SEHK:2623

Stock Analysis Report

Add New Energy Investment Holdings Group

Executive Summary

Add New Energy Investment Holdings Group Limited, an investment holding company, engages in the exploration, mining, and processing of iron and ilmenite ores in the People's Republic of China.

Snowflake

Fundamentals

Mediocre balance sheet with weak fundamentals.

Risks

  • Add New Energy Investment Holdings Group has significant price volatility in the past 3 months.
  • Add New Energy Investment Holdings Group is not covered by any analysts.

Share Price & News

How has Add New Energy Investment Holdings Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

31.1%

SEHK:2623

-0.5%

HK Metals and Mining

3.3%

HK Market


1 Year Return

-18.4%

SEHK:2623

-20.5%

HK Metals and Mining

-10.5%

HK Market

2623 matched the Metals and Mining industry (-18.2%) over the past year.

2623 underperformed the Market in Hong Kong which returned -9.5% over the past year.


Share holder returns

2623IndustryMarket
7 Day31.1%-0.5%3.3%
30 Day-9.1%-9.1%-8.0%
90 Day-21.6%-7.2%-5.9%
1 Year-18.4%-18.4%-17.7%-20.5%-7.2%-10.5%
3 Year-44.8%-44.8%-0.8%-3.7%15.1%3.7%
5 Year-79.4%-79.4%-6.4%-16.7%9.0%-9.0%

Price Volatility Vs. Market

How volatile is Add New Energy Investment Holdings Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Add New Energy Investment Holdings Group undervalued based on future cash flows and its price relative to the stock market?

1.14x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Add New Energy Investment Holdings Group to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Add New Energy Investment Holdings Group to establish if it is available at substantial discount.


Price Based on Earnings

Add New Energy Investment Holdings Group is loss making, we can't compare its value to the HK Metals and Mining industry average.

Add New Energy Investment Holdings Group is loss making, we can't compare the value of its earnings to the Hong Kong market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Add New Energy Investment Holdings Group, we can't assess if its growth is good value.


Price Based on Value of Assets

Add New Energy Investment Holdings Group is overvalued based on assets compared to the HK Metals and Mining industry average.


Next Steps

Future Growth

How is Add New Energy Investment Holdings Group expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.4%

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 Add New Energy Investment Holdings 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 Add New Energy Investment Holdings Group performed over the past 5 years?

-17.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Add New Energy Investment Holdings Group does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Add New Energy Investment Holdings Group's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Add New Energy Investment Holdings Group's 1-year growth to the HK Metals and Mining industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Add New Energy Investment Holdings Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Add New Energy Investment Holdings Group has efficiently used its assets last year compared to the HK Metals and Mining industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Add New Energy Investment Holdings Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Add New Energy Investment Holdings Group's financial position?


Financial Position Analysis

Add New Energy Investment Holdings Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Add New Energy Investment Holdings Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Add New Energy Investment Holdings Group's level of debt (37.4%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (30% vs 37.4% today).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.8x debt.


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.

Add New Energy Investment Holdings Group has less than a year of cash runway based on current free cash flow.

Add New Energy Investment Holdings Group has less than a year of cash runway if free cash flow continues to grow at historical rates of 34.1% each year.


Next Steps

Dividend

What is Add New Energy Investment Holdings Group's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Add New Energy Investment Holdings Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Add New Energy Investment Holdings Group's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Add New Energy Investment Holdings Group has not reported any payouts.

Unable to verify if Add New Energy Investment Holdings Group's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Add New Energy Investment Holdings Group has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Add New Energy Investment Holdings Group's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average management tenure


CEO

Guohua Geng (49yo)

6.3yrs

Tenure

CN¥522,000

Compensation

Mr. Guohua Geng has been the Chief Executive Officer of China Zhongsheng Resources Holdings Limited since May 14, 2013. Mr. Geng served as the Chief Operating Officer of China Zhongsheng Resources Holdings ...


CEO Compensation Analysis

Guohua's remuneration is lower than average for companies of similar size in Hong Kong.

Guohua's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.8yrs

Average Tenure

48.5yo

Average Age

The average tenure for the Add New Energy Investment Holdings Group management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

7.3yrs

Average Tenure

56yo

Average Age

The tenure for the Add New Energy Investment Holdings Group board of directors is about average.


Insider Trading

More shares have been bought than sold by Add New Energy Investment Holdings Group individual insiders in the past 3 months.


Recent Insider Transactions

BuyCN¥102,00224 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares1,000,000
Max PriceCN¥0.10
BuyCN¥99,99823 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares1,000,000
Max PriceCN¥0.10
BuyCN¥102,00122 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares1,000,000
Max PriceCN¥0.10
BuyCN¥101,99921 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares1,000,000
Max PriceCN¥0.10
BuyCN¥101,00020 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares1,000,000
Max PriceCN¥0.10
BuyCN¥202,00617 May 19
Yunde Li
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares2,000,000
Max PriceCN¥0.10
BuyCN¥10,548,50103 Apr 19
Hongfa Holdings Limited
EntityCompany
Shares80,522,000
Max PriceCN¥0.13
BuyCN¥3,98002 Apr 19
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares40,000
Max PriceCN¥0.099
BuyCN¥38,16027 Dec 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares360,000
Max PriceCN¥0.11
BuyCN¥78,58929 Nov 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares690,000
Max PriceCN¥0.11
BuyCN¥402,85429 Nov 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares3,500,000
Max PriceCN¥0.12
BuyCN¥171,80826 Nov 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares1,494,000
Max PriceCN¥0.11
BuyCN¥13,14610 Sep 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares140,000
Max PriceCN¥0.094
BuyCN¥29,66728 Aug 18
Guohua Geng
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares290,000
Max PriceCN¥0.10

Ownership Breakdown


Management Team

  • Weiguo Lang (60yo)

    Executive Director

    • Tenure: 7.3yrs
    • Compensation: CN¥213.00k
  • Stella Chan (48yo)

    Company Secretary

    • Tenure: 7.3yrs
  • Yunde Li (52yo)

    Executive Chairman of the Board

    • Tenure: 7.3yrs
    • Compensation: CN¥555.00k
  • Guohua Geng (49yo)

    CEO & Executive Director

    • Tenure: 6.3yrs
    • Compensation: CN¥522.00k
  • Michele Chan (38yo)

    Chief Financial Officer

    • Tenure: 7.3yrs
  • Zhou Shifeng (46yo)

    Financial Controller

    • Tenure: 3.0yrs

Board Members

  • Weiguo Lang (60yo)

    Executive Director

    • Tenure: 7.3yrs
    • Compensation: CN¥213.00k
  • Yunde Li (52yo)

    Executive Chairman of the Board

    • Tenure: 7.3yrs
    • Compensation: CN¥555.00k
  • Guohua Geng (49yo)

    CEO & Executive Director

    • Tenure: 6.3yrs
    • Compensation: CN¥522.00k
  • Xiaoyang Li (63yo)

    Independent Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: CN¥101.00k
  • Jingsheng Zhang (73yo)

    Independent Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: CN¥101.00k
  • Nga Leung (37yo)

    Independent Non-Executive Director

    • Tenure: 0.2yrs

Company Information

Add New Energy Investment Holdings Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Add New Energy Investment Holdings Group Limited
  • Ticker: 2623
  • Exchange: SEHK
  • Founded: 2011
  • Industry: Steel
  • Sector: Materials
  • Market Cap: HK$392.849m
  • Shares outstanding: 4.91b
  • Website: https://www.addnewenergy.com.hk

Number of Employees


Location

  • Add New Energy Investment Holdings Group Limited
  • Suite 3105
  • 31/F. Tower 6
  • Kowloon
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2623SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDApr 2012
Z4RNDB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2012

Biography

Add New Energy Investment Holdings Group Limited, an investment holding company, engages in the exploration, mining, and processing of iron and ilmenite ores in the People's Republic of China. The company  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 12:48
End of Day Share Price2019/08/20 00:00
Earnings2018/12/31
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.