SEHK:6058

Stock Analysis Report

China Industrial Securities International Financial Group

Executive Summary

China Industrial Securities International Financial Group Limited provides a range of financial services in Hong Kong.

Snowflake

Fundamentals

Fair value with acceptable track record.


Similar Companies

Share Price & News

How has China Industrial Securities International Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.2%

6058

4.2%

HK Capital Markets

2.2%

HK Market


1 Year Return

-57.6%

6058

9.0%

HK Capital Markets

-1.3%

HK Market

Return vs Industry: 6058 underperformed the Hong Kong Capital Markets industry which returned 9% over the past year.

Return vs Market: 6058 underperformed the Hong Kong Market which returned -1.3% over the past year.


Share holder returns

6058IndustryMarket
7 Day2.2%4.2%2.2%
30 Day-5.0%-4.6%-2.9%
90 Day-6.9%-7.8%-5.8%
1 Year-56.1%-57.6%12.8%9.0%2.3%-1.3%
3 Yearn/a-24.2%-30.9%15.6%3.9%
5 Yearn/a-3.9%-19.0%20.1%0.06%

Price Volatility Vs. Market

How volatile is China Industrial Securities International Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China Industrial Securities International Financial Group undervalued based on future cash flows and its price relative to the stock market?

8.69x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: 6058 (HK$0.48) is trading above our estimate of fair value (HK$0.11)

Significantly Undervalued: 6058 is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: 6058 is good value based on its PE Ratio (8.7x) compared to the Capital Markets industry average (12.5x).

PE vs Market: 6058 is good value based on its PE Ratio (8.7x) compared to the Hong Kong market (10.3x).


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate 6058's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: 6058 is good value based on its PB Ratio (0.4x) compared to the HK Capital Markets industry average (0.6x).


Next Steps

Future Growth

How is China Industrial Securities International Financial Group expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: 6058's forecast earnings growth (3.6% per year) is above the savings rate (2%).

Earnings vs Market: 6058's earnings (3.6% per year) are forecast to grow slower than the Hong Kong market (11.2% per year).

High Growth Earnings: 6058's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if 6058's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 6058's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if 6058's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has China Industrial Securities International Financial Group performed over the past 5 years?

28.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 6058's earnings have grown significantly by 28.3% per year over the past 5 years.

Accelerating Growth: 6058's earnings growth over the past year (45.9%) exceeds its 5-year average (28.3% per year).

Earnings vs Industry: 6058 earnings growth over the past year (45.9%) exceeded the Capital Markets industry -19.8%.


Return on Equity

High ROE: 6058's Return on Equity (4.9%) is considered low.


Return on Assets

ROA vs Industry: 6058's Return on Assets is below or equal to the Capital Markets industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate 6058's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is China Industrial Securities International Financial Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: 6058 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 6058's debt is covered by short term assets (assets are 1.630250x debt).


Financial Institutions Analysis

Asset Level: 6058's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if 6058 has a sufficient allowance for bad loans.

Low Risk Liabilities: 6058 reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if 6058 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: 6058 has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if 6058 has an appropriate level of bad loans.


Next Steps

Dividend

What is China Industrial Securities International Financial Group's current dividend yield, its reliability and sustainability?

4.84%

Current Dividend Yield


Dividend Yield vs Market

company4.8%marketbottom25%2.3%markettop25%6.3%industryaverage3.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: 6058's dividend (4.84%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 6058's dividend (4.84%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.35%).

Stable Dividend: 6058 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 6058's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.1%), 6058's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of China Industrial Securities International Financial Group's salary, the management and board of directors tenure and is there insider trading?

3.3yrs

Average management tenure


CEO

Jinguang Huang (49yo)

3.3yrs

Tenure

HK$5,143,968

Compensation

Mr. Jinguang Huang has been Chief Executive Officer and Executive Director at China Industrial Securities International Financial Group Limited since June 8, 2016 and July 21, 2015 respectively and also se ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Jinguang's total compensation is reasonable compared to companies of similar size in the Hong Kong market.

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


Management Age and Tenure

3.3yrs

Average Tenure

47.5yo

Average Age

Experienced Management: 6058's management team is considered experienced (3.3 years average tenure).


Board Age and Tenure

3.3yrs

Average Tenure

49.5yo

Average Age

Experienced Board: 6058's board of directors are considered experienced (3.3 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Laurent Leung (49yo)

    Head of Investment Banking Division

    • Tenure: 0yrs
  • Jinguang Huang (49yo)

    CEO & Vice Chairman

    • Tenure: 3.3yrs
    • Compensation: HK$5.14m
  • Xiang Wang (39yo)

    Deputy CEO & Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$4.07m
  • Yanxia Zeng (42yo)

    Deputy CEO

    • Tenure: 3.3yrs
    • Compensation: HK$3.63m
  • Han Wang (41yo)

    Deputy Chief Executive Officer

    • Tenure: 0yrs
  • Kei Chi Kwok (48yo)

    Deputy Chief Executive Officer of CISI Brokerage

    • Tenure: 0yrs
  • Yung Pang Wong (57yo)

    Deputy Chief Executive Officer of CISI Brokerage

    • Tenure: 0yrs
  • Zhi Sen Li (38yo)

    Head of Futures Division

    • Tenure: 0yrs
  • Chung Kuang Liu (49yo)

    Head of Asset Management Division

    • Tenure: 0yrs
  • Chih Miao (47yo)

    Chief Operating Officer of CISI Brokerage

    • Tenure: 0yrs

Board Members

  • Jinguang Huang (49yo)

    CEO & Vice Chairman

    • Tenure: 3.3yrs
    • Compensation: HK$5.14m
  • Xiang Wang (39yo)

    Deputy CEO & Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$4.07m
  • Yanxia Zeng (42yo)

    Deputy CEO

    • Tenure: 3.3yrs
    • Compensation: HK$3.63m
  • Ying Hong (68yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$200.00k
  • Li Tian (50yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$200.00k
  • Shuo Qin (50yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$200.00k
  • Yilin Huang (50yo)

    Non-Executive Chairman

    • Tenure: 0.2yrs
  • Chunjuan Zhang (35yo)

    Executive Director

    • Tenure: 0.2yrs

Company Information

China Industrial Securities International Financial Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Industrial Securities International Financial Group Limited
  • Ticker: 6058
  • Exchange: SEHK
  • Founded: 2011
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: HK$1.900b
  • Shares outstanding: 4.00b
  • Website: https://www.xyzq.com.hk

Number of Employees


Location

  • China Industrial Securities International Financial Group Limited
  • Infinitus Plaza
  • 32/Floor
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6058SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2016

Biography

China Industrial Securities International Financial Group Limited provides a range of financial services in Hong Kong. Its Brokerage segment engages in the provision of securities, futures, and options, as ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/12 13:13
End of Day Share Price2019/10/11 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.

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