SEHK:1177

Stock Analysis Report

Executive Summary

Sino Biopharmaceutical Limited, an investment holding company, researches and develops, produces, and sells Chinese and chemical medicines in Hong Kong, Mainland China, and internationally.

Snowflake

Fundamentals

Flawless balance sheet with solid track record.

Share Price & News

How has Sino Biopharmaceutical's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.8%

1177

0.4%

HK Pharmaceuticals

0.3%

HK Market


1 Year Return

54.5%

1177

2.0%

HK Pharmaceuticals

1.3%

HK Market

Return vs Industry: 1177 exceeded the Hong Kong Pharmaceuticals industry which returned 2% over the past year.

Return vs Market: 1177 exceeded the Hong Kong Market which returned 1.3% over the past year.


Shareholder returns

1177IndustryMarket
7 Day-4.8%0.4%0.3%
30 Day4.2%2.2%0.5%
90 Day12.6%6.9%-4.6%
1 Year56.1%54.5%3.9%2.0%4.9%1.3%
3 Year202.2%194.5%54.5%46.5%15.3%3.7%
5 Year225.2%211.5%26.3%16.0%20.0%-0.006%

Price Volatility Vs. Market

How volatile is Sino Biopharmaceutical's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Sino Biopharmaceutical undervalued compared to its fair value and its price relative to the market?

47.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1177 (HK$10.8) is trading below our estimate of fair value (HK$20.73)

Significantly Below Fair Value: 1177 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1177 is poor value based on its PE Ratio (13.4x) compared to the Pharmaceuticals industry average (11.1x).

PE vs Market: 1177 is poor value based on its PE Ratio (13.4x) compared to the Hong Kong market (10.3x).


Price to Earnings Growth Ratio

PEG Ratio: 1177 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 1177 is overvalued based on its PB Ratio (4.1x) compared to the HK Pharmaceuticals industry average (1.2x).


Next Steps

Future Growth

How is Sino Biopharmaceutical forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

9.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1177's forecast earnings growth (9% per year) is above the savings rate (2%).

Earnings vs Market: 1177's earnings (9% per year) are forecast to grow slower than the Hong Kong market (11.1% per year).

High Growth Earnings: 1177's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1177's revenue (14.5% per year) is forecast to grow faster than the Hong Kong market (10% per year).

High Growth Revenue: 1177's revenue (14.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1177's Return on Equity is forecast to be low in 3 years time (11.1%).


Next Steps

Past Performance

How has Sino Biopharmaceutical performed over the past 5 years?

45.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 1177's earnings have grown significantly by 45.5% per year over the past 5 years.

Accelerating Growth: 1177's earnings growth over the past year (274.6%) exceeds its 5-year average (45.5% per year).

Earnings vs Industry: 1177 earnings growth over the past year (274.6%) exceeded the Pharmaceuticals industry 21.6%.


Return on Equity

High ROE: 1177's Return on Equity (28.2%) is considered high.


Return on Assets

ROA vs Industry: 1177 has a higher Return on Assets than the Pharmaceuticals industry average last year.


Return on Capital Employed

ROCE Improving: 1177's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Sino Biopharmaceutical's financial position?


Financial Position Analysis

Short Term Liabilities: 1177's short term assets (CN¥21.9B) exceeds its short term liabilities (CN¥10.1B)

Long Term Liabilities: 1177's short term assets (21.9B) exceeds its long term liabilities (4.5B)


Debt to Equity History and Analysis

Debt Level: 1177's debt to equity ratio (8.2%) is considered satisfactory

Reducing Debt: 1177's debt to equity ratio has reduced from 18.5% to 8.2% over the past 5 years.

Debt Coverage: 1177's debt is well covered by operating cash flow (205.7%).

Interest Coverage: 1177 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 1177 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 1177's debt is covered by short term assets (assets are 6.874520x debt).


Next Steps

Dividend

What is Sino Biopharmaceutical's current dividend yield, its reliability and sustainability?

0.74%

Current Dividend Yield


Dividend Yield vs Market

company0.7%marketbottom25%2.3%markettop25%6.2%industryaverage1.7%forecastin3Years0.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 1177's dividend (0.74%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 1177's dividend (0.74%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.18%).

Stable Dividend: 1177 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are stable.

Growing Dividend: 1177 is not paying a notable dividend for the Hong Kong market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 1177 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 1177's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

What is the CEO of Sino Biopharmaceutical's salary, the management and board of directors tenure and is there insider trading?

4.5yrs

Average board tenure


CEO

Ping Tse (67yo)

3.3yrs

Tenure

CN¥38,192,000

Compensation

Mr. Ping Tse serves as Chairman and Executive Director of the Board of Lamtex Holdings Limited since December 21, 2018. He founded Sino Biopharmaceutical Limited. Mr. Tse has been the Chief Executive Offic ...


CEO Compensation Analysis

Compensation vs. Market: Ping's total compensation ($USD5.40M) is about average for companies of similar size in the Hong Kong market ($USD807.54K).

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


Board Age and Tenure

4.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 1177's board of directors are considered experienced (4.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCN¥160,716,10907 Dec 18
Cheung Cheng
EntityIndividual
Role
Vice Chairman
Vice Chairlady
Shares30,000,000
Max PriceCN¥5.36

Ownership Breakdown


Management Team

  • Fai Chia (61yo)

    VP & Assistant to the President

    • Tenure: 0yrs
  • Hui Cheng (55yo)

    Vice President of Finance Department

    • Tenure: 0yrs
  • Mingqin Li (60yo)

    VP & Executive Director

    • Tenure: 4.5yrs
    • Compensation: CN¥985.00k
  • Ping Tse (67yo)

    Founder

    • Tenure: 3.3yrs
    • Compensation: CN¥38.19m
  • Zhoushan Tian (55yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: CN¥2.27m
  • Stephen Tse (49yo)

    VP & Executive Director

    • Tenure: 0yrs
    • Compensation: CN¥2.59m
  • Chau Yu (50yo)

    Assistant VP & Financial Controller

    • Tenure: 0yrs
  • Cheung Cheng (55yo)

    Vice Chairlady

    • Tenure: 2.5yrs
    • Compensation: CN¥21.43m
  • Shanchun Wang (51yo)

    Executive Director & President of CT Tianqing

    • Tenure: 4.5yrs
    • Compensation: CN¥5.58m
  • Theresa Tse (26yo)

    Chairlady

    • Tenure: 4.3yrs

Board Members

  • Mingqin Li (60yo)

    VP & Executive Director

    • Tenure: 4.5yrs
    • Compensation: CN¥985.00k
  • Ping Tse (67yo)

    Founder

    • Tenure: 3.3yrs
    • Compensation: CN¥38.19m
  • Zhoushan Tian (55yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: CN¥2.27m
  • Stephen Tse (49yo)

    VP & Executive Director

    • Tenure: 0yrs
    • Compensation: CN¥2.59m
  • Zhengfei Lu (56yo)

    Independent Non-Executive Director

    • Tenure: 13.9yrs
    • Compensation: CN¥304.00k
  • Dakui Li (75yo)

    Independent Non-Executive Director

    • Tenure: 15.1yrs
    • Compensation: CN¥304.00k
  • Cheung Cheng (55yo)

    Vice Chairlady

    • Tenure: 2.5yrs
    • Compensation: CN¥21.43m
  • Shanchun Wang (51yo)

    Executive Director & President of CT Tianqing

    • Tenure: 4.5yrs
    • Compensation: CN¥5.58m
  • Lu Fu Zhang (62yo)

    Independent Non-Executive Director

    • Tenure: 4.5yrs
    • Compensation: CN¥304.00k
  • Theresa Tse (26yo)

    Chairlady

    • Tenure: 4.3yrs

Company Information

Sino Biopharmaceutical Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sino Biopharmaceutical Limited
  • Ticker: 1177
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: HK$138.563b
  • Shares outstanding: 12.55b
  • Website: https://www.sinobiopharm.com

Number of Employees


Location

  • Sino Biopharmaceutical Limited
  • Office Tower
  • Unit 09, 41st Floor, Room 4109
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1177SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDSep 2000
SMZ1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 2000
SBMF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 2000
1177SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDSep 2000
1177SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDSep 2000
SBHM.YOTCPK (Pink Sheets LLC)ADRUSUSDJul 2014

Biography

Sino Biopharmaceutical Limited, an investment holding company, researches and develops, produces, and sells Chinese and chemical medicines in Hong Kong, Mainland China, and internationally. The company ope ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 12:32
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.