SEHK:2222

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

NVC International Holdings

Market Cap

HK$811.6m

Last Updated

2021/07/30 10:34 UTC

Data Sources

Company Financials

Executive Summary

NVC International Holdings Limited, an investment holding company, manufactures and sells lamps, luminaries, lighting electronic products, and related products in China and internationally. More Details


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 2222 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 2222's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-6.3%

2222

-9.0%

HK Household Products

-4.3%

HK Market


1 Year Return

57.4%

2222

-8.7%

HK Household Products

8.2%

HK Market

Return vs Industry: 2222 exceeded the Hong Kong Household Products industry which returned -8.7% over the past year.

Return vs Market: 2222 exceeded the Hong Kong Market which returned 8.2% over the past year.


Shareholder returns

2222IndustryMarket
7 Day-6.3%-9.0%-4.3%
30 Day-4.0%-27.0%-9.4%
90 Day-1.0%-29.1%-9.8%
1 Year57.4%57.4%-7.1%-8.7%12.0%8.2%
3 Year48.8%-71.8%14.5%9.0%10.0%-2.3%
5 Year24.9%-76.9%68.9%55.8%38.9%14.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is NVC International Holdings undervalued compared to its fair value and its price relative to the market?

0.21x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 2222's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 2222's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 2222 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Household Products industry average.

PE vs Market: 2222 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 2222's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 2222 is good value based on its PB Ratio (0.2x) compared to the HK Household Products industry average (2x).


Future Growth

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

12.5%

Forecasted Household 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 NVC International Holdings 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.


Past Performance

How has NVC International Holdings performed over the past 5 years?

-44.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2222 is currently unprofitable.

Growing Profit Margin: 2222 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 2222 is unprofitable, and losses have increased over the past 5 years at a rate of 44% per year.

Accelerating Growth: Unable to compare 2222's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 2222 is unprofitable, making it difficult to compare its past year earnings growth to the Household Products industry (21.2%).


Return on Equity

High ROE: 2222 has a negative Return on Equity (-0.6%), as it is currently unprofitable.


Financial Health

How is NVC International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 2222's short term assets (CN¥2.3B) exceed its short term liabilities (CN¥955.1M).

Long Term Liabilities: 2222's short term assets (CN¥2.3B) exceed its long term liabilities (CN¥104.0M).


Debt to Equity History and Analysis

Debt Level: 2222's debt to equity ratio (1%) is considered satisfactory.

Reducing Debt: 2222's debt to equity ratio has reduced from 5.2% to 1% over the past 5 years.


Balance Sheet


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: 2222 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 2222 has sufficient cash runway for 2.3 years if free cash flow continues to grow at historical rates of 10.8% each year.


Dividend

What is NVC International Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 2222's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 2222's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 2222's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 2222's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 2222 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 2222's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

0.9yrs

Average management tenure


CEO

Eva Chan (53 yo)

2.33yrs

Tenure

CN¥11,733,000

Compensation

Ms. Chan Kim Yung, also known as Eva, has been Executive Vice Chairman of NVC International Holdings Limited (formerly known as NVC Lighting Holding Limited) since November 25, 2018 and has been its Chief ...


CEO Compensation Analysis

Compensation vs Market: Eva's total compensation ($USD1.82M) is above average for companies of similar size in the Hong Kong market ($USD227.58K).

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


Leadership Team

Experienced Management: 2222's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: 2222's board of directors are considered experienced (5.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 2222 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.


Top Shareholders

Company Information

NVC International Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: NVC International Holdings Limited
  • Ticker: 2222
  • Exchange: SEHK
  • Founded: 1998
  • Industry: Household Products
  • Sector: Household
  • Market Cap: HK$811.638m
  • Shares outstanding: 4.23b
  • Website: https://www.nvc-international.com

Number of Employees


Location

  • NVC International Holdings Limited
  • Unit 705, Building 20E
  • 7th Floor, Phase 3
  • Tai Po
  • New Territories
  • Hong Kong

Listings


Biography

NVC International Holdings Limited, an investment holding company, manufactures and sells lamps, luminaries, lighting electronic products, and related products in China and internationally. It offers inter...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/30 10:34
End of Day Share Price2021/07/30 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.