SEHK:1612

Stock Analysis Report

Vincent Medical Holdings

Executive Summary

Vincent Medical Holdings Limited, an investment holding company, researches, develops, manufactures, markets, and sells medical devices.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Vincent Medical Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-12.7%

1612

1.9%

HK Medical Equipment

2.4%

HK Market


1 Year Return

14.8%

1612

9.1%

HK Medical Equipment

0.4%

HK Market

Return vs Industry: 1612 exceeded the Hong Kong Medical Equipment industry which returned 9.1% over the past year.

Return vs Market: 1612 exceeded the Hong Kong Market which returned 0.4% over the past year.


Shareholder returns

1612IndustryMarket
7 Day-12.7%1.9%2.4%
30 Day3.3%-1.2%-2.6%
90 Day-6.1%19.1%-5.6%
1 Year17.7%14.8%10.2%9.1%4.0%0.4%
3 Year-33.2%-37.4%13.4%9.9%15.1%3.5%
5 Yearn/a2.3%-2.8%20.3%0.3%

Price Volatility Vs. Market

How volatile is Vincent Medical Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Vincent Medical Holdings undervalued compared to its fair value and its price relative to the market?

24.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: 1612 (HK$0.62) is trading below our estimate of fair value (HK$0.82)

Significantly Undervalued: 1612 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 1612 is good value based on its PE Ratio (12.5x) compared to the Medical Equipment industry average (15.6x).

PE vs Market: 1612 is poor value based on its PE Ratio (12.5x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate 1612's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1612 is good value based on its PB Ratio (1x) compared to the HK Medical Equipment industry average (1.6x).


Next Steps

Future Growth

How is Vincent Medical Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1612's forecast earnings growth (12.9% per year) is above the savings rate (2%).

Earnings vs Market: 1612's earnings (12.9% per year) are forecast to grow faster than the Hong Kong market (11.2% per year).

High Growth Earnings: 1612's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if 1612's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 1612's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if 1612's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Vincent Medical Holdings performed over the past 5 years?

-20.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1612's earnings have declined by -20% per year over the past 5 years.

Accelerating Growth: 1612's earnings growth over the past year (131.5%) exceeds its 5-year average (-20% per year).

Earnings vs Industry: 1612 earnings growth over the past year (131.5%) exceeded the Medical Equipment industry 50.2%.


Return on Equity

High ROE: 1612's Return on Equity (8.2%) is considered low.


Return on Assets

ROA vs Industry: 1612's Return on Assets is below or equal to the Medical Equipment industry average last year.


Return on Capital Employed

ROCE Improving: 1612's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Vincent Medical Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 1612's short term assets (HK$353.3M) exceeds its short term liabilities (HK$112.7M)

Long Term Liabilities: 1612's short term assets (353.3M) exceeds its long term liabilities (20.9M)


Debt to Equity History and Analysis

Debt Level: 1612's debt to equity ratio (3.7%) is considered satisfactory

Reducing Debt: 1612's debt to equity ratio has increased from 0.8% to 3.7% over the past 5 years.

Debt Coverage: 1612's debt is well covered by operating cash flow (304.1%).

Interest Coverage: 1612's interest payments on its debt are well covered by EBIT (28.4x coverage).


Balance Sheet

Inventory Level: 1612 has a high level of physical assets or inventory.

Debt Coverage by Assets: 1612's debt is covered by short term assets (assets are 21.668460x debt).


Next Steps

Dividend

What is Vincent Medical Holdings's current dividend yield, its reliability and sustainability?

2.58%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%2.3%markettop25%6.3%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 1612's dividend (2.58%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 1612's dividend (2.58%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.33%).

Stable Dividend: Whilst dividend payments have been stable, 1612 has been paying a dividend for less than 10 years.

Growing Dividend: 1612'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 (32.2%), 1612'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 Vincent Medical Holdings's salary, the management and board of directors tenure and is there insider trading?

3.3yrs

Average board tenure


CEO

Ki To (52yo)

0yrs

Tenure

HK$1,546,000

Compensation

Mr. Ki Cheung To serves as Chief Executive Officer and General Manager at Vincent Medical Holdings Limited and has been its Executive Director November 2015. Mr. To is primarily responsible for overseeing  ...


CEO Compensation Analysis

Compensation vs. Market: Ki's total compensation ($USD197.07K) is about average for companies of similar size in the Hong Kong market ($USD211.40K).

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


Board Age and Tenure

3.3yrs

Average Tenure

58.5yo

Average Age

Experienced Board: 1612's board of directors are considered experienced (3.3 years average tenure).


Insider Trading

Insider Buying: 1612 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyHK$123,00011 Sep 19
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares200,000
Max PriceHK$0.61
BuyHK$121,30109 Sep 19
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares202,000
Max PriceHK$0.60
BuyHK$29,04018 Jan 19
Ling Chan
EntityIndividual
Shares48,000
Max PriceHK$0.60
BuyHK$11,80016 Jan 19
Ling Chan
EntityIndividual
Shares20,000
Max PriceHK$0.59
BuyHK$5,60015 Jan 19
Ling Chan
EntityIndividual
Shares10,000
Max PriceHK$0.56
BuyHK$16,40102 Jan 19
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares30,000
Max PriceHK$0.55
BuyHK$99,85831 Dec 18
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares170,000
Max PriceHK$0.59
BuyHK$54,96024 Dec 18
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares100,000
Max PriceHK$0.55
BuyHK$16,26013 Nov 18
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares30,000
Max PriceHK$0.54
BuyHK$28,00008 Nov 18
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares50,000
Max PriceHK$0.56
BuyHK$10,40005 Nov 18
Man Choi
EntityIndividual
Role
Chairman of the Board
Chairman & Executive Director
Shares20,000
Max PriceHK$0.52

Ownership Breakdown


Management Team

  • Man Choi (66yo)

    Chairman & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.25m
  • Ki To (52yo)

    CEO, GM & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.55m
  • Ming Koh (45yo)

    Assistant GM & Executive Director

    • Tenure: 3.6yrs
    • Compensation: HK$1.26m
  • Kwok Fu (48yo)

    Engineering Manager & Executive Director

    • Tenure: 3.6yrs
    • Compensation: HK$1.08m
  • Michael Tsui (49yo)

    Chief Executive Officer of RRCL

    • Tenure: 8.8yrs
  • Alex Yu (43yo)

    Operations Manager

    • Tenure: 0yrs
  • Changqing Zhang (47yo)

    Sales & Marketing Manager

    • Tenure: 0yrs
  • David Wong (48yo)

    Group Sales & Marketing Manager

    • Tenure: 0yrs
  • Wing Tsui (38yo)

    Corporate Development & Investor Relations Manager

    • Tenure: 0yrs
  • Hoi Lai (37yo)

    Financial Controller

    • Tenure: 0yrs

Board Members

  • Steven Au (60yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$189.00k
  • Man Choi (66yo)

    Chairman & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.25m
  • Ki To (52yo)

    CEO, GM & Executive Director

    • Tenure: 0yrs
    • Compensation: HK$1.55m
  • Ming Koh (45yo)

    Assistant GM & Executive Director

    • Tenure: 3.6yrs
    • Compensation: HK$1.26m
  • Kwok Fu (48yo)

    Engineering Manager & Executive Director

    • Tenure: 3.6yrs
    • Compensation: HK$1.08m
  • Rupert Mok (60yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: HK$189.00k
  • Pengcheng Guo (57yo)

    Non-Executive Director

    • Tenure: 2.7yrs
    • Compensation: HK$189.00k
  • Kai Yung (69yo)

    Independent Non-Executive Director

    • Tenure: 2.7yrs
    • Compensation: HK$189.00k

Company Information

Vincent Medical Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vincent Medical Holdings Limited
  • Ticker: 1612
  • Exchange: SEHK
  • Founded: 1997
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: HK$433.602m
  • Shares outstanding: 637.65m
  • Website: https://www.vincentmedical.com

Number of Employees


Location

  • Vincent Medical Holdings Limited
  • Hang Fung Industrial Building
  • Flat B2, 7th Floor, Phase 2
  • Hung Hom
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1612SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJul 2016

Biography

Vincent Medical Holdings Limited, an investment holding company, researches, develops, manufactures, markets, and sells medical devices. It operates in two segments, Original Equipment Manufacturing (OEM)  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 12:54
End of Day Share Price2019/10/15 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.