Executive Summary
Angang Steel Company Limited engages in the production, processing, and sale of steel products in the People’s Republic of China.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet established dividend payer.
Similar Companies
Share Price & News
How has Angang Steel's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 347's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-3.8%
347
-1.5%
HK Metals and Mining
1.1%
HK Market
1 Year Return
-56.1%
347
-38.7%
HK Metals and Mining
-21.6%
HK Market
Return vs Industry: 347 underperformed the Hong Kong Metals and Mining industry which returned -37.6% over the past year.
Return vs Market: 347 underperformed the Hong Kong Market which returned -20.4% over the past year.
Shareholder returns
| 347 | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.8% | -1.5% | 1.1% |
| 30 Day | -25.1% | -21.9% | -10.2% |
| 90 Day | -36.0% | -32.1% | -16.1% |
| 1 Year | -54.3%-56.1% | -36.6%-38.7% | -18.8%-21.6% |
| 3 Year | -48.9%-53.3% | -33.8%-38.0% | -3.1%-12.8% |
| 5 Year | -54.4%-58.7% | -40.2%-46.0% | -13.5%-27.3% |
Price Volatility Vs. Market
How volatile is Angang Steel's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What Is Angang Steel's (HKG:347) P/E Ratio After Its Share Price Tanked?4 weeks ago | Simply Wall St
Here's How We Evaluate Angang Steel Company Limited's (HKG:347) Dividend1 month ago | Simply Wall St
We Think Angang Steel (HKG:347) Is Taking Some Risk With Its DebtValuation
Is Angang Steel undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 347 (HK$2.04) is trading below our estimate of fair value (HK$4.53)
Significantly Below Fair Value: 347 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 347 is poor value based on its PE Ratio (9.8x) compared to the Metals and Mining industry average (9.2x).
PE vs Market: 347 is poor value based on its PE Ratio (9.8x) compared to the Hong Kong market (9.1x).
Price to Earnings Growth Ratio
PEG Ratio: 347 is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: 347 is good value based on its PB Ratio (0.3x) compared to the HK Metals and Mining industry average (0.6x).
Next Steps
Future Growth
How is Angang Steel forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
14.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 347's forecast earnings growth (16.9% per year) is above the savings rate (1.6%).
Earnings vs Market: 347's earnings (16.9% per year) are forecast to grow faster than the Hong Kong market (11.8% per year).
High Growth Earnings: 347's earnings are forecast to grow, but not significantly.
Revenue vs Market: 347's revenue is expected to decline over the next 3 years (-2.4% per year).
High Growth Revenue: 347's revenue is forecast to decline over the next 3 years (-2.4% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 347's Return on Equity is forecast to be low in 3 years time (2.8%).
Next Steps
Past Performance
How has Angang Steel performed over the past 5 years?
43.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 347 has high quality earnings.
Growing Profit Margin: 347's current net profit margins (1.7%) are lower than last year (7.6%).
Past Earnings Growth Analysis
Earnings Trend: 347's earnings have grown significantly by 43.9% per year over the past 5 years.
Accelerating Growth: 347's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 347 had negative earnings growth (-77.5%) over the past year, making it difficult to compare to the Metals and Mining industry average (-17.1%).
Return on Equity
High ROE: 347's Return on Equity (3.3%) is considered low.
Next Steps
Financial Health
How is Angang Steel's financial position?
Financial Position Analysis
Short Term Liabilities: 347's short term assets (CN¥23.5B) do not cover its short term liabilities (CN¥29.3B).
Long Term Liabilities: 347's short term assets (CN¥23.5B) exceed its long term liabilities (CN¥5.9B).
Debt to Equity History and Analysis
Debt Level: 347's debt to equity ratio (34.5%) is considered satisfactory.
Reducing Debt: 347's debt to equity ratio has reduced from 57.5% to 34.5% over the past 5 years.
Debt Coverage: 347's debt is well covered by operating cash flow (55.3%).
Interest Coverage: 347 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: 347 has a high level of physical assets or inventory.
Debt Coverage by Assets: 347's debt is covered by short term assets (assets are 1.3x debt).
Next Steps
Dividend
What is Angang Steel's current dividend yield, its reliability and sustainability?
9.10%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 347's dividend (9.08%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.56%).
High Dividend: 347's dividend (9.08%) is in the top 25% of dividend payers in the Hong Kong market (7.14%)
Stability and Growth of Payments
Stable Dividend: 347's dividend payments have been volatile in the past 10 years.
Growing Dividend: 347's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (89.1%), 347's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 347's dividends in 3 years are forecast to be covered by earnings (83.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.3yrs
Average management tenure
CEO
Zhen Li (49yo)
0.083
Tenure
CN¥1,170,000
Compensation
Mr. Zhen Li serves as General Manager at Angang Steel Company Limited since March 27, 2020. He serves as Executive Director at of Angang Steel Company Limited since March 05, 2018. He is a professor-level ...
CEO Compensation Analysis
Compensation vs Market: Zhen's total compensation ($USD165.21K) is below average for companies of similar size in the Hong Kong market ($USD494.87K).
Compensation vs Earnings: Insufficient data to compare Zhen's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman | 2.42yrs | no data | 0.00011% CN¥28.9k | |
| GM & Executive Director | 0.083yr | CN¥1.17m | no data | |
| Deputy GM | 2.08yrs | CN¥890.00k | no data | |
| Deputy GM & Executive Director | 0.083yr | CN¥110.00k | no data | |
| VP & Deputy GM | 4.08yrs | CN¥1.55m | no data | |
| Deputy General Manager | 0.083yr | no data | no data | |
| Deputy General Manager | 0.083yr | no data | no data | |
| Joint Company Secretary | 2.5yrs | no data | no data | |
| Controller | no data | no data | no data |
0.3yrs
Average Tenure
51yo
Average Age
Experienced Management: 347's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman | 2.42yrs | no data | 0.00011% CN¥28.9k | |
| GM & Executive Director | 0.083yr | CN¥1.17m | no data | |
| Deputy GM | 2.08yrs | CN¥890.00k | no data | |
| Deputy GM & Executive Director | 0.083yr | CN¥110.00k | no data | |
| Independent Non-Executive Director | no data | CN¥120.00k | no data | |
| Supervisor | no data | no data | no data | |
| Independent Non-Executive Director | 1.83yrs | CN¥70.00k | no data | |
| Independent Non-Executive Director | 0.92yr | no data | no data | |
| Independent Non Executive Director | 0.083yr | no data | no data | |
| Representative Supervisor | 0.083yr | no data | no data |
1.4yrs
Average Tenure
51yo
Average Age
Experienced Board: 347's board of directors are not considered experienced ( 1.4 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
Angang Steel Company Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Angang Steel Company Limited
- Ticker: 347
- Exchange: SEHK
- Founded: 1997
- Industry: Steel
- Sector: Materials
- Market Cap: HK$26.274b
- Shares outstanding: 9.41b
- Website: https://www.ansteel.com.cn
Number of Employees
Location
- Angang Steel Company Limited
- Angang factory
- Tie Xi District
- Anshan
- Liaoning Province
- 114021
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ANGG.F | OTCPK (Pink Sheets LLC) | Yes | Foreign Shares-Foreign Listed | US | USD | Jul 1997 |
| 347 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Jul 1997 |
| GNV | DB (Deutsche Boerse AG) | Yes | Foreign Shares-Foreign Listed | DE | EUR | Jul 1997 |
| 347 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Jul 1997 |
| 898 | SZSE (Shenzhen Stock Exchange) | Domestic Shares | CN | CNY | Nov 1997 | |
| 898 | XSEC (Shenzhen Stock Exchange - Shenzhen-Hong Kong Stock Connect) | Domestic Shares | CN | CNY | Nov 1997 |
Biography
Angang Steel Company Limited engages in the production, processing, and sale of steel products in the People’s Republic of China. Its principal products include hot rolled sheets, cold rolled sheets, galvanized steel sheets, color coating plates, medium and thick plates, heavy sections, heavy rails, wire rods, seamless steel pipes, and cold rolled silicon steel products. The company also engages in ferrous metal smelting and steel pressing activities. In addition, it sells building materials, etc.; provides wholesale and retail purchasing services; develops metallurgy and related materials and equipment; and purchases and sells metal and other materials, as well as imports, exports, wholesales, and retails technology products. Further, the company engages in the purification of cooking gas; production of coal products; production of dissolved acetylene; and sale of compressed and liquefied gas. The company’s products are used in various industries, such as machinery, metallurgy, petroleum, chemical, coal, power, railway, shipbuilding, automobile, construction, home electrical appliances, and aviation. It also exports its products. The company was formerly known as Angang New Steel Company Limited and changed its name to Angang Steel Company Limited in June 2006. The company was founded in 1997 and is headquartered in Anshan, the People’s Republic of China. Angang Steel Company Limited is a subsidiary of Anshan Iron and Steel Group Co., Ltd.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/02 13:01 |
| End of Day Share Price | 2020/04/02 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.