SEHK:45

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Hongkong and Shanghai Hotels

Executive Summary

The Hongkong and Shanghai Hotels, Limited, an investment holding company, engages in the ownership, development, and management of hotels, and commercial and residential properties in Asia, the United States, and Europe. More Details

Rewards

Revenue is forecast to grow 19.75% per year

Risk Analysis

No risks detected for 45 from our risk checks.


Snowflake Analysis

Overvalued with concerning outlook.


Similar Companies

Share Price & News

How has Hongkong and Shanghai Hotels's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 45 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.7%

45

-4.5%

HK Hospitality

-0.6%

HK Market


1 Year Return

-24.4%

45

-4.8%

HK Hospitality

0.9%

HK Market

Return vs Industry: 45 underperformed the Hong Kong Hospitality industry which returned -4.7% over the past year.

Return vs Market: 45 underperformed the Hong Kong Market which returned 0.7% over the past year.


Shareholder returns

45IndustryMarket
7 Day1.7%-4.5%-0.6%
30 Day-2.4%-11.5%0.02%
90 Day-11.0%7.5%-1.7%
1 Year-23.4%-24.4%-3.2%-4.8%5.1%0.9%
3 Year-49.5%-52.0%-20.6%-26.6%-6.1%-16.3%
5 Year-23.8%-30.5%13.0%-2.7%14.1%-5.3%

Price Volatility Vs. Market

How volatile is Hongkong and Shanghai Hotels's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hongkong and Shanghai Hotels undervalued compared to its fair value and its price relative to the market?

0.27x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 45 (HK$6.05) is trading above our estimate of fair value (HK$0.53)

Significantly Below Fair Value: 45 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 45 is unprofitable, so we can't compare its PE Ratio to the HK Hospitality industry average.

PE vs Market: 45 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 45's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 45 is good value based on its PB Ratio (0.3x) compared to the HK Hospitality industry average (1x).


Next Steps

Future Growth

How is Hongkong and Shanghai Hotels forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

94.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 45 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 45 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 45 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 45's revenue (19.8% per year) is forecast to grow faster than the Hong Kong market (13.3% per year).

High Growth Revenue: 45's revenue (19.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 45's Return on Equity is forecast to be high in 3 years time


Next Steps

  • Explore growth companies in the Consumer Services industry.

Past Performance

How has Hongkong and Shanghai Hotels performed over the past 5 years?

-18.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 45 is currently unprofitable.

Growing Profit Margin: 45 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 45 is unprofitable, and losses have increased over the past 5 years at a rate of 18% per year.

Accelerating Growth: Unable to compare 45's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 45 is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-56.1%).


Return on Equity

High ROE: 45 has a negative Return on Equity (-2.58%), as it is currently unprofitable.


Next Steps

Financial Health

How is Hongkong and Shanghai Hotels's financial position?


Financial Position Analysis

Short Term Liabilities: 45's short term assets (HK$1.4B) do not cover its short term liabilities (HK$2.7B).

Long Term Liabilities: 45's short term assets (HK$1.4B) do not cover its long term liabilities (HK$11.5B).


Debt to Equity History and Analysis

Debt Level: 45's debt to equity ratio (23.3%) is considered satisfactory.

Reducing Debt: 45's debt to equity ratio has increased from 15.1% to 23.3% over the past 5 years.

Debt Coverage: 45's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 45 is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Hongkong and Shanghai Hotels's current dividend yield, its reliability and sustainability?

1.02%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 45's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 45'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 45's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 45's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 45 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 45'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?

9.8yrs

Average management tenure


CEO

Clement Kwok (60 yo)

18.67yrs

Tenure

HK$15,853,000

Compensation

Mr. King Man Kwok, also known as Clement, has been the Chief Executive Officer and Managing Director of The Hongkong and Shanghai Hotels, Limited since February 1, 2002 and also serves as its Chairman of G ...


CEO Compensation Analysis

Compensation vs Market: Clement's total compensation ($USD2.05M) is above average for companies of similar size in the Hong Kong market ($USD561.28K).

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


Leadership Team

NamePositionTenureCompensationOwnership
King Man Kwok
MD, CEO18.67yrsHK$15.85m0.046%
HK$ 4.5m
Peter Camille Borer
COO, Member of Group Management Board & Executive Director16.5yrsHK$9.56m0.023%
HK$ 2.3m
Ronald McAulay
Honorary Life President3.42yrsHK$106.00k5.17%
HK$ 508.8m
Yi Ching Liao
Group Director of Corporate & Legal9.75yrsno datano data
Martyn P. A. Sawyer
Group Director of Properties & Member of Group Management Board18.75yrsHK$3.88mno data
Maria Razumich-Zec
Regional VP13.75yrsHK$3.70mno data
Shane Izaks
Group Director of Information Technology & Member of Group Management Board5.17yrsno datano data
Sindy Tsui
Group Director of Human Resources & Member of Group Management Board9.75yrsno datano data
Joseph Chong
Reg. VP of Asia of The Peninsula Hotels1.75yrsno datano data
Gareth Roberts
Group Director of Brand & Operations Support and Member of Group Management Board0.75yrno datano data
Judy Huang
Director of Corporate Financeno datano datano data
Christopher Chan
General Manager of Research & Technologyno datano datano data

9.8yrs

Average Tenure

60yo

Average Age

Experienced Management: 45's management team is seasoned and experienced (9.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
King Man Kwok
MD, CEO18.67yrsHK$15.85m0.046%
HK$ 4.5m
Peter Camille Borer
COO, Member of Group Management Board & Executive Director16.5yrsHK$9.56m0.023%
HK$ 2.3m
Ronald McAulay
Honorary Life President3.42yrsHK$106.00k5.17%
HK$ 508.8m
Michael David Kadoorie
Non-Executive Chairman35.75yrsHK$465.00k42.62%
HK$ 4.2b
William Elkin Mocatta
Non-Executive Director35.42yrsHK$325.00k0.0010%
HK$ 101.4k
Nicholas Timothy James Colfer
Non-Executive Director14.42yrsHK$325.00kno data
John Andrew Harry Leigh
Non-Executive Director14.42yrsHK$425.00kno data
Andrew Clifford Winawer Brandler
Non-Executive Deputy Chairman6.42yrsHK$635.00kno data
Patrick Blackwell Paul
Independent Non-Executive Director16.67yrsHK$660.00kno data
Kwok-Lun Fung
Independent Non-Executive Director9.75yrsHK$415.00kno data
Pierre Roger Boppe
Independent Non-Executive Director24.75yrsHK$375.00k0.0018%
HK$ 179.2k
Kwok-Po Li
Independent Non-Executive Director33yrsHK$415.00k0.069%
HK$ 6.8m

16.6yrs

Average Tenure

69.5yo

Average Age

Experienced Board: 45's board of directors are seasoned and experienced ( 16.6 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

The Hongkong and Shanghai Hotels, Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Hongkong and Shanghai Hotels, Limited
  • Ticker: 45
  • Exchange: SEHK
  • Founded: 1866
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: HK$9.847b
  • Shares outstanding: 1.65b
  • Website: https://www.hshgroup.com

Number of Employees


Location

  • The Hongkong and Shanghai Hotels, Limited
  • St. George’s Building
  • 8th Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HKSH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
45SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992
HSGDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
45SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJan 1992
45SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJan 1992
HKSH.YOTCPK (Pink Sheets LLC)ADRUSUSDNov 2008

Biography

The Hongkong and Shanghai Hotels, Limited, an investment holding company, engages in the ownership, development, and management of hotels, and commercial and residential properties in Asia, the United Stat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/19 12:51
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.