SEHK:928

Stock Analysis Report

Life Healthcare Group

Executive Summary

Life Healthcare Group Limited, together with and its subsidiaries, provides genetic testing and health data analysis services in the People’s Republic of China and Hong Kong.

Snowflake

Fundamentals

Adequate balance sheet and overvalued.

Share Price & News

How has Life Healthcare Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

53.8%

928

0.8%

HK Healthcare

0.3%

HK Market


1 Year Return

-66.1%

928

-25.2%

HK Healthcare

1.3%

HK Market

Return vs Industry: 928 underperformed the Hong Kong Healthcare industry which returned -25.2% over the past year.

Return vs Market: 928 underperformed the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

928IndustryMarket
7 Day53.8%0.8%0.3%
30 Dayn/a-0.7%0.5%
90 Dayn/a-2.8%-4.6%
1 Year-66.1%-66.1%-23.6%-25.2%4.9%1.3%
3 Year-69.2%-72.5%-32.4%-36.5%15.3%3.7%
5 Year-96.1%-96.5%-31.2%-37.3%20.0%-0.006%

Price Volatility Vs. Market

How volatile is Life Healthcare Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Life Healthcare Group undervalued compared to its fair value and its price relative to the market?

1.11x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 928's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 928's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 928 is unprofitable, so we can't compare its PE Ratio to the Healthcare industry average.

PE vs Market: 928 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 928's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 928 is good value based on its PB Ratio (1.1x) compared to the HK Healthcare industry average (1.5x).


Next Steps

Future Growth

How is Life Healthcare Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.0%

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 Life Healthcare Group 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 Life Healthcare Group performed over the past 5 years?

-23.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 928 is unprofitable, and losses have increased over the past 5 years at a rate of -23.6% per year.

Accelerating Growth: Unable to compare 928's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 928 is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (5.6%).


Return on Equity

High ROE: 928 has a negative Return on Equity (-42.11%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 928 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 928 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Life Healthcare Group's financial position?


Financial Position Analysis

Short Term Liabilities: 928's short term assets (HK$240.5M) exceeds its short term liabilities (HK$12.2M)

Long Term Liabilities: 928 has no long term liabilities


Debt to Equity History and Analysis

Debt Level: 928 is debt free.

Reducing Debt: 928 had no debt 5 years ago.


Balance Sheet

Inventory Level: 928 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 928's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 928 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 928 has less than a year of cash runway if free cash flow continues to reduce at historical rates of -2.4% each year


Next Steps

Dividend

What is Life Healthcare Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.3%markettop25%6.2%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 928's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 928's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 928's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 928's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 928 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 928's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Life Healthcare Group's salary, the management and board of directors tenure and is there insider trading?

3.1yrs

Average management tenure


CEO

Hua Shan (42yo)

3.8yrs

Tenure

HK$2,618,000

Compensation

Ms. Hua Shan has been the Chief Executive Officer and Executive Director of Tack Fiori International Group Limited since December 17, 2015. Ms. Shan is a Co-Owner at Powerful Software Limited. Ms. Shan has ...


CEO Compensation Analysis

Compensation vs. Market: Hua's total compensation ($USD333.82K) is above average for companies of similar size in the Hong Kong market ($USD215.97K).

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


Management Age and Tenure

3.1yrs

Average Tenure

44yo

Average Age

Experienced Management: 928's management team is considered experienced (3.1 years average tenure).


Board Age and Tenure

3.7yrs

Average Tenure

46yo

Average Age

Experienced Board: 928's board of directors are considered experienced (3.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyHK$22,751,15722 Jan 19
Quansen Wang
EntityIndividual
Shares194,118,598
Max PriceHK$0.12

Ownership Breakdown


Management Team

  • Yuk Lun Chung (58yo)

    GM of Money Lending Business & Company Secretary

    • Tenure: 2.6yrs
    • Compensation: HK$21.00k
  • Hua Shan (42yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: HK$2.62m
  • Yunbo Hua (42yo)

    Chairman of the Board & President

    • Tenure: 3.7yrs
    • Compensation: HK$2.40m
  • Wai Lun Man (46yo)

    Executive Director

    • Tenure: 0.8yrs
    • Compensation: HK$29.00k

Board Members

  • Xiaogang Feng (53yo)

    Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: HK$240.00k
  • Chunlei Zheng (43yo)

    Independent Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: HK$240.00k
  • Hua Shan (42yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: HK$2.62m
  • Yunbo Hua (42yo)

    Chairman of the Board & President

    • Tenure: 3.7yrs
    • Compensation: HK$2.40m
  • Xinghua Liu (62yo)

    Independent Non-Executive Director

    • Tenure: 3.1yrs
    • Compensation: HK$240.00k
  • Wai Lun Man (46yo)

    Executive Director

    • Tenure: 0.8yrs
    • Compensation: HK$29.00k
  • Chun Man Cheng (57yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs

Company Information

Life Healthcare Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Life Healthcare Group Limited
  • Ticker: 928
  • Exchange: SEHK
  • Founded: 2001
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: HK$289.131m
  • Shares outstanding: 5.35b
  • Website: https://www.lifehealthcare.com

Number of Employees


Location

  • Life Healthcare Group Limited
  • #5 Building
  • Dongshagn E Park
  • Beijing
  • 100176
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TAFF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 2002
928SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDApr 2002

Biography

Life Healthcare Group Limited, together with and its subsidiaries, provides genetic testing and health data analysis services in the People’s Republic of China and Hong Kong. The company operates through f ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 12:32
End of Day Share Price2019/10/23 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.