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665

Haitong International Securities Group SEHK:665 Stock Report

Last Price

HK$0.93

Market Cap

HK$6.2b

7D

-1.1%

1Y

-52.6%

Updated

08 Aug, 2022

Data

Company Financials +
665 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth5/6
Past Performance0/6
Financial Health4/6
Dividends0/6

665 Stock Overview

Haitong International Securities Group Limited provides financial products and services to corporate, institutional, and high-net worth worldwide.

Rewards

Trading at 40% below our estimate of its fair value

Earnings are forecast to grow 90.47% per year

Risk Analysis

No risks detected for 665 from our risk checks.

Haitong International Securities Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Haitong International Securities Group
Historical stock prices
Current Share PriceHK$0.93
52 Week HighHK$2.16
52 Week LowHK$0.88
Beta0.84
1 Month Change-12.26%
3 Month Change-11.81%
1 Year Change-52.64%
3 Year Change-51.75%
5 Year Change-77.86%
Change since IPO-29.45%

Recent News & Updates

Apr 14
These Analysts Think Haitong International Securities Group Limited's (HKG:665) Sales Are Under Threat

These Analysts Think Haitong International Securities Group Limited's (HKG:665) Sales Are Under Threat

The latest analyst coverage could presage a bad day for Haitong International Securities Group Limited ( HKG:665...

Shareholder Returns

665HK Capital MarketsHK Market
7D-1.1%-0.4%-0.7%
1Y-52.6%-24.9%-20.5%

Return vs Industry: 665 underperformed the Hong Kong Capital Markets industry which returned -24.9% over the past year.

Return vs Market: 665 underperformed the Hong Kong Market which returned -20.5% over the past year.

Price Volatility

Is 665's price volatile compared to industry and market?
665 volatility
665 Average Weekly Movement4.4%
Capital Markets Industry Average Movement7.0%
Market Average Movement6.6%
10% most volatile stocks in HK Market12.9%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 665 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 665's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19731,225Yong Linhttps://www.htisec.com

Haitong International Securities Group Limited provides financial products and services to corporate, institutional, and high-net worth worldwide. It operated through Wealth Management, Corporate Finance, Asset Management, Global Markets, and Investment segments. The Wealth Management segment offers financial services and investment solutions to high net-worth clients; securities, futures and options contracts, over-the-counter products, and funds; and discretionary account management, securities custodian, and securities margin financing services.

Haitong International Securities Group Fundamentals Summary

How do Haitong International Securities Group's earnings and revenue compare to its market cap?
665 fundamental statistics
Market CapHK$6.18b
Earnings (TTM)-HK$897.05m
Revenue (TTM)HK$1.45b

4.3x

P/S Ratio

-6.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
665 income statement (TTM)
RevenueHK$1.45b
Cost of RevenueHK$918.19m
Gross ProfitHK$530.47m
Other ExpensesHK$1.43b
Earnings-HK$897.05m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.14
Gross Margin36.62%
Net Profit Margin-61.92%
Debt/Equity Ratio181.7%

How did 665 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 665 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 665?

Other financial metrics that can be useful for relative valuation.

665 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Book Ratio vs Peers

How does 665's PB Ratio compare to its peers?

665 PB Ratio vs Peers
The above table shows the PB ratio for 665 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPBEstimated GrowthMarket Cap
Peer Average0.7x
1476 Hengtai Securities
0.6xn/aHK$6.7b
1788 Guotai Junan International Holdings
0.5x12.2%HK$7.5b
1911 China Renaissance Holdings
0.6x10.1%HK$4.8b
1428 Bright Smart Securities & Commodities Group
0.9xn/aHK$2.3b
665 Haitong International Securities Group
0.2x90.5%HK$6.2b

Price-To-Book vs Peers: 665 is good value based on its Price-To-Book Ratio (0.2x) compared to the peer average (0.7x).


Price to Earnings Ratio vs Industry

How does 665's PE Ratio compare vs other companies in the HK Capital Markets Industry?

Price-To-Book vs Industry: 665 is good value based on its Price-To-Book Ratio (0.2x) compared to the Hong Kong Capital Markets industry average (0.5x)


Price to Book Ratio vs Fair Ratio

What is 665's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

665 PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio0.2x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate 665's Price-To-Book Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 665 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 665 (HK$0.93) is trading below our estimate of fair value (HK$1.55)

Significantly Below Fair Value: 665 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Haitong International Securities Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


90.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 665 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.6%).

Earnings vs Market: 665 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 665 is expected to become profitable in the next 3 years.

Revenue vs Market: 665's revenue (33.9% per year) is forecast to grow faster than the Hong Kong market (10.1% per year).

High Growth Revenue: 665's revenue (33.9% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 665's Return on Equity is forecast to be low in 3 years time (6.4%).


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Past Performance

How has Haitong International Securities Group performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-17.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 665 is currently unprofitable.

Growing Profit Margin: 665 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 665 is unprofitable, and losses have increased over the past 5 years at a rate of 17% per year.

Accelerating Growth: Unable to compare 665's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 665 is unprofitable, making it difficult to compare its past year earnings growth to the Capital Markets industry (8.8%).


Return on Equity

High ROE: 665 has a negative Return on Equity (-3.33%), as it is currently unprofitable.


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Financial Health

How is Haitong International Securities Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 665's short term assets (HK$70.0B) do not cover its short term liabilities (HK$76.6B).

Long Term Liabilities: 665's short term assets (HK$70.0B) exceed its long term liabilities (HK$21.9M).


Debt to Equity History and Analysis

Debt Level: 665's net debt to equity ratio (5.2%) is considered satisfactory.

Reducing Debt: 665's debt to equity ratio has reduced from 237.2% to 181.7% over the past 5 years.

Debt Coverage: 665's debt is well covered by operating cash flow (31.7%).

Interest Coverage: Insufficient data to determine if 665's interest payments on its debt are well covered by EBIT.


Balance Sheet


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Dividend

What is Haitong International Securities Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


13.24%

Forecast Dividend Yield

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 665's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 665'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 665's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 665's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 665 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 665 has not reported any payouts.


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Management

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

4.9yrs

Average management tenure


CEO

Yong Lin (53 yo)

11.33yrs

Tenure

HK$9,596,000

Compensation

Dr. Yong Lin, JP, has been an Assistant to the General Manager at Haitong Securities Co., Ltd. since December 2014. Dr. Lin has been Chief Executive Officer of Haitong International Securities Group Limite...


CEO Compensation Analysis

Compensation vs Market: Yong's total compensation ($USD1.22M) is above average for companies of similar size in the Hong Kong market ($USD539.28K).

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


Leadership Team

Experienced Management: 665's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: 665's board of directors are considered experienced (4.4 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

Haitong International Securities Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Haitong International Securities Group Limited
  • Ticker: 665
  • Exchange: SEHK
  • Founded: 1973
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Implied Market Cap: HK$6.177b
  • Shares outstanding: 6.64b
  • Website: https://www.htisec.com

Number of Employees


Location

  • Haitong International Securities Group Limited
  • Li Po Chun Chambers
  • 22nd Floor
  • Central
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/08 00:00
End of Day Share Price2022/08/08 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.