SEHK:6898

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China Aluminum Cans Holdings

Executive Summary

China Aluminum Cans Holdings Limited, an investment holding company, primarily manufactures and sells aluminum aerosol cans in Mainland China, Africa, the United States, rest of Asia, and the Middle East.


Snowflake Analysis

Flawless balance sheet with poor track record.

Share Price & News

How has China Aluminum Cans Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 6898 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-4.9%

6898

-0.8%

HK Packaging

1.2%

HK Market


1 Year Return

-55.9%

6898

-26.8%

HK Packaging

-9.9%

HK Market

Return vs Industry: 6898 underperformed the Hong Kong Packaging industry which returned -26.5% over the past year.

Return vs Market: 6898 underperformed the Hong Kong Market which returned -9.9% over the past year.


Shareholder returns

6898IndustryMarket
7 Day-4.9%-0.8%1.2%
30 Day-4.9%-4.6%-3.7%
90 Day-8.5%-12.8%-6.8%
1 Year38.1%-55.9%-21.5%-26.8%-7.0%-9.9%
3 Year14.3%-64.6%-46.5%-52.1%-4.8%-14.4%
5 Year-34.9%-80.5%-55.4%-62.7%-15.1%-28.3%

Price Volatility Vs. Market

How volatile is China Aluminum Cans Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China Aluminum Cans Holdings undervalued compared to its fair value and its price relative to the market?

19.23x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 6898 (HK$0.49) is trading above our estimate of fair value (HK$0.19)

Significantly Below Fair Value: 6898 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 6898 is poor value based on its PE Ratio (19.2x) compared to the Packaging industry average (11x).

PE vs Market: 6898 is poor value based on its PE Ratio (19.2x) compared to the Hong Kong market (9.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 6898's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 6898 is overvalued based on its PB Ratio (1.4x) compared to the HK Packaging industry average (0.5x).


Next Steps

Future Growth

How is China Aluminum Cans Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

19.7%

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 China Aluminum Cans Holdings 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 China Aluminum Cans Holdings performed over the past 5 years?

-14.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6898 has high quality earnings.

Growing Profit Margin: 6898's current net profit margins (11.5%) are lower than last year (11.6%).


Past Earnings Growth Analysis

Earnings Trend: 6898's earnings have declined by -14.2% per year over the past 5 years.

Accelerating Growth: 6898's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6898 had negative earnings growth (-26.6%) over the past year, making it difficult to compare to the Packaging industry average (-6.3%).


Return on Equity

High ROE: 6898's Return on Equity (7.7%) is considered low.


Next Steps

Financial Health

How is China Aluminum Cans Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 6898's short term assets (HK$112.5M) exceed its short term liabilities (HK$28.5M).

Long Term Liabilities: 6898's short term assets (HK$112.5M) exceed its long term liabilities (HK$3.9M).


Debt to Equity History and Analysis

Debt Level: 6898 is debt free.

Reducing Debt: 6898 has no debt compared to 5 years ago when its debt to equity ratio was 36.9%.

Debt Coverage: 6898 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 6898 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is China Aluminum Cans Holdings's current dividend yield, its reliability and sustainability?

1.53%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6898's dividend (1.53%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.59%).

High Dividend: 6898's dividend (1.53%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.35%).


Stability and Growth of Payments

Stable Dividend: 6898 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 6898 has only been paying a dividend for 6 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.3%), 6898's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.8yrs

Average board tenure


CEO

Wan Tsang Lin (53yo)

no data

Tenure

HK$1,860,000

Compensation

Mr. Wan Tsang Lin is the Founder of China Aluminum Cans Holdings Limited and serves as its Executive Chairman and General Manager. Mr. Lin is responsible for formulating corporate strategies and overseeing ...


CEO Compensation Analysis

Compensation vs Market: Wan Tsang's total compensation ($USD239.94K) is about average for companies of similar size in the Hong Kong market ($USD223.92K).

Compensation vs Earnings: Wan Tsang's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Wan Tsang Lin
Chairman & GMno dataHK$1.86m73.25% HK$320.4m
Jiangxiong Dong
Executive Director4.17yrsHK$403.00kno data
Wai Man Yip
Independent Non-Executive Director4yrsHK$191.00kno data
Tak Wang Kwok
Non-Executive Director6.83yrsHK$416.00k0.13% HK$582.0k
Tat Pang Lin
Independent Non-Executive Director6.83yrsHK$191.00kno data
Yang Guo
Independent Non-Executive Director6.83yrsHK$191.00kno data
Yi Chung
Independent Non-Executive Director6.83yrsHK$191.00kno data

6.8yrs

Average Tenure

55yo

Average Age

Experienced Board: 6898's board of directors are considered experienced (6.9 years average tenure).


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

China Aluminum Cans Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Aluminum Cans Holdings Limited
  • Ticker: 6898
  • Exchange: SEHK
  • Founded: 2012
  • Industry: Metal and Glass Containers
  • Sector: Materials
  • Market Cap: HK$437.366m
  • Shares outstanding: 901.79m
  • Website: https://www.6898hk.com

Number of Employees


Location

  • China Aluminum Cans Holdings Limited
  • Torch Development Zone
  • National Health Tech Park of Zhongshan
  • Zhongshan
  • Guangdong Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6898SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJul 2013

Biography

China Aluminum Cans Holdings Limited, an investment holding company, primarily manufactures and sells aluminum aerosol cans in Mainland China, Africa, the United States, rest of Asia, and the Middle East. The company offers aluminum aerosol cans for packaging personal care products, such as body deodorant, hair styling products, and shaving creams; and pharmaceutical products, including pain relieving and antiseptic sprays, and spray dressings. It is also involved in the trading of aluminum aerosol cans. The company was incorporated in 2012 and is headquartered in Zhongshan, the People’s Republic of China. China Aluminum Cans Holdings Limited is a subsidiary of Wellmass International Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/31 13:34
End of Day Share Price2020/05/29 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.