Executive Summary
Maanshan Iron & Steel Company Limited manufactures and sells iron and steel products, and related by-products in the People's Republic of China and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet and fair value.
Share Price & News
How has Maanshan Iron & Steel's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 323 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.0%
323
-6.2%
HK Metals and Mining
-3.3%
HK Market
1 Year Return
-24.0%
323
-19.2%
HK Metals and Mining
-9.6%
HK Market
Return vs Industry: 323 underperformed the Hong Kong Metals and Mining industry which returned -18.6% over the past year.
Return vs Market: 323 underperformed the Hong Kong Market which returned -9.8% over the past year.
Shareholder returns
| 323 | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.0% | -6.2% | -3.3% |
| 30 Day | -2.7% | -5.8% | -3.8% |
| 90 Day | -3.6% | 4.3% | -0.2% |
| 1 Year | -15.5%-24.0% | -16.5%-19.2% | -6.3%-9.6% |
| 3 Year | 15.9%-3.0% | -14.2%-19.7% | 11.2%-0.05% |
| 5 Year | 56.6%31.1% | 0.7%-9.9% | 12.7%-6.0% |
Price Volatility Vs. Market
How volatile is Maanshan Iron & Steel's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Is Maanshan Iron & Steel Company Limited's (HKG:323) High P/E Ratio A Problem For Investors?3 weeks ago | Simply Wall St
We Wouldn't Rely On Maanshan Iron & Steel's (HKG:323) Statutory Earnings As A Guide1 month ago | Simply Wall St
Is Maanshan Iron & Steel (HKG:323) Using Too Much Debt?Valuation
Is Maanshan Iron & Steel undervalued compared to its fair value and its price relative to the market?
40.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 323 (HK$2.91) is trading below our estimate of fair value (HK$4.88)
Significantly Below Fair Value: 323 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 323 is poor value based on its PE Ratio (11.1x) compared to the Metals and Mining industry average (10.4x).
PE vs Market: 323 is poor value based on its PE Ratio (11.1x) compared to the Hong Kong market (9.9x).
Price to Earnings Growth Ratio
PEG Ratio: 323 is good value based on its PEG Ratio (0.4x)
Price to Book Ratio
PB vs Industry: 323 is overvalued based on its PB Ratio (0.7x) compared to the HK Metals and Mining industry average (0.7x).
Next Steps
Future Growth
How is Maanshan Iron & Steel forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
30.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 323's forecast earnings growth (30.4% per year) is above the savings rate (1.6%).
Earnings vs Market: 323's earnings (30.4% per year) are forecast to grow faster than the Hong Kong market (11.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 323's revenue is expected to decline over the next 3 years (-1.4% per year).
High Growth Revenue: 323's revenue is forecast to decline over the next 3 years (-1.4% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 323's Return on Equity is forecast to be low in 3 years time (7.9%).
Next Steps
Past Performance
How has Maanshan Iron & Steel performed over the past 5 years?
52.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 323 has a large one-off gain of CN¥672.2M impacting its September 30 2019 financial results.
Growing Profit Margin: 323's current net profit margins (2.4%) are lower than last year (8.4%).
Past Earnings Growth Analysis
Earnings Trend: 323's earnings have grown significantly by 52.1% per year over the past 5 years.
Accelerating Growth: 323's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 323 had negative earnings growth (-73.8%) over the past year, making it difficult to compare to the Metals and Mining industry average (-25%).
Return on Equity
High ROE: 323's Return on Equity (8.2%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Maanshan Iron & Steel's financial position?
Financial Position Analysis
Short Term Liabilities: 323's short term assets (CN¥38.2B) do not cover its short term liabilities (CN¥40.7B).
Long Term Liabilities: 323's short term assets (CN¥38.2B) exceed its long term liabilities (CN¥5.4B).
Debt to Equity History and Analysis
Debt Level: 323's debt to equity ratio (56.1%) is considered high.
Reducing Debt: 323's debt to equity ratio has reduced from 105.6% to 56.1% over the past 5 years.
Debt Coverage: 323's debt is well covered by operating cash flow (43.1%).
Interest Coverage: 323 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: 323 has a high level of physical assets or inventory.
Debt Coverage by Assets: 323's debt is covered by short term assets (assets are 2.2x debt).
Next Steps
Dividend
What is Maanshan Iron & Steel's current dividend yield, its reliability and sustainability?
5.49%
Forecast Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate 323's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate 323's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if 323's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 323's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: 323 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 323'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?
2.1yrs
Average management tenure
CEO
Maanshan Iron & Steel has no CEO, or we have no data on them.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 6.5yrs | no data | no data | |
| Executive Director | 8.5yrs | CN¥820.60k | no data | |
| Deputy General Manager | 3yrs | CN¥669.30k | no data | |
| Deputy GM & Executive Director | 2.3yrs | CN¥666.24k | no data | |
| Deputy General Manager | 2.3yrs | CN¥668.70k | no data | |
| Joint Company Secretary | 1.8yrs | CN¥311.50k | no data | |
| Head of Accounting | 0yrs | no data | no data | |
| Joint Company Secretary | 1.8yrs | no data | no data |
2.1yrs
Average Tenure
52yo
Average Age
Experienced Management: 323's management team is considered experienced (2.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 6.5yrs | no data | no data | |
| Executive Director | 8.5yrs | CN¥820.60k | no data | |
| Deputy GM & Executive Director | 2.3yrs | CN¥666.24k | no data | |
| Chairman of the Supervisory Committee | 11.5yrs | CN¥854.89k | no data | |
| Independent Supervisor | 2.3yrs | no data | no data | |
| Supervisor | 2.3yrs | no data | no data | |
| Non-Executive Director | 8.5yrs | no data | no data | |
| Independent Non-executive Director | 2.3yrs | CN¥100.00k | no data | |
| Independent Non-executive Director | 2.3yrs | CN¥100.00k | no data | |
| Independent Non-executive Director | 2.3yrs | CN¥100.00k | no data |
2.3yrs
Average Tenure
55yo
Average Age
Experienced Board: 323's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Ownership
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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Maanshan Iron & Steel Company Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Maanshan Iron & Steel Company Limited
- Ticker: 323
- Exchange: SEHK
- Founded: 1953
- Industry: Steel
- Sector: Materials
- Market Cap: HK$23.008b
- Shares outstanding: 7.70b
- Website: https://www.magang.com.cn
Number of Employees
Location
- Maanshan Iron & Steel Company Limited
- No. 8, Jiu Hua Xi Road
- Maanshan
- Anhui Province
- 243003
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MAAN.F | OTCPK (Pink Sheets LLC) | Yes | Foreign Shares-Foreign Listed | US | USD | Nov 1993 |
| 323 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Nov 1993 |
| YM9A | DB (Deutsche Boerse AG) | Yes | Foreign Shares-Foreign Listed | DE | EUR | Nov 1993 |
| 323 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Nov 1993 |
| 323 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Nov 1993 |
| 600808 | SHSE (Shanghai Stock Exchange) | Domestic Shares | CN | CNY | Jun 1994 | |
| 600808 | XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect) | Domestic Shares | CN | CNY | Jun 1994 |
Biography
Maanshan Iron & Steel Company Limited manufactures and sells iron and steel products, and related by-products in the People's Republic of China and internationally. It offers hot-rolled and cold rolled, and galvanized and color coated strips; ship plates, container use strips, electric steel, pipe steel, etc.; H-beam, angle, and channel sections; cold-heading wire rods; and train wheels for wagon cars. The company also provides railway wheel and tire, bearing, spring, gear, tool and die, ring, high grade cold heading, non-quenched and tempered, anchor chain, roller, and alloy structural steel, as well as alloy tube billet, steel for heavy castings and forgings, and other series. In addition, it is involved in the production and sale of coke, coke chemical, energy, and metallic products, as well as screw threaded, round, section, angle, and deformed steel products; sale of iron ore and iron ore fines, and scrap steel products; and metallurgy and extended processing of ferrous metals and sale of resulting products, as well as extended processing of iron and steel products. Further, the company researches and develops automobile, home electrical appliances, engineering, and machinery materials; produces and sells steel and stamping spare parts; provides warehousing, business consulting, storage, technical consulting, advertising, magazine retailing, and exhibition services; offers products and equipment used in rail transport, urban transport, and machinery construction; and trades in pig iron. Additionally, it engages in the investment and trading businesses. The company was founded in 1953 and is headquartered in Maanshan, the People's Republic of China.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/26 12:37 |
| End of Day Share Price | 2020/02/26 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.