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35

Far East Consortium InternationalSEHK:35 Stock Report

Market Cap

HK$6.2b

7D

-2.3%

1Y

15.6%

Updated

17 Oct, 2021

Data

Company Financials +
35 fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance3/6
Financial Health3/6
Dividends5/6

35 Overview

Far East Consortium International Limited, an investment holding company, engages in the property development and investment, hotel operations and management, car park operations and facilities management, gaming operations and management, and treasury management businesses.

Far East Consortium International Competitors

S P Setia Berhad

KLSE:SPSETIA

RM6.0b

Fragrance Group

SGX:F31

S$919.8m

UEM Sunrise Berhad

KLSE:UEMS

RM2.1b

Price History & Performance

Summary of all time highs, changes and price drops for Far East Consortium International
Historical stock prices
Current Share PriceHK$2.59
52 Week HighHK$2.18
52 Week LowHK$3.25
Beta0.73
1 Month Change-1.89%
3 Month Change-16.99%
1 Year Change15.63%
3 Year Change-27.86%
5 Year Change-19.06%
Change since IPO97.71%

Recent News & Updates

Shareholder Returns

35HK Real EstateHK Market
7D-2.3%0.03%1.1%
1Y15.6%-12.5%5.3%

Return vs Industry: 35 exceeded the Hong Kong Real Estate industry which returned -12.5% over the past year.

Return vs Market: 35 exceeded the Hong Kong Market which returned 5.3% over the past year.

Price Volatility

Is 35's price volatile compared to industry and market?
35 volatility
35 Beta0.73
Industry Beta0.85
Market Beta1

Stable Share Price: 35 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 35's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19903,500David Chiuhttps://www.fecil.com.hk

Far East Consortium International Limited, an investment holding company, engages in the property development and investment, hotel operations and management, car park operations and facilities management, gaming operations and management, and treasury management businesses. It develops a portfolio of residential properties; invests in retail and office buildings; and operates hotels. The company also operates third party and self-owned car parks; and owns and operates casinos and gaming facilities.

Far East Consortium International Fundamentals Summary


Earnings & Revenue

Key profitability statistics from the latest earnings report
35 income statement (TTM)
RevenueHK$5.94b
Cost of RevenueHK$3.63b
Gross ProfitHK$2.31b
ExpensesHK$1.77b
EarningsHK$543.19m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.23
Gross Margin38.94%
Net Profit Margin9.14%
Debt/Equity Ratio162.0%

How did 35 perform over the long term?

See historical performance and comparison

Dividends

7.3%

Current Dividend Yield

83%

Payout Ratio

Valuation

Is Far East Consortium International undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 35 (HK$2.59) is trading below our estimate of fair value (HK$35.53)

Significantly Below Fair Value: 35 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 35 is poor value based on its PE Ratio (11.5x) compared to the Hong Kong Real Estate industry average (7.4x).

PE vs Market: 35 is poor value based on its PE Ratio (11.5x) compared to the Hong Kong market (9.7x).


Price to Earnings Growth Ratio

PEG Ratio: 35 is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: 35's PB Ratio (0.4x) is in line with the HK Real Estate industry average.


Future Growth

How is Far East Consortium International forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

18.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 35's forecast earnings growth (18.9% per year) is above the savings rate (1.5%).

Earnings vs Market: 35's earnings (18.9% per year) are forecast to grow faster than the Hong Kong market (17.4% per year).

High Growth Earnings: 35's earnings are forecast to grow, but not significantly.

Revenue vs Market: 35's revenue (7% per year) is forecast to grow slower than the Hong Kong market (12.5% per year).

High Growth Revenue: 35's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 35's Return on Equity is forecast to be low in 3 years time (5.9%).


Past Performance

How has Far East Consortium International performed over the past 5 years?

-13.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 35 has a large one-off gain of HK$668.3M impacting its March 31 2021 financial results.

Growing Profit Margin: 35's current net profit margins (9.1%) are higher than last year (4.9%).


Past Earnings Growth Analysis

Earnings Trend: 35's earnings have declined by 13% per year over the past 5 years.

Accelerating Growth: 35's earnings growth over the past year (48.5%) exceeds its 5-year average (-13% per year).

Earnings vs Industry: 35 earnings growth over the past year (48.5%) exceeded the Real Estate industry 23.4%.


Return on Equity

High ROE: 35's Return on Equity (4.7%) is considered low.


Financial Health

How is Far East Consortium International's financial position?


Financial Position Analysis

Short Term Liabilities: 35's short term assets (HK$24.3B) exceed its short term liabilities (HK$15.7B).

Long Term Liabilities: 35's short term assets (HK$24.3B) exceed its long term liabilities (HK$17.1B).


Debt to Equity History and Analysis

Debt Level: 35's debt to equity ratio (162%) is considered high.

Reducing Debt: 35's debt to equity ratio has increased from 113.8% to 162% over the past 5 years.

Debt Coverage: 35's debt is not well covered by operating cash flow (8.8%).

Interest Coverage: 35's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet


Dividend

What is Far East Consortium International current dividend yield, its reliability and sustainability?

7.34%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 35's dividend (7.34%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 35's dividend (7.34%) is in the top 25% of dividend payers in the Hong Kong market (6.78%)


Stability and Growth of Payments

Stable Dividend: 35's dividend payments have been volatile in the past 10 years.

Growing Dividend: 35's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (82.8%), 35's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 35's dividends in 3 years are forecast to be covered by earnings (52.8% payout ratio).


Next Steps

Management

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

13.1yrs

Average management tenure


CEO

David Chiu (67 yo)

24yrs

Tenure

HK$2,065,000

Compensation

Tan Sri Dato' Tat Cheong Chiu, also known as David, B.Sc., serves as the Chairman and Chief Executive Officer of Far East Consortium International Limited October 08, 1997 and September 08, 2011 respective...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD265.48K) is below average for companies of similar size in the Hong Kong market ($USD443.10K).

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


Leadership Team

Experienced Management: 35's management team is seasoned and experienced (13.1 years average tenure).


Board Members

Experienced Board: 35's board of directors are seasoned and experienced ( 10.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 35 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 2.6%.


Top Shareholders

Company Information

Far East Consortium International Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Far East Consortium International Limited
  • Ticker: 35
  • Exchange: SEHK
  • Founded: 1990
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: HK$6.249b
  • Shares outstanding: 2.41b
  • Website: https://www.fecil.com.hk

Number of Employees


Location

  • Far East Consortium International Limited
  • Far East Consortium Building
  • 16th Floor
  • Central
  • Hong Kong

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/17 10:07
End of Day Share Price2021/10/15 00:00
Earnings2021/03/31
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.