SEHK:2009

Stock Analysis Report

Executive Summary

BBMG Corporation provides cement and building materials in the People’s Republic of China and internationally.

Snowflake

Fundamentals

Average dividend payer with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.3%

2009

3.5%

HK Basic Materials

3.3%

HK Market


1 Year Return

5.5%

2009

10.3%

HK Basic Materials

1.6%

HK Market

Return vs Industry: 2009 underperformed the Hong Kong Basic Materials industry which returned 10.3% over the past year.

Return vs Market: 2009 exceeded the Hong Kong Market which returned 1.6% over the past year.


Shareholder returns

2009IndustryMarket
7 Day-1.3%3.5%3.3%
30 Day-1.3%0.4%-0.009%
90 Day-5.7%-1.5%-5.1%
1 Year8.3%5.5%15.2%10.3%5.3%1.6%
3 Year-12.2%-17.1%115.6%98.1%16.1%4.4%
5 Year-4.8%-11.1%70.8%50.7%20.4%0.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

5.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: 2009 (HK$2.32) is trading above our estimate of fair value (HK$0.72)

Significantly Undervalued: 2009 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 2009 is poor value based on its PE Ratio (5.7x) compared to the Basic Materials industry average (5.6x).

PE vs Market: 2009 is good value based on its PE Ratio (5.7x) compared to the Hong Kong market (10.4x).


Price to Earnings Growth Ratio

Low PEG Ratio: 2009's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: 2009 is good value based on its PB Ratio (0.4x) compared to the HK Basic Materials industry average (1.1x).


Next Steps

Future Growth

How is BBMG forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

-1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2009's earnings are forecast to decline over the next 3 years (-1.2% per year).

Earnings vs Market: 2009's earnings are forecast to decline over the next 3 years (-1.2% per year).

High Growth Earnings: 2009's earnings are forecast to decline over the next 3 years.

Revenue vs Market: 2009's revenue is expected to decline over the next 3 years (-2.1% per year).

High Growth Revenue: 2009's revenue is forecast to decline over the next 3 years (-2.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: 2009's Return on Equity is forecast to be low in 3 years time (7.9%).


Next Steps

Past Performance

How has BBMG performed over the past 5 years?

7.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 2009's earnings have grown by 7.6% per year over the past 5 years.

Accelerating Growth: 2009's earnings growth over the past year (14.6%) exceeds its 5-year average (7.6% per year).

Earnings vs Industry: 2009 earnings growth over the past year (14.6%) underperformed the Basic Materials industry 45.5%.


Return on Equity

High ROE: 2009's Return on Equity (6.5%) is considered low.


Return on Assets

ROA vs Industry: 2009's Return on Assets is below or equal to the Basic Materials industry average last year.


Return on Capital Employed

ROCE Improving: 2009 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is BBMG's financial position?


Financial Position Analysis

Short Term Liabilities: 2009's short term assets (CN¥177.0B) exceeds its short term liabilities (CN¥125.5B)

Long Term Liabilities: 2009's short term assets (177.0B) exceeds its long term liabilities (70.2B)


Debt to Equity History and Analysis

Debt Level: 2009's debt to equity ratio (137%) is considered high

Reducing Debt: 2009's debt to equity ratio has increased from 103.6% to 137% over the past 5 years.

Debt Coverage: 2009's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 2009's interest payments on its debt are well covered by EBIT (4.7x coverage).


Balance Sheet

Inventory Level: 2009 has a high level of physical assets or inventory.

Debt Coverage by Assets: 2009's debt is covered by short term assets (assets are 1.583280x debt).


Next Steps

Dividend

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

2.63%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%2.3%markettop25%6.3%industryaverage4.1%forecastin3Years3.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 2009's dividend (2.63%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 2009's dividend (2.63%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.25%).

Stable Dividend: 2009's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2009's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (15.1%), 2009's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2009's dividends in 3 years are forecast to be well covered by earnings (17.2% payout ratio).


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

BBMG has no CEO, or we have no data on them.


Management Age and Tenure

3.8yrs

Average Tenure

52yo

Average Age

Experienced Management: 2009's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

3.9yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 2009's board of directors are considered experienced (3.9 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

BuyCN¥12,425,30904 Sep 19
Morgan Stanley, Investment Banking and Brokerage Investments
EntityCompany
Shares5,515,004
Max PriceCN¥2.25
BuyCN¥3,060,61504 Jul 19
FMR LLC
EntityCompany
Shares1,224,000
Max PriceCN¥2.50
SellCN¥3,841,86213 Jun 19
FMR LLC
EntityCompany
Shares1,634,000
Max PriceCN¥2.35
BuyCN¥13,015,13606 May 19
FMR LLC
EntityCompany
Shares4,717,000
Max PriceCN¥2.76
SellCN¥5,403,82911 Dec 18
Morgan Stanley, Investment Banking and Brokerage Investments
EntityCompany
Shares2,102,737
Max PriceCN¥2.57
BuyCN¥53,420,68312 Nov 18
Jieliang Ouyang
EntityIndividual
Shares23,751,000
Max PriceCN¥2.25

Ownership Breakdown


Management Team

  • Deyi Jiang (55yo)

    Executive Chairman

    • Tenure: 4.3yrs
    • Compensation: CN¥854.36k
  • Lawrence Lau (48yo)

    Company Secretary

    • Tenure: 7yrs
  • Dengfeng Zhang (48yo)

    General Counsel

    • Tenure: 2.3yrs
    • Compensation: CN¥474.72k
  • Baojin Zheng (53yo)

    Board Secretary & Executive Director

    • Tenure: 2.2yrs
    • Compensation: CN¥572.76k
  • Dong Wu (51yo)

    Executive Director

    • Tenure: 3.9yrs
    • Compensation: CN¥756.65k
  • Guoliang Zhang (56yo)

    Head of the Discipline Inspection & Supervision Office and Supervisor

    • Tenure: 2.3yrs

Board Members

  • Maurice Ngai (57yo)

    Independent Non-Executive Director

    • Tenure: 3.9yrs
    • Compensation: CN¥150.00k
  • Deyi Jiang (55yo)

    Executive Chairman

    • Tenure: 4.3yrs
    • Compensation: CN¥854.36k
  • Yanming Guo (57yo)

    Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: CN¥725.38k
  • Guangjin Wang (59yo)

    Independent Non-Executive Director

    • Tenure: 5.4yrs
    • Compensation: CN¥150.00k
  • Baojin Zheng (53yo)

    Board Secretary & Executive Director

    • Tenure: 2.2yrs
    • Compensation: CN¥572.76k
  • Lihui Tian (46yo)

    Independent Non-Executive Director

    • Tenure: 3.9yrs
    • Compensation: CN¥150.00k
  • Jun Tang (41yo)

    Independent Non-Executive Director

    • Tenure: 3.9yrs
    • Compensation: CN¥150.00k
  • Dong Wu (51yo)

    Executive Director

    • Tenure: 3.9yrs
    • Compensation: CN¥756.65k
  • Guoliang Zhang (56yo)

    Head of the Discipline Inspection & Supervision Office and Supervisor

    • Tenure: 2.3yrs
  • Ying Pei (59yo)

    Chairman of the Supervisory Board

    • Tenure: 0yrs

Company Information

BBMG Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BBMG Corporation
  • Ticker: 2009
  • Exchange: SEHK
  • Founded: 2005
  • Industry: Construction Materials
  • Sector: Materials
  • Market Cap: HK$38.192b
  • Shares outstanding: 10.68b
  • Website: https://www.bbmg.com.cn

Number of Employees


Location

  • BBMG Corporation
  • Global Trade Center No. 36
  • Tower D
  • Beijing
  • 100013
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2009SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDJul 2009
BMBG.FOTCPK (Pink Sheets LLC)YesForeign Shares-Foreign ListedUSUSDJul 2009
9BMDB (Deutsche Boerse AG)YesForeign Shares-Foreign ListedDEEURJul 2009
2009SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDJul 2009
2009SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesForeign Shares-Foreign ListedHKHKDJul 2009
601992SHSE (Shanghai Stock Exchange)Domestic SharesCNCNYMar 2011
601992XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)Domestic SharesCNCNYMar 2011

Biography

BBMG Corporation provides cement and building materials in the People’s Republic of China and internationally. The company’s Cement and Ready-Mixed Concrete segment manufactures and sells cement and concre ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 12:45
End of Day Share Price2019/10/18 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.