SEHK:158

Stock Analysis Report

Melbourne Enterprises

Executive Summary

Melbourne Enterprises Limited, an investment holding company, engages in property investment activities in Hong Kong.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Melbourne Enterprises's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

158

1.8%

HK Real Estate

0.3%

HK Market


1 Year Return

5.3%

158

8.8%

HK Real Estate

-1.5%

HK Market

Return vs Industry: 158 underperformed the Hong Kong Real Estate industry which returned 8.8% over the past year.

Return vs Market: 158 exceeded the Hong Kong Market which returned -1.5% over the past year.


Shareholder returns

158IndustryMarket
7 Day0.4%1.8%0.3%
30 Day3.6%3.3%0.5%
90 Day-7.3%-7.0%-4.4%
1 Year7.9%5.3%13.0%8.8%2.1%-1.5%
3 Year29.6%20.0%39.1%24.6%14.7%3.2%
5 Year74.2%50.7%63.4%37.1%21.5%1.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Melbourne Enterprises undervalued compared to its fair value and its price relative to the market?

3.72x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 158 (HK$207.6) is trading above our estimate of fair value (HK$83.36)

Significantly Below Fair Value: 158 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 158 is good value based on its PE Ratio (3.7x) compared to the Real Estate industry average (6.2x).

PE vs Market: 158 is good value based on its PE Ratio (3.7x) compared to the Hong Kong market (10.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 158's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 158 is overvalued based on its PB Ratio (0.5x) compared to the HK Real Estate industry average (0.5x).


Next Steps

Future Growth

How is Melbourne Enterprises forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-1.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 158's earnings are forecast to decline over the next 3 years (-1.1% per year).

Earnings vs Market: 158's earnings are forecast to decline over the next 3 years (-1.1% per year).

High Growth Earnings: 158's earnings are forecast to decline over the next 3 years.

Revenue vs Market: Insufficient data to determine if 158's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 158's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 158's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Melbourne Enterprises performed over the past 5 years?

49.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 158's earnings have grown significantly by 49% per year over the past 5 years.

Accelerating Growth: 158's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 158 had negative earnings growth (-29.9%) over the past year, making it difficult to compare to the Real Estate industry average (-12.4%).


Return on Equity

High ROE: 158's Return on Equity (14.2%) is considered low.


Return on Assets

ROA vs Industry: 158 has a higher Return on Assets than the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: 158's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Melbourne Enterprises's financial position?


Financial Position Analysis

Short Term Liabilities: 158's short term assets (HK$269.4M) exceeds its short term liabilities (HK$62.0M)

Long Term Liabilities: 158's short term assets (269.4M) exceeds its long term liabilities (16.2M)


Debt to Equity History and Analysis

Debt Level: 158 is debt free.

Reducing Debt: 158 has not had any debt for past 5 years.

Debt Coverage: 158 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 158 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 158 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 158's debt is covered by short term assets.


Next Steps

Dividend

What is Melbourne Enterprises's current dividend yield, its reliability and sustainability?

2.46%

Current Dividend Yield


Dividend Yield vs Market

company2.5%marketbottom25%2.3%markettop25%6.3%industryaverage4.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 158's dividend (2.46%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.28%).

High Dividend: 158's dividend (2.46%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.25%).

Stable Dividend: 158's dividends per share have been stable in the past 10 years.

Growing Dividend: 158's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.2%), 158's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

20.0yrs

Average board tenure


CEO

Melbourne Enterprises has no CEO, or we have no data on them.


Board Age and Tenure

20.0yrs

Average Tenure

68yo

Average Age

Experienced Board: 158's board of directors are seasoned and experienced ( 20 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.


Ownership Breakdown


Management Team

  • Ming Fai Chung (99yo)

    Co-Founder & Chairman of the Board

    • Tenure: 4.5yrs
    • Compensation: HK$150.00k
  • Frederick Chung (75yo)

    Company Secretary & Executive Director

    • Tenure: 51.8yrs
    • Compensation: HK$1.43m
  • Patrick Tsang (47yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: HK$150.00k

Board Members

  • Yun Wah Fong (94yo)

    Independent Non-Executive Director

    • Tenure: 24.9yrs
    • Compensation: HK$150.00k
  • Pak Shiu Lo (65yo)

    Independent Non-Executive Director

    • Tenure: 30.6yrs
    • Compensation: HK$150.00k
  • Ming Fai Chung (99yo)

    Co-Founder & Chairman of the Board

    • Tenure: 4.5yrs
    • Compensation: HK$150.00k
  • Frederick Chung (75yo)

    Company Secretary & Executive Director

    • Tenure: 51.8yrs
    • Compensation: HK$1.43m
  • Robert Chung (71yo)

    Non-Executive Director

    • Tenure: 43.8yrs
    • Compensation: HK$150.00k
  • Patrick Yuen (62yo)

    Independent Non-Executive Director

    • Tenure: 15.1yrs
    • Compensation: HK$150.00k
  • Patrick Tsang (47yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: HK$150.00k
  • Kenneth Lau (43yo)

    Alternate Director

    • Tenure: 0.4yrs

Company Information

Melbourne Enterprises Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Melbourne Enterprises Limited
  • Ticker: 158
  • Exchange: SEHK
  • Founded:
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: HK$5.190b
  • Shares outstanding: 25.00m
  • Website: https://null

Number of Employees


Location

  • Melbourne Enterprises Limited
  • Melbourne Plaza
  • Rooms 2102-4
  • Central
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
158SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJan 1992

Biography

Melbourne Enterprises Limited, an investment holding company, engages in property investment activities in Hong Kong. Its investment properties include Melbourne Plaza, Kimley Commercial Building, and On H ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:35
End of Day Share Price2019/10/21 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


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.