SEHK:1696

Stock Analysis Report

Executive Summary

Sisram Medical Ltd, an investment holding company, designs, develops, manufactures, and sells energy-based aesthetic medical and minimally invasive treatment systems in the Asia Pacific, Europe, North America, Latin America, the Middle East, and Africa.

Rewards

Trading at 42.4% below its fair value

Earnings grew by 64.2% over the past year

Risk Analysis

Unstable dividend track record

Shareholders have been diluted in the past year



Snowflake Analysis

Undervalued with solid track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1696 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.5%

1696

1.1%

HK Medical Equipment

1.7%

HK Market


1 Year Return

-7.3%

1696

45.7%

HK Medical Equipment

-2.9%

HK Market

Return vs Industry: 1696 underperformed the Hong Kong Medical Equipment industry which returned 45.7% over the past year.

Return vs Market: 1696 underperformed the Hong Kong Market which returned -2.9% over the past year.


Shareholder returns

1696IndustryMarket
7 Day0.5%1.1%1.7%
30 Day-3.7%1.0%-4.2%
90 Day-8.0%14.9%4.6%
1 Year-5.0%-7.3%47.2%45.7%0.7%-2.9%
3 Yearn/a49.9%45.0%15.3%3.6%
5 Yearn/a52.0%43.8%15.9%-3.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

42.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1696 (HK$3.92) is trading below our estimate of fair value (HK$6.81)

Significantly Below Fair Value: 1696 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1696 is good value based on its PE Ratio (9.4x) compared to the Medical Equipment industry average (18.5x).

PE vs Market: 1696 is good value based on its PE Ratio (9.4x) compared to the Hong Kong market (10.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1696's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1696 is good value based on its PB Ratio (0.7x) compared to the HK Medical Equipment industry average (2.6x).


Next Steps

Future Growth

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

27.2%

Forecasted Healthcare 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 Sisram Medical 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.


Next Steps

Past Performance

How has Sisram Medical performed over the past 5 years?

30.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1696 has high quality earnings.

Growing Profit Margin: 1696's current net profit margins (14.8%) are higher than last year (9.7%).


Past Earnings Growth Analysis

Earnings Trend: 1696's earnings have grown significantly by 30.2% per year over the past 5 years.

Accelerating Growth: 1696's earnings growth over the past year (64.2%) exceeds its 5-year average (30.2% per year).

Earnings vs Industry: 1696 earnings growth over the past year (64.2%) exceeded the Medical Equipment industry 43.4%.


Return on Equity

High ROE: 1696's Return on Equity (7.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Sisram Medical's financial position?


Financial Position Analysis

Short Term Liabilities: 1696's short term assets ($196.9M) exceed its short term liabilities ($41.4M).

Long Term Liabilities: 1696's short term assets ($196.9M) exceed its long term liabilities ($25.5M).


Debt to Equity History and Analysis

Debt Level: 1696's debt to equity ratio (0.9%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 1696's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 1696's debt is well covered by operating cash flow (735.9%).

Interest Coverage: 1696 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 1696 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 1696's debt is covered by short term assets (assets are 66.6x debt).


Next Steps

Dividend

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

2.57%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%2.3%markettop25%6.3%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 1696's dividend (2.58%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.27%).

High Dividend: 1696's dividend (2.58%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.34%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 1696's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 1696's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24.2%), 1696'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?

1.8yrs

Average management tenure


CEO

Lior Dayan (49yo)

2.7yrs

Tenure

US$884,000

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 ($USD884.00K) is above average for companies of similar size in the Hong Kong market ($USD284.67K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Liu Yi
Executive Chairman3.8yrsno datano data
Lior Dayan
CEO & Executive Director2.7yrsUS$884.00k0.026% $444.9k
Guojun Bu
CFO & Executive Director1.1yrsno datano data
Ran Ezioni
Chief Operating Officer1.8yrsno datano data
Avraham Farbstein
Chief Strategy Officer1.9yrsno datano data
Mei Ha Kam
Company Secretary0.2yrsno datano data

1.8yrs

Average Tenure

50yo

Average Age

Experienced Management: 1696's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Liu Yi
Executive Chairman3.8yrsno datano data
Lior Dayan
CEO & Executive Director2.7yrsUS$884.00k0.026% $444.9k
Guojun Bu
CFO & Executive Director1.1yrsno datano data
Heung Fong
Independent Non-Executive Director2.5yrsUS$25.00kno data
Yifang Wu
Non-Executive Director3.3yrsno datano data
Yao Wang
Non-Executive Director3.8yrsno datano data
Chi Fung Chan
Independent Non-Executive Director2.5yrsUS$25.00kno data
Jenny Chen
Independent Non-Executive Director2.5yrsUS$25.00kno data
Kai Yu Liu
Independent Non-Executive Director2.5yrsUS$25.00kno data
Dai Kun
Non-Executive Director0.5yrsno datano data

2.5yrs

Average Tenure

44.5yo

Average Age

Experienced Board: 1696's board of directors are not considered experienced ( 2.5 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 been diluted in the past year, with total shares outstanding growing by 12.1%.


Top Shareholders

Company Information

Sisram Medical Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sisram Medical Ltd
  • Ticker: 1696
  • Exchange: SEHK
  • Founded: 2013
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: HK$1.733b
  • Shares outstanding: 442.16m
  • Website: https://www.sisram-medical.com

Number of Employees


Location

  • Sisram Medical Ltd
  • 14 Halamish Street
  • Caesarea Industrial Park
  • Caesarea
  • 38900
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1696SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDSep 2017

Biography

Sisram Medical Ltd, an investment holding company, designs, develops, manufactures, and sells energy-based aesthetic medical and minimally invasive treatment systems in the Asia Pacific, Europe, North America, Latin America, the Middle East, and Africa. It offers a portfolio of treatment systems for non-invasive medical aesthetic treatments, including hair removal, skin rejuvenation, skin resurfacing, vascular and pigmented lesions treatment, tattoo removal, acne treatment, cellulite reduction, body contouring, and skin tightening; and minimally invasive treatments, such as laser-based liposuction, as well as treatment of varicose veins, ear, nose, and throat procedures. The company also provides beauty product line treatment systems, such as Rejuve and Reshape; and distributes medical equipment. It offers its products under the Alma, Soprano, Harmony, Accent, and FemiLift brands. The company sells its products directly to treatment providers, such as plastic surgeons and dermatologists, primary care physicians, obstetricians, gynecologists, and aestheticians, as well as ear, nose, and throat specialists; and through distributors. The company was founded in 2013 and is headquartered in Caesarea, Israel. Sisram Medical Ltd operates as a former subsidiary of Ample Up Limited.  


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 13:08
End of Day Share Price2020/02/14 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.