SEHK:2005

Stock Analysis Report

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Executive Summary

SSY Group Limited, an investment holding company, researches, develops, manufactures, and sells various pharmaceutical products to hospitals and distributors in the People’s Republic of China and internationally. More Details


Snowflake Analysis

Exceptional growth potential with adequate balance sheet and pays a dividend.

Share Price & News

How has SSY Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2005 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 2005's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-4.3%

2005

8.0%

HK Pharmaceuticals

4.1%

HK Market


1 Year Return

-45.4%

2005

11.8%

HK Pharmaceuticals

16.9%

HK Market

Return vs Industry: 2005 underperformed the Hong Kong Pharmaceuticals industry which returned 11.8% over the past year.

Return vs Market: 2005 underperformed the Hong Kong Market which returned 16.9% over the past year.


Shareholder returns

2005IndustryMarket
7 Day-4.3%8.0%4.1%
30 Day-1.2%18.2%14.8%
90 Day-3.0%15.6%21.4%
1 Year-44.1%-45.4%13.7%11.8%21.6%16.9%
3 Year-24.1%-27.6%-11.0%-16.2%-3.4%-13.7%
5 Year128.1%111.4%79.4%64.7%67.8%39.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 2005 (HK$4.27) is trading below our estimate of fair value (HK$14.6)

Significantly Below Fair Value: 2005 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2005 is poor value based on its PE Ratio (15.5x) compared to the HK Pharmaceuticals industry average (12.1x).

PE vs Market: 2005 is poor value based on its PE Ratio (15.5x) compared to the Hong Kong market (12x).


Price to Earnings Growth Ratio

PEG Ratio: 2005 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: 2005 is overvalued based on its PB Ratio (2.6x) compared to the HK Pharmaceuticals industry average (1.3x).


Next Steps

Future Growth

How is SSY Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

28.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2005's forecast earnings growth (28.9% per year) is above the savings rate (1.5%).

Earnings vs Market: 2005's earnings (28.9% per year) are forecast to grow faster than the Hong Kong market (21.9% per year).

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

Revenue vs Market: 2005's revenue (21.4% per year) is forecast to grow faster than the Hong Kong market (14.6% per year).

High Growth Revenue: 2005's revenue (21.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 2005's Return on Equity is forecast to be high in 3 years time (21.9%)


Next Steps

Past Performance

How has SSY Group performed over the past 5 years?

21.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2005 has high quality earnings.

Growing Profit Margin: 2005's current net profit margins (20.4%) are lower than last year (23%).


Past Earnings Growth Analysis

Earnings Trend: 2005's earnings have grown significantly by 21.5% per year over the past 5 years.

Accelerating Growth: 2005's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 2005 had negative earnings growth (-17.8%) over the past year, making it difficult to compare to the Pharmaceuticals industry average (-12.5%).


Return on Equity

High ROE: 2005's Return on Equity (16.3%) is considered low.


Next Steps

Financial Health

How is SSY Group's financial position?


Financial Position Analysis

Short Term Liabilities: 2005's short term assets (HK$3.6B) exceed its short term liabilities (HK$1.7B).

Long Term Liabilities: 2005's short term assets (HK$3.6B) exceed its long term liabilities (HK$1.2B).


Debt to Equity History and Analysis

Debt Level: 2005's debt to equity ratio (42.2%) is considered high.

Reducing Debt: 2005's debt to equity ratio has increased from 41.2% to 42.2% over the past 5 years.

Debt Coverage: 2005's debt is well covered by operating cash flow (28.3%).

Interest Coverage: 2005's interest payments on its debt are well covered by EBIT (26.8x coverage).


Balance Sheet


Next Steps

Dividend

What is SSY Group current dividend yield, its reliability and sustainability?

2.81%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2005's dividend (2.81%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.04%).

High Dividend: 2005's dividend (2.81%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.59%).


Stability and Growth of Payments

Stable Dividend: 2005's dividend payments have been volatile in the past 10 years.

Growing Dividend: 2005's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40%), 2005's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2005's dividends in 3 years are forecast to be well covered by earnings (38.6% payout ratio).


Next Steps

Management

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

13.9yrs

Average board tenure


CEO

Jiguang Qu (65 yo)

no data

Tenure

HK$13,040,000

Compensation

Mr. Jiguang Qu has been the Chairman and General Manager of Shijiazhuang Siyao Pharmaceutical Ltd. from January 2000. Mr. Qu serves as the Chairman and Chief Executive Officer of SSY Group Limited. He is ...


CEO Compensation Analysis

Compensation vs Market: Jiguang's total compensation ($USD1.68M) is above average for companies of similar size in the Hong Kong market ($USD540.69K).

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


Board Members

NamePositionTenureCompensationOwnership
Jiguang Qu
Chairman & CEOno dataHK$13.04m9.17%
HK$ 1.2b
Xianjun Wang
Executive Director14.33yrsHK$2.32m0.81%
HK$ 106.9m
Xuejun Su
Executive Director6.08yrsHK$1.63m0.81%
HK$ 106.9m
Kwok Wai Chow
Independent Non Executive Director15.25yrsHK$228.00kno data
Chong Shun Leung
Independent Non Executive Director15.25yrsHK$228.00kno data
Yibing Wang
Independent Non Executive Director13.5yrsHK$228.00kno data
Hao Feng
Non-Executive Director3.17yrsHK$228.00kno data

13.9yrs

Average Tenure

55yo

Average Age

Experienced Board: 2005's board of directors are seasoned and experienced ( 13.9 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

SSY Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SSY Group Limited
  • Ticker: 2005
  • Exchange: SEHK
  • Founded: 2004
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: HK$13.261b
  • Shares outstanding: 3.03b
  • Website: https://www.ssygroup.com.hk

Number of Employees


Location

  • SSY Group Limited
  • Central Plaza
  • 49th Floor
  • Wan Chai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2005SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDDec 2005
LJUI.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2005
2005SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2005
2005SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDDec 2005

Biography

SSY Group Limited, an investment holding company, researches, develops, manufactures, and sells various pharmaceutical products to hospitals and distributors in the People’s Republic of China and internati...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/26 10:11
End of Day Share Price2021/01/26 00:00
Earnings2020/06/30
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.