SEHK:202

Stock Analysis Report

EverChina Int'l Holdings

Executive Summary

EverChina Int'l Holdings Company Limited primarily engages in the property investment and hotel operations in Hong Kong, the People’s Republic of China, and Bolivia.

Rewards

Trading at 28.6% below its fair value

Risk Analysis

Earnings have declined by -18.46% per year over past 5 years

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year



Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

How has EverChina Int'l Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 202 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.2%

202

0.7%

HK Real Estate

0.5%

HK Market


1 Year Return

-24.0%

202

4.5%

HK Real Estate

-0.2%

HK Market

Return vs Industry: 202 underperformed the Hong Kong Real Estate industry which returned 4.5% over the past year.

Return vs Market: 202 underperformed the Hong Kong Market which returned -0.2% over the past year.


Shareholder returns

202IndustryMarket
7 Day2.2%0.7%0.5%
30 Day5.1%-1.7%-3.8%
90 Day11.8%3.8%-1.3%
1 Year-24.0%-24.0%8.5%4.5%3.4%-0.2%
3 Year-35.8%-35.8%51.6%35.7%18.8%6.7%
5 Year-40.0%-40.0%69.8%42.0%19.5%-0.5%

Price Volatility Vs. Market

How volatile is EverChina Int'l Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is EverChina Int'l Holdings undervalued compared to its fair value and its price relative to the market?

28.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 202 (HK$0.23) is trading below our estimate of fair value (HK$0.32)

Significantly Below Fair Value: 202 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 202 is unprofitable, so we can't compare its PE Ratio to the Real Estate industry average.

PE vs Market: 202 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 202's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 202 is overvalued based on its PB Ratio (0.8x) compared to the HK Real Estate industry average (0.5x).


Next Steps

Future Growth

How is EverChina Int'l Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.4%

Forecasted Real Estate industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as EverChina Int'l Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has EverChina Int'l Holdings performed over the past 5 years?

-18.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 202 is currently unprofitable.

Growing Profit Margin: 202 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 202 is unprofitable, and losses have increased over the past 5 years at a rate of -18.5% per year.

Accelerating Growth: Unable to compare 202's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 202 is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (-11.5%).


Return on Equity

High ROE: 202 has a negative Return on Equity (-17%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is EverChina Int'l Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 202's short term assets (HK$922.0M) exceed its short term liabilities (HK$916.8M).

Long Term Liabilities: 202's short term assets (HK$922.0M) exceed its long term liabilities (HK$122.3M).


Debt to Equity History and Analysis

Debt Level: 202's debt to equity ratio (23.1%) is considered satisfactory.

Reducing Debt: 202's debt to equity ratio has increased from 13.5% to 23.1% over the past 5 years.


Balance Sheet

Inventory Level: 202 has a high level of physical assets or inventory.

Debt Coverage by Assets: 202's debt is covered by short term assets (assets are 1.8x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable 202 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 202 is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -65.7% per year.


Next Steps

Dividend

What is EverChina Int'l Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.3%markettop25%6.2%industryaverage4.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 202's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 202's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 202's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 202's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 202'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 EverChina Int'l Holdings's salary, the management and board of directors tenure and is there insider trading?

10.5yrs

Average management tenure


CEO

Richard Lam (61yo)

10.5yrs

Tenure

HK$5,373,000

Compensation

Mr. Cheung Shing Lam, also known as Richard, has been the Chief Executive Officer of EverChina Int'l Holdings Company Limited (a/k/a, Interchina Holdings Company Ltd) since June 16, 2009 and serves as its  ...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD686.35K) is above average for companies of similar size in the Hong Kong market ($USD294.63K).

Compensation vs Earnings: Richard's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

10.5yrs

Average Tenure

57.5yo

Average Age

Experienced Management: 202's management team is seasoned and experienced (10.5 years average tenure).


Board Age and Tenure

7.8yrs

Average Tenure

58yo

Average Age

Experienced Board: 202's board of directors are considered experienced (7.8 years average tenure).


Insider Trading

Insider Buying: 202 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyHK$1,100,35728 Oct 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares5,215,000
Max PriceHK$0.21
BuyHK$2,293,08525 Oct 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares11,820,000
Max PriceHK$0.19
BuyHK$992,51125 Oct 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares5,000,000
Max PriceHK$0.20
BuyHK$19,270,84121 Oct 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares96,355,000
Max PriceHK$0.20
BuyHK$200,39825 Sep 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares1,000,000
Max PriceHK$0.20
BuyHK$10,061,90125 Sep 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares50,310,000
Max PriceHK$0.20
BuyHK$461,18005 Sep 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares2,150,000
Max PriceHK$0.21
BuyHK$7,047,61104 Sep 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares33,560,000
Max PriceHK$0.21
BuyHK$6,472,68204 Sep 19
Angang Shen
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares30,105,000
Max PriceHK$0.22

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.8%.


Management Team

  • Eddie Chan (61yo)

    Exec. Officer of Accounting

    • Tenure: 0yrs
  • Richard Lam (61yo)

    Deputy Chairman & CEO

    • Tenure: 10.5yrs
    • Compensation: HK$5.37m
  • Ben Wong (59yo)

    MD of Interchina Securities Ltd and MD of Interchina Futures Ltd

    • Tenure: 0yrs
  • Xiaohua Liu (44yo)

    Chief Officer of Shanghai Representative Office

    • Tenure: 0yrs
  • Freeman Lau

    Financial Controller & Company Secretary

    • Tenure: 10.5yrs
  • Angang Shen (63yo)

    Executive Director

    • Tenure: 7.8yrs
    • Compensation: HK$240.00k
  • Ethan Chen (36yo)

    Executive Director

    • Tenure: 7.8yrs
    • Compensation: HK$2.01m
  • Zhaobai Jiang (56yo)

    Chairman

    • Tenure: 7.3yrs
    • Compensation: HK$3.86m
  • Wayne Mo (46yo)

    Chief Investment Officer

    • Tenure: 0yrs

Board Members

  • Richard Lam (61yo)

    Deputy Chairman & CEO

    • Tenure: 10.5yrs
    • Compensation: HK$5.37m
  • Edward Ko (58yo)

    Independent Non-Executive Director

    • Tenure: 10.7yrs
    • Compensation: HK$240.00k
  • Louis Ho (71yo)

    Independent Non-Executive Director

    • Tenure: 10.7yrs
    • Compensation: HK$240.00k
  • Angang Shen (63yo)

    Executive Director

    • Tenure: 7.8yrs
    • Compensation: HK$240.00k
  • Ethan Chen (36yo)

    Executive Director

    • Tenure: 7.8yrs
    • Compensation: HK$2.01m
  • Zhemin Shan (47yo)

    Independent Non-Executive Director

    • Tenure: 5.2yrs
    • Compensation: HK$240.00k
  • Zhaobai Jiang (56yo)

    Chairman

    • Tenure: 7.3yrs
    • Compensation: HK$3.86m

Company Information

EverChina Int'l Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: EverChina Int'l Holdings Company Limited
  • Ticker: 202
  • Exchange: SEHK
  • Founded:
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: HK$1.641b
  • Shares outstanding: 7.29b
  • Website: https://www.everchina202.com.hk

Number of Employees


Location

  • EverChina Int'l Holdings Company Limited
  • Everbright Centre
  • 6th Floor
  • Wanchai
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
202SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDSep 1993
ICHADB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 1993

Biography

EverChina Int'l Holdings Company Limited primarily engages in the property investment and hotel operations in Hong Kong, the People’s Republic of China, and Bolivia. It operates through Property Investment ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/10 12:41
End of Day Share Price2019/12/10 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.