company background image
3603

Xinji Shaxi Group SEHK:3603 Stock Report

Last Price

HK$0.28

Market Cap

HK$420.0m

7D

0%

1Y

-72.0%

Updated

05 Oct, 2022

Data

Company Financials
3603 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance0/6
Financial Health4/6
Dividends0/6

3603 Stock Overview

Xinji Shaxi Group Co., Ltd, an investment holding company, operates and manages hospitality supplies and home furnishing shopping malls in the People’s Republic of China.

Xinji Shaxi Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Xinji Shaxi Group
Historical stock prices
Current Share PriceHK$0.28
52 Week HighHK$1.15
52 Week LowHK$0.13
Beta0.13
1 Month Change-8.20%
3 Month Change-9.68%
1 Year Change-72.00%
3 Year Changen/a
5 Year Changen/a
Change since IPO-78.46%

Recent News & Updates

Sep 22
Here's Why Xinji Shaxi Group (HKG:3603) Has A Meaningful Debt Burden

Here's Why Xinji Shaxi Group (HKG:3603) Has A Meaningful Debt Burden

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Apr 28
Xinji Shaxi Group (HKG:3603) Seems To Be Using A Lot Of Debt

Xinji Shaxi Group (HKG:3603) Seems To Be Using A Lot Of Debt

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' It's only natural to consider a company's...

Shareholder Returns

3603HK Real EstateHK Market
7D0%-3.5%-4.5%
1Y-72.0%-36.7%-28.6%

Return vs Industry: 3603 underperformed the Hong Kong Real Estate industry which returned -36.7% over the past year.

Return vs Market: 3603 underperformed the Hong Kong Market which returned -28.6% over the past year.

Price Volatility

Is 3603's price volatile compared to industry and market?
3603 volatility
3603 Average Weekly Movement5.4%
Real Estate Industry Average Movement6.0%
Market Average Movement6.5%
10% most volatile stocks in HK Market12.7%
10% least volatile stocks in HK Market3.2%

Stable Share Price: 3603 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 3603's weekly volatility has decreased from 13% to 5% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002319Hon Chuen Cheunghttps://www.xjsx.net.cn

Xinji Shaxi Group Co., Ltd, an investment holding company, operates and manages hospitality supplies and home furnishing shopping malls in the People’s Republic of China. The company operates five shopping malls, including three shopping malls for hospitality supplies and two shopping malls for home furnishings. It also rents hospitality supplies; provides exhibition management services; and operates an online shopping mall.

Xinji Shaxi Group Fundamentals Summary

How do Xinji Shaxi Group's earnings and revenue compare to its market cap?
3603 fundamental statistics
Market CapHK$420.00m
Earnings (TTM)-HK$278.67m
Revenue (TTM)HK$294.07m

1.4x

P/S Ratio

-1.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
3603 income statement (TTM)
RevenueCN¥266.50m
Cost of RevenueCN¥29.89m
Gross ProfitCN¥236.61m
Other ExpensesCN¥489.16m
Earnings-CN¥252.55m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.17
Gross Margin88.78%
Net Profit Margin-94.77%
Debt/Equity Ratio47.2%

How did 3603 perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is 3603 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3603?

Other financial metrics that can be useful for relative valuation.

3603 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/Revenue4x
Enterprise Value/EBITDA5.4x
PEG Ration/a

Price to Sales Ratio vs Peers

How does 3603's PS Ratio compare to its peers?

3603 PS Ratio vs Peers
The above table shows the PS ratio for 3603 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.4x
925 Beijing Properties (Holdings)
0.6xn/aHK$418.2m
6958 Zhenro Services Group
0.3xn/aHK$425.4m
2205 Kangqiao Service Group
0.6xn/aHK$413.0m
2168 Kaisa Prosperity Holdings
0.2xn/aHK$389.9m
3603 Xinji Shaxi Group
1.4xn/aHK$420.0m

Price-To-Sales vs Peers: 3603 is expensive based on its Price-To-Sales Ratio (1.4x) compared to the peer average (0.4x).


Price to Earnings Ratio vs Industry

How does 3603's PE Ratio compare vs other companies in the HK Real Estate Industry?

Price-To-Sales vs Industry: 3603 is expensive based on its Price-To-Sales Ratio (1.4x) compared to the Hong Kong Real Estate industry average (0.8x)


Price to Sales Ratio vs Fair Ratio

What is 3603's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

3603 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.4x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 3603's Price-To-Sales Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 3603 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3603 (HK$0.28) is trading below our estimate of fair value (HK$1.74)

Significantly Below Fair Value: 3603 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


Discover undervalued companies

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.5%

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 Xinji Shaxi Group 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.


Discover growth companies

  • Examine Xinji Shaxi Group's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  • Xinji Shaxi Group competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Xinji Shaxi Group 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


-73.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 3603 is currently unprofitable.

Growing Profit Margin: 3603 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 3603 is unprofitable, and losses have increased over the past 5 years at a rate of 73.9% per year.

Accelerating Growth: Unable to compare 3603's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 3603 is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (-5.8%).


Return on Equity

High ROE: 3603 has a negative Return on Equity (-15.66%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Xinji Shaxi Group'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: 3603's short term assets (CN¥333.7M) exceed its short term liabilities (CN¥299.8M).

Long Term Liabilities: 3603's short term assets (CN¥333.7M) do not cover its long term liabilities (CN¥1.2B).


Debt to Equity History and Analysis

Debt Level: 3603's net debt to equity ratio (31.4%) is considered satisfactory.

Reducing Debt: 3603's debt to equity ratio has reduced from 51.9% to 47.2% over the past 5 years.

Debt Coverage: 3603's debt is not well covered by operating cash flow (18%).

Interest Coverage: 3603's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is Xinji Shaxi Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Xinji Shaxi Group Dividend Yield vs Market
How does Xinji Shaxi Group dividend yield compare to the market?
SegmentDividend Yield
Company (Xinji Shaxi Group)0%
Market Bottom 25% (HK)3.1%
Market Top 25% (HK)9.0%
Industry Average (Real Estate)6.0%
Analyst forecast in 3 Years (Xinji Shaxi Group)n/a

Notable Dividend: Unable to evaluate 3603's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 3603'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 3603's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3603's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: 3603 is not paying a notable dividend for the Hong Kong market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 3603 has not reported any payouts.


Discover strong dividend paying companies

Management

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

3.0yrs

Average board tenure


CEO

Hon Chuen Cheung (56 yo)

4.25yrs

Tenure

CN¥899,000

Compensation

Mr. Hon Chuen Cheung has been an Executive Director of Xinji Shaxi Group Co., Ltd since July 27, 2018 and serves as its Chairman and Chief Executive Officer. Mr. Cheung is primarily responsible for formula...


CEO Compensation Analysis

Hon Chuen Cheung's Compensation vs Xinji Shaxi Group Earnings
How has Hon Chuen Cheung's remuneration changed compared to Xinji Shaxi Group's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-CN¥253m

Mar 31 2022n/an/a

-CN¥234m

Dec 31 2021CN¥899kCN¥607k

-CN¥215m

Sep 30 2021n/an/a

-CN¥71m

Jun 30 2021n/an/a

CN¥69m

Mar 31 2021n/an/a

CN¥51m

Dec 31 2020CN¥1mCN¥685k

CN¥33m

Sep 30 2020n/an/a

CN¥52m

Jun 30 2020n/an/a

CN¥72m

Mar 31 2020n/an/a

CN¥87m

Dec 31 2019CN¥568kCN¥351k

CN¥103m

Dec 31 2018CN¥876kCN¥349k

CN¥189m

Compensation vs Market: Hon Chuen's total compensation ($USD126.37K) is below average for companies of similar size in the Hong Kong market ($USD241.95K).

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


Board Members

Experienced Board: 3603's board of directors are considered experienced (3 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.


Ownership Breakdown

What is the ownership structure of 3603?
Owner TypeNumber of SharesOwnership Percentage
Institutions645,0000.04%
Private Companies93,375,0006.2%
General Public503,238,00033.5%
Individual Insiders902,742,00060.2%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 3 shareholders own 66.41% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
52.19%
Hon Chuen Cheung
782,910,000CN¥219.2m0%no data
7.99%
Lin Yi
119,832,000CN¥33.6m0%no data
6.23%
Huiqun Investment Limited
93,375,000CN¥26.1m0%no data

Company Information

Xinji Shaxi Group Co., Ltd's employee growth, exchange listings and data sources


Key Information

  • Name: Xinji Shaxi Group Co., Ltd
  • Ticker: 3603
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Implied Market Cap: HK$420.000m
  • Shares outstanding: 1.50b
  • Website: https://www.xjsx.net.cn

Number of Employees


Location

  • Xinji Shaxi Group Co., Ltd
  • Xinjicheng Club
  • 1st Floor
  • Guangzhou
  • Guangdong Province
  • China


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3603SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDNov 2019

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/05 00:00
End of Day Share Price2022/10/05 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.