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Zijin Mining Group

SEHK:2899
Snowflake Description

Acceptable track record second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
2899
SEHK
HK$79B
Market Cap
  1. Home
  2. HK
  3. Materials
Company description

Zijin Mining Group Company Limited engages in the exploration, mining, and sale of mineral resources in China and internationally. The last earnings update was 21 days ago. More info.


Add to Portfolio Compare Print
  • Zijin Mining Group has significant price volatility in the past 3 months.
2899 Share Price and Events
7 Day Returns
-3.9%
SEHK:2899
-2.3%
HK Metals and Mining
-2.5%
HK Market
1 Year Returns
-21.5%
SEHK:2899
-32.5%
HK Metals and Mining
-15.9%
HK Market
2899 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Zijin Mining Group (2899) -3.9% -19.2% -12.7% -21.5% 17.6% 53.1%
HK Metals and Mining -2.3% -16.1% -12.1% -32.5% 16.5% 8.7%
HK Market -2.5% -8.6% -3.6% -15.9% 25.4% 7.8%
1 Year Return vs Industry and Market
  • 2899 outperformed the Metals and Mining industry which returned -32.5% over the past year.
  • 2899 underperformed the Market in Hong Kong which returned -15.9% over the past year.
Price Volatility
2899
Industry
5yr Volatility vs Market

2899 Value

 Is Zijin Mining Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Zijin Mining Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Zijin Mining Group.

SEHK:2899 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 16 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.9%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:2899
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6%
Metals and Mining Unlevered Beta Simply Wall St/ S&P Global 1.04
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.035 (1 + (1- 25%) (57.66%))
1.324
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.32
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (1.324 * 5.96%)
9.89%

Discounted Cash Flow Calculation for SEHK:2899 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Zijin Mining Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

SEHK:2899 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CNY, Millions) Source Present Value
Discounted (@ 9.89%)
2019 3,087.00 Analyst x1 2,809.10
2020 5,851.50 Analyst x2 4,845.38
2021 4,096.00 Analyst x1 3,086.39
2022 3,107.95 Est @ -24.12% 2,131.06
2023 2,601.84 Est @ -16.28% 1,623.42
2024 2,320.88 Est @ -10.8% 1,317.76
2025 2,159.39 Est @ -6.96% 1,115.69
2026 2,067.20 Est @ -4.27% 971.91
2027 2,017.83 Est @ -2.39% 863.29
2028 1,996.23 Est @ -1.07% 777.17
Present value of next 10 years cash flows CN¥19,541.18
SEHK:2899 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CN¥1,996.23 × (1 + 2%) ÷ (9.89% – 2%)
CN¥25,807.92
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CN¥25,807.92 ÷ (1 + 9.89%)10
CN¥10,047.48
SEHK:2899 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CN¥19,541.18 + CN¥10,047.48
CN¥29,588.66
Equity Value per Share
(CNY)
= Total value / Shares Outstanding
= CN¥29,588.66 / 23,031.22
CN¥1.28
SEHK:2899 Discount to Share Price
Calculation Result
Exchange Rate CNY/HKD
(Reporting currency to currency of SEHK:2899)
1.135
Value per Share
(HKD)
= Value per Share in CNY x Exchange Rate (CNY/HKD)
= CN¥1.28 x 1.135
HK$1.46
Value per share (HKD) From above. HK$1.46
Current discount Discount to share price of HK$2.74
= -1 x (HK$2.74 - HK$1.46) / HK$1.46
-88%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Zijin Mining Group is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Zijin Mining Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Zijin Mining Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:2899 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CNY CN¥0.17
SEHK:2899 Share Price ** SEHK (2019-05-20) in HKD HK$2.74
SEHK:2899 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.881 CN¥2.41
Hong Kong Metals and Mining Industry PE Ratio Median Figure of 40 Publicly-Listed Metals and Mining Companies 8.56x
Hong Kong Market PE Ratio Median Figure of 1,476 Publicly-Listed Companies 11.17x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Zijin Mining Group.

SEHK:2899 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SEHK:2899 Share Price ÷ EPS (both in CNY)

= 2.41 ÷ 0.17

14.31x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Zijin Mining Group is overvalued based on earnings compared to the HK Metals and Mining industry average.
  • Zijin Mining Group is overvalued based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does Zijin Mining Group's expected growth come at a high price?
Raw Data
SEHK:2899 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.31x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts
11.3%per year
Hong Kong Metals and Mining Industry PEG Ratio Median Figure of 15 Publicly-Listed Metals and Mining Companies 0.95x
Hong Kong Market PEG Ratio Median Figure of 463 Publicly-Listed Companies 0.79x

*Line of best fit is calculated by linear regression .

SEHK:2899 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.31x ÷ 11.3%

1.26x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Zijin Mining Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Zijin Mining Group's assets?
Raw Data
SEHK:2899 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CNY CN¥1.81
SEHK:2899 Share Price * SEHK (2019-05-20) in HKD HK$2.74
SEHK:2899 Share Price converted to CNY reporting currency Exchange rate (HKD/ CNY) 0.881 CN¥2.41
Hong Kong Metals and Mining Industry PB Ratio Median Figure of 66 Publicly-Listed Metals and Mining Companies 0.84x
Hong Kong Market PB Ratio Median Figure of 2,155 Publicly-Listed Companies 0.97x
SEHK:2899 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SEHK:2899 Share Price ÷ Book Value per Share (both in CNY)

= 2.41 ÷ 1.81

1.33x

* Primary Listing of Zijin Mining Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Zijin Mining Group is overvalued based on assets compared to the HK Metals and Mining industry average.
X
Value checks
We assess Zijin Mining Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Metals and Mining industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Metals and Mining industry average (and greater than 0)? (1 check)
  5. Zijin Mining Group has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

2899 Future Performance

 How is Zijin Mining Group expected to perform in the next 1 to 3 years based on estimates from 16 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Zijin Mining Group expected to grow at an attractive rate?
  • Zijin Mining Group's earnings growth is expected to exceed the low risk savings rate of 2%.
Growth vs Market Checks
  • Zijin Mining Group's earnings growth is positive but not above the Hong Kong market average.
  • Zijin Mining Group's revenue growth is positive but not above the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:2899 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:2899 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 16 Analysts 11.3%
SEHK:2899 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 16 Analysts 4.2%
Hong Kong Metals and Mining Industry Earnings Growth Rate Market Cap Weighted Average 11.5%
Hong Kong Metals and Mining Industry Revenue Growth Rate Market Cap Weighted Average 2.4%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.4%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:2899 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:2899 Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 124,148 13,819 6,368 13
2020-12-31 123,647 11,878 6,173 1
2019-12-31 114,005 11,390 4,719 14
SEHK:2899 Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2019-03-31 112,173 10,191 3,883
2018-12-31 105,994 10,233 4,094
2018-09-30 108,744 10,619 4,646
2018-06-30 106,839 11,439 4,529
2018-03-31 98,955 10,076 3,587
2017-12-31 94,549 9,764 3,508
2017-09-30 83,537 9,057 2,629
2017-06-30 77,485 8,276 2,807
2017-03-31 77,911 9,175 2,782
2016-12-31 78,851 8,602 1,840
2016-09-30 70,397 10,181 1,388
2016-06-30 74,361 10,050 853

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Zijin Mining Group's earnings are expected to grow by 11.3% yearly, however this is not considered high growth (20% yearly).
  • Zijin Mining Group's revenue is expected to grow by 4.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:2899 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below

All data from Zijin Mining Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:2899 Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 0.27 0.33 0.20 6.00
2020-12-31 0.27 0.27 0.27 1.00
2019-12-31 0.17 0.18 0.17 1.00
SEHK:2899 Past Financials Data
Date (Data in CNY Millions) EPS *
2019-03-31 0.17
2018-12-31 0.18
2018-09-30 0.21
2018-06-30 0.20
2018-03-31 0.16
2017-12-31 0.16
2017-09-30 0.12
2017-06-30 0.13
2017-03-31 0.13
2016-12-31 0.09
2016-09-30 0.06
2016-06-30 0.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Zijin Mining Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Zijin Mining Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Zijin Mining Group has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

2899 Past Performance

  How has Zijin Mining Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Zijin Mining Group's growth in the last year to its industry (Metals and Mining).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Zijin Mining Group's year on year earnings growth rate has been positive over the past 5 years.
  • Zijin Mining Group's 1-year earnings growth is less than its 5-year average (8.2% vs 18.5%)
  • Zijin Mining Group's earnings growth has exceeded the HK Metals and Mining industry average in the past year (8.2% vs 2.7%).
Earnings and Revenue History
Zijin Mining Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Zijin Mining Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:2899 Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 112,172.59 3,882.89 4,088.78 246.47
2018-12-31 105,994.25 4,093.77 3,737.49 237.65
2018-09-30 108,744.14 4,645.90 3,483.96 250.10
2018-06-30 106,838.88 4,528.74 3,387.91 317.44
2018-03-31 98,954.74 3,587.45 3,145.59 289.94
2017-12-31 94,548.62 3,507.72 3,352.72 246.84
2017-09-30 83,537.06 2,629.48 3,407.87 192.75
2017-06-30 77,484.87 2,806.85 3,494.29 82.86
2017-03-31 77,910.93 2,781.67 3,525.84
2016-12-31 78,851.14 1,839.80 3,358.58
2016-09-30 70,397.04 1,388.13 3,363.35
2016-06-30 74,361.03 852.87 3,234.28
2016-03-31 77,805.42 1,304.45 3,220.41
2015-12-31 74,303.57 1,655.67 3,142.68
2015-09-30 79,357.62 2,068.09 3,086.65
2015-06-30 73,606.92 2,576.82 3,099.37
2015-03-31 63,894.18 2,239.42 3,224.85
2014-12-31 58,760.53 2,345.06 3,031.67
2014-09-30 53,344.15 2,305.00 3,006.36
2014-06-30 47,769.93 2,136.71 2,908.74
2014-03-31 48,761.91 1,926.47 2,727.88
2013-12-31 49,771.51 2,125.35 2,720.64
2013-09-30 50,808.98 3,382.39 2,615.81
2013-06-30 53,409.83 3,924.55 2,489.82
2013-03-31 50,999.34 4,860.82 2,511.14
2012-12-31 48,414.72 5,211.21 2,400.71
2012-09-30 45,913.80 4,977.63 2,340.72
2012-06-30 44,904.17 5,118.30 2,274.60

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Zijin Mining Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Zijin Mining Group used its assets less efficiently than the HK Metals and Mining industry average last year based on Return on Assets.
  • Zijin Mining Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Zijin Mining Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Metals and Mining industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Zijin Mining Group has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

2899 Health

 How is Zijin Mining Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Zijin Mining Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Zijin Mining Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Zijin Mining Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Zijin Mining Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Zijin Mining Group Company Filings, last reported 1 month ago.

SEHK:2899 Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 47,189.07 40,175.08 9,423.73
2018-12-31 47,273.71 47,073.70 11,319.13
2018-09-30 38,260.74 37,624.20 7,791.23
2018-06-30 37,721.15 37,446.97 10,701.30
2018-03-31 38,130.66 37,149.68 11,179.39
2017-12-31 37,642.85 34,786.49 10,890.88
2017-09-30 37,689.47 39,693.77 9,757.70
2017-06-30 36,470.11 42,588.57 12,767.61
2017-03-31 32,580.81 41,190.99 9,020.71
2016-12-31 31,116.51 42,956.61 7,590.41
2016-09-30 30,407.70 31,649.93 6,937.34
2016-06-30 30,719.92 32,989.45 8,271.51
2016-03-31 31,694.17 37,439.34 12,626.54
2015-12-31 31,928.26 29,984.14 6,258.97
2015-09-30 32,405.43 27,951.43 6,522.29
2015-06-30 32,554.12 22,536.41 5,707.33
2015-03-31 33,587.33 21,018.71 4,527.72
2014-12-31 33,668.92 22,141.93 4,620.86
2014-09-30 33,729.79 20,719.52 5,288.04
2014-06-30 32,858.94 19,291.85 6,047.56
2014-03-31 33,495.79 17,821.45 6,046.76
2013-12-31 33,085.45 16,553.06 4,967.68
2013-09-30 33,141.04 17,883.50 5,305.24
2013-06-30 32,171.24 17,297.06 6,611.37
2013-03-31 34,478.03 19,451.24 9,798.33
2012-12-31 33,582.97 16,727.25 8,003.30
2012-09-30 32,175.76 13,951.04 7,690.43
2012-06-30 30,310.57 12,763.55 7,566.84
  • Zijin Mining Group's level of debt (85.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (53.3% vs 85.1% today).
  • Debt is well covered by operating cash flow (25.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 25.2x coverage).
X
Financial health checks
We assess Zijin Mining Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Zijin Mining Group has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

2899 Dividends

 What is Zijin Mining Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.14%
Current annual income from Zijin Mining Group dividends. Estimated to be 4.92% next year.
If you bought HK$2,000 of Zijin Mining Group shares you are expected to receive HK$83 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Zijin Mining Group's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.07%).
  • Zijin Mining Group's dividend is below the markets top 25% of dividend payers in Hong Kong (5.72%).
Upcoming dividend payment

Purchase Zijin Mining Group before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:2899 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 16 Analyst Estimates (S&P Global) See Below
Hong Kong Metals and Mining Industry Average Dividend Yield Market Cap Weighted Average of 27 Stocks 4.9%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 968 Stocks 3.6%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.2%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.1%
Hong Kong Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:2899 Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.14 4.00
2020-12-31 0.15 1.00
2019-12-31 0.08 3.00
SEHK:2899 Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-04-09 0.100 3.726
2018-03-23 0.090 3.437
2017-06-21 0.060 2.417
2016-08-26 0.060 2.571
2016-05-03 0.000 0.000
2015-05-27 0.080 4.428
2014-06-30 0.080 4.736
2013-06-28 0.100 7.235
2012-08-10 0.080 3.821
2012-06-28 0.100 4.805
2011-03-31 0.067 2.479
2010-03-31 0.067 1.861

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Zijin Mining Group has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Zijin Mining Group only paid a dividend in the past 9 years.
Current Payout to shareholders
What portion of Zijin Mining Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.4x coverage).
X
Income/ dividend checks
We assess Zijin Mining Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Zijin Mining Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Zijin Mining Group has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

2899 Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Fusheng Lan
COMPENSATION CN¥5,380,450
AGE 54
TENURE AS CEO 2.4 years
CEO Bio

Mr. Fusheng Lan has been President of Zijin Mining Group Company Limited since December 30, 2016. Mr. Lan serves as the Chief Executive Officer and President of BioGFS. Mr. Lan has been a Vice Chairman of Zijin Mining Group Co. Ltd since August 2006 and its Executive Director since August 2000. He served as Deputy General Manager of General Affairs of Zijin Mining Group Co. Ltd. since August 2000 August 2006. He serves as the Chief Executive Officer and President of BioGFS and co-founded it in 2004. Prior to joining Zijin Mining Group Co. Ltd. in October 1994, he served as the Manager of Shanghang County Xinhui Jewellery Company from 1992 to 1994. Mr. Lan served as an Executive Deputy General Manager of Minxi Zijin Mining Group Co., Ltd. from August 1994 to September 2000. He served as the President and General Manager of Guilin Yaozhen Horticultural Sci. & Tech. Co. Ltd. He served as the President of Guilin Dadi Agricultural Biotechnology Institution. He served as a Deputy Manager of Shanghang County Mineral Resources Company from September 1984 to August 1992. He was a Technician of Minxi Geological Brigades from August 1984 to August 1990. He serves as Chairman of the Board of Zijin Consortium. He serves as the Chairman of Gold Mountains (Hong Kong) International Mining Co., Ltd. He has extensive experience in geological exploration and investment. He served as Chairman of Monterrico Metals plc since January 2, 2008. He served as a Non-Executive Director at China Hanking Holdings Limited since May 21, 2012 until December 17, 2015. He served as a Director of Inter Citic Minerals Inc. from November 19, 2010 to April 25, 2012. He served as a Director of Monterrico Metals plc since January 2, 2008. Duirng his service at the Guangxi Institute of Botany, Chinese Academy of sciences from 1983 to 1999, he organises and managed more than 20 reasearch projects. He has received 20 different awards from Guangxi Institute of Botany, Guangxi Academy of sciences, Guangxi Department of science and Technology, The Government of Guilin, The Government of China. Mr. Lan received a Bachelor's degree in Geology from Fuzhou University in 1984 and a Master's degree in Business Administration from La Trobe University in 2000.

CEO Compensation
  • Fusheng's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Fusheng's remuneration is higher than average for companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the Zijin Mining Group management team in years:

4.8
Average Tenure
54
Average Age
  • The tenure for the Zijin Mining Group management team is about average.
Management Team

Jinghe Chen

TITLE
Chairman of the Board
COMPENSATION
CN¥5M
AGE
61

Fusheng Lan

TITLE
Vice Chairman & President
COMPENSATION
CN¥5M
AGE
54
TENURE
2.4 yrs

Hongying Lin

TITLE
VP, CFO & Director
COMPENSATION
CN¥4M
AGE
50
TENURE
9.5 yrs

Laichang Zou

TITLE
VP & Executive Director
COMPENSATION
CN¥4M
AGE
50

Hongfu Lin

TITLE
VP & Executive Director
COMPENSATION
CN¥4M
AGE
44

George Fang

TITLE
VP, Chief Engineer & Director
COMPENSATION
CN¥5M
AGE
56
TENURE
4 yrs

Honghui Wu

TITLE
Head of Accounting Department

Qiang Liu

TITLE
Secretary to the Board of Directors
AGE
54
TENURE
5.6 yrs

Guo Xianjian

TITLE
Chief Engineer
AGE
59
TENURE
1.8 yrs

Cheung Man Fan

TITLE
Company Secretary
AGE
58
TENURE
14.4 yrs
Board of Directors Tenure

Average tenure and age of the Zijin Mining Group board of directors in years:

7.5
Average Tenure
55
Average Age
  • The tenure for the Zijin Mining Group board of directors is about average.
Board of Directors

Jinghe Chen

TITLE
Chairman of the Board
COMPENSATION
CN¥5M
AGE
61
TENURE
18.8 yrs

Fusheng Lan

TITLE
Vice Chairman & President
COMPENSATION
CN¥5M
AGE
54
TENURE
12.8 yrs

Hongying Lin

TITLE
VP, CFO & Director
COMPENSATION
CN¥4M
AGE
50
TENURE
2.4 yrs

Laichang Zou

TITLE
VP & Executive Director
COMPENSATION
CN¥4M
AGE
50
TENURE
12.8 yrs

Hongfu Lin

TITLE
VP & Executive Director
COMPENSATION
CN¥4M
AGE
44
TENURE
5.6 yrs

George Fang

TITLE
VP, Chief Engineer & Director
COMPENSATION
CN¥5M
AGE
56
TENURE
4 yrs

Shuiqing Lin

TITLE
Chairman of the Supervisory Committee
COMPENSATION
CN¥2M
AGE
54
TENURE
9.5 yrs

Shihua Lu

TITLE
Independent Non-Executive Director
AGE
67
TENURE
5.6 yrs

Guang Zhu

TITLE
Independent Non-Executive Director
COMPENSATION
CN¥150K
AGE
61
TENURE
2.9 yrs

Qiang Xu

TITLE
Vice Chairman of the Supervisory Committee
COMPENSATION
CN¥120K
AGE
66
TENURE
12.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Zijin Mining Group insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
14. May 19 Buy Jinghe Chen Individual 10. May 19 10. May 19 4,000,000 HK$2.87 HK$11,480,015
01. Mar 19 Sell Van Eck Associates Corporation Company 16. Jan 19 16. Jan 19 -2,080,000 HK$2.75 HK$-5,720,004
01. Mar 19 Sell Van Eck Associates Corporation Company 14. Jan 19 14. Jan 19 -5,680,000 HK$2.78 HK$-15,790,381
28. Dec 18 Buy Van Eck Associates Corporation Company 21. Dec 18 21. Dec 18 23,248,000 HK$3.08 HK$71,659,570
20. Aug 18 Buy Van Eck Associates Corporation Company 13. Aug 18 13. Aug 18 800,000 HK$2.87 HK$2,295,997
X
Management checks
We assess Zijin Mining Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Zijin Mining Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

2899 News

Simply Wall St News

Is Zijin Mining Group Company Limited (HKG:2899) Undervalued After Accounting For Its Future Growth?

Zijin Mining Group Company Limited (HKG:2899) closed yesterday at HK$3.22, which left some investors asking whether the high earnings potential can still be justified at this price. … What can we expect from Zijin Mining Group in the future. … Investors in Zijin Mining Group have been patiently waiting for the uptick in earnings.

Simply Wall St -

Read This Before Buying Zijin Mining Group Company Limited (HKG:2899) For Its Dividend

Is Zijin Mining Group Company Limited (HKG:2899) a good dividend stock? How would you know? A dividend paying company with growing earnings can be rewarding in the long term.. … Yet sometimes, investors buy a stock for its dividend and lose money because the share price falls by more than they earned in dividend payments.. … Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1

Simply Wall St -

Is Zijin Mining Group Company Limited's (HKG:2899) CEO Paid Enough Relative To Peers?

First, this article will compare CEO compensation with compensation at other large companies. … At the time of writing our data says that Zijin Mining Group Company Limited has a market cap of HK$95b, and is paying total annual CEO compensation of CN¥5.4m. … When we examined a group of companies with market caps over CN¥54b, we found that their median CEO total compensation was CN¥3.4m

Simply Wall St -

How Do Analysts See Zijin Mining Group Company Limited (HKG:2899) Performing Over The Next Few Years?

Zijin Mining Group Company Limited's (HKG:2899) most recent earnings update in December 2018a … company

Simply Wall St -

What Does Zijin Mining Group Company Limited's (HKG:2899) P/E Ratio Tell You?

We'll look at Zijin Mining Group Company Limited's (HKG:2899) P/E ratio and reflect on what it tells us about the company's share price. … How Do I Calculate Zijin Mining Group's Price To Earnings Ratio … Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS)

Simply Wall St -

What Investors Should Know About Zijin Mining Group Company Limited's (HKG:2899) Financial Strength

Zijin Mining Group Company Limited (HKG:2899), a large-cap worth HK$107b, comes to mind for investors seeking a strong and reliable stock investment. … Today we will look at Zijin Mining Group’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … View our latest analysis for Zijin Mining Group

Simply Wall St -

Why You Should Like Zijin Mining Group Company Limited’s (HKG:2899) ROCE

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

A Holistic Look At Zijin Mining Group Company Limited (HKG:2899)

Help shape the future of investing tools and you could win a $250 gift card! … As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook.

Simply Wall St -

How Much Of Zijin Mining Group Company Limited (HKG:2899) Do Institutions Own?

The big shareholder groups in Zijin Mining Group Company Limited (HKG:2899) have power over the company. … With a market capitalization of HK$87b, Zijin Mining Group is rather large. … See our latest analysis for Zijin Mining Group

Simply Wall St -

How Did Zijin Mining Group Company Limited's (HKG:2899) 12% ROE Fare Against The Industry?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of Zijin Mining Group Company Limited (HKG:2899). … Zijin Mining Group has a ROE of 12%, based on the last twelve months. … That means that for every HK$1 worth of shareholders' equity, it generated HK$0.12 in profit.

Simply Wall St -

2899 Company Info

Description

Zijin Mining Group Company Limited engages in the exploration, mining, and sale of mineral resources in China and internationally. It primarily produces gold bullion; gold, copper, zinc, tungsten, lead, and iron concentrates; and copper cathodes, zinc bullion, vitriol, copperplate, silver, iron, and others, as well as molybdenum, tin, coal, platinum, and palladium. As of December 31, 2018, the company owned 233 mining rights covering a total area of 874.45 square kilometers; and 195 exploration rights covering a total area of 2,279.90 square kilometers. It is also involved in the development of real estate properties. The company was formerly known as Fujian Zijin Mining Industry Company Limited and changed its name to Zijin Mining Group Company Limited in June 2004. Zijin Mining Group Company Limited was founded in 1986 and is headquartered in Longyan, the People’s Republic of China.

Details
Name: Zijin Mining Group Company Limited
2899
Exchange: SEHK
Founded: 1986
HK$79,057,887,133
23,031,218,891
Website: http://www.zijinmining.com
Address: Zijin Mining Group Company Limited
No. 1 Zijin Road,
Shanghang County,
Longyan,
Fujian Province, 364200,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SEHK 2899 Foreign Shares-Foreign Listed The Stock Exchange of Hong Kong Ltd. HK HKD 23. Dec 2003
OTCPK ZIJM.F Foreign Shares-Foreign Listed Pink Sheets LLC US USD 23. Dec 2003
DB FJZ Foreign Shares-Foreign Listed Deutsche Boerse AG DE EUR 23. Dec 2003
SHSC 2899 Foreign Shares-Foreign Listed Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 23. Dec 2003
SZSC 2899 Foreign Shares-Foreign Listed The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 23. Dec 2003
OTCPK ZIJM.Y ADR CL H Pink Sheets LLC US USD 06. Apr 2009
SHSE 601899 Domestic Shares Shanghai Stock Exchange CN CNY 25. Apr 2008
XSSC 601899 Domestic Shares Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect CN CNY 25. Apr 2008
Number of employees
Current staff
Staff numbers
18,072
Zijin Mining Group employees.
Industry
Gold
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/20 12:43
End of day share price update: 2019/05/20 00:00
Last estimates confirmation: 2019/05/20
Last earnings filing: 2019/04/29
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.