1928

Sands ChinaSEHK:1928 Stock Report

Market Cap

HK$121.9b

7D

-43.3%

1Y

-54.6%

Updated

18 Sep, 2021

Data

Company Financials +
1928 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth6/6
Past Performance0/6
Financial Health0/6
Dividends0/6

1928 Overview

Sands China Ltd., an investment holding company, develops, owns, and operates integrated resorts and casinos in Macao.

Sands China Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sands China
Historical stock prices
Current Share PriceHK$15.06
52 Week HighHK$14.64
52 Week LowHK$40.55
Beta1.33
1 Month Change-36.59%
3 Month Change-55.77%
1 Year Change-54.57%
3 Year Change-59.13%
5 Year Change-54.91%
Change since IPO61.59%

Recent News & Updates

Jun 22
Is Sands China (HKG:1928) Using Too Much Debt?

Is Sands China (HKG:1928) Using Too Much Debt?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Jun 01
Is Sands China Ltd. (HKG:1928) Potentially Undervalued?

Is Sands China Ltd. (HKG:1928) Potentially Undervalued?

Today we're going to take a look at the well-established Sands China Ltd. ( HKG:1928 ). The company's stock received a...

Mar 30
Estimating The Intrinsic Value Of Sands China Ltd. (HKG:1928)

Estimating The Intrinsic Value Of Sands China Ltd. (HKG:1928)

Does the March share price for Sands China Ltd. ( HKG:1928 ) reflect what it's really worth? Today, we will estimate...

Mar 09
Sands China (HKG:1928) Is Making Moderate Use Of Debt

Sands China (HKG:1928) Is Making Moderate Use Of Debt

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

1928HK HospitalityHK Market
7D-43.3%-19.2%-4.6%
1Y-54.6%-34.3%5.2%

Return vs Industry: 1928 underperformed the Hong Kong Hospitality industry which returned -34.3% over the past year.

Return vs Market: 1928 underperformed the Hong Kong Market which returned 5.2% over the past year.

Price Volatility

Is 1928's price volatile compared to industry and market?
1928 volatility
1928 Beta1.33
Industry Beta1.06
Market Beta1

Stable Share Price: 1928 is more volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: 1928's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.

About the Company

FoundedEmployeesCEOWebsite
200926,186Rob Goldsteinhttps://www.sandschina.com

Sands China Ltd., an investment holding company, develops, owns, and operates integrated resorts and casinos in Macao. It owns and operates The Venetian Macao-Resort-Hotel, the Londoner Macao, The Parisian Macao resort, The Plaza Macao, and Sands Macao casino; the Cotai Expo, an convention and exhibition hall; and the Cotai Arena, an entertainment venue, as well as Cotai Water Jet ferry for leisure and business travelers. As of December 31, 2020, the company had 12,005 hotel rooms and suites, 150 restaurants, 2.1 million square feet of retail malls, 1.7 million square feet of MICE space, 4 permanent theatres, a 15,000-seat arena, and casinos.

Sands China Fundamentals Summary

How do Sands China's earnings and revenue compare to its market cap?
1928 fundamental statistics
Market CapUS$15.66b
Earnings (TTM)-US$1.19b
Revenue (TTM)US$2.46b

6.4x

P/S Ratio

-13.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1928 income statement (TTM)
RevenueUS$2.46b
Cost of RevenueUS$1.14b
Gross ProfitUS$1.32b
ExpensesUS$2.51b
Earnings-US$1.19b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.15
Gross Margin53.72%
Net Profit Margin-48.31%
Debt/Equity Ratio475.6%

How did 1928 perform over the long term?

See historical performance and comparison

Valuation

Is Sands China undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1928 (HK$15.06) is trading below our estimate of fair value (HK$50.01)

Significantly Below Fair Value: 1928 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1928 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Hospitality industry average.

PE vs Market: 1928 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 1928's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1928 is overvalued based on its PB Ratio (10x) compared to the HK Hospitality industry average (1.1x).


Future Growth

How is Sands China forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

57.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1928 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.5%).

Earnings vs Market: 1928 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 1928's is expected to become profitable in the next 3 years.

Revenue vs Market: 1928's revenue (27.2% per year) is forecast to grow faster than the Hong Kong market (12.3% per year).

High Growth Revenue: 1928's revenue (27.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1928's Return on Equity is forecast to be very high in 3 years time (57.2%).


Past Performance

How has Sands China performed over the past 5 years?

-31.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1928 is currently unprofitable.

Growing Profit Margin: 1928 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1928 is unprofitable, and losses have increased over the past 5 years at a rate of 31.4% per year.

Accelerating Growth: Unable to compare 1928's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1928 is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (18.6%).


Return on Equity

High ROE: 1928 has a negative Return on Equity (-76.06%), as it is currently unprofitable.


Financial Health

How is Sands China's financial position?


Financial Position Analysis

Short Term Liabilities: 1928's short term assets ($1.1B) do not cover its short term liabilities ($1.1B).

Long Term Liabilities: 1928's short term assets ($1.1B) do not cover its long term liabilities ($7.7B).


Debt to Equity History and Analysis

Debt Level: 1928's debt to equity ratio (475.6%) is considered high.

Reducing Debt: 1928's debt to equity ratio has increased from 99.8% to 475.6% over the past 5 years.

Debt Coverage: 1928's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 1928's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Sands China current dividend yield, its reliability and sustainability?

6.44%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1928's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1928'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 1928's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1928's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 1928 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1928's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

1.6yrs

Average management tenure


CEO

Rob Goldstein (65 yo)

0.67

Tenure

Mr. Robert Glen Goldstein, also known as Rob, serves as Treasurer of Las Vegas Sands Corp. Mr. Goldstein serves as the Chairman of Las Vegas Sands Corp. since January 26, 2021 and served as its Acting Chai...


Leadership Team

Experienced Management: 1928's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: 1928's board of directors are considered experienced (6.5 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

Sands China Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Sands China Ltd.
  • Ticker: 1928
  • Exchange: SEHK
  • Founded: 2009
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: HK$121.883b
  • Shares outstanding: 8.09b
  • Website: https://www.sandschina.com

Number of Employees


Location

  • Sands China Ltd.
  • The Venetian Macao-Resort-Hotel
  • Executive Offices, L2
  • Taipa
  • Macau

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 10:03
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.