 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 980?

Other financial metrics that can be useful for relative valuation.

980 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/Revenue0.1x
Enterprise Value/EBITDA-51.7x
PEG Ration/a

Price to Sales Ratio vs Peers

How does 980's PS Ratio compare to its peers?

980 PS Ratio vs Peers
The above table shows the PS ratio for 980 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.3x
602 Jiahua Stores Holdings
0.2xn/aHK$89.2m
6808 Sun Art Retail Group
0.2x3.4%HK$24.0b
677 Golden Resources Development International
0.5xn/aHK$814.8m
759 CEC International Holdings
0.2xn/aHK$379.7m
980 Lianhua Supermarket Holdings
0.02xn/aHK$604.6m

Price-To-Sales vs Peers: 980 is good value based on its Price-To-Sales Ratio (0x) compared to the peer average (0.3x).


Price to Earnings Ratio vs Industry

How does 980's PE Ratio compare vs other companies in the HK Consumer Retailing Industry?

Price-To-Sales vs Industry: 980 is good value based on its Price-To-Sales Ratio (0x) compared to the Hong Kong Consumer Retailing industry average (0.5x)


Price to Sales Ratio vs Fair Ratio

What is 980'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.

980 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.02x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 980's Price-To-Sales Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 980 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 980 (HK$0.54) is trading below our estimate of fair value (HK$1.17)

Significantly Below Fair Value: 980 is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 980's PEG Ratio to determine if it is good value.


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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


18.3%

Forecasted Consumer Retailing 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 Lianhua Supermarket 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.


Discover growth companies

  • Examine whether Lianhua Supermarket 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.
  • Lianhua Supermarket Holdings competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Lianhua Supermarket Holdings 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


-0.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 980 is currently unprofitable.

Growing Profit Margin: 980 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 980 is unprofitable, and losses have increased over the past 5 years at a rate of 0.1% per year.

Accelerating Growth: Unable to compare 980's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 980 is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (35.8%).


Return on Equity

High ROE: 980 has a negative Return on Equity (-29.6%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Lianhua Supermarket Holdings's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: 980's short term assets (CN¥7.6B) do not cover its short term liabilities (CN¥15.7B).

Long Term Liabilities: 980's short term assets (CN¥7.6B) exceed its long term liabilities (CN¥5.9B).


Debt to Equity History and Analysis

Debt Level: 980 is debt free.

Reducing Debt: 980 has no debt compared to 5 years ago when its debt to equity ratio was 0.07%.


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: Whilst unprofitable 980 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 980 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 58.7% per year.


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Dividend

What is Lianhua Supermarket Holdings's 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

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 980's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 980'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 980's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 980's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 980 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 980 has not reported any payouts.


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Management

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

3.5yrs

Average management tenure


CEO

Xiao-Bing Chong (57 yo)

1.25yrs

Tenure

CN¥2,051,000

Compensation

Mr. Xiao-Bing Chong has been General Manager & Executive Director at Lianhua Supermarket Holdings Co., Ltd. since April 23, 2021. He has been the Vice President and General Manager of Eastern China Busines...


CEO Compensation Analysis

Compensation vs Market: Xiao-Bing's total compensation ($USD305.25K) is about average for companies of similar size in the Hong Kong market ($USD235.86K).

Compensation vs Earnings: Xiao-Bing's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: 980's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: 980's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


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

Lianhua Supermarket Holdings Co., Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Lianhua Supermarket Holdings Co., Ltd.
  • Ticker: 980
  • Exchange: SEHK
  • Founded: 1991
  • Industry: Hypermarkets and Super Centers
  • Sector: Consumer Retailing
  • Implied Market Cap: HK$604.584m
  • Shares outstanding: 1.12b
  • Website: https://lianhua.todayir.com

Number of Employees


Location

  • Lianhua Supermarket Holdings Co., Ltd.
  • No. 1258 Zhen Guang Road
  • 5th to 14th Floors
  • Shanghai
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/06 00:00
End of Day Share Price2022/07/06 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.