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Kinetic Mines and Energy

Market Cap

HK$4.9b

Last Updated

2021/05/16 10:17 UTC

Data Sources

Company Financials +

Executive Summary

Kinetic Mines and Energy Limited, an investment holding company, engages in the extraction and sale of coal products. More Details


Snowflake Analysis

Flawless balance sheet and good value.

Share Price & News

How has Kinetic Mines and Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1277 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 1277's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-3.3%

1277

-1.6%

HK Oil and Gas

-1.9%

HK Market


1 Year Return

70.6%

1277

20.0%

HK Oil and Gas

24.3%

HK Market

Return vs Industry: 1277 exceeded the Hong Kong Oil and Gas industry which returned 21.6% over the past year.

Return vs Market: 1277 exceeded the Hong Kong Market which returned 24.4% over the past year.


Shareholder returns

1277IndustryMarket
7 Day-3.3%-1.6%-1.9%
30 Day16.0%2.9%-3.4%
90 Day38.1%15.8%-8.0%
1 Year95.2%70.6%29.5%20.0%29.0%24.3%
3 Year49.7%7.4%-32.2%-43.6%0.5%-10.0%
5 Year354.3%197.4%3.0%-19.1%58.6%31.9%

Long-Term Price Volatility Vs. Market

How volatile is Kinetic Mines and Energy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kinetic Mines and Energy 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: 1277 (HK$0.58) is trading below our estimate of fair value (HK$2.53)

Significantly Below Fair Value: 1277 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1277 is good value based on its PE Ratio (5x) compared to the Hong Kong Oil and Gas industry average (7.6x).

PE vs Market: 1277 is good value based on its PE Ratio (5x) compared to the Hong Kong market (11.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1277's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1277 is overvalued based on its PB Ratio (1.5x) compared to the HK Oil and Gas industry average (0.7x).


Future Growth

How is Kinetic Mines and Energy forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

11.5%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if 1277's forecast earnings growth is above the savings rate (1.5%).

Earnings vs Market: Insufficient data to determine if 1277's earnings are forecast to grow faster than the Hong Kong market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 1277's revenue (11.5% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).

High Growth Revenue: 1277's revenue (11.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1277's Return on Equity is forecast to be high in 3 years time (28%)


Past Performance

How has Kinetic Mines and Energy performed over the past 5 years?

36.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1277 has high quality earnings.

Growing Profit Margin: 1277's current net profit margins (27.5%) are lower than last year (30.4%).


Past Earnings Growth Analysis

Earnings Trend: 1277 has become profitable over the past 5 years, growing earnings by 36.6% per year.

Accelerating Growth: 1277's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1277 had negative earnings growth (-2.2%) over the past year, making it difficult to compare to the Oil and Gas industry average (-3%).


Return on Equity

High ROE: 1277's Return on Equity (29.5%) is considered high.


Financial Health

How is Kinetic Mines and Energy's financial position?


Financial Position Analysis

Short Term Liabilities: 1277's short term assets (CN¥1.7B) exceed its short term liabilities (CN¥854.7M).

Long Term Liabilities: 1277's short term assets (CN¥1.7B) exceed its long term liabilities (CN¥58.3M).


Debt to Equity History and Analysis

Debt Level: 1277's debt to equity ratio (7.6%) is considered satisfactory.

Reducing Debt: 1277's debt to equity ratio has reduced from 136.8% to 7.6% over the past 5 years.

Debt Coverage: 1277's debt is well covered by operating cash flow (568.4%).

Interest Coverage: 1277 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Kinetic Mines and Energy current dividend yield, its reliability and sustainability?

9.45%

Current Dividend Yield


Upcoming Dividend Payment

TodayMay 17 2021Ex Dividend DateMay 24 2021Dividend Pay DateJun 30 202137 days from Ex DividendBuy in the next 7 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: 1277's dividend (9.45%) is higher than the bottom 25% of dividend payers in the Hong Kong market (1.94%).

High Dividend: 1277's dividend (9.45%) is in the top 25% of dividend payers in the Hong Kong market (6.03%)


Stability and Growth of Payments

Stable Dividend: 1277 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1277's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.9%), 1277'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

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

2.7yrs

Average management tenure


CEO

Wen Zhong Ju (51 yo)

1

Tenure

CN¥1,194,000

Compensation

Mr. Wen Zhong Ju serves as the Chief Executive Officer & Executive Director of Kinetic Mines and Energy Limited since May 28, 2020. He served as an Executive Vice President of Kinetic Mines and Energy Limi...


CEO Compensation Analysis

Compensation vs Market: Wen Zhong's total compensation ($USD185.48K) is below average for companies of similar size in the Hong Kong market ($USD439.17K).

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


Leadership Team

Experienced Management: 1277's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: 1277's board of directors are considered experienced (9.2 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

Kinetic Mines and Energy Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kinetic Mines and Energy Limited
  • Ticker: 1277
  • Exchange: SEHK
  • Founded: 2010
  • Industry: Coal and Consumable Fuels
  • Sector: Energy
  • Market Cap: HK$4.889b
  • Shares outstanding: 8.43b
  • Website: https://www.kineticme.com

Number of Employees


Location

  • Kinetic Mines and Energy Limited
  • Dafanpu Coal Mine
  • Majiata Village
  • Ordos
  • Inner Mongolia Province
  • China

Listings


Biography

Kinetic Mines and Energy Limited, an investment holding company, engages in the extraction and sale of coal products. The company focuses on the development of its Dafanpu Coal Mine with a concession area ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/16 10:17
End of Day Share Price2021/05/14 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.