SEHK:1235

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Travel Expert (Asia) Enterprises

Executive Summary

Travel Expert (Asia) Enterprises Limited, an investment holding company, provides travel agency services in Hong Kong and the People’s Republic of China.


Snowflake Analysis

Adequate balance sheet unattractive dividend payer.

Share Price & News

How has Travel Expert (Asia) Enterprises's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1235 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.3%

1235

-1.1%

HK Hospitality

1.4%

HK Market


1 Year Return

-52.2%

1235

-16.0%

HK Hospitality

-6.6%

HK Market

Return vs Industry: 1235 underperformed the Hong Kong Hospitality industry which returned -17.9% over the past year.

Return vs Market: 1235 underperformed the Hong Kong Market which returned -9.4% over the past year.


Shareholder returns

1235IndustryMarket
7 Day-2.3%-1.1%1.4%
30 Day-4.4%-3.8%4.6%
90 Day-4.4%19.2%11.3%
1 Year-48.9%-52.2%-14.3%-16.0%-3.7%-6.6%
3 Year-73.5%-76.8%-9.1%-16.3%4.7%-5.7%
5 Year-75.2%-80.2%9.9%-5.6%8.4%-8.8%

Price Volatility Vs. Market

How volatile is Travel Expert (Asia) Enterprises's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Travel Expert (Asia) Enterprises undervalued compared to its fair value and its price relative to the market?

0.79x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 1235 (HK$0.17) is trading above our estimate of fair value (HK$0.08)

Significantly Below Fair Value: 1235 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1235 is unprofitable, so we can't compare its PE Ratio to the Hospitality industry average.

PE vs Market: 1235 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 1235's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1235 is good value based on its PB Ratio (0.8x) compared to the HK Hospitality industry average (0.9x).


Next Steps

Future Growth

How is Travel Expert (Asia) Enterprises forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.7%

Forecasted Consumer Services 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 Travel Expert (Asia) Enterprises 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 Travel Expert (Asia) Enterprises performed over the past 5 years?

-83.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1235 is currently unprofitable.

Growing Profit Margin: 1235 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1235 is unprofitable, and losses have increased over the past 5 years at a rate of -83.4% per year.

Accelerating Growth: Unable to compare 1235's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1235 is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-18.1%).


Return on Equity

High ROE: 1235 has a negative Return on Equity (-40.58%), as it is currently unprofitable.


Next Steps

Financial Health

How is Travel Expert (Asia) Enterprises's financial position?


Financial Position Analysis

Short Term Liabilities: 1235's short term assets (HK$81.6M) do not cover its short term liabilities (HK$82.6M).

Long Term Liabilities: 1235's short term assets (HK$81.6M) exceed its long term liabilities (HK$5.3M).


Debt to Equity History and Analysis

Debt Level: 1235's debt to equity ratio (2.6%) is considered satisfactory.

Reducing Debt: 1235's debt to equity ratio has reduced from 31% to 2.6% over the past 5 years.

Debt Coverage: 1235's debt is well covered by operating cash flow (51.7%).

Interest Coverage: Insufficient data to determine if 1235's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Travel Expert (Asia) Enterprises's current dividend yield, its reliability and sustainability?

11.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1235's dividend (11.63%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.42%).

High Dividend: 1235's dividend (11.63%) is in the top 25% of dividend payers in the Hong Kong market (7.05%)


Stability and Growth of Payments

Stable Dividend: 1235 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1235 has only been paying a dividend for 8 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: 1235 is paying a dividend but the company is unprofitable.


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

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

9.3yrs

Average board tenure


CEO

Hang Fan Cheng (61yo)

8.83yrs

Tenure

HK$1,123,000

Compensation

Ms. Hang Fan Cheng is a co-founder and has been the Chief Executive Officer at Travel Expert (Asia) Enterprises Limited since September 6, 2011. Ms. Cheng has over 26 years of experience in the travel indu ...


CEO Compensation Analysis

Compensation vs Market: Hang Fan's total compensation ($USD144.89K) is below average for companies of similar size in the Hong Kong market ($USD230.45K).

Compensation vs Earnings: Hang Fan's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Wai Ming Ko
Executive Chairman8.83yrsHK$126.00k0.83% HK$729.3k
Hang Fan Cheng
CEO & Executive Director8.83yrsHK$1.12m1.64% HK$1.4m
Ha Kuk Yung
Independent Non-Executive Director9.25yrsHK$180.00kno data
King Sau Mak
Independent Non-Executive Director9.08yrsHK$144.00kno data
Chi Man Szeto
Independent Non-Executive Director9.25yrsHK$144.00kno data

9.3yrs

Average Tenure

61yo

Average Age

Experienced Board: 1235's board of directors are considered experienced (9.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Travel Expert (Asia) Enterprises Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Travel Expert (Asia) Enterprises Limited
  • Ticker: 1235
  • Exchange: SEHK
  • Founded: 1986
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: HK$87.696m
  • Shares outstanding: 509.86m
  • Website: https://www.tegroup.com.hk

Number of Employees


Location

  • Travel Expert (Asia) Enterprises Limited
  • Units A-C, D2 Place TWO
  • 9th Floor
  • Kowloon
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1235SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDSep 2011

Biography

Travel Expert (Asia) Enterprises Limited, an investment holding company, provides travel agency services in Hong Kong and the People’s Republic of China. It operates through Travel and Travel/Wedding Related Business, Rental Income from Investment Properties, and Treasury Activities segments. The company engages in the provision of services relating to the sale of air tickets, hotel accommodation, and other travel/wedding related products and services; and package tours, property investment, and investment in treasury activities. It also provides meeting, incentive, conference, and exhibition trips planning and management services. In addition, the company engages in the travel and travel related, study tours, and property holding and marketing businesses, as well as provision of management services. As of March 31, 2019, it operated a total of 37 retail shops in Hong Kong under the Travel Expert and Premium Holidays brands. The company was founded in 1986 and is headquartered in Kowloon, Hong Kong. Travel Expert (Asia) Enterprises Limited is a subsidiary of Colvin & Horne Holdings Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/03 12:52
End of Day Share Price2020/07/02 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


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.