SEHK:318

Stock Analysis Report

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Executive Summary

Vongroup Limited, an investment holding company, engages in the technology and management, financial services, property, and securities businesses in Hong Kong, the People’s Republic of China, and Macau. More Details


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 318's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.8%

318

-0.9%

HK Real Estate

1.1%

HK Market


1 Year Return

31.0%

318

-12.2%

HK Real Estate

1.4%

HK Market

Return vs Industry: 318 exceeded the Hong Kong Real Estate industry which returned -12.2% over the past year.

Return vs Market: 318 exceeded the Hong Kong Market which returned 1.4% over the past year.


Shareholder returns

318IndustryMarket
7 Day3.8%-0.9%1.1%
30 Day22.2%1.2%7.0%
90 Day52.8%-2.7%2.4%
1 Year31.0%31.0%-7.5%-12.2%5.6%1.4%
3 Year-44.4%-44.4%-7.4%-21.6%-4.4%-14.8%
5 Year-84.0%-84.0%37.0%10.1%20.5%0.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

10.34x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 318's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 318's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 318 is poor value based on its PE Ratio (10.3x) compared to the HK Real Estate industry average (8.8x).

PE vs Market: 318 is good value based on its PE Ratio (10.3x) compared to the Hong Kong market (11.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 318's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 318 is good value based on its PB Ratio (0.3x) compared to the HK Real Estate industry average (0.4x).


Next Steps

Future Growth

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

17.9%

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 Vongroup 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 Vongroup performed over the past 5 years?

35.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 318 has high quality earnings.

Growing Profit Margin: 318's current net profit margins (29.2%) are lower than last year (63.2%).


Past Earnings Growth Analysis

Earnings Trend: 318 has become profitable over the past 5 years, growing earnings by 35.5% per year.

Accelerating Growth: 318's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 318 had negative earnings growth (-53.8%) over the past year, making it difficult to compare to the Real Estate industry average (-6.4%).


Return on Equity

High ROE: 318's Return on Equity (2.6%) is considered low.


Next Steps

Financial Health

How is Vongroup's financial position?


Financial Position Analysis

Short Term Liabilities: 318's short term assets (HK$143.9M) exceed its short term liabilities (HK$34.5M).

Long Term Liabilities: 318's short term assets (HK$143.9M) exceed its long term liabilities (HK$860.0K).


Debt to Equity History and Analysis

Debt Level: 318's debt to equity ratio (6.2%) is considered satisfactory.

Reducing Debt: 318's debt to equity ratio has reduced from 13.1% to 6.2% over the past 5 years.

Debt Coverage: 318's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 318's interest payments on its debt are well covered by EBIT (18.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Vongroup current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 318's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 318's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 318's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 318'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 318'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?

15.2yrs

Average management tenure


CEO

David Vong (58 yo)

15.17yrs

Tenure

HK$1,372,000

Compensation

Mr. Tat Ieong Vong, also known as David, has been the Chief Executive Officer at Vongroup Ltd. (Alternatively Kamboat Group Company Ltd.) since August 30, 2005 and serves as its Chairman since September 20 ...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD177.03K) is about average for companies of similar size in the Hong Kong market ($USD233.00K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Tat Ieong Vong
CEO & Chairman15.17yrsHK$1.37m51.54%
HK$ 54.5m
Siping Xu
Executive Director15.17yrsHK$500.00kno data
Heng Lai
Purchasing Manager and Head of Administration & Purchasing Functionsno datano datano data
Siu Hung Tsui
Company Secretary10.67yrsno datano data

15.2yrs

Average Tenure

60yo

Average Age

Experienced Management: 318's management team is seasoned and experienced (15.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tat Ieong Vong
CEO & Chairman15.17yrsHK$1.37m51.54%
HK$ 54.5m
Siping Xu
Executive Director15.17yrsHK$500.00kno data
Lee George Lam
Independent Non-Executive Director15.17yrsHK$150.00kno data
Ka Keung Fung
Independent Non-Executive Director15.17yrsHK$100.00kno data
Man Ngar Wong
Independent Non-Executive Director15.75yrsHK$100.00kno data

15.2yrs

Average Tenure

58yo

Average Age

Experienced Board: 318's board of directors are seasoned and experienced ( 15.2 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

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


Key Information

  • Name: Vongroup Limited
  • Ticker: 318
  • Exchange: SEHK
  • Founded:
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: HK$105.704m
  • Shares outstanding: 192.19m
  • Website: https://www.thevongroup.com

Number of Employees


Location

  • Vongroup Limited
  • 17A EGL Tower
  • 83 Hung To Road
  • Kwun Tong
  • Kowloon
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
318SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDOct 2001

Biography

Vongroup Limited, an investment holding company, engages in the technology and management, financial services, property, and securities businesses in Hong Kong, the People’s Republic of China, and Macau. T ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/27 12:44
End of Day Share Price2020/10/23 00:00
Earnings2020/04/30
Annual Earnings2020/04/30


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.