Dongguang Chemical Limited, an investment holding company, manufactures and sells urea in the People’s Republic of China. More Details
Flawless balance sheet and good value.
Share Price & News
How has Dongguang Chemical's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1702 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 1702's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: 1702 underperformed the Hong Kong Chemicals industry which returned 43.5% over the past year.
Return vs Market: 1702 underperformed the Hong Kong Market which returned 25.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Dongguang Chemical's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StDongguang Chemical's (HKG:1702) Returns On Capital Not Reflecting Well On The Business
1 month ago | Simply Wall StHere's Why Dongguang Chemical (HKG:1702) Can Manage Its Debt Responsibly
Is Dongguang Chemical undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 1702 (HK$1.55) is trading below our estimate of fair value (HK$3.71)
Significantly Below Fair Value: 1702 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 1702 is good value based on its PE Ratio (6.4x) compared to the HK Chemicals industry average (9.5x).
PE vs Market: 1702 is good value based on its PE Ratio (6.4x) compared to the Hong Kong market (11.7x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate 1702's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: 1702's PB Ratio (0.6x) is in line with the HK Chemicals industry average.
How is Dongguang Chemical forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Forecasted Materials 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 Dongguang Chemical 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.
How has Dongguang Chemical performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1702 has high quality earnings.
Growing Profit Margin: 1702's current net profit margins (6.4%) are lower than last year (7.6%).
Past Earnings Growth Analysis
Earnings Trend: 1702's earnings have grown significantly by 24.7% per year over the past 5 years.
Accelerating Growth: 1702's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 1702 had negative earnings growth (-22.3%) over the past year, making it difficult to compare to the Chemicals industry average (-0.7%).
Return on Equity
High ROE: 1702's Return on Equity (10.2%) is considered low.
How is Dongguang Chemical's financial position?
Financial Position Analysis
Short Term Liabilities: 1702's short term assets (CN¥508.1M) exceed its short term liabilities (CN¥479.6M).
Long Term Liabilities: 1702's short term assets (CN¥508.1M) exceed its long term liabilities (CN¥45.4M).
Debt to Equity History and Analysis
Debt Level: 1702's debt to equity ratio (23.6%) is considered satisfactory.
Reducing Debt: 1702's debt to equity ratio has reduced from 132% to 23.6% over the past 5 years.
Debt Coverage: 1702's debt is well covered by operating cash flow (107.5%).
Interest Coverage: 1702's interest payments on its debt are well covered by EBIT (10.9x coverage).
What is Dongguang Chemical current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 1702's dividend (3.23%) is higher than the bottom 25% of dividend payers in the Hong Kong market (1.95%).
High Dividend: 1702's dividend (3.23%) is low compared to the top 25% of dividend payers in the Hong Kong market (5.99%).
Stability and Growth of Payments
Stable Dividend: 1702 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: 1702's dividend payments have increased, but the company has only paid a dividend for 3 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (20.9%), 1702'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.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Jianming Guo (46 yo)
Mr. Jianming Guo serves as General Manager at Dongguang Chemical Limited since December 2017. He served as its Deputy General Manager since August 2003 at Dongguang Chemical Limited. Mr. Guo is responsible...
Experienced Board: 1702's board of directors are considered experienced (3.9 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Dongguang Chemical Limited's company bio, employee growth, exchange listings and data sources
- Name: Dongguang Chemical Limited
- Ticker: 1702
- Exchange: SEHK
- Founded: 1970
- Industry: Fertilizers and Agricultural Chemicals
- Sector: Materials
- Market Cap: HK$962.463m
- Shares outstanding: 620.94m
- Website: https://www.dg-chemical.com
Number of Employees
- Dongguang Chemical Limited
- Chengdong Industrial Zone
- Dongguang County
- Hebei Province
Dongguang Chemical Limited, an investment holding company, manufactures and sells urea in the People’s Republic of China. It offers coal-based urea for use as a source of nitrogen in fertilizers and in ind...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/10 10:33|
|End of Day Share Price||2021/05/07 00:00|
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.