SEHK:2006

Stock Analysis Report

Shanghai Jin Jiang Capital

Executive Summary

Shanghai Jin Jiang Capital Company Limited, together with its subsidiaries, engages in the hotel, passenger transportation vehicles and logistics, and travel agency businesses.

Snowflake

Fundamentals

Very undervalued established dividend payer.


Similar Companies

Share Price & News

How has Shanghai Jin Jiang Capital's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

2006

2.7%

HK Hospitality

0.9%

HK Market


1 Year Return

-35.5%

2006

15.8%

HK Hospitality

0.6%

HK Market

Return vs Industry: 2006 underperformed the Hong Kong Hospitality industry which returned 15.8% over the past year.

Return vs Market: 2006 underperformed the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

2006IndustryMarket
7 Day1.7%2.7%0.9%
30 Day2.6%0.4%0.4%
90 Day-15.5%-6.8%-5.5%
1 Year-31.7%-35.5%19.5%15.8%4.2%0.6%
3 Year-41.6%-48.5%23.2%11.6%15.5%3.9%
5 Year-43.9%-52.8%-9.3%-23.8%19.9%-0.1%

Price Volatility Vs. Market

How volatile is Shanghai Jin Jiang Capital's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Shanghai Jin Jiang Capital undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: 2006 (HK$1.2) is trading below our estimate of fair value (HK$5.31)

Significantly Undervalued: 2006 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2006 is good value based on its PE Ratio (8.5x) compared to the Hospitality industry average (12.1x).

PE vs Market: 2006 is good value based on its PE Ratio (8.5x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: 2006 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: 2006 is good value based on its PB Ratio (0.7x) compared to the HK Hospitality industry average (0.9x).


Next Steps

Future Growth

How is Shanghai Jin Jiang Capital forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

16.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2006's forecast earnings growth (16.6% per year) is above the savings rate (2%).

Earnings vs Market: 2006's earnings (16.6% per year) are forecast to grow faster than the Hong Kong market (11.4% per year).

High Growth Earnings: 2006's earnings are forecast to grow, but not significantly.

Revenue vs Market: 2006's revenue (3.7% per year) is forecast to grow slower than the Hong Kong market (10.2% per year).

High Growth Revenue: 2006's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: 2006's Return on Equity is forecast to be low in 3 years time (9.2%).


Next Steps

Past Performance

How has Shanghai Jin Jiang Capital performed over the past 5 years?

0.07%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 2006's earnings have grown by 0.07% per year over the past 5 years.

Accelerating Growth: 2006's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 2006 had negative earnings growth (-7.2%) over the past year, making it difficult to compare to the Hospitality industry average (-5.3%).


Return on Equity

High ROE: 2006's Return on Equity (7.7%) is considered low.


Return on Assets

ROA vs Industry: 2006's Return on Assets is below or equal to the Hospitality industry average last year.


Return on Capital Employed

ROCE Improving: 2006 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Shanghai Jin Jiang Capital's financial position?


Financial Position Analysis

Short Term Liabilities: 2006's short term assets (CN¥17.0B) do not cover its short term liabilities (CN¥17.6B)

Long Term Liabilities: 2006's short term assets (17.0B) do not cover its long term liabilities (28.8B)


Debt to Equity History and Analysis

Debt Level: 2006's debt to equity ratio (96.5%) is considered high

Reducing Debt: 2006's debt to equity ratio has increased from 30.6% to 96.5% over the past 5 years.

Debt Coverage: 2006's debt is not well covered by operating cash flow (18.5%).

Interest Coverage: 2006's interest payments on its debt are well covered by EBIT (3.3x coverage).


Balance Sheet

Inventory Level: 2006 has a high level of physical assets or inventory.

Debt Coverage by Assets: 2006's debt is not covered by short term assets (assets are 0.9x debt).


Next Steps

Dividend

What is Shanghai Jin Jiang Capital's current dividend yield, its reliability and sustainability?

7.38%

Current Dividend Yield


Dividend Yield vs Market

company7.4%marketbottom25%2.3%markettop25%6.3%industryaverage2.9%forecastin3Years7.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 2006's dividend (7.38%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 2006's dividend (7.38%) is in the top 25% of dividend payers in the Hong Kong market (6.25%)

Stable Dividend: 2006's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2006's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (63%), 2006's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2006's dividends in 3 years are forecast to be covered by earnings (53.9% payout ratio).


Next Steps

Management

What is the CEO of Shanghai Jin Jiang Capital's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Mingju Ma (58yo)

0.9yrs

Tenure

0

Mr. Mingju Ma has been Chief Executive Officer and Executive Director of Shanghai Jin Jiang International Hotels (Group) Company Limited since November 23, 2018. Mr. Ma served as a Supervisor of Shanghai J ...


Management Age and Tenure

2.3yrs

Average Tenure

56.5yo

Average Age

Experienced Management: 2006's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

0.9yrs

Average Tenure

58.5yo

Average Age

Experienced Board: 2006's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

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Ownership Breakdown


Management Team

  • Mingju Ma (58yo)

    CEO & Executive Director

    • Tenure: 0.9yrs
  • Minliang Yu (61yo)

    Chairman of the Board

    • Tenure: 0yrs
  • Liming Chen (59yo)

    Vice Chairman

    • Tenure: 3.3yrs
  • Lijuan Guo (56yo)

    Vice Chairman

    • Tenure: 0yrs
  • Yanhong Yin (51yo)

    CFO & Financial Controller

    • Tenure: 3.3yrs
  • Wei Zhou (38yo)

    Chief Investment Officer & Executive Director

    • Tenure: 0.3yrs
  • Jue Zhang (34yo)

    Joint Company Secretary

    • Tenure: 2.3yrs
  • Lai Shan So

    Joint Company Secretary

    • Tenure: 1.2yrs
  • Jianping Cai (57yo)

    VP & Director of Human Resources Department

    • Tenure: 0yrs
  • Yu Sun

    Executive Director

    • Tenure: 0.3yrs

Board Members

  • Mingju Ma (58yo)

    CEO & Executive Director

    • Tenure: 0.9yrs
  • Minliang Yu (61yo)

    Chairman of the Board

    • Tenure: 0yrs
  • Gang Ji (61yo)

    Independent Non-Executive Director

    • Tenure: 12.9yrs
    • Compensation: CN¥120.00k
  • Mingjie Rui (64yo)

    Independent Non-Executive Director

    • Tenure: 12.9yrs
    • Compensation: CN¥120.00k
  • Guoxing Wang (55yo)

    Chairman of Supervisory Committee

    • Tenure: 0yrs
  • Liming Chen (59yo)

    Vice Chairman

    • Tenure: 3.3yrs
  • Lijuan Guo (56yo)

    Vice Chairman

    • Tenure: 0yrs
  • Wei Zhou (38yo)

    Chief Investment Officer & Executive Director

    • Tenure: 0.3yrs
  • Liqiang Shen

    Independent Non Executive Director

    • Tenure: 0.3yrs
  • Yu Sun

    Executive Director

    • Tenure: 0.3yrs

Company Information

Shanghai Jin Jiang Capital Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Shanghai Jin Jiang Capital Company Limited
  • Ticker: 2006
  • Exchange: SEHK
  • Founded: 1995
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: HK$6.679b
  • Shares outstanding: 5.57b
  • Website: https://www.jinjianghotels.com.cn

Number of Employees


Location

  • Shanghai Jin Jiang Capital Company Limited
  • Union Building
  • 26th Floor
  • Shanghai
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2006SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDDec 2006

Biography

Shanghai Jin Jiang Capital Company Limited, together with its subsidiaries, engages in the hotel, passenger transportation vehicles and logistics, and travel agency businesses. The company operates through ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 12:46
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.