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341

Café de Coral HoldingsSEHK:341 Stock Report

Market Cap

HK$8.2b

7D

-0.3%

1Y

-9.8%

Updated

19 Oct, 2021

Data

Company Financials +
341 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance3/6
Financial Health4/6
Dividends3/6

341 Overview

Café de Coral Holdings Limited, an investment holding company, operates quick service restaurants, and casual dining chains in Hong Kong and Mainland China.

Price History & Performance

Summary of all time highs, changes and price drops for Café de Coral Holdings
Historical stock prices
Current Share PriceHK$14.20
52 Week HighHK$13.50
52 Week LowHK$18.40
Beta0.80
1 Month Change2.16%
3 Month Change-9.67%
1 Year Change-9.78%
3 Year Change-16.96%
5 Year Change-48.64%
Change since IPO564.68%

Recent News & Updates

Aug 30
We Discuss Why Café de Coral Holdings Limited's (HKG:341) CEO Compensation May Be Closely Reviewed

We Discuss Why Café de Coral Holdings Limited's (HKG:341) CEO Compensation May Be Closely Reviewed

Café de Coral Holdings Limited ( HKG:341 ) has not performed well recently and CEO Peter Lo will probably need to up...

Aug 20
What Does Café de Coral Holdings Limited's (HKG:341) Share Price Indicate?

What Does Café de Coral Holdings Limited's (HKG:341) Share Price Indicate?

Café de Coral Holdings Limited ( HKG:341 ), might not be a large cap stock, but it received a lot of attention from a...

Jun 22
Café de Coral Holdings Limited (HKG:341) Shares Could Be 31% Below Their Intrinsic Value Estimate

Café de Coral Holdings Limited (HKG:341) Shares Could Be 31% Below Their Intrinsic Value Estimate

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Café de Coral Holdings...

Shareholder Returns

341HK HospitalityHK Market
7D-0.3%2.7%0.7%
1Y-9.8%-23.8%5.7%

Return vs Industry: 341 exceeded the Hong Kong Hospitality industry which returned -23.8% over the past year.

Return vs Market: 341 underperformed the Hong Kong Market which returned 5.7% over the past year.

Price Volatility

Is 341's price volatile compared to industry and market?
341 volatility
341 Beta0.80
Industry Beta1.1
Market Beta1

Stable Share Price: 341 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 341's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
196818,109Peter Lohttps://www.cafedecoral.com

Café de Coral Holdings Limited, an investment holding company, operates quick service restaurants, and casual dining chains in Hong Kong and Mainland China. It operates restaurants primarily under the Café de Coral, Super Super Congee & Noodles, Shanghai Lao Lao, Mixian Sense, The Spaghetti House, Oliver’s Super Sandwiches, 360 Series, Little Onion, THE CUP, Don Don Tei, and ZAKKA brands. As of March 31, 2021, the company operated 473 operating units.

Café de Coral Holdings Fundamentals Summary

How do Café de Coral Holdings's earnings and revenue compare to its market cap?
341 fundamental statistics
Market CapHK$8.23b
Earnings (TTM)HK$359.13m
Revenue (TTM)HK$6.71b

22.9x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
341 income statement (TTM)
RevenueHK$6.71b
Cost of RevenueHK$6.34b
Gross ProfitHK$375.19m
ExpensesHK$16.06m
EarningsHK$359.13m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.62
Gross Margin5.59%
Net Profit Margin5.35%
Debt/Equity Ratio38.9%

How did 341 perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

61%

Payout Ratio

Valuation

Is Café de Coral Holdings undervalued compared to its fair value and its price relative to the market?

34.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 341 (HK$14.2) is trading below our estimate of fair value (HK$21.64)

Significantly Below Fair Value: 341 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 341 is poor value based on its PE Ratio (22.9x) compared to the Hong Kong Hospitality industry average (19.9x).

PE vs Market: 341 is poor value based on its PE Ratio (22.9x) compared to the Hong Kong market (9.7x).


Price to Earnings Growth Ratio

PEG Ratio: 341 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 341 is overvalued based on its PB Ratio (2.7x) compared to the HK Hospitality industry average (1.1x).


Future Growth

How is Café de Coral Holdings forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

15.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 341's forecast earnings growth (15.7% per year) is above the savings rate (1.5%).

Earnings vs Market: 341's earnings (15.7% per year) are forecast to grow slower than the Hong Kong market (17.4% per year).

High Growth Earnings: 341's earnings are forecast to grow, but not significantly.

Revenue vs Market: 341's revenue (10.7% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).

High Growth Revenue: 341's revenue (10.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 341's Return on Equity is forecast to be low in 3 years time (15.3%).


Past Performance

How has Café de Coral Holdings performed over the past 5 years?

-17.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 341 has a large one-off gain of HK$540.6M impacting its March 31 2021 financial results.

Growing Profit Margin: 341's current net profit margins (5.3%) are higher than last year (0.9%).


Past Earnings Growth Analysis

Earnings Trend: 341's earnings have declined by 17.9% per year over the past 5 years.

Accelerating Growth: 341's earnings growth over the past year (387.7%) exceeds its 5-year average (-17.9% per year).

Earnings vs Industry: 341 earnings growth over the past year (387.7%) exceeded the Hospitality industry 34.7%.


Return on Equity

High ROE: 341's Return on Equity (11.9%) is considered low.


Financial Health

How is Café de Coral Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 341's short term assets (HK$2.5B) exceed its short term liabilities (HK$1.7B).

Long Term Liabilities: 341's short term assets (HK$2.5B) exceed its long term liabilities (HK$2.4B).


Debt to Equity History and Analysis

Debt Level: 341's debt to equity ratio (38.9%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 341's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 341's debt is well covered by operating cash flow (143.5%).

Interest Coverage: Insufficient data to determine if 341's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Café de Coral Holdings's current dividend yield, its reliability and sustainability?

3.94%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 341's dividend (3.94%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.28%).

High Dividend: 341's dividend (3.94%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.77%).


Stability and Growth of Payments

Stable Dividend: 341's dividend payments have been volatile in the past 10 years.

Growing Dividend: 341's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.3%), 341's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 341's dividends in 3 years are forecast to be covered by earnings (61.6% payout ratio).


Next Steps

Management

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

7.9yrs

Average management tenure


CEO

Peter Lo (59 yo)

5.5yrs

Tenure

HK$8,840,000

Compensation

Mr. Tak-Shing Lo, also known as Peter, has been Chief Executive Officer of Café de Coral Holdings Limited since April 1, 2016 and served as its Deputy Chief Executive Officer from September 1, 2015 to Apri...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD1.14M) is above average for companies of similar size in the Hong Kong market ($USD443.10K).

Compensation vs Earnings: Peter's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: 341's management team is seasoned and experienced (7.9 years average tenure).


Board Members

Experienced Board: 341's board of directors are seasoned and experienced ( 25.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 341 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Café de Coral Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Café de Coral Holdings Limited
  • Ticker: 341
  • Exchange: SEHK
  • Founded: 1968
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: HK$8.229b
  • Shares outstanding: 579.53m
  • Website: https://www.cafedecoral.com

Number of Employees


Location

  • Café de Coral Holdings Limited
  • CafE de Coral Centre
  • 10th Floor
  • Sha Tin
  • New Territories
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 15:32
End of Day Share Price2021/10/19 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


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.