Sisram Medical (SEHK:1696) - Share price, News & Analysis

Q: What is the Fair Price of 1696 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

1696 (HK$11.62) is trading below our estimate of [[fair value]] (HK$11.83)

1696 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	4/6
Past Performance	5/6
Financial Health	6/6
Dividends	0/6

1696 Stock Overview

Rewards

Trading at 1.8% below our estimate of its fair value

Earnings are forecast to grow 22.31% per year

Earnings grew by 134.2% over the past year

Risk Analysis

Volatile share price over the past 3 months

Sisram Medical Competitors

Beijing Chunlizhengda Medical Instruments

SEHK:1858

HK$8.0b

AK Medical Holdings

SEHK:1789

HK$7.7b

LifeTech Scientific

SEHK:1302

HK$11.3b

Modern Dental Group

SEHK:3600

HK$2.2b

Price History & Performance

Summary of all time highs, changes and price drops for Sisram Medical
Historical stock prices
Current Share Price	HK$11.62
52 Week High	HK$16.48
52 Week Low	HK$4.80
Beta	1.09
1 Month Change	-3.01%
3 Month Change	48.21%
1 Year Change	-20.19%
3 Year Change	233.91%
5 Year Change	n/a
Change since IPO	43.10%

Recent News & Updates

Aug 01

Should You Think About Buying Sisram Medical Ltd (HKG:1696) Now?

Sisram Medical Ltd ( HKG:1696 ), might not be a large cap stock, but it received a lot of attention from a substantial...

Shareholder Returns

	1696	HK Medical Equipment	HK Market
7D	-4.0%	0.5%	-0.2%
1Y	-20.2%	-52.8%	-21.6%

Return vs Industry: 1696 exceeded the Hong Kong Medical Equipment industry which returned -52.8% over the past year.

Return vs Market: 1696 exceeded the Hong Kong Market which returned -21.6% over the past year.

Price Volatility

Is 1696's price volatile compared to industry and market?
1696 volatility
1696 Average Weekly Movement	10.8%
Medical Equipment Industry Average Movement	8.2%
Market Average Movement	6.5%
10% most volatile stocks in HK Market	12.6%
10% least volatile stocks in HK Market	3.2%

Stable Share Price: 1696 is more volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: 1696's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.

About the Company

Founded	Employees	CEO	Website
2013	703	Lior Dayan	https://www.sisram-medical.com

Sisram Medical Ltd, an investment holding company, designs, develops, manufactures, and sells energy-based aesthetic medical, minimally invasive treatment systems, and non-energy based devices and cosmeceuticals in the Asia Pacific, Europe, North America, Latin America, the Middle East, and Africa. It offers products and treatments portfolio, including hair removal, skin rejuvenation, acne and acne scars, body and face contouring, pigmentation and skin resurfacing, fat grafting, dermal facial fillers, skin tissue remodelling injectables, personal care, aesthetic dentistry, trans epidermal delivery, cellulite treatment, stretch marks, vascular and pigmented lesions, hydradermabrasion, blepharoplasty-non surgical eyelid lift, liposuction, feminine health, and sexual rehabilitation. The company manufactures, distributes, and sells medical equipment.

Sisram Medical Fundamentals Summary

How do Sisram Medical's earnings and revenue compare to its market cap?
1696 fundamental statistics
Market Cap	HK$5.42b
Earnings (TTM)	HK$244.90m
Revenue (TTM)	HK$2.31b

22.1x

P/E Ratio

2.3x

P/S Ratio

Is 1696 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
1696 income statement (TTM)
Revenue	US$294.29m
Cost of Revenue	US$127.43m
Gross Profit	US$166.86m
Other Expenses	US$135.62m
Earnings	US$31.25m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 19, 2022

Earnings per share (EPS)	0.067
Gross Margin	56.70%
Net Profit Margin	10.62%
Debt/Equity Ratio	1.8%

How did 1696 perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

29%

Payout Ratio

Does 1696 pay a reliable dividends?

See 1696 dividend history and benchmarks

When do you need to buy 1696 by to receive an upcoming dividend?
Sisram Medical dividend dates
Ex Dividend Date	Aug 19 2022
Dividend Pay Date	Sep 02 2022
Days until Ex dividend	2 days
Days until Dividend pay date	16 days

Does 1696 pay a reliable dividends?

See 1696 dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

Is 1696 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings 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 1696?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 1696. This is calculated by dividing 1696's market cap by their current preferred multiple.
What is 1696's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$691.08m

1696 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/Revenue	2x
Enterprise Value/EBITDA	11.2x
PEG Ratio	1x

Price to Earnings Ratio vs Peers

How does 1696's PE Ratio compare to its peers?

1696 PE Ratio vs Peers

The above table shows the PE ratio for 1696 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	31.1x
1858 Beijing Chunlizhengda Medical Instruments	12.8x	n/a	HK$8.0b
1789 AK Medical Holdings	71.8x	38.8%	HK$7.7b
1302 LifeTech Scientific	33.4x	n/a	HK$11.3b
3600 Modern Dental Group	6.2x	20.4%	HK$2.2b
1696 Sisram Medical	22.1x	22.3%	HK$5.4b

Price-To-Earnings vs Peers: 1696 is good value based on its Price-To-Earnings Ratio (22.1x) compared to the peer average (31.1x).

Price to Earnings Ratio vs Industry

How does 1696's PE Ratio compare vs other companies in the Asian Medical Equipment Industry?

Price-To-Earnings vs Industry: 1696 is expensive based on its Price-To-Earnings Ratio (22.1x) compared to the Hong Kong Medical Equipment industry average (16.3x)

Price to Earnings Ratio vs Fair Ratio

What is 1696's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1696 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	22.1x
Fair PE Ratio	20.8x

Price-To-Earnings vs Fair Ratio: 1696 is expensive based on its Price-To-Earnings Ratio (22.1x) compared to the estimated Fair Price-To-Earnings Ratio (20.8x).

Share Price vs Fair Value

What is the Fair Price of 1696 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1696 (HK$11.62) is trading below our estimate of fair value (HK$11.83)

Significantly Below Fair Value: 1696 is trading below fair value, but not by a significant amount.

Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Sisram Medical forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

22.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1696's forecast earnings growth (22.3% per year) is above the savings rate (1.6%).

Earnings vs Market: 1696's earnings (22.3% per year) are forecast to grow faster than the Hong Kong market (16.8% per year).

High Growth Earnings: 1696's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 1696's revenue (17.8% per year) is forecast to grow faster than the Hong Kong market (10% per year).

High Growth Revenue: 1696's revenue (17.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: 1696's Return on Equity is forecast to be low in 3 years time (12%).

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Past Performance

How has Sisram Medical performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

16.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1696 has high quality earnings.

Growing Profit Margin: 1696's current net profit margins (10.6%) are higher than last year (8.2%).

Past Earnings Growth Analysis

Earnings Trend: 1696's earnings have grown by 16.8% per year over the past 5 years.

Accelerating Growth: 1696's earnings growth over the past year (134.2%) exceeds its 5-year average (16.8% per year).

Earnings vs Industry: 1696 earnings growth over the past year (134.2%) exceeded the Medical Equipment industry 35.4%.

Return on Equity

High ROE: 1696's Return on Equity (8.1%) is considered low.

Discover strong past performing companies

Financial Health

How is Sisram Medical's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 1696's short term assets ($297.6M) exceed its short term liabilities ($83.6M).

Long Term Liabilities: 1696's short term assets ($297.6M) exceed its long term liabilities ($43.0M).

Debt to Equity History and Analysis

Debt Level: 1696 has more cash than its total debt.

Reducing Debt: 1696's debt to equity ratio has reduced from 492.5% to 1.8% over the past 5 years.

Debt Coverage: 1696's debt is well covered by operating cash flow (443.9%).

Interest Coverage: 1696's interest payments on its debt are well covered by EBIT (29.2x coverage).

Balance Sheet

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Dividend

What is Sisram Medical 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

1.35%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: 1696's dividend (1.35%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.87%).

High Dividend: 1696's dividend (1.35%) is low compared to the top 25% of dividend payers in the Hong Kong market (8.31%).

Stability and Growth of Payments

Stable Dividend: 1696 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are stable.

Growing Dividend: 1696 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are increasing.

Earnings Payout to Shareholders

Earnings Coverage: 1696 is not paying a notable dividend for the Hong Kong market.

Cash Payout to Shareholders

Cash Flow Coverage: 1696 is not paying a notable dividend for the Hong Kong market.

Discover strong dividend paying companies

Management

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

4.0yrs

Average management tenure

CEO

Lior Dayan (52 yo)

5.17yrs

Tenure

US$1,592,000

Compensation

Mr. Lior Moshe Dayan has been Chief Executive Officer and Executive Director at Sisram Medical Ltd since June 6, 2017 and is responsible for its overall and day-to-day management and development. Mr. Dayan...

CEO Compensation Analysis

Compensation vs Market: Lior's total compensation ($USD1.59M) is above average for companies of similar size in the Hong Kong market ($USD548.44K).

Compensation vs Earnings: Lior's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: 1696's management team is considered experienced (4 years average tenure).

Board Members

Experienced Board: 1696's board of directors are considered experienced (5 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.

Data	Last Updated (UTC time)
Company Analysis	2022/08/16 00:00
End of Day Share Price	2022/08/16 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31