SEHK:1177

Stock Analysis Report

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Executive Summary

Sino Biopharmaceutical Limited, together with its subsidiaries, operates as a research and development pharmaceutical conglomerate in the People’s Republic of China. More Details


Snowflake Analysis

Excellent balance sheet with reasonable growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1177 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 1177's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-13.0%

1177

-0.3%

HK Pharmaceuticals

0.4%

HK Market


1 Year Return

-1.4%

1177

9.9%

HK Pharmaceuticals

10.1%

HK Market

Return vs Industry: 1177 underperformed the Hong Kong Pharmaceuticals industry which returned 9.9% over the past year.

Return vs Market: 1177 underperformed the Hong Kong Market which returned 10.1% over the past year.


Shareholder returns

1177IndustryMarket
7 Day-13.0%-0.3%0.4%
30 Day-13.6%1.0%9.3%
90 Day-28.1%-10.0%6.1%
1 Year-0.7%-1.4%11.7%9.9%14.6%10.1%
3 Year49.6%46.4%-3.4%-8.9%1.5%-9.1%
5 Year113.3%104.4%31.7%21.5%33.7%11.2%

Long-Term 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?

46.05x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1177 (HK$6.65) is trading above our estimate of fair value (HK$5.68)

Significantly Below Fair Value: 1177 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1177 is poor value based on its PE Ratio (46.1x) compared to the HK Pharmaceuticals industry average (11x).

PE vs Market: 1177 is poor value based on its PE Ratio (46.1x) compared to the Hong Kong market (11.1x).


Price to Earnings Growth Ratio

PEG Ratio: 1177 is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: 1177 is overvalued based on its PB Ratio (3.4x) compared to the HK Pharmaceuticals industry average (1.1x).


Next Steps

Future Growth

How is Sino Biopharmaceutical forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

26.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1177's forecast earnings growth (26.1% per year) is above the savings rate (1.6%).

Earnings vs Market: 1177's earnings (26.1% per year) are forecast to grow faster than the Hong Kong market (22.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 1177's revenue (16.4% per year) is forecast to grow faster than the Hong Kong market (13.8% per year).

High Growth Revenue: 1177's revenue (16.4% 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 (10.3%).


Next Steps

Past Performance

How has Sino Biopharmaceutical performed over the past 5 years?

25.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1177 has high quality earnings.

Growing Profit Margin: 1177's current net profit margins (10%) are lower than last year (36.9%).


Past Earnings Growth Analysis

Earnings Trend: 1177's earnings have grown significantly by 25.8% per year over the past 5 years.

Accelerating Growth: 1177's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1177 had negative earnings growth (-74.5%) over the past year, making it difficult to compare to the Pharmaceuticals industry average (-12.9%).


Return on Equity

High ROE: 1177's Return on Equity (9.9%) is considered low.


Next Steps

Financial Health

How is Sino Biopharmaceutical's financial position?


Financial Position Analysis

Short Term Liabilities: 1177's short term assets (CN¥30.4B) exceed its short term liabilities (CN¥9.9B).

Long Term Liabilities: 1177's short term assets (CN¥30.4B) exceed its long term liabilities (CN¥15.8B).


Debt to Equity History and Analysis

Debt Level: 1177's debt to equity ratio (35.1%) is considered satisfactory.

Reducing Debt: 1177's debt to equity ratio has increased from 17.4% to 35.1% over the past 5 years.

Debt Coverage: 1177's debt is well covered by operating cash flow (23.7%).

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


Balance Sheet


Next Steps

Dividend

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

0.80%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: 1177's dividend (0.8%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.18%).

High Dividend: 1177's dividend (0.8%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.58%).


Stability and Growth of Payments

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

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

5.7yrs

Average board tenure


CEO

Yi Li (58 yo)

0.33

Tenure

Mr. Yi Li serves as Chief Executive Officer and Executive Director at Sino Biopharmaceutical Limited since August 19, 2020. He joined J.P. Morgan China in October 2014 as chairman and chief executive offic...


Board Members

NamePositionTenureCompensationOwnership
Ping Tse
Founder & Senior Vice Chairman0.33yrCN¥44.61m7.92%
CN¥ 10.2b
Cheung Ling Cheng
Executive Vice Chairwoman of the Board3.67yrsCN¥27.96m4.68%
CN¥ 6.0b
Mingqin Li
VP & Executive Director5.67yrsCN¥985.00kno data
Zhoushan Tian
Executive Director5.67yrsCN¥2.43mno data
Hsin Tse
VP & Executive Directorno dataCN¥3.17m0.88%
CN¥ 1.1b
Eric S. Y. Tse
Executive Director1.17yrsCN¥6.16m21.55%
CN¥ 27.9b
Y. Y. Tse
Executive Chairman of the Board5.5yrsno datano data
Yi Li
CEO & Executive Director0.33yrno data0.0012%
CN¥ 1.6m
Zhengfei Lu
Independent Non-Executive Director15.08yrsCN¥349.00kno data
Dakui Li
Independent Non-Executive Director16.25yrsCN¥349.00kno data
Shanchun Wang
Executive Director5.67yrsCN¥5.58mno data
Lu Fu Zhang
Independent Non-Executive Director5.67yrsCN¥349.00kno data

5.7yrs

Average Tenure

56.5yo

Average Age

Experienced Board: 1177's board of directors are considered experienced (5.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 1177 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

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$129.275b
  • Shares outstanding: 18.79b
  • 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, together with its subsidiaries, operates as a research and development pharmaceutical conglomerate in the People’s Republic of China. The company operates in three segments:...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 10:10
End of Day Share Price2020/12/02 00:00
Earnings2020/09/30
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.