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Sands China

SEHK:1928
Snowflake Description

Proven track record with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
1928
SEHK
HK$293B
Market Cap
  1. Home
  2. HK
  3. Consumer Services
Company description

Sands China Ltd., an investment holding company, develops, owns, and operates integrated resorts and casinos in Macao. The last earnings update was 89 days ago. More info.


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1928 Share Price and Events
7 Day Returns
-3.1%
SEHK:1928
-2.1%
HK Hospitality
-0.2%
HK Market
1 Year Returns
-11.8%
SEHK:1928
-15.1%
HK Hospitality
-6.6%
HK Market
1928 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Sands China (1928) -3.1% -0.5% -6.4% -11.8% 43.7% -39.7%
HK Hospitality -2.1% 1.3% -3.4% -15.1% 39.7% -36.3%
HK Market -0.2% 2.3% -5.5% -6.6% 22.5% 4.4%
1 Year Return vs Industry and Market
  • 1928 outperformed the Hospitality industry which returned -15.1% over the past year.
  • 1928 underperformed the Market in Hong Kong which returned -6.6% over the past year.
Price Volatility
1928
Industry
5yr Volatility vs Market

Value

 Is Sands China undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Sands China to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Sands China.

SEHK:1928 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 25 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1928
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.917 (1 + (1- 26.01%) (14.84%))
1.012
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.01
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.012 * 5.96%)
8.04%

Discounted Cash Flow Calculation for SEHK:1928 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Sands China is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:1928 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.04%)
2019 2,055.10 Analyst x10 1,902.25
2020 2,249.20 Analyst x10 1,927.07
2021 2,983.75 Analyst x8 2,366.28
2022 3,559.50 Analyst x2 2,612.92
2023 3,834.50 Analyst x2 2,605.44
2024 4,057.33 Est @ 5.81% 2,551.80
2025 4,246.76 Est @ 4.67% 2,472.28
2026 4,411.07 Est @ 3.87% 2,376.94
2027 4,557.04 Est @ 3.31% 2,272.96
2028 4,689.99 Est @ 2.92% 2,165.29
Present value of next 10 years cash flows $23,253.23
SEHK:1928 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $4,689.99 × (1 + 2%) ÷ (8.04% – 2%)
$79,305.42
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $79,305.42 ÷ (1 + 8.04%)10
$36,613.95
SEHK:1928 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $23,253.23 + $36,613.95
$59,867.18
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $59,867.18 / 8,086.22
$7.4
SEHK:1928 Discount to Share Price
Calculation Result
Exchange Rate USD/HKD
(Reporting currency to currency of SEHK:1928)
7.81
Value per Share
(HKD)
= Value per Share in USD x Exchange Rate (USD/HKD)
= $7.4 x 7.81
HK$57.82
Value per share (HKD) From above. HK$57.82
Current discount Discount to share price of HK$36.35
= -1 x (HK$36.35 - HK$57.82) / HK$57.82
37.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Sands China is available for.
Intrinsic value
37%
Share price is HK$36.35 vs Future cash flow value of HK$57.82
Current Discount Checks
For Sands China to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Sands China's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Sands China's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Sands China's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Sands China's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:1928 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.23
SEHK:1928 Share Price ** SEHK (2019-06-26) in HKD HK$36.35
SEHK:1928 Share Price converted to USD reporting currency Exchange rate (HKD/ USD) 0.128 $4.65
Hong Kong Hospitality Industry PE Ratio Median Figure of 67 Publicly-Listed Hospitality Companies 13.59x
Hong Kong Market PE Ratio Median Figure of 1,488 Publicly-Listed Companies 10.77x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Sands China.

SEHK:1928 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:1928 Share Price ÷ EPS (both in USD)

= 4.65 ÷ 0.23

20.05x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sands China is overvalued based on earnings compared to the HK Hospitality industry average.
  • Sands China is overvalued based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Sands China's expected growth come at a high price?
Raw Data
SEHK:1928 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 20.05x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 25 Analysts
10.2%per year
Hong Kong Hospitality Industry PEG Ratio Median Figure of 19 Publicly-Listed Hospitality Companies 1.92x
Hong Kong Market PEG Ratio Median Figure of 470 Publicly-Listed Companies 0.77x

*Line of best fit is calculated by linear regression .

SEHK:1928 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 20.05x ÷ 10.2%

1.97x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sands China is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Sands China's assets?
Raw Data
SEHK:1928 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $0.55
SEHK:1928 Share Price * SEHK (2019-06-26) in HKD HK$36.35
SEHK:1928 Share Price converted to USD reporting currency Exchange rate (HKD/ USD) 0.128 $4.65
Hong Kong Hospitality Industry PB Ratio Median Figure of 106 Publicly-Listed Hospitality Companies 1.11x
Hong Kong Market PB Ratio Median Figure of 2,173 Publicly-Listed Companies 0.93x
SEHK:1928 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:1928 Share Price ÷ Book Value per Share (both in USD)

= 4.65 ÷ 0.55

8.53x

* Primary Listing of Sands China.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sands China is overvalued based on assets compared to the HK Hospitality industry average.
X
Value checks
We assess Sands China's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. Sands China has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Sands China expected to perform in the next 1 to 3 years based on estimates from 25 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
10.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Sands China expected to grow at an attractive rate?
  • Sands China's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • Sands China's earnings growth is positive but not above the Hong Kong market average.
  • Sands China's revenue growth is positive but not above the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:1928 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:1928 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 25 Analysts 10.2%
SEHK:1928 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 25 Analysts 6.5%
Hong Kong Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 15.1%
Hong Kong Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 11.3%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.1%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:1928 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:1928 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 12,993 4,342 3,598 1
2022-12-31 12,064 4,018 3,210 1
2021-12-31 10,510 3,651 2,599 15
2020-12-31 9,846 3,352 2,389 25
2019-12-31 9,181 3,078 2,169 24
SEHK:1928 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 8,665 3,049 1,875
2018-09-30 8,429 1,949
2018-06-30 8,345 3,002 1,904
2018-03-31 7,975 1,744
2017-12-31 7,586 2,626 1,603
2017-09-30 7,467 1,429
2017-06-30 7,194 2,567 1,351
2017-03-31 6,904 1,260
2016-12-31 6,543 2,346 1,224
2016-09-30 6,462 1,256
2016-06-30 6,397 2,149 1,276
2016-03-31 6,683 1,428

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Sands China's earnings are expected to grow by 10.2% yearly, however this is not considered high growth (20% yearly).
  • Sands China's revenue is expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:1928 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below

All data from Sands China Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1928 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.45 0.45 0.45 1.00
2022-12-31 0.40 0.40 0.40 1.00
2021-12-31 0.32 0.38 0.29 14.00
2020-12-31 0.30 0.36 0.24 23.00
2019-12-31 0.27 0.30 0.23 23.00
SEHK:1928 Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.23
2018-09-30 0.24
2018-06-30 0.24
2018-03-31 0.22
2017-12-31 0.20
2017-09-30 0.18
2017-06-30 0.17
2017-03-31 0.16
2016-12-31 0.15
2016-09-30 0.16
2016-06-30 0.16
2016-03-31 0.18

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Sands China is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
X
Future performance checks
We assess Sands China's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Sands China has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Sands China performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Sands China's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Sands China's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Sands China's 1-year earnings growth exceeds its 5-year average (17% vs -9.8%)
  • Sands China's earnings growth has exceeded the HK Hospitality industry average in the past year (17% vs 7.3%).
Earnings and Revenue History
Sands China's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Sands China Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1928 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 8,665.00 1,875.00 139.00
2018-09-30 8,429.00 1,949.00 246.50
2018-06-30 8,345.00 1,904.00 141.00
2018-03-31 7,974.50 1,743.50 179.00
2017-12-31 7,586.00 1,603.00 146.00
2017-09-30 7,467.00 1,429.00 133.00
2017-06-30 7,194.00 1,351.00 149.00
2017-03-31 6,904.00 1,260.00 133.00
2016-12-31 6,543.00 1,224.00 132.00
2016-09-30 6,462.39 1,255.79 156.05
2016-06-30 6,397.41 1,275.51 117.34
2016-03-31 6,682.57 1,427.52 156.05
2015-12-31 6,683.00 1,459.00 145.00
2015-09-30 7,275.96 1,613.48 198.01
2015-06-30 7,946.57 1,911.78 196.29
2015-03-31 8,558.80 2,140.64 198.01
2014-12-31 9,505.23 2,547.70 207.81
2014-09-30 9,907.91 2,669.21 144.63
2014-06-30 9,912.84 2,644.80 179.65
2014-03-31 9,606.42 2,513.16 144.63
2013-12-31 8,907.86 2,214.88 144.63
2013-09-30 8,356.85 2,026.88 99.73
2013-06-30 7,661.11 1,736.39 120.03
2013-03-31 7,073.74 1,409.72 99.73
2012-12-31 6,511.37 1,235.68 99.73
2012-09-30 5,874.34 1,080.41 43.93
2012-06-30 5,440.48 1,033.30 75.10

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Sands China made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
  • Sands China used its assets more efficiently than the HK Hospitality industry average last year based on Return on Assets.
  • Sands China has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Sands China's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Sands China has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Sands China's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Sands China's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Sands China is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Sands China's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Sands China's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Sands China Company Filings, last reported 5 months ago.

SEHK:1928 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 4,409.00 5,427.00 2,676.00
2018-09-30 4,409.00 5,427.00 2,676.00
2018-06-30 3,501.00 4,740.00 1,063.00
2018-03-31 3,501.00 4,740.00 1,063.00
2017-12-31 4,538.00 4,275.00 1,239.00
2017-09-30 3,607.00 4,904.00 781.00
2017-06-30 3,607.00 4,830.00 781.00
2017-03-31 5,007.00 4,374.00 1,284.00
2016-12-31 5,007.00 4,294.00 1,284.00
2016-09-30 4,323.49 4,390.53 656.16
2016-06-30 4,323.49 4,314.45 656.16
2016-03-31 5,838.61 3,385.30 1,283.10
2015-12-31 5,839.00 3,305.00 1,283.00
2015-09-30 5,106.36 3,374.64 1,955.42
2015-06-30 5,106.36 3,294.49 1,955.42
2015-03-31 6,429.35 3,200.19 2,535.32
2014-12-31 6,429.35 3,115.45 2,535.32
2014-09-30 5,242.25 3,192.94 1,507.79
2014-06-30 5,242.25 3,107.70 1,507.79
2014-03-31 6,449.88 3,229.69 2,943.44
2013-12-31 6,449.88 3,139.59 2,943.44
2013-09-30
2013-06-30 5,150.94 3,133.96 1,639.04
2013-03-31 5,586.13 3,260.58 1,948.41
2012-12-31 5,586.13 3,124.01 1,948.41
2012-09-30
2012-06-30 4,772.41 3,110.67 1,360.34
  • Sands China's level of debt (126.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (50.1% vs 126.2% today).
  • Debt is well covered by operating cash flow (54.8%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 11.5x coverage).
X
Financial health checks
We assess Sands China's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Sands China has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.46%
Current annual income from Sands China dividends. Estimated to be 5.7% next year.
If you bought HK$2,000 of Sands China shares you are expected to receive HK$109 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Sands China's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.1%).
  • Sands China's dividend is below the markets top 25% of dividend payers in Hong Kong (5.89%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:1928 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below
Hong Kong Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 43 Stocks 3%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 966 Stocks 3.7%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1928 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.27 1.00
2022-12-31 0.27 1.00
2021-12-31 0.27 15.00
2020-12-31 0.27 23.00
2019-12-31 0.26 23.00
SEHK:1928 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-03-29 0.254 5.074
2019-03-15 0.254 5.189
2019-02-22 0.254 5.169
2019-01-18 0.254 5.352
2018-03-28 0.254 5.247
2018-01-19 0.254 4.485
2017-03-30 0.257 5.421
2017-03-17 0.256 5.606
2017-02-17 0.257 6.013
2017-01-20 0.256 5.973
2016-03-23 0.257 6.426
2016-03-11 0.256 6.664
2016-02-19 0.257 7.231
2016-01-22 0.255 7.854
2015-03-26 0.257 6.937
2015-03-13 0.256 6.324
2015-02-13 0.257 5.655
2015-01-23 0.142 2.875
2014-03-27 0.223 3.553
2014-03-14 0.125 1.620
2014-02-14 0.223 2.787
2014-01-27 0.197 2.601
2013-03-21 0.171 2.862
2013-03-15 0.171 3.665
2013-02-07 0.171 3.668
2013-01-25 0.173 3.518
2012-04-26 0.150 4.124
2012-02-01 0.149 3.896
2012-01-16 0.150 4.541
2011-11-08 0.150 5.276
2011-09-15 0.150 5.550
2011-08-29 0.150 4.941

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sands China has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Sands China only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of Sands China's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (0.9x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.2x coverage).
X
Income/ dividend checks
We assess Sands China's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Sands China afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Sands China has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Sands China's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Sheldon Adelson
COMPENSATION $0
AGE 84
TENURE AS CEO 4.3 years
CEO Bio

Mr. Sheldon Gary Adelson has been the Chief Executive Officer of Sands China Ltd., since March 6, 2015. Mr. Adelson has been the Chief Executive Officer of Las Vegas Sands Corp. since August 2004. He is the Chairman and Chief Executive Officer at Las Vegas Sands, LLC since April 1988. He has been the Chairman and President of Interface Group Holding Company, Inc. since the mid-1970s. He is a Principal Owner and Chief Executive Officer of Venetian Casino Resort LLC. He has been a Treasurer of Las Vegas Sands Corp., since August 2004. He created and developed the COMDEX Trade Shows, including the COMDEX/Fall Trade Show, the world's largest computer show, all of which were sold to Softbank Corporation in April 1995. He served as the Chief Executive Officer of Marina Bay Sands Pte. Ltd. He also created and developed the Sands Expo Center, which he grew into one of the largest convention and trade show destinations in the United States in July 2004. He has been the Chairman of Sands China Ltd. since August 18, 2009. He serves as the Chairman of Marina Bay Sands Pte. Ltd. Mr. Adelson has been the Chairman of the board, Chief Executive Offi cer and a director of LVS LLC (or its predecessor, Las Vegas Sands, Inc.) since April 1988, when it was formed to own and operate the former Sands Hotel and Casino. He has been the Chairman of Interface Group-Massachusetts Inc. since 1990. Mr. Adelson has been the Chairman of the board, Chief Executive Offi cer and a director of LVS since August 2004. He has been the Chairman of Las Vegas Sands Corp., since August 2004. He serves as the Chairman of Venetian Casino Resort LLC. He has been a Director of Las Vegas Sands Corp. since August 2004. He has been an Executive Director of Sands China Ltd. since March 6, 2015 and served as its Non-Executive Director from August 18, 2009 to March 6, 2015. Mr. Adelson’s business career spans more than seven decades and has included creating and developing to maturity more than 50 different companies. Mr. Adelson has extensive experience in the convention, trade show and tour and travel businesses. He created and developed the COMDEX Trade Shows, including the COMDEX/Fall Trade Show, which was the world’s largest computer show in the 1990s. He is also the chief executive officer of one of the U.S. subsidiaries. Mr. Adelson has earned multiple honorary degrees and has been a guest lecturer at various colleges and universities, including the University of New Haven, Harvard Business School, Columbia Business School, Tel Aviv University and Babson College. Among his numerous awards for his business and philanthropic work are the Armed Forces Foundation’s Patriot Award, the Hotel Investment Conference’s Innovation Award, the Woodrow Wilson Award for Corporate Citizenship and induction into the American Gaming Association’s Hall of Fame.

CEO Compensation
  • Insufficient data for Sheldon to compare compensation growth.
  • Sheldon's remuneration is lower than average for companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the Sands China management team in years:

3.6
Average Tenure
49
Average Age
  • The tenure for the Sands China management team is about average.
Management Team

Sheldon Adelson

TITLE
Chairman & CEO
AGE
84
TENURE
4.3 yrs

Wilfred Wong

TITLE
President
COMPENSATION
$5M
AGE
65
TENURE
3.6 yrs

Dave Sun

TITLE
CFO & Senior VP
AGE
44
TENURE
2.2 yrs

Grant Chum

TITLE
Chief of Staff
AGE
42
TENURE
3.3 yrs

David Sylvester

TITLE
Executive Vice President of Global Retail
AGE
54

Dylan Williams

TITLE
Company Secretary
AGE
42
TENURE
4.2 yrs
Board of Directors Tenure

Average tenure and age of the Sands China board of directors in years:

5.6
Average Tenure
65
Average Age
  • The tenure for the Sands China board of directors is about average.
Board of Directors

Wilfred Wong

TITLE
President
COMPENSATION
$5M
AGE
65
TENURE
3.4 yrs

Victor Hoog Antink

TITLE
Independent Non-Executive Director
COMPENSATION
$180K
AGE
65
TENURE
6.5 yrs

Sheldon Adelson

TITLE
Chairman & CEO
AGE
84
TENURE
9.8 yrs

Steve Strasser

TITLE
Independent Non Executive Director
COMPENSATION
$180K
AGE
69
TENURE
6.1 yrs

Rob Goldstein

TITLE
Non-Executive Director
AGE
62
TENURE
4.3 yrs

Rachel Chiang

TITLE
Independent Non-Executive Director
COMPENSATION
$150K
AGE
50
TENURE
9.7 yrs

Charles Forman

TITLE
Non-Executive Director
COMPENSATION
$150K
AGE
71
TENURE
5.1 yrs

Kenneth Patrick Chung

TITLE
Independent Non-Executive Director
COMPENSATION
$150K
AGE
61
TENURE
2.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
X
Management checks
We assess Sands China's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Sands China has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

How Does Sands China Ltd.'s (HKG:1928) Earnings Growth Stack Up Against Industry Performance?

View our latest analysis for Sands China Could 1928 beat the long-term trend and outperform its industry? … Let's see if it is merely due to industry tailwinds, or if Sands China has seen some company-specific growth. … I suggest you continue to research Sands China to get a better picture of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for 1928’s future growth?

Simply Wall St -

What Investors Should Know About Sands China Ltd.'s (HKG:1928) Financial Strength

Moreover, 1928 has generated US$3.0b in operating cash flow in the last twelve months, leading to an operating cash to total debt ratio of 55%, signalling that 1928’s operating cash is sufficient to cover its debt. … At the current liabilities level of US$1.9b, it appears that the company has maintained a safe level of current assets to meet its obligations, with the current ratio last standing at 1.64x. … Next Steps: Although 1928’s debt level is towards the higher end of the spectrum, its cash flow coverage seems adequate to meet obligations which means its debt is being efficiently utilised.

Simply Wall St -

What Do Analysts Think About Sands China Ltd.'s (HKG:1928) Growth?

Based on Sands China Ltd.'s (HKG:1928) earnings update in December 2018, analyst consensus outlook appear cautiously optimistic, as a 16% increase in profits is expected in the upcoming year, against the past 5-year average growth rate of -9.8%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … SEHK:1928 Past and Future Earnings, June 3rd 2019 By 2022, 1928's earnings should reach US$2.6b, from current levels of US$1.9b, resulting in an annual growth rate of 10%.

Simply Wall St -

Despite Its High P/E Ratio, Is Sands China Ltd. (HKG:1928) Still Undervalued?

View our latest analysis for Sands China How Do I Calculate Sands China's Price To Earnings Ratio? … The formula for price to earnings is: Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS) Or for Sands China: P/E of 21.27 = $4.94 (Note: this is the share price in the reporting currency, namely, USD ) ÷ $0.23 (Based on the trailing twelve months to December 2018.) Is A High Price-to-Earnings Ratio Good? … The Verdict On Sands China's P/E Ratio Sands China's P/E is 21.3 which is above average (11.1) in the HK market.

Simply Wall St -

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

Help shape the future of investing tools and you could win a $250 gift card! … received a lot of attention from a substantial price increase on the SEHK over the last few months … As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock.

Simply Wall St -

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

I will be using the Discounted Cash Flow (DCF) model. … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. … We're using the 2-stage growth model, which simply means we take in account two stages of company's growth

Simply Wall St -

Here's Why I Think Sands China (HKG:1928) Might Deserve Your Attention Today

In contrast to all that, I prefer to spend time on companies like Sands China (HKG:1928), which has not only revenues, but also profits. … Sands China's Earnings Per Share Are Growing. … The good news is that Sands China is growing revenues, and EBIT margins improved by 3.5 percentage points to 27%, over the last year.

Simply Wall St -

Introducing Sands China (HKG:1928), A Stock That Climbed 46% In The Last Three Years

One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … Sands China was able to grow its EPS at 8.7% per year over three years, sending the share price higher. … So it's fair to assume the market has a higher opinion of the business than it did three years ago.

Simply Wall St -

What Should Investors Know About Sands China Ltd.'s (HKG:1928) Earnings Outlook?

In December 2018, Sands China Ltd. … (HKG:1928) released its most recent earnings announcement, whicha … showed

Simply Wall St -

Sands China Ltd. (HKG:1928) Earns Among The Best Returns In Its Industry

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Company Info

Description

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 Sands Cotai Central resort, The Parisian Macao resort, The Plaza Macao, and Sands Macao casino; the CotaiExpo, an convention and exhibition hall; and the Cotai Arena, an entertainment venue. As of December 31, 2018, the company had 12,341 hotel rooms and suites, 151 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. It also offers ferry transportation and leasing services, and pontoon leasing; security services; human resources administration services; financing; mall management services; travel and tourism agency services; and procurement, marketing, and administrative services, as well as outsourcing services, including information technology, accounting, hotel reservation, and marketing. The company was incorporated in 2009 and is headquartered in Taipa, Macau. Sands China Ltd. is a subsidiary of Venetian Venture Development Intermediate II.

Details
Name: Sands China Ltd.
1928
Exchange: SEHK
Founded: 2009
HK$292,721,196,254
8,086,220,891
Website: http://www.sandschinaltd.com
Address: Sands China Ltd.
The Venetian Macao-Resort-Hotel,
Executive Offices, L2,
Taipa,
Macau
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 1928 Ordinary Shares The Stock Exchange of Hong Kong Ltd. HK HKD 30. Nov 2009
OTCPK SCHY.F Ordinary Shares Pink Sheets LLC US USD 30. Nov 2009
DB 599A Ordinary Shares Deutsche Boerse AG DE EUR 30. Nov 2009
SHSC 1928 Ordinary Shares Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 30. Nov 2009
SZSC 1928 Ordinary Shares The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 30. Nov 2009
OTCPK SCHY.Y UNSPONSORE ADR Pink Sheets LLC US USD 18. May 2010
Number of employees
Current staff
Staff numbers
28,304
Sands China employees.
Industry
Casinos and Gaming
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/26 12:51
End of day share price update: 2019/06/26 00:00
Last estimates confirmation: 2019/06/24
Last earnings filing: 2019/03/29
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.