SEHK:3366

Stock Analysis Report

Overseas Chinese Town (Asia) Holdings

Executive Summary

Overseas Chinese Town (Asia) Holdings Limited, an investment holding company, primarily engages in the comprehensive development and the investment in the urbanization industrial ecosphere business in Mainland China and Hong Kong.

Snowflake

Fundamentals

Average dividend payer and fair value.


Similar Companies

Share Price & News

How has Overseas Chinese Town (Asia) Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

3366

1.9%

HK Real Estate

2.2%

HK Market


1 Year Return

6.0%

3366

6.9%

HK Real Estate

-1.3%

HK Market

Return vs Industry: 3366 matched the Hong Kong Real Estate industry which returned 6.9% over the past year.

Return vs Market: 3366 exceeded the Hong Kong Market which returned -1.3% over the past year.


Share holder returns

3366IndustryMarket
7 Day1.5%1.9%2.2%
30 Day9.5%-1.9%-2.9%
90 Day-9.0%-11.3%-5.8%
1 Year14.1%6.0%11.0%6.9%2.3%-1.3%
3 Year15.9%-7.7%37.6%23.3%15.6%3.9%
5 Year25.7%-8.3%59.6%34.0%20.1%0.06%

Price Volatility Vs. Market

How volatile is Overseas Chinese Town (Asia) Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Overseas Chinese Town (Asia) Holdings undervalued based on future cash flows and its price relative to the stock market?

3.74x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: 3366 (HK$2.64) is trading above our estimate of fair value (HK$2.43)

Significantly Undervalued: 3366 is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: 3366 is good value based on its PE Ratio (3.7x) compared to the Real Estate industry average (6.1x).

PE vs Market: 3366 is good value based on its PE Ratio (3.7x) compared to the Hong Kong market (10.3x).


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate 3366's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: 3366 is good value based on its PB Ratio (0.2x) compared to the HK Real Estate industry average (0.5x).


Next Steps

Future Growth

How is Overseas Chinese Town (Asia) Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: 3366's forecast earnings growth (16.3% per year) is above the savings rate (2%).

Earnings vs Market: 3366's earnings (16.3% per year) are forecast to grow faster than the Hong Kong market (11.2% per year).

High Growth Earnings: 3366's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if 3366's revenue is forecast to grow faster than the Hong Kong market.

High Growth Revenue: Insufficient data to determine if 3366's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if 3366's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Overseas Chinese Town (Asia) Holdings performed over the past 5 years?

20.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 3366's earnings have grown significantly by 20.3% per year over the past 5 years.

Accelerating Growth: 3366's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 3366 had negative earnings growth (-48.8%) over the past year, making it difficult to compare to the Real Estate industry average (-12.4%).


Return on Equity

High ROE: 3366's Return on Equity (6%) is considered low.


Return on Assets

ROA vs Industry: 3366's Return on Assets is below or equal to the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: 3366 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Overseas Chinese Town (Asia) Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 3366's short term assets (CN¥11.1B) exceeds its short term liabilities (CN¥10.7B)

Long Term Liabilities: 3366's short term assets (11.1B) exceeds its long term liabilities (1.6B)


Debt to Equity History and Analysis

Debt Level: 3366's debt to equity ratio (66.7%) is considered high

Reducing Debt: 3366's debt to equity ratio has reduced from 164.2% to 66.7% over the past 5 years.

Debt Coverage: 3366's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 3366's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 3366 has a high level of physical assets or inventory.

Debt Coverage by Assets: 3366's debt is covered by short term assets (assets are 1.288430x debt).


Next Steps

Dividend

What is Overseas Chinese Town (Asia) Holdings's current dividend yield, its reliability and sustainability?

8.08%

Current Dividend Yield


Dividend Yield vs Market

company8.1%marketbottom25%2.3%markettop25%6.3%industryaverage4.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: 3366's dividend (8.08%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.25%).

High Dividend: 3366's dividend (8.08%) is in the top 25% of dividend payers in the Hong Kong market (6.35%)

Stable Dividend: 3366's dividend payments have been volatile in the past 10 years.

Growing Dividend: 3366's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.2%), 3366's dividend payments are well 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 Overseas Chinese Town (Asia) Holdings's salary, the management and board of directors tenure and is there insider trading?

7.5yrs

Average board tenure


CEO

Mei Xie (51yo)

9.6yrs

Tenure

CN¥2,659,000

Compensation

Ms. Mei Xie is a Non-Executive Director of E-House (China) Enterprise Holdings Limited since November 30, 2018. Ms. Xie has been a Non-Executive Director of Yuzhou Properties Company Ltd since September 24 ...


CEO Compensation Analysis

Compensation vs. Market: Mei's total compensation ($USD375.14K) is about average for companies of similar size in the Hong Kong market ($USD281.87K).

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


Board Age and Tenure

7.5yrs

Average Tenure

52yo

Average Age

Experienced Board: 3366's board of directors are considered experienced (7.5 years average tenure).


Insider Trading

Insider Buying: 3366 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCN¥522,00024 Jul 19
Sing Kwong Lam
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares180,000
Max PriceCN¥2.90
BuyCN¥924,80124 Jul 19
Sing Kwong Lam
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares320,000
Max PriceCN¥2.89
BuyCN¥481,39918 Jul 19
Sing Kwong Lam
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares166,000
Max PriceCN¥2.90
BuyCN¥592,68118 Jul 19
Sing Kwong Lam
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares204,000
Max PriceCN¥2.91
BuyCN¥377,00018 Jul 19
Sing Kwong Lam
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares130,000
Max PriceCN¥2.90

Ownership Breakdown


Management Team

  • Mei Xie (51yo)

    CEO & Executive Director

    • Tenure: 9.6yrs
    • Compensation: CN¥2.66m
  • Fuk Wai Fong (56yo)

    CFO, Company Secretary & Accountant

    • Tenure: 0yrs
  • Haibin He (45yo)

    Chairman of the Board & Senior Accountant

    • Tenure: 2.4yrs
  • Zhang Dafan (52yo)

    GM & Director of Chengdu Overseas Chinese Town Land Co. Ltd

    • Tenure: 0yrs
  • Ming He (48yo)

    GM & Director of Chongqing Overseas Chinese Town Property Co Ltd

    • Tenure: 0yrs
  • Jingping Yuan (54yo)

    GM & Director of Overseas Chinese Town (Shanghai) Land Co. Ltd

    • Tenure: 0yrs
  • Kaihua Lin (52yo)

    VP & Executive Director

    • Tenure: 4.6yrs
    • Compensation: CN¥2.09m
  • Jun Qin (56yo)

    GM, Director of Xi'an Overseas Chinese Town Land Co. Ltd.

    • Tenure: 0yrs

Board Members

  • Wai Ling Wong (58yo)

    Independent Non-Executive Director

    • Tenure: 12.5yrs
    • Compensation: CN¥142.00k
  • Mei Xie (51yo)

    CEO & Executive Director

    • Tenure: 9.6yrs
    • Compensation: CN¥2.66m
  • Simon Lam (60yo)

    Independent Non-Executive Director

    • Tenure: 10.4yrs
    • Compensation: CN¥142.00k
  • Haibin He (45yo)

    Chairman of the Board & Senior Accountant

    • Tenure: 2.4yrs
  • Zhang Dafan (52yo)

    GM & Director of Chengdu Overseas Chinese Town Land Co. Ltd

    • Tenure: 0yrs
  • Ming He (48yo)

    GM & Director of Chongqing Overseas Chinese Town Property Co Ltd

    • Tenure: 0yrs
  • Jingping Yuan (54yo)

    GM & Director of Overseas Chinese Town (Shanghai) Land Co. Ltd

    • Tenure: 0yrs
  • Kaihua Lin (52yo)

    VP & Executive Director

    • Tenure: 4.6yrs
    • Compensation: CN¥2.09m
  • Jun Qin (56yo)

    GM, Director of Xi'an Overseas Chinese Town Land Co. Ltd.

    • Tenure: 0yrs
  • Jing Zhang (36yo)

    Non Executive Director

    • Tenure: 2.6yrs

Company Information

Overseas Chinese Town (Asia) Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Overseas Chinese Town (Asia) Holdings Limited
  • Ticker: 3366
  • Exchange: SEHK
  • Founded: 1985
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: HK$1.946b
  • Shares outstanding: 748.37m
  • Website: https://www.oct-asia.com

Number of Employees


Location

  • Overseas Chinese Town (Asia) Holdings Limited
  • Bank of China Tower
  • 59th Floor
  • Hong Kong
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3366SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2005

Biography

Overseas Chinese Town (Asia) Holdings Limited, an investment holding company, primarily engages in the comprehensive development and the investment in the urbanization industrial ecosphere business in Main ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 12:40
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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