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1668

China South City Holdings SEHK:1668 Stock Report

Last Price

HK$0.66

Market Cap

HK$7.6b

7D

3.1%

1Y

-20.5%

Updated

01 Jul, 2022

Data

Company Financials +
1668 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance0/6
Financial Health4/6
Dividends2/6

1668 Stock Overview

China South City Holdings Limited, together with its subsidiaries, develops and operates integrated logistics and trade centers in the People’s Republic of China.

China South City Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for China South City Holdings
Historical stock prices
Current Share PriceHK$0.66
52 Week HighHK$0.85
52 Week LowHK$0.47
Beta1.2
1 Month Change4.76%
3 Month Change-2.94%
1 Year Change-20.48%
3 Year Change-44.07%
5 Year Change-57.42%
Change since IPO-59.26%

Recent News & Updates

May 03
Is It Time To Consider Buying China South City Holdings Limited (HKG:1668)?

Is It Time To Consider Buying China South City Holdings Limited (HKG:1668)?

China South City Holdings Limited ( HKG:1668 ), might not be a large cap stock, but it saw a significant share price...

Shareholder Returns

1668HK Real EstateHK Market
7D3.1%3.3%0.5%
1Y-20.5%-31.2%-20.3%

Return vs Industry: 1668 exceeded the Hong Kong Real Estate industry which returned -31.4% over the past year.

Return vs Market: 1668 matched the Hong Kong Market which returned -20.9% over the past year.

Price Volatility

Is 1668's price volatile compared to industry and market?
1668 volatility
1668 Average Weekly Movement7.1%
Real Estate Industry Average Movement6.1%
Market Average Movement6.9%
10% most volatile stocks in HK Market13.7%
10% least volatile stocks in HK Market3.3%

Stable Share Price: 1668 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 1668's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20023,947n/ahttps://www.chinasouthcity.com

China South City Holdings Limited, together with its subsidiaries, develops and operates integrated logistics and trade centers in the People’s Republic of China. The company operates a trading platform of raw materials and finished products for domestic and international wholesale suppliers, traders, manufacturers, distributors, and retail clients; and sells and leases trade center units for businesses to display and sell their products. It also operates and manages outlets, which offers sports, outdoor, casual, and men’s and women’s fashion wear; and an e-commerce platform.

China South City Holdings Fundamentals Summary

How do China South City Holdings's earnings and revenue compare to its market cap?
1668 fundamental statistics
Market CapHK$7.55b
Earnings (TTM)HK$2.42b
Revenue (TTM)HK$10.37b

3.1x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1668 income statement (TTM)
RevenueHK$10.37b
Cost of RevenueHK$5.89b
Gross ProfitHK$4.47b
Other ExpensesHK$2.06b
EarningsHK$2.42b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.21
Gross Margin43.15%
Net Profit Margin23.33%
Debt/Equity Ratio86.6%

How did 1668 perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

10%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 1668 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 1668?

Other financial metrics that can be useful for relative valuation.

1668 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.3x
Enterprise Value/EBITDA11.2x
PEG Ratio1.4x

Price to Earnings Ratio vs Peers

How does 1668's PE Ratio compare to its peers?

1668 PE Ratio vs Peers
The above table shows the PE ratio for 1668 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average7.9x
1224 C C Land Holdings
16.1xn/aHK$7.9b
119 Poly Property Group
2.8xn/aHK$7.0b
173 K. Wah International Holdings
2.7x-38.6%HK$9.1b
588 Beijing North Star
10.1xn/aHK$8.0b
1668 China South City Holdings
3.1x2.2%HK$7.6b

Price-To-Earnings vs Peers: 1668 is good value based on its Price-To-Earnings Ratio (3.1x) compared to the peer average (7.9x).


Price to Earnings Ratio vs Industry

How does 1668's PE Ratio compare vs other companies in the HK Real Estate Industry?

Price-To-Earnings vs Industry: 1668 is good value based on its Price-To-Earnings Ratio (3.1x) compared to the Hong Kong Real Estate industry average (6.6x)


Price to Earnings Ratio vs Fair Ratio

What is 1668'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.

1668 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.1x
Fair PE Ratio4.9x

Price-To-Earnings vs Fair Ratio: 1668 is good value based on its Price-To-Earnings Ratio (3.1x) compared to the estimated Fair Price-To-Earnings Ratio (4.9x).


Share Price vs Fair Value

What is the Fair Price of 1668 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1668 (HK$0.66) is trading below our estimate of fair value (HK$6.97)

Significantly Below Fair Value: 1668 is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: 1668 is poor value based on its PEG Ratio (1.4x)


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Future Growth

How is China South City Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


2.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1668's forecast earnings growth (2.2% per year) is above the savings rate (1.6%).

Earnings vs Market: 1668's earnings (2.2% per year) are forecast to grow slower than the Hong Kong market (16.6% per year).

High Growth Earnings: 1668's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1668's revenue (8.8% per year) is forecast to grow slower than the Hong Kong market (10.1% per year).

High Growth Revenue: 1668's revenue (8.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1668's Return on Equity is forecast to be low in 3 years time (5%).


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Past Performance

How has China South City Holdings performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-13.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1668 has a large one-off gain of HK$1.0B impacting its September 30 2021 financial results.

Growing Profit Margin: 1668's current net profit margins (23.3%) are lower than last year (23.8%).


Past Earnings Growth Analysis

Earnings Trend: 1668's earnings have declined by 13.6% per year over the past 5 years.

Accelerating Growth: 1668's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1668 had negative earnings growth (-9%) over the past year, making it difficult to compare to the Real Estate industry average (13.4%).


Return on Equity

High ROE: 1668's Return on Equity (5.7%) is considered low.


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Financial Health

How is China South City Holdings's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 1668's short term assets (HK$62.8B) exceed its short term liabilities (HK$51.0B).

Long Term Liabilities: 1668's short term assets (HK$62.8B) exceed its long term liabilities (HK$32.7B).


Debt to Equity History and Analysis

Debt Level: 1668's net debt to equity ratio (63.9%) is considered high.

Reducing Debt: 1668's debt to equity ratio has reduced from 120% to 86.6% over the past 5 years.

Debt Coverage: 1668's debt is not well covered by operating cash flow (17.9%).

Interest Coverage: 1668's interest payments on its debt are well covered by EBIT (6.9x coverage).


Balance Sheet


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Dividend

What is China South City Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.55%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 1668's dividend (4.55%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.73%).

High Dividend: 1668's dividend (4.55%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.83%).


Stability and Growth of Payments

Stable Dividend: 1668's dividend payments have been volatile in the past 10 years.

Growing Dividend: 1668's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (10%), 1668's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Insufficient data to calculate cash payout ratio to determine if its dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

2.6yrs

Average management tenure


CEO

China South City Holdings has no CEO, or we have no data on them.


Leadership Team

Experienced Management: 1668's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: 1668's board of directors are seasoned and experienced ( 11.7 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 been diluted in the past year, with total shares outstanding growing by 41.4%.


Top Shareholders

Company Information

China South City Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: China South City Holdings Limited
  • Ticker: 1668
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Implied Market Cap: HK$7.552b
  • Shares outstanding: 11.44b
  • Website: https://www.chinasouthcity.com

Number of Employees


Location

  • China South City Holdings Limited
  • Sun Life Tower
  • Suites 3306-08, 33 Floor
  • Tsim Sha Tsui
  • Kowloon
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/01 00:00
End of Day Share Price2022/06/30 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.