Snowflake Score | |
---|---|
Valuation | 3/6 |
Future Growth | 2/6 |
Past Performance | 2/6 |
Financial Health | 6/6 |
Dividends | 0/6 |
772 Stock Overview
China Literature Limited, an investment holding company, operates an online literature platform in the People’s Republic of China.
China Literature Competitors
Price History & Performance
Historical stock prices | |
---|---|
Current Share Price | HK$36.80 |
52 Week High | HK$89.30 |
52 Week Low | HK$23.00 |
Beta | 0.53 |
1 Month Change | 19.87% |
3 Month Change | 18.52% |
1 Year Change | -57.94% |
3 Year Change | 0% |
5 Year Change | n/a |
Change since IPO | -64.06% |
Recent News & Updates
We Like These Underlying Return On Capital Trends At China Literature (HKG:772)
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...
We Think China Literature (HKG:772) Can Stay On Top Of Its Debt
Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
China Literature's (HKG:772) Solid Profits Have Weak Fundamentals
Despite posting some strong earnings, the market for China Literature Limited's ( HKG:772 ) stock hasn't moved much...
Returns Are Gaining Momentum At China Literature (HKG:772)
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...
Shareholder Returns
772 | HK Media | HK Market | |
---|---|---|---|
7D | 7.0% | 3.8% | 2.1% |
1Y | -57.9% | -47.7% | -23.3% |
Return vs Industry: 772 underperformed the Hong Kong Media industry which returned -47.7% over the past year.
Return vs Market: 772 underperformed the Hong Kong Market which returned -23.3% over the past year.
Price Volatility
772 volatility | |
---|---|
772 Average Weekly Movement | 8.2% |
Media Industry Average Movement | 10.6% |
Market Average Movement | 7.0% |
10% most volatile stocks in HK Market | 13.8% |
10% least volatile stocks in HK Market | 3.3% |
Stable Share Price: 772 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: 772's weekly volatility (8%) has been stable over the past year.
About the Company
Founded | Employees | CEO | Website |
---|---|---|---|
2002 | 1,975 | Edward Cheng | https://ir.yuewen.com |
China Literature Limited, an investment holding company, operates an online literature platform in the People’s Republic of China. The company promotes intellectual properties primarily through its online literature platforms, such as QQ Reading and Qidian; and New Classics Media, a film and TV drama series production house. It is also involved in the self-operated channels business on partner distribution platforms.
China Literature Fundamentals Summary
772 fundamental statistics | |
---|---|
Market Cap | CN¥32.08b |
Earnings (TTM) | CN¥1.85b |
Revenue (TTM) | CN¥8.67b |
17.4x
P/E Ratio3.7x
P/S RatioIs 772 overvalued?
See Fair Value and valuation analysisEarnings & Revenue
772 income statement (TTM) | |
---|---|
Revenue | CN¥8.67b |
Cost of Revenue | CN¥4.06b |
Gross Profit | CN¥4.60b |
Other Expenses | CN¥2.76b |
Earnings | CN¥1.85b |
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
n/a
Earnings per share (EPS) | 1.81 |
Gross Margin | 53.11% |
Net Profit Margin | 21.30% |
Debt/Equity Ratio | 6.8% |
How did 772 perform over the long term?
See historical performance and comparisonValuation
Is 772 undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for 772?
Other financial metrics that can be useful for relative valuation.
What is 772's n/a Ratio? | |
---|---|
n/a Ratio | 0x |
n/a | n/a |
Market Cap | CN¥32.08b |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 3x |
Enterprise Value/EBITDA | 23.3x |
PEG Ratio | 7.2x |
Price to Earnings Ratio vs Peers
How does 772's PE Ratio compare to its peers?
772 PE Ratio vs Peers |
---|
Company | PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 57.7x |
Price-To-Earnings vs Peers: 772 is good value based on its Price-To-Earnings Ratio (17.4x) compared to the peer average (57.7x).
Price to Earnings Ratio vs Industry
How does 772's PE Ratio compare vs other companies in the Media Industry?
Price-To-Earnings vs Industry: 772 is expensive based on its Price-To-Earnings Ratio (17.4x) compared to the Hong Kong Media industry average (13x)
Price to Earnings Ratio vs Fair Ratio
What is 772's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PE Ratio | 17.4x |
Fair PE Ratio | 10.4x |
Price-To-Earnings vs Fair Ratio: 772 is expensive based on its Price-To-Earnings Ratio (17.4x) compared to the estimated Fair Price-To-Earnings Ratio (10.4x).
Share Price vs Fair Value
What is the Fair Price of 772 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: 772 (HK$36.8) is trading below our estimate of fair value (HK$127.4)
Significantly Below Fair Value: 772 is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: 772 is poor value based on its PEG Ratio (7.2x)
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Future Growth
How is China Literature forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
Future Growth Score
2/6Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
2.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 772's forecast earnings growth (2.4% per year) is above the savings rate (1.5%).
Earnings vs Market: 772's earnings (2.4% per year) are forecast to grow slower than the Hong Kong market (17% per year).
High Growth Earnings: 772's earnings are forecast to grow, but not significantly.
Revenue vs Market: 772's revenue (10.4% per year) is forecast to grow faster than the Hong Kong market (10.2% per year).
High Growth Revenue: 772's revenue (10.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 772's Return on Equity is forecast to be low in 3 years time (8.5%).
Discover growth companies
Past Performance
How has China Literature performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-29.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 772 has a large one-off gain of CN¥1.3B impacting its December 31 2021 financial results.
Growing Profit Margin: 772 became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: 772 has become profitable over the past 5 years, growing earnings by -29.2% per year.
Accelerating Growth: 772 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: 772 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Media industry (76.4%).
Return on Equity
High ROE: 772's Return on Equity (10.7%) is considered low.
Discover strong past performing companies
Financial Health
How is China Literature's financial position?
Financial Health Score
6/6Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: 772's short term assets (CN¥12.7B) exceed its short term liabilities (CN¥4.5B).
Long Term Liabilities: 772's short term assets (CN¥12.7B) exceed its long term liabilities (CN¥1.6B).
Debt to Equity History and Analysis
Debt Level: 772 has more cash than its total debt.
Reducing Debt: 772's debt to equity ratio has reduced from 11.1% to 6.8% over the past 5 years.
Debt Coverage: 772's debt is well covered by operating cash flow (95.2%).
Interest Coverage: 772 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
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Dividend
What is China Literature current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend 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 772's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate 772'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 772's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 772's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as 772 has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.2yrs
Average management tenure
CEO
Edward Cheng (46 yo)
2.17yrs
Tenure
CN¥28,769,000
Compensation
Mr. Wu Cheng, also known as Edward, serves as Non-Executive Director at Maoyan Entertainment since June 9, 2020. He serves as the Chief Executive Officer & Executive Director of China Literature Limited si...
Leadership Team
Experienced Management: 772's management team is considered experienced (2.2 years average tenure).
Board Members
Experienced Board: 772's board of directors are considered experienced (3.1 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 Literature Limited's employee growth, exchange listings and data sources
Key Information
- Name: China Literature Limited
- Ticker: 772
- Exchange: SEHK
- Founded: 2002
- Industry: Publishing
- Sector: Media
- Implied Market Cap: HK$37.648b
- Shares outstanding: 1.02b
- Website: https://ir.yuewen.com
Number of Employees
Location
- China Literature Limited
- No. 690 Bi Bo Road
- Block 6
- Shanghai
- 201203
- China
Listings
Company Analysis and Financial Data Status
Data | Last Updated (UTC time) |
---|---|
Company Analysis | 2022/06/25 00:00 |
End of Day Share Price | 2022/06/24 00:00 |
Earnings | 2021/12/31 |
Annual Earnings | 2021/12/31 |
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.