SEHK:1359

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China Cinda Asset Management

Executive Summary

China Cinda Asset Management Co., Ltd. acquires, manages, invests in, and disposes financial and non-financial institution distressed assets in the People’s Republic of China.


Snowflake Analysis

Very undervalued average dividend payer.

Share Price & News

How has China Cinda Asset Management's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1359 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

11.4%

1359

15.2%

HK Capital Markets

6.6%

HK Market


1 Year Return

-6.7%

1359

35.0%

HK Capital Markets

0.6%

HK Market

Return vs Industry: 1359 underperformed the Hong Kong Capital Markets industry which returned 35% over the past year.

Return vs Market: 1359 underperformed the Hong Kong Market which returned 0.6% over the past year.


Shareholder returns

1359IndustryMarket
7 Day11.4%15.2%6.6%
30 Day8.5%34.8%8.1%
90 Day12.2%53.4%13.9%
1 Year0.5%-6.7%39.0%35.0%4.7%0.6%
3 Year-31.0%-43.7%17.5%7.0%9.7%-2.2%
5 Year-40.2%-56.0%-10.6%-23.6%12.5%-6.4%

Price Volatility Vs. Market

How volatile is China Cinda Asset Management's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China Cinda Asset Management 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: 1359 (HK$1.66) is trading below our estimate of fair value (HK$4.16)

Significantly Below Fair Value: 1359 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1359 is good value based on its PE Ratio (5.5x) compared to the HK Capital Markets industry average (12.9x).

PE vs Market: 1359 is good value based on its PE Ratio (5.5x) compared to the Hong Kong market (10.5x).


Price to Earnings Growth Ratio

PEG Ratio: 1359 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: 1359 is good value based on its PB Ratio (0.4x) compared to the HK Capital Markets industry average (0.5x).


Next Steps

Future Growth

How is China Cinda Asset Management forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

11.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1359's forecast earnings growth (11.2% per year) is above the savings rate (1.6%).

Earnings vs Market: 1359's earnings (11.2% per year) are forecast to grow slower than the Hong Kong market (17.7% per year).

High Growth Earnings: 1359's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1359's revenue (22.4% per year) is forecast to grow faster than the Hong Kong market (10.8% per year).

High Growth Revenue: 1359's revenue (22.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1359's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has China Cinda Asset Management performed over the past 5 years?

-1.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1359 has high quality earnings.

Growing Profit Margin: 1359's current net profit margins (23.2%) are lower than last year (33.8%).


Past Earnings Growth Analysis

Earnings Trend: 1359's earnings have declined by -1.2% per year over the past 5 years.

Accelerating Growth: 1359's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1359 had negative earnings growth (-29.6%) over the past year, making it difficult to compare to the Capital Markets industry average (-8.1%).


Return on Equity

High ROE: 1359's Return on Equity (7.3%) is considered low.


Next Steps

Financial Health

How is China Cinda Asset Management's financial position?


Financial Position Analysis

Short Term Liabilities: 1359's short term assets (CN¥1,146.0B) exceed its short term liabilities (CN¥903.8B).

Long Term Liabilities: 1359's short term assets (CN¥1,146.0B) exceed its long term liabilities (CN¥421.0B).


Debt to Equity History and Analysis

Debt Level: 1359's debt to equity ratio (465.2%) is considered high.

Reducing Debt: 1359's debt to equity ratio has increased from 333.7% to 465.2% over the past 5 years.

Debt Coverage: 1359's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 1359's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is China Cinda Asset Management current dividend yield, its reliability and sustainability?

6.85%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1359's dividend (6.85%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 1359's dividend (6.85%) is in the top 25% of dividend payers in the Hong Kong market (6.67%)


Stability and Growth of Payments

Stable Dividend: 1359 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1359's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.5%), 1359's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1359's dividends in 3 years are forecast to be well covered by earnings (28.4% payout ratio).


Next Steps

Management

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

2.9yrs

Average management tenure


CEO

Weidong Zhang (53yo)

1.5yrs

Tenure

CN¥324,000

Compensation

Mr. Zhang Weidong is President and an Executive Director at China Cinda Asset Management Co., Ltd. Since January 21, 2020. Mr. Zhang served as an Assistant to President at China Cinda Asset Management Co., ...


CEO Compensation Analysis

Compensation vs Market: Weidong's total compensation ($USD46.33K) is below average for companies of similar size in the Hong Kong market ($USD562.58K).

Compensation vs Earnings: Insufficient data to compare Weidong's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Zi'ai Zhang
Chairman of the Board1.92yrsCN¥728.00kno data
Weidong Zhang
President & Executive Director1.5yrsCN¥324.00kno data
Yingxun Yang
CFO and GM of Planning & Finance Department0.083yrno datano data
Zhenhong Luo
Chief Risk Officer6.75yrsno datano data
Jiuchao Ai
Board Secretary4.25yrsno datano data

2.9yrs

Average Tenure

53yo

Average Age

Experienced Management: 1359's management team is considered experienced (2.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Zi'ai Zhang
Chairman of the Board1.92yrsCN¥728.00kno data
Weidong Zhang
President & Executive Director1.5yrsCN¥324.00kno data
Zhengfei Lu
Independent Non-Executive Director1.08yrsCN¥63.00kno data
Wuxiang Zhu
Independent Non-Executive Director3.75yrsCN¥250.00kno data
Chong Liu
Non-Executive Director2.92yrsno datano data
Baowen Sun
Independent Non-Executive Director3.75yrsCN¥250.00kno data
Jiande Gong
Chairman of Board of Supervisors5.42yrsno datano data
Guoqing Zhang
Non-Executive Director3.25yrsno datano data
Long Xu
Non-Executive Director2yrsno datano data
Jieping He
Non-Executive Director2yrsno datano data

2.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 1359's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


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

China Cinda Asset Management Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Cinda Asset Management Co., Ltd.
  • Ticker: 1359
  • Exchange: SEHK
  • Founded: 1999
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: HK$64.498b
  • Shares outstanding: 38.16b
  • Website: https://www.cinda.com.cn

Number of Employees


Location

  • China Cinda Asset Management Co., Ltd.
  • No. 1 Building
  • 9 Naoshikou Street
  • Beijing
  • Beijing Province
  • 100031
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1359SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDDec 2013
0CIDB (Deutsche Boerse AG)YesForeign Shares-Foreign ListedDEEURDec 2013
1359SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDDec 2013
CCGD.FOTCPK (Pink Sheets LLC)YesForeign Shares-Foreign ListedUSUSDDec 2013
1359SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDDec 2013
A1864FDB (Deutsche Boerse AG)4.45%-FRN SUB PERP USD200000 'REGS'DEUSDNov 2016

Biography

China Cinda Asset Management Co., Ltd. acquires, manages, invests in, and disposes financial and non-financial institution distressed assets in the People’s Republic of China. The company operates through Distressed Asset Management Business, and Financial Services Business segments. It is also involved in receivership; foreign investment; securities and futures dealing; financial bond issuance; inter-bank borrowing and lending; commercial financing for other financial institutions; approved asset securitization business; financial institutions custody; and closing and liquidation of business. In addition, the company engages in consulting and advisory business on finance, investment, and legal and risk management; asset and project evaluation; banking business; insurance; fund management; asset management; trust; financial leasing services; and real estate and industrial investments and other businesses. Further, it is involved in securities brokerage, life insurance, real estate development, property leasing, hotel management, and aircraft leasing activities. The company serves customers through 33 branches. China Cinda Asset Management Co., Ltd. was founded in 1999 and is headquartered in Beijing, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/10 12:38
End of Day Share Price2020/07/10 00:00
Earnings2019/12/31
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.