NOVA Group Holdings (SEHK:1360) - Share price, News & Analysis

1360 fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	0/6
Financial Health	5/6
Dividends	0/6

1360 Stock Overview

NOVA Group Holdings Limited, an investment holding company, engages in the exhibition and events, cultural and entertainment, and financing businesses in Hong Kong and the People's Republic of China.

Rewards

Trading at 74.5% below our estimate of its fair value

Risk Analysis

Volatile share price over the past 3 months

Shareholders have been diluted in the past year

Does not have a meaningful market cap (HK$187M)

NOVA Group Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for NOVA Group Holdings
Historical stock prices
Current Share Price	HK$0.10
52 Week High	HK$0.19
52 Week Low	HK$0.10
Beta	-0.42
1 Month Change	-12.17%
3 Month Change	-12.93%
1 Year Change	-14.41%
3 Year Change	-96.58%
5 Year Change	-93.18%
Change since IPO	-64.44%

Recent News & Updates

Mar 01

NOVA Group Holdings (HKG:1360) Has A Rock Solid Balance Sheet

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Sep 29

NOVA Group Holdings (HKG:1360) Has A Pretty Healthy Balance Sheet

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

May 08

Does NOVA Group Holdings (HKG:1360) Have A Healthy Balance Sheet?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

	1360	HK Media	HK Market
7D	-3.8%	-0.02%	-0.03%
1Y	-14.4%	-45.4%	-24.4%

Return vs Industry: 1360 exceeded the Hong Kong Media industry which returned -45.4% over the past year.

Return vs Market: 1360 exceeded the Hong Kong Market which returned -24.4% over the past year.

Price Volatility

Is 1360's price volatile compared to industry and market?
1360 volatility
1360 Average Weekly Movement	11.5%
Media Industry Average Movement	10.3%
Market Average Movement	8.0%
10% most volatile stocks in HK Market	14.8%
10% least volatile stocks in HK Market	3.9%

Stable Share Price: 1360 is more volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: 1360's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.

About the Company

Founded	Employees	CEO	Website
2009	101	Zhonglin Deng	https://www.novahldg.com

NOVA Group Holdings Limited, an investment holding company, engages in the exhibition and events, cultural and entertainment, and financing businesses in Hong Kong and the People's Republic of China. The company involved in the organization and sponsorship of trade shows, exhibitions, and events; and provision of event planning, sub-contracting, management, and ancillary services. It also offers brand management and related services under the PHEBE, MT, U.CLUB, and DrOscar brand names; provides and supplies customized and thematic entertainment equipment and software materials integration services; and trades in wine and liquor, e-cigarettes, and daily supplies.

NOVA Group Holdings Fundamentals Summary

How do NOVA Group Holdings's earnings and revenue compare to its market cap?
1360 fundamental statistics
Market Cap	HK$187.45m
Earnings (TTM)	-HK$40.21m
Revenue (TTM)	HK$157.68m

1.2x

P/S Ratio

-4.7x

P/E Ratio

Is 1360 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
1360 income statement (TTM)
Revenue	HK$157.68m
Cost of Revenue	HK$46.26m
Gross Profit	HK$111.42m
Other Expenses	HK$151.62m
Earnings	-HK$40.21m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	-0.022
Gross Margin	70.66%
Net Profit Margin	-25.50%
Debt/Equity Ratio	5.2%

How did 1360 perform over the long term?

See historical performance and comparison

Valuation

Is NOVA Group Holdings undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: 1360 (HK$0.1) is trading below our estimate of fair value (HK$0.4)

Significantly Below Fair Value: 1360 is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: 1360 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Media industry average.

PE vs Market: 1360 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1360's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: 1360 is good value based on its PB Ratio (0.2x) compared to the HK Media industry average (0.8x).

Future Growth

How is NOVA Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

29.6%

Forecasted Media 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 NOVA Group 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.

Past Performance

How has NOVA Group Holdings performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

14.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1360 is currently unprofitable.

Growing Profit Margin: 1360 is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: 1360 is unprofitable, but has reduced losses over the past 5 years at a rate of 14.7% per year.

Accelerating Growth: Unable to compare 1360's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1360 is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (45.9%).

Return on Equity

High ROE: 1360 has a negative Return on Equity (-5.21%), as it is currently unprofitable.

Financial Health

How is NOVA Group Holdings's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 1360's short term assets (HK$568.3M) exceed its short term liabilities (HK$61.2M).

Long Term Liabilities: 1360's short term assets (HK$568.3M) exceed its long term liabilities (HK$3.8M).

Debt to Equity History and Analysis

Debt Level: 1360 has more cash than its total debt.

Reducing Debt: Insufficient data to determine if 1360's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 1360's debt is well covered by operating cash flow (228.4%).

Interest Coverage: 1360's interest payments on its debt are well covered by EBIT (10x coverage).

Balance Sheet

Dividend

What is NOVA Group Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1360's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1360's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 1360's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1360's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: 1360 is not paying a notable dividend for the Hong Kong market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 1360 has not reported any payouts.

Next Steps

Explore strong dividend paying companies in the Media industry.

Management

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

1.8yrs

Average management tenure

CEO

Zhonglin Deng (47 yo)

Tenure

HK$688,000

Compensation

Mr. Zhonglin Deng has been the Chairman of NOVA Group Holdings Limited since May 12, 2017 and is its Executive Director since October 14, 2016. He serves as Chief Executive Officer at NOVA Group Holdings L...

CEO Compensation Analysis

Compensation vs Market: Zhonglin's total compensation ($USD87.64K) is below average for companies of similar size in the Hong Kong market ($USD232.87K).

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

Leadership Team

Experienced Management: 1360's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.

Board Members

Experienced Board: 1360's board of directors are considered experienced (4.8 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.

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.3%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/16 00:00
End of Day Share Price	2022/05/16 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30