company background image
9997

Kangji Medical Holdings SEHK:9997 Stock Report

Last Price

HK$6.54

Market Cap

HK$8.1b

7D

-0.6%

1Y

-40.0%

Updated

06 Aug, 2022

Data

Company Financials +
9997 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth5/6
Past Performance4/6
Financial Health6/6
Dividends2/6

9997 Stock Overview

Kangji Medical Holdings Limited, through its subsidiaries, designs, develops, manufactures, and sale of minimally invasive surgical instruments and accessories in China.

Kangji Medical Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Kangji Medical Holdings
Historical stock prices
Current Share PriceHK$6.54
52 Week HighHK$11.84
52 Week LowHK$5.98
Beta-0.94
1 Month Change-9.92%
3 Month Change-5.90%
1 Year Change-40.00%
3 Year Changen/a
5 Year Changen/a
Change since IPO-76.30%

Recent News & Updates

Jun 12
Kangji Medical Holdings (HKG:9997) Is Reinvesting At Lower Rates Of Return

Kangji Medical Holdings (HKG:9997) Is Reinvesting At Lower Rates Of Return

If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'd want to identify a...

May 16
Kangji Medical Holdings' (HKG:9997) Shareholders Will Receive A Bigger Dividend Than Last Year

Kangji Medical Holdings' (HKG:9997) Shareholders Will Receive A Bigger Dividend Than Last Year

Kangji Medical Holdings Limited's ( HKG:9997 ) dividend will be increasing to HK$0.17 on 28th of June. Based on the...

Shareholder Returns

9997HK Medical EquipmentHK Market
7D-0.6%2.8%-0.7%
1Y-40.0%-53.4%-20.5%

Return vs Industry: 9997 exceeded the Hong Kong Medical Equipment industry which returned -53.4% over the past year.

Return vs Market: 9997 underperformed the Hong Kong Market which returned -20.5% over the past year.

Price Volatility

Is 9997's price volatile compared to industry and market?
9997 volatility
9997 Average Weekly Movement5.5%
Medical Equipment Industry Average Movement8.3%
Market Average Movement6.6%
10% most volatile stocks in HK Market12.9%
10% least volatile stocks in HK Market3.1%

Stable Share Price: 9997 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 9997's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2004722Ming Zhonghttps://www.kangjimedical.com

Kangji Medical Holdings Limited, through its subsidiaries, designs, develops, manufactures, and sale of minimally invasive surgical instruments and accessories in China. It offers disposable trocars, polymer ligation clips, disposable electrocoagulation forceps, ultrasonic scalpels, and other types of disposable hand-held instruments; and reusable trocars, reusable forceps, and other reusable products. The company’s products are used in obstetrics and gynecology, general surgery, urology, and thoracic surgery specialties.

Kangji Medical Holdings Fundamentals Summary

How do Kangji Medical Holdings's earnings and revenue compare to its market cap?
9997 fundamental statistics
Market CapCN¥7.01b
Earnings (TTM)CN¥456.79m
Revenue (TTM)CN¥690.26m

15.4x

P/E Ratio

10.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
9997 income statement (TTM)
RevenueCN¥690.26m
Cost of RevenueCN¥127.34m
Gross ProfitCN¥562.93m
Other ExpensesCN¥106.14m
EarningsCN¥456.79m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 25, 2022

Earnings per share (EPS)0.37
Gross Margin81.55%
Net Profit Margin66.18%
Debt/Equity Ratio0%

How did 9997 perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

38%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 9997 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 9997?

Other financial metrics that can be useful for relative valuation.

9997 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/Revenue5.6x
Enterprise Value/EBITDA9x
PEG Ratio0.9x

Price to Earnings Ratio vs Peers

How does 9997's PE Ratio compare to its peers?

9997 PE Ratio vs Peers
The above table shows the PE ratio for 9997 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average17.9x
1763 China Isotope & Radiation
15.8x14.5%HK$6.2b
1501 Shanghai Kindly Medical Instruments
26.8x26.2%HK$4.5b
2276 Shanghai Conant Optical
11.2xn/aHK$2.4b
1066 Shandong Weigao Group Medical Polymer
17.7x13.7%HK$46.3b
9997 Kangji Medical Holdings
15.4x18.1%HK$8.1b

Price-To-Earnings vs Peers: 9997 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the peer average (17.9x).


Price to Earnings Ratio vs Industry

How does 9997's PE Ratio compare vs other companies in the Asian Medical Equipment Industry?

Price-To-Earnings vs Industry: 9997 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the Hong Kong Medical Equipment industry average (16.8x)


Price to Earnings Ratio vs Fair Ratio

What is 9997'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.

9997 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.4x
Fair PE Ratio14.7x

Price-To-Earnings vs Fair Ratio: 9997 is expensive based on its Price-To-Earnings Ratio (15.4x) compared to the estimated Fair Price-To-Earnings Ratio (14.7x).


Share Price vs Fair Value

What is the Fair Price of 9997 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9997 (HK$6.54) is trading below our estimate of fair value (HK$31.6)

Significantly Below Fair Value: 9997 is trading below fair value by more than 20%.


Analyst Price Targets

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

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies

Future Growth

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

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


18.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 9997's forecast earnings growth (18.1% per year) is above the savings rate (1.6%).

Earnings vs Market: 9997's earnings (18.1% per year) are forecast to grow faster than the Hong Kong market (16.8% per year).

High Growth Earnings: 9997's earnings are forecast to grow, but not significantly.

Revenue vs Market: 9997's revenue (23.1% per year) is forecast to grow faster than the Hong Kong market (10.1% per year).

High Growth Revenue: 9997's revenue (23.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 9997's Return on Equity is forecast to be high in 3 years time (23.1%)


Discover growth companies

Past Performance

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

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


31.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 9997 has a high level of non-cash earnings.

Growing Profit Margin: 9997's current net profit margins (66.2%) are higher than last year (48.9%).


Past Earnings Growth Analysis

Earnings Trend: 9997's earnings have grown significantly by 31% per year over the past 5 years.

Accelerating Growth: 9997's earnings growth over the past year (82.5%) exceeds its 5-year average (31% per year).

Earnings vs Industry: 9997 earnings growth over the past year (82.5%) exceeded the Medical Equipment industry 35.4%.


Return on Equity

High ROE: 9997's Return on Equity (14%) is considered low.


Discover strong past performing companies

Financial Health

How is Kangji Medical Holdings'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: 9997's short term assets (CN¥3.2B) exceed its short term liabilities (CN¥116.6M).

Long Term Liabilities: 9997's short term assets (CN¥3.2B) exceed its long term liabilities (CN¥13.4M).


Debt to Equity History and Analysis

Debt Level: 9997 is debt free.

Reducing Debt: 9997 has not had any debt for past 5 years.

Debt Coverage: 9997 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 9997 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Discover healthy companies

Dividend

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

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.48%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 9997's dividend (2.48%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.88%).

High Dividend: 9997's dividend (2.48%) is low compared to the top 25% of dividend payers in the Hong Kong market (8.38%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 9997's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 9997's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (37.6%), 9997's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (42.9%), 9997's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

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

2.4yrs

Average management tenure


CEO

Ming Zhong (46 yo)

18yrs

Tenure

Mr. Ming Zhong serves Chairman and Executive Director of Kangji Medical Holdings Limited since March 7, 2020 and Chief Executive Officer since August 24, 2004. Mr. Zhong is mainly responsible for overall m...


Leadership Team

Experienced Management: 9997's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: 9997's board of directors are not considered experienced ( 2.4 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kangji Medical Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Kangji Medical Holdings Limited
  • Ticker: 9997
  • Exchange: SEHK
  • Founded: 2004
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Implied Market Cap: HK$8.143b
  • Shares outstanding: 1.25b
  • Website: https://www.kangjimedical.com

Number of Employees


Location

  • Kangji Medical Holdings Limited
  • Tonglu Economic Development Zone
  • No. 1668 Chunjiang East Road
  • Hangzhou
  • Zhejiang Province
  • China

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/06 00:00
End of Day Share Price2022/08/05 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.