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488

Lai Sun DevelopmentSEHK:488 Stock Report

Market Cap

HK$4.2b

7D

-3.4%

1Y

-35.1%

Updated

19 Oct, 2021

Data

Company Financials
488 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health1/6
Dividends0/6

488 Overview

Lai Sun Development Company Limited, together with its subsidiaries, invests in, develops, leases, and sells real estate properties in Hong Kong, Mainland China, the United Kingdom, Vietnam, and internationally.

Lai Sun Development Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Lai Sun Development
Historical stock prices
Current Share PriceHK$4.30
52 Week HighHK$4.24
52 Week LowHK$7.34
Beta0.27
1 Month Change-2.94%
3 Month Change-27.24%
1 Year Change-35.14%
3 Year Change-60.77%
5 Year Change-48.81%
Change since IPO-97.93%

Recent News & Updates

Shareholder Returns

488HK Real EstateHK Market
7D-3.4%0.6%0.7%
1Y-35.1%-12.1%5.7%

Return vs Industry: 488 underperformed the Hong Kong Real Estate industry which returned -12.1% over the past year.

Return vs Market: 488 underperformed the Hong Kong Market which returned 5.7% over the past year.

Price Volatility

Is 488's price volatile compared to industry and market?
488 volatility
488 Beta0.27
Industry Beta0.85
Market Beta1

Stable Share Price: 488 is not significantly more volatile than the rest of Hong Kong stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 488's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19594,500Julius Lauhttps://www.laisun.com/lai-sun-development/en-US

Lai Sun Development Company Limited, together with its subsidiaries, invests in, develops, leases, and sells real estate properties in Hong Kong, Mainland China, the United Kingdom, Vietnam, and internationally. It operates through Property Development and Sales; Property Investment; Hotel Operation; Restaurant Operation; Media and Entertainment; Film and TV Program; Cinema Operation; Theme Park Operation; and Others segments. The company also invests in, develops, operates in, and manages cultural, leisure, entertainment, and related facilities; hotels and restaurants; and provides management and consultancy services to hotels, serviced apartments, and restaurants.

Lai Sun Development Fundamentals Summary

How do Lai Sun Development's earnings and revenue compare to its market cap?
488 fundamental statistics
Market CapHK$4.17b
Earnings (TTM)-HK$3.05b
Revenue (TTM)HK$5.21b

0.8x

P/S Ratio

-1.4x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
488 income statement (TTM)
RevenueHK$5.21b
Cost of RevenueHK$4.01b
Gross ProfitHK$1.20b
ExpensesHK$4.25b
Earnings-HK$3.05b

Last Reported Earnings

Jan 31, 2021

Next Earnings Date

Oct 22, 2021

Earnings per share (EPS)-3.15
Gross Margin23.07%
Net Profit Margin-58.63%
Debt/Equity Ratio52.4%

How did 488 perform over the long term?

See historical performance and comparison

Valuation

Is Lai Sun Development undervalued compared to its fair value and its price relative to the market?

0.12x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 488's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 488's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 488 is unprofitable, so we can't compare its PE Ratio to the Hong Kong Real Estate industry average.

PE vs Market: 488 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 488's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 488 is good value based on its PB Ratio (0.1x) compared to the HK Real Estate industry average (0.4x).


Future Growth

How is Lai Sun Development 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 Lai Sun Development 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.


Past Performance

How has Lai Sun Development performed over the past 5 years?

-21.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 488 is currently unprofitable.

Growing Profit Margin: 488 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 488 is unprofitable, and losses have increased over the past 5 years at a rate of 21.5% per year.

Accelerating Growth: Unable to compare 488's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 488 is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (23.4%).


Return on Equity

High ROE: 488 has a negative Return on Equity (-8.91%), as it is currently unprofitable.


Financial Health

How is Lai Sun Development's financial position?


Financial Position Analysis

Short Term Liabilities: 488's short term assets (HK$19.6B) exceed its short term liabilities (HK$10.3B).

Long Term Liabilities: 488's short term assets (HK$19.6B) do not cover its long term liabilities (HK$26.0B).


Debt to Equity History and Analysis

Debt Level: 488's debt to equity ratio (52.4%) is considered high.

Reducing Debt: 488's debt to equity ratio has increased from 32.6% to 52.4% over the past 5 years.

Debt Coverage: 488's debt is not well covered by operating cash flow (2.9%).

Interest Coverage: Insufficient data to determine if 488's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Lai Sun Development current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 488's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 488'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 488's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 488's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 488 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 488'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?

8.6yrs

Average management tenure


CEO

Julius Lau (65 yo)

15.92yrs

Tenure

HK$5,284,000

Compensation

Mr. Shu Yan Lau, also known as Julius, has been the Chief Executive Officer of Lai Sun Development Co. Ltd. since November 1, 2005 and served as its Chairman since December 20, 2011. Mr. Lau has extensive...


CEO Compensation Analysis

Compensation vs Market: Julius's total compensation ($USD679.27K) is above average for companies of similar size in the Hong Kong market ($USD348.14K).

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


Leadership Team

Experienced Management: 488's management team is seasoned and experienced (8.6 years average tenure).


Board Members

Experienced Board: 488's board of directors are seasoned and experienced ( 14.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: 488 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 substantially diluted in the past year, with total shares outstanding growing by 58.3%.


Top Shareholders

Company Information

Lai Sun Development Company Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Lai Sun Development Company Limited
  • Ticker: 488
  • Exchange: SEHK
  • Founded: 1959
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: HK$4.166b
  • Shares outstanding: 968.89m
  • Website: https://www.laisun.com/lai-sun-development/en-US

Number of Employees


Location

  • Lai Sun Development Company Limited
  • AIA Central
  • 19th 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 Analysis2021/10/19 15:32
End of Day Share Price2021/10/19 00:00
Earnings2021/01/31
Annual Earnings2020/07/31


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.