Executive Summary
Perennial Energy Holdings Limited, an investment holding company, operates as a coal mining company in the People’s Republic of China. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet with proven track record.
Share Price & News
How has Perennial Energy Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 2798 is more volatile than 90% of Hong Kong stocks over the past 3 months, typically moving +/- 24% a week.
Volatility Over Time: 2798's weekly volatility has increased from 14% to 24% over the past year.
Market Performance
7 Day Return
-12.2%
2798
-0.9%
HK Oil and Gas
-1.0%
HK Market
1 Year Return
-38.6%
2798
28.2%
HK Oil and Gas
20.1%
HK Market
Return vs Industry: 2798 underperformed the Hong Kong Oil and Gas industry which returned 22.5% over the past year.
Return vs Market: 2798 underperformed the Hong Kong Market which returned 21.5% over the past year.
Shareholder returns
| 2798 | Industry | Market | |
|---|---|---|---|
| 7 Day | -12.2% | -0.9% | -1.0% |
| 30 Day | -88.2% | 6.0% | -1.0% |
| 90 Day | -87.9% | 16.8% | 1.2% |
| 1 Year | -37.7%-38.6% | 35.3%28.2% | 24.2%20.1% |
| 3 Year | n/a | -16.7%-30.9% | 12.6%0.4% |
| 5 Year | n/a | 9.6%-15.7% | 57.3%30.2% |
Long-Term Price Volatility Vs. Market
How volatile is Perennial Energy Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 hours ago | Simply Wall St
Declining Stock and Solid Fundamentals: Is The Market Wrong About Perennial Energy Holdings Limited (HKG:2798)?3 weeks ago | Simply Wall St
Perennial Energy Holdings (HKG:2798) Will Pay A Larger Dividend Than Last Year At HK$0.0371 month ago | Simply Wall St
Does Perennial Energy Holdings (HKG:2798) Have A Healthy Balance Sheet?Valuation
Is Perennial Energy 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: 2798 (HK$2.03) is trading below our estimate of fair value (HK$6.42)
Significantly Below Fair Value: 2798 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 2798 is poor value based on its PE Ratio (7.8x) compared to the Hong Kong Oil and Gas industry average (7.3x).
PE vs Market: 2798 is good value based on its PE Ratio (7.8x) compared to the Hong Kong market (11.5x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 2798's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 2798 is overvalued based on its PB Ratio (1.8x) compared to the HK Oil and Gas industry average (0.7x).
Future Growth
How is Perennial Energy Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
4.8%
Forecasted Energy 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 Perennial Energy 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.
Past Performance
How has Perennial Energy Holdings performed over the past 5 years?
30.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 2798 has a high level of non-cash earnings.
Growing Profit Margin: 2798's current net profit margins (24.6%) are lower than last year (26.8%).
Past Earnings Growth Analysis
Earnings Trend: 2798's earnings have grown significantly by 30.2% per year over the past 5 years.
Accelerating Growth: 2798's earnings growth over the past year (58.3%) exceeds its 5-year average (30.2% per year).
Earnings vs Industry: 2798 earnings growth over the past year (58.3%) exceeded the Oil and Gas industry -3%.
Return on Equity
High ROE: 2798's Return on Equity (22.7%) is considered high.
Financial Health
How is Perennial Energy Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: 2798's short term assets (CN¥461.3M) do not cover its short term liabilities (CN¥506.2M).
Long Term Liabilities: 2798's short term assets (CN¥461.3M) do not cover its long term liabilities (CN¥650.0M).
Debt to Equity History and Analysis
Debt Level: 2798's debt to equity ratio (24.7%) is considered satisfactory.
Reducing Debt: 2798's debt to equity ratio has reduced from 191.7% to 24.7% over the past 5 years.
Debt Coverage: 2798's debt is well covered by operating cash flow (130.9%).
Interest Coverage: 2798's interest payments on its debt are well covered by EBIT (33.8x coverage).
Balance Sheet
Dividend
What is Perennial Energy Holdings's current dividend yield, its reliability and sustainability?
1.96%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 2798's dividend (1.82%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (1.9%).
High Dividend: 2798's dividend (1.82%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.06%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether 2798's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if 2798's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (14.6%), 2798's dividend payments are thoroughly 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?
4.0yrs
Average management tenure
CEO
Bangping Yu (51 yo)
no data
Tenure
CN¥1,014,000
Compensation
Mr. Bangping Yu serves as Executive Chairman & Chief Executive Officer at Perennial Energy Holdings Limited.
CEO Compensation Analysis
Compensation vs Market: Bangping's total compensation ($USD157.13K) is below average for companies of similar size in the Hong Kong market ($USD297.76K).
Compensation vs Earnings: Bangping's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: 2798's management team is considered experienced (4 years average tenure).
Board Members
Experienced Board: 2798's board of directors are not considered experienced ( 2.6 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Perennial Energy Holdings Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Perennial Energy Holdings Limited
- Ticker: 2798
- Exchange: SEHK
- Founded: 1990
- Industry: Coal and Consumable Fuels
- Sector: Energy
- Market Cap: HK$3.008b
- Shares outstanding: 1.60b
- Website: https://www.perennialenergy.hk
Number of Employees
Location
- Perennial Energy Holdings Limited
- Office building
- Next to E’ Lang Pu Leisure Square
- Liupanshui
- Guizhou Province
- China
Listings
Biography
Perennial Energy Holdings Limited, an investment holding company, operates as a coal mining company in the People’s Republic of China. The company principally engages in the exploration and mining of cokin...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/23 06:59 |
| End of Day Share Price | 2021/06/22 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.