SEHK:139

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Central Wealth Group Holdings

Executive Summary

Central Wealth Group Holdings Limited, an investment holding company, engages in securities and futures dealing, asset management, and money lending businesses to individual, corporate, and institutional clients. More Details


Snowflake Analysis

Undervalued with acceptable track record.

Share Price & News

How has Central Wealth Group Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 139 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: 139's weekly volatility (12%) has been stable over the past year.


Market Performance


7 Day Return

-3.7%

139

-9.2%

HK Capital Markets

-4.2%

HK Market


1 Year Return

-43.5%

139

36.7%

HK Capital Markets

21.2%

HK Market

Return vs Industry: 139 underperformed the Hong Kong Capital Markets industry which returned 36.7% over the past year.

Return vs Market: 139 underperformed the Hong Kong Market which returned 21.2% over the past year.


Shareholder returns

139IndustryMarket
7 Day-3.7%-9.2%-4.2%
30 Day18.2%-4.4%3.8%
90 Day4.0%7.4%11.6%
1 Year-43.5%-43.5%39.9%36.7%25.9%21.2%
3 Year-81.0%-81.0%5.3%-2.8%4.8%-6.2%
5 Year-92.6%-92.6%27.9%12.1%59.6%32.4%

Long-Term Price Volatility Vs. Market

How volatile is Central Wealth Group Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Central Wealth Group Holdings 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: 139 (HK$0.03) is trading below our estimate of fair value (HK$0.07)

Significantly Below Fair Value: 139 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 139 is good value based on its PE Ratio (2.3x) compared to the HK Capital Markets industry average (14.8x).

PE vs Market: 139 is good value based on its PE Ratio (2.3x) compared to the Hong Kong market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 139's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 139 is good value based on its PB Ratio (0.3x) compared to the HK Capital Markets industry average (0.6x).


Next Steps

Future Growth

How is Central Wealth Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.8%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Central Wealth Group Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Central Wealth Group Holdings performed over the past 5 years?

59.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 139 has high quality earnings.

Growing Profit Margin: 139 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 139 has become profitable over the past 5 years, growing earnings by 59.6% per year.

Accelerating Growth: 139 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 139 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (14.1%).


Return on Equity

High ROE: 139's Return on Equity (12.9%) is considered low.


Next Steps

Financial Health

How is Central Wealth Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 139's short term assets (HK$1.5B) exceed its short term liabilities (HK$968.8M).

Long Term Liabilities: 139's short term assets (HK$1.5B) exceed its long term liabilities (HK$242.0M).


Debt to Equity History and Analysis

Debt Level: 139's debt to equity ratio (62.7%) is considered high.

Reducing Debt: Insufficient data to determine if 139's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 139's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 139's interest payments on its debt are well covered by EBIT (6.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Central Wealth Group Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 139's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 139'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 139's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 139's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 139'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?

3.9yrs

Average board tenure


CEO

Ke Xu (41 yo)

3.08yrs

Tenure

HK$11,597,000

Compensation

Mr. Ke Xu has been the Chief Executive Officer and Executive Director of China Soft Power Technology Holdings Limited since February 27, 2018. Mr. Xu serves as Chief Executive Officer and Executive Directo...


CEO Compensation Analysis

Compensation vs Market: Ke's total compensation ($USD1.49M) is above average for companies of similar size in the Hong Kong market ($USD229.70K).

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


Board Members

NamePositionTenureCompensationOwnership
Xiaodong Chen
Chairmanno dataHK$7.30m0.68%
HK$ 2.8m
Ke Xu
CEO & Executive Director3.08yrsHK$11.60m7.05%
HK$ 29.3m
Qingrui Yu
Executive Director4.75yrsHK$3.31m0.000040%
HK$ 166.1
Hay Yin Lam
Executive Director4.67yrsHK$3.35mno data
Chi Kwong Kwok
Independent Non-Executive Director7.17yrsHK$150.00kno data
Ming Wu
Independent Non-Executive Director2.42yrsHK$2.30m0.025%
HK$ 103.7k
Hongwei Liu
Independent Non-Executive Director1.42yrsHK$450.00kno data

3.9yrs

Average Tenure

47yo

Average Age

Experienced Board: 139's board of directors are considered experienced (3.9 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Central Wealth Group Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Central Wealth Group Holdings Limited
  • Ticker: 139
  • Exchange: SEHK
  • Founded: NaN
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: HK$415.211m
  • Shares outstanding: 15.97b
  • Website: https://www.cwghl.com

Number of Employees


Location

  • Central Wealth Group Holdings Limited
  • International Commerce Centre
  • Unit 6706B-08A
  • Kowloon
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
139SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDApr 1994

Biography

Central Wealth Group Holdings Limited, an investment holding company, engages in securities and futures dealing, asset management, and money lending businesses to individual, corporate, and institutional c...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/03 10:01
End of Day Share Price2021/03/02 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.