Virscend Education
Market Cap
HK$7.2b
Last Updated
2019/10/22 12:55 UTC
Data Sources
Company Financials +
Executive Summary
Virscend Education Company Limited, an investment holding company, provides K-12 private education services in the People’s Republic of China.
Snowflake
Fundamentals
Exceptional growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has Virscend Education's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-2.1%
1565
1.1%
HK Consumer Services
0.3%
HK Market
1 Year Return
-46.2%
1565
1.4%
HK Consumer Services
1.3%
HK Market
Return vs Industry: 1565 underperformed the Hong Kong Consumer Services industry which returned 1.4% over the past year.
Return vs Market: 1565 underperformed the Hong Kong Market which returned 1.3% over the past year.
Shareholder returns
| 1565 | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.1% | 1.1% | 0.3% |
| 30 Day | 1.3% | 4.9% | 0.5% |
| 90 Day | -12.7% | 4.6% | -4.6% |
| 1 Year | -45.5%-46.2% | 3.4%1.4% | 4.9%1.3% |
| 3 Year | -38.1%-40.8% | 4.6%-0.8% | 15.3%3.7% |
| 5 Year | n/a | 10.7%2.2% | 20.0%-0.006% |
Price Volatility Vs. Market
How volatile is Virscend Education's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Is Virscend Education (HKG:1565) Using Too Much Debt?2 weeks ago | Simply Wall St
Here's What Virscend Education Company Limited's (HKG:1565) P/E Ratio Is Telling Us3 weeks ago | Simply Wall St
Should You Buy Virscend Education Company Limited (HKG:1565) For Its Dividend?Valuation
Is Virscend Education undervalued compared to its fair value and its price relative to the market?
17.16x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 1565 (HK$2.34) is trading above our estimate of fair value (HK$1.9)
Significantly Below Fair Value: 1565 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 1565 is good value based on its PE Ratio (17.2x) compared to the Consumer Services industry average (17.2x).
PE vs Market: 1565 is poor value based on its PE Ratio (17.2x) compared to the Hong Kong market (10.3x).
Price to Earnings Growth Ratio
PEG Ratio: 1565 is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: 1565 is overvalued based on its PB Ratio (2.4x) compared to the HK Consumer Services industry average (2x).
Next Steps
Future Growth
How is Virscend Education forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
35.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1565's forecast earnings growth (35.3% per year) is above the savings rate (2%).
Earnings vs Market: 1565's earnings (35.3% 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: 1565's revenue (23.5% per year) is forecast to grow faster than the Hong Kong market (10% per year).
High Growth Revenue: 1565's revenue (23.5% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 1565's Return on Equity is forecast to be high in 3 years time (22.2%)
Next Steps
Past Performance
How has Virscend Education performed over the past 5 years?
29.9%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: 1565's earnings have grown significantly by 29.9% per year over the past 5 years.
Accelerating Growth: 1565's earnings growth over the past year (11%) is below its 5-year average (29.9% per year).
Earnings vs Industry: 1565 earnings growth over the past year (11%) underperformed the Consumer Services industry 14.4%.
Return on Equity
High ROE: 1565's Return on Equity (14.1%) is considered low.
Return on Assets
ROA vs Industry: 1565 has a higher Return on Assets than the Consumer Services industry average last year.
Return on Capital Employed
ROCE Improving: 1565 has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Virscend Education's financial position?
Financial Position Analysis
Short Term Liabilities: 1565's short term assets (CN¥1.1B) do not cover its short term liabilities (CN¥1.5B)
Long Term Liabilities: 1565's short term assets (1.1B) exceeds its long term liabilities (1.1B)
Debt to Equity History and Analysis
Debt Level: 1565's debt to equity ratio (45.3%) is considered high
Reducing Debt: 1565's debt to equity ratio has reduced from 217% to 45.3% over the past 5 years.
Debt Coverage: 1565's debt is well covered by operating cash flow (39.6%).
Interest Coverage: 1565's interest payments on its debt are well covered by EBIT (8.5x coverage).
Balance Sheet
Inventory Level: 1565 has a high level of physical assets or inventory.
Debt Coverage by Assets: 1565's debt is not covered by short term assets (assets are 0.9x debt).
Next Steps
Dividend
What is Virscend Education's current dividend yield, its reliability and sustainability?
3.41%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Virscend Education before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: 1565's dividend (3.41%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).
High Dividend: 1565's dividend (3.41%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.18%).
Stable Dividend: 1565 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 1565's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (58.3%), 1565's dividend payments are 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 Virscend Education's salary, the management and board of directors tenure and is there insider trading?
4.1yrs
Average management tenure
CEO
Yude Yan (57yo)
0.9yrs
Tenure
CN¥865,000
Compensation
Mr. Yude Yan has been Executive Director at Virscend Education Company Limited since August 31, 2015 and also it's Chief Executive Officer since November 15, 2018. He served as its Director since March 13, ...
CEO Compensation Analysis
Compensation vs. Market: Yude has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Hong Kong market.
Compensation vs Earnings: Yude's compensation has been consistent with company performance over the past year.
Management Age and Tenure
4.1yrs
Average Tenure
57yo
Average Age
Experienced Management: 1565's management team is considered experienced (4.1 years average tenure).
Board Age and Tenure
3.8yrs
Average Tenure
57yo
Average Age
Experienced Board: 1565's board of directors are considered experienced (3.8 years average tenure).
Insider Trading
Insider Buying: 1565 insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 610,000 |
| Max Price | CN¥2.36 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 480,000 |
| Max Price | CN¥2.33 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 200,000 |
| Max Price | CN¥2.36 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 240,000 |
| Max Price | CN¥2.33 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 300,000 |
| Max Price | CN¥2.35 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 200,000 |
| Max Price | CN¥2.29 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 50,000 |
| Max Price | CN¥2.21 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 200,000 |
| Max Price | CN¥2.25 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 720,000 |
| Max Price | CN¥2.12 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 39,000 |
| Max Price | CN¥2.20 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 276,000 |
| Max Price | CN¥2.20 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 60,000 |
| Max Price | CN¥2.21 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 960,000 |
| Max Price | CN¥2.20 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 135,000 |
| Max Price | CN¥2.20 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 330,000 |
| Max Price | CN¥2.23 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 317,000 |
| Max Price | CN¥2.69 |
| Entity | Individual |
| Role | Chief Executive Officer CEO & Executive Director |
| Shares | 30,000 |
| Max Price | CN¥2.75 |
Ownership Breakdown
Management Team
Sau Mei Ng (42yo)
Company Secretary
- Tenure: 3.9yrs
Xiaoying Wang (56yo)
Chairwoman
- Tenure: 4.2yrs
- Compensation: CN¥865.00k
Jiayu Ye (59yo)
Executive Director
- Tenure: 4.2yrs
- Compensation: CN¥865.00k
Yude Yan (57yo)
CEO & Executive Director
- Tenure: 0.9yrs
- Compensation: CN¥865.00k
Juan Zhang (55yo)
Chief Financial Officer
- Tenure: 4.2yrs
Dajia Yin (72yo)
President of the University
- Tenure: 15.5yrs
Zhifa Gong (58yo)
Acting Principal of Chengdu Foreign Languages School
- Tenure: 4.1yrs
Minghua Xiao (61yo)
Principal of Chengdu Experimental Foreign Languages School (Western Campus)
- Tenure: 12.1yrs
Chaoran Zheng
Director of Investor Relations
- Tenure: 0yrs
Bangkai Deng (37yo)
COO & Executive Director
- Tenure: 0.9yrs
- Compensation: CN¥226.00k
Board Members
Kim Sun Chan (37yo)
Independent Non Executive Director
- Tenure: 3.8yrs
- Compensation: CN¥104.00k
Xiaoying Wang (56yo)
Chairwoman
- Tenure: 4.2yrs
- Compensation: CN¥865.00k
Jiayu Ye (59yo)
Executive Director
- Tenure: 4.2yrs
- Compensation: CN¥865.00k
Yude Yan (57yo)
CEO & Executive Director
- Tenure: 0.9yrs
- Compensation: CN¥865.00k
Chiu Wing Sit (68yo)
Independent Non-Executive Director
- Tenure: 3.8yrs
- Compensation: CN¥104.00k
Ruizheng Wen (74yo)
Independent Non-Executive Director
- Tenure: 0.9yrs
- Compensation: CN¥11.00k
Bangkai Deng (37yo)
COO & Executive Director
- Tenure: 0.9yrs
- Compensation: CN¥226.00k
Company Information
Virscend Education Company Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Virscend Education Company Limited
- Ticker: 1565
- Exchange: SEHK
- Founded: 2000
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: HK$7.228b
- Shares outstanding: 3.09b
- Website: https://www.virscendeducation.com
Number of Employees
Location
- Virscend Education Company Limited
- No. 23 He Xin Lu
- Pi County
- Chengdu
- Sichuan Province
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1565 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Jan 2016 |
Biography
Virscend Education Company Limited, an investment holding company, provides K-12 private education services in the People’s Republic of China. It operates schools for grades K-12, which include Chengdu For ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/22 12:55 |
| End of Day Share Price | 2019/10/22 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.